Bitcoin’s Value Exceeds Gold for First Time

The price of a Bitcoin has surpassed the price of an ounce of gold for the first time.

A unit of the digital cryptocurrency closed at $1,268 on March 2 while a troy ounce of gold stood at $1,233.

The current high is being attributed to surging demand in China, where authorities warn it is used to channel money out of the country.

The past months’ surge is a major reversal for Bitcoin, which plummeted in value in 2014 after the largest exchange collapsed.

Bitcoin’s value has been volatile since it was first launched in 2009, and many experts have questioned whether the crypto-currency will last.

Earlier this year, Chinese authorities cracked down on Bitcoin trading in an attempt to stop money flowing out of the country illegally.

However, the closer scrutiny from Beijing only briefly sent the currency lower. After it had soared to record highs in January, it has since picked its steady rise in value.

Bitcoin is attractive to some users because of its anonymity, as well as its lack of government control.

The website Silk Road was closed in 2013 following raids by the FBI and other agencies amid allegations of drug dealing. Authorities seized millions of dollars worth of Bitcoin during the raids.