OBINNA EZUGWU

Bitcoin in renewed surge, hit record $50,000 on Tuesday.

The world’s largest cryptocurrency is now up about 70% so far this year. Rival cryptocurrency Ether hit a record on Saturday and is up about 150% year-to-date.

Bitcoin has been buoyed in recent months by endorsements from the likes of Paul Tudor Jones and Stan Druckenmiller.

Bloomberg reported earlier that Morgan Stanley may bet on Bitcoin in its $150 billion investment arm, following news late last week that BNY Mellon plans to service cryptocurrencies for its clients. And that is after Tesla Inc put about $1.5 billion into Bitcoin. Sceptics warn the asset class could be in a bubble, however.

“With each major announcement like the one BNY Mellon made, other institutions are spurred to more rapid adoption and deployment of digital assets,” said Patrick Campos, chief strategy officer at Securrency, a developer of blockchain-based financial and regulatory technology, on Friday.

“Tesla’s recent announcement will embolden other large corporates and institutions to accept crypto as not just a worthy asset class, but perhaps even an essential one. More important is the corresponding build-out of institutional services to support these developments will trigger other digital assets-related developments within those institutions and in the larger ecosystem.”

Mastercard and Bank of New York Mellon Corp are the latest companies to embrace cryptocurrencies, now surging in value.

Bitcoin is at the head of the pack in a cryptocurrency boom, gaining 1,150 percent since its March 2020 low.