Bitcoin hits the $1 million milestone at the market cap of around $1 billion and is trading at $1.1435, according to data from CoinDesk.
The cryptocurrency’s value has increased from about $9.5 million in late June, when the bitcoin price peaked, to more than $1 trillion by the end of the year.
“The Bitcoin market has now passed $1bn and is in a great position to be a major catalyst for the digital economy,” said Nick Szabo, CEO of BitStamps.
The digital currency has seen a significant increase in its market cap over the past year, as it has seen investors embrace it as a store of value and as a form of payments.
“Bitcoin has been the perfect catalyst for digital currency as it’s now become a platform for everything from instant payments to secure identity management,” said BitStAMP co-founder and chief digital officer, Ryan Gershenfeld.
“For businesses and organizations that want to use Bitcoin, the price is a huge win.
It gives them a lot of certainty in the future as to how their business will be managed.”
The cryptocurrency has also made waves in China.
Chinese authorities have taken steps to block the use of bitcoin as a means of payment.
It is still legal in some parts of the country.
Bitcoin’s popularity in China has led to a wave of new cryptocurrency startups in the country, including two bitcoin exchanges, which are also accepting deposits.
In early September, BitPay, a bitcoin payments processor, announced it was hiring nearly 100 employees.
Bitcoin and ethereum have seen a rise in popularity in Asia, particularly in Hong Kong, Singapore and Malaysia.
The price of a bitcoin peaked in late May at $10,400, but since then has been declining and is now hovering around $8,000.
The value of ethereum, the most widely used cryptocurrency, has increased by more than 100% in a year.
As of December 30, ethereum had a market cap that was $13.7 billion.