Apple is reportedly weighing up a multi-billion investment in leading cryptocurrency Bitcoin
Internet forums and social media platforms including Twitter are awash with rumours of Apple investing heavily in Bitcoin, to the tune of $2 billion.
If the claims turn out to be true, it would be considered a big win for the crypto market which saw huge gains when Tesla bought $1.5 billion worth of Bitcoin.
Tech giant Apple reported nearly $200 billion in cash at the last quarterly report, so any investment would signify around 1 per cent of its current cash flow.
But the links are yet to filter through into current prices of Bitcoin and other leading crypto coins, with the market down 3.80% over the last 24 hours.
Cryptocurrency prices today - 9.30am, 14 July 2021
Bitcoin (BTC) -3.47% – £22,678.07
Ethereum (ETH) -5.15% – £1,350.57
Tether (USDT) -0.10% – £0.72
Binance Coin (BNB) -4.05% – £221.23
Cardano (ADA) -5.02% – £0.85
XRP (XRP) -2.62% – £0.43
USD Coin (USDC) – £0.72
Dogecoin (DOGE) -6.92% – £0.13
Polkadot (DOT) -9.09% – £8.96
Uniswap (UNI) -8.94% – £11.81
Bitcoin Cash (BCH) -3.47% – £320.20
Litecoin -5.27% – £88.69
Is cryptocurrency a good investment?
Cryptocurrencies are deregulated digital coins that investors keep in an online wallet.
Users exchange crypto tokens for goods like physical money, such as British pound sterling, can buy, though not all companies accept all digital currencies.
People are mostly investing in cryptocurrency due to the huge market gains in value, which is an example of the volatility and the risk involved in the markets.
Prices can crash as quickly as they can go up.
Crypto currencies aren't linked to banks or governments in the UK, meaning the market isn't regulated, increasing the risk if things go wrong for investors.
There have been calls to tighten up the rules around investing and interfering in the value of crypto currencies, as it attempts to increase credibility.
Where can I buy cryptocurrency?
It can be a tricky field to navigate for the uninitiated but if you're confident in buying cryptocurrencies then there are platforms in the UK.
Popular exchange platforms include Etoro, Coinbase, Exmo, BC Bitcoin Revolut and CEX.IO.
The Financial Conduct Authority (FCA) warns people about the risk of investing in cryptocurrencies, referencing price volatility, product complexity, charges and fees, marketing materials and consumer protection.
Andrew Bailey, governor of the Bank of England, has reiterated his scepticism about cryptocurrencies, telling MPs that Bitcoin had "no intrinsic value at all".
He said: “I’ve said a number of times, ‘only buy bitcoin if you’re prepared to lose all your money’. It doesn’t mean you will lose all your money, it doesn’t mean the value will go to nothing, but it has no intrinsic value. People may want it, they may want to collect it, but it doesn’t have any intrinsic value at all.”
While the FCA, UK's financial regulator, banned Cayman Islands-based Binance owner Binance Markets Limited from "regulated activity" in the UK.