Explaining the new cryptocurrency bubble
Investors are pouring tens of millions of dollars into new crypto currencies. You're going to hear a lot about initial coin offerings (ICOs) in the coming months. As investors have poured more and more money into newly created virtual currencies, they have created a gold-rush mentality. In recent months, some ICOs have raised tens of millions of dollars, and in early October the cryptocurrency market as a whole was worth about $140 billion. Some ICOs have been for serious projects trying to solve hard technical problems. Others seemed like little more than cynical attempts to cash in on the speculative boom. Celebrities like Paris Hilton, Floyd Mayweather, and Ghostface Killah have endorsed ICOs The launch video for the cryptocurrency Hilton endorsed, called LydianCoin, consisted entirely of cliches: "Purpose isn't defined by what you want to achieve but what you want to live for to achieve happiness." (Hilton has since deleted her tweet endorsing LydianCoin.) But thr...