Bitcoin value exceeds ounce of gold

A unit of Bitcoin the digital currency has exceeded the value of an ounce of gold for the first time.

Bitcoin closed at $1,268 on Thursday while an ounce of gold stood at $1,233.

The current high is due to the surging demand in China, where authorities warn it is used to channel money out of the country. Earlier this year, Chinese authorities cracked down on Bitcoin trding in an attempt to stop money laundering and money flowing out of the country illegally.

The revival of Bitcoin, in the past months, since its first launch in 2009, after their largest exchange collapsed in 2014.

Bitcoin is often referred to as the digital new currency, and its value is determined by how much people are willing to exchange it for. The process of Bitcoin transactions, a procedure called “mining” must take place which involves computer solving a difficult mathematical problem with a 64-digit solution/