CoinDesk, a bitcoin-watching news service, recently released their first quarter review of the cryptocurrency’s performance in Q1 of 2015. Overall the data provides a positive overview showing an increase in total wallets, and investments. However, there are a few signs indicating slowing growth in key bitcoin, and bitcoin-related areas.
Let’s start with the good news, especially if you run a bitcoin startup. The first quarter of 2015 was the most popular ever in terms of the dollar-value of venture capital investments made into the bitcoin ecosystem.
Note: the number includes a single investment of $116 million into 21. Without that investment, the first quarter of 2015 was on par ($113 million) with the preceding fourth quarter.
A important number for the state of Bitcoin is the number of wallets in existence. According to the CoinDesk report, total wallets grew from 7.4 million to 8.4 million, up 14 percent on a sequential quarter basis.
Bitcoin price remained volatile. In this graph the price of bitcoin is related to bitcoin related news.
The volatile price has not stopped exchange volume from trending up.
However, the market value of all bitcoin in circulation fell from the last quarter of 2014 to the first quarter of 2015 by 36 percent. And that’s not the only ‘bad’ number, here’s CoinDesk’s aggregate new merchant adoption of bitcoin:
Finally, here are all key adoption metrics in one chart
So there you have it, the full report can be found here. VINT will continue to explore the cryptocurrency space and will dedicate a report in the Design to Disrupt series to the blockchain. Follow the blog to stay up to date.
This is my last blogpost for VINT, I will explore the future outside of VINT from now on. A big thank you to all of our readers.