The Economist‘s Big Mac Index is a financial instrument almost thirty years old, built on the theory of the Purchasing Power Parity.PPP essentially means that, over time, currency exchange rates should equalize such that identical goods cost roughly the same in any two countries.It is used to measure the value of currencies in that if more of a currency is required in one country than another to get the same thing, the local currency is undervalued by a certain percentage.The Big Mac Index uses a McDonald’s Big Mac as its measuring stick.It currently allows for the user to select between the world’s major currencies – US dollars, British pounds sterling, Euros, the Japanese Yen and the Chinese Yuan.However, Bitcoin loan market maker BitBond saw a missing currency – the other contender in the race to be the dominant reserve currency, Bitcoin., which stands for Bitcoin Purchasing Power Index.At time of writing, a Bitcoin would buy you about 70 Big Macs in the United States, but 100 globally, making Bitcoin theoretically undervalued by up to 30% in the United States.

CEO & Founder of Bitbond Radoslav Albrecht said of the move: are manifold and showcase Bitbond’s desire to bring further value to the Bitcoin ecosystem.By launching this site, we aim to bring a lighthearted yet highly usable index signifying the products that one Bitcoin buys you.The data is also available via a handy application programming interface, meaning that alternative cryptocurrencies such as Litecoin and Dash could, for instance, take their current exchange rate versus Bitcoin and quantify their PPI.Additionally to that end, the code of the site is available on Github.Just like the fiat Big Mac Index, BitBond’s version allows the user to compare the rates to local goods and services.This is useful for more than just travel.Traders may find the data helpful in deciding which exchanges and countries to attempt to source from and sell Bitcoins to.If one country has a high Bitcoin purchasing power and another has a lower one, there may be arbitrage opportunities not previously evident.

Also read: A Bitcoin Alternative to Banks and Venture Capital: BitBond Big Macs were perhaps a more popular food choice in 1986, and so CCN asked BitBond associate Chris Grundy if his group was considering applying the idea to other items, such as a gallon of gasoline.His response was astute: We named it the Bitcoin Purchasing Power Index in order to keep the possibility of adding further measures of value open for the future.The Big Mac hamburger, as used by The Economist, is perfect for our purposes because it offers a universally uniform and accessible product that can therefore show the local value of bitcoin in a bank agnostic way.Thus, Bic Mac hamburgers were the obvious choice, but we may well add other measures such as a basket full of goods and commodities that fit the specifications equally well.Gold, for example, would be in such as basket.By all rights, young Bitcoin is a true contender for the status of the world’s preferred reserve currency.Its modernity, security, and immutability make it especially appealing for countries currently at the behest of world powers like China or the United States.

Images from Shutterstock and Bitbond.wholesale inflation continues to rise.wholesale prices continued to rise in February, rising 0.3% last month as the cost of services such as financial advice, legal help and travel increased.Economists polled by MarketWatch had predicted a 0.1% gain.The latest rise in the Producer Price Index pushed the gain in wholesale prices over the last 12 months up to 2.2%, the highest rate since March 2012, the government said Tuesday.cs go bitcoin farmingHigher inflation helps to explain why the Federal Reserve on Wednesday is expected to raise interest rates.bitcoin asic hardware ukThe PPI report had little effect on the market.ethereum price forecast 2017The Dow Jones Industrial Average DJIA, -0.01% declined in Tuesday trades.litecoin device list

If food, energy and retail margins are stripped out, the more stable core PPI index also rose 0.3%.The core measure gets more attention from investors.Wholesale costs have been on an upswing from extremely low levels as recently as recently as last summer, largely because of a rebound in oil prices.The cost of other commodities have also climbed as the global economy shows more vigor.Other gauges of inflation such as the Consumer Price Index and the PCE index, the Fed’s preferred inflation measure, have also been on the rise.bitcoin xbtHigher costs of housing, especially rent, and medical care have contributed.bitcoin canada faucetIn one good sign, though, oil prices have subsided again, and that could reduce pressure on inflation in the coming months.Making advertising simple and productive Quality of impressions and clicks Helpful Support CPM or CPC Advertising?

Effective Ad Formats and Display Zones Mobile vs Desktop Simple website targetingGet email alerts PPI shows biggest gain in wholesale inflation since 2012 The 0.6% spike in PPI in January caused by higher gasoline prices The cost of wholesale goods - before they reach the stores - is on the rise.WASHINGTON (MarketWatch)—Inflation at the U.S.wholesale level posted the biggest increase in January since 2012, propelled by rising gasoline prices.The Producer Price Index jumped 0.6% in January, the government said Tuesday, marking the largest advance since the fall of 2012.Economists polled by MarketWatch had predicted a 0.3% gain.Some modest inflationary pressure is building after several years of weak or declining prices.Over the past 12 months wholesale costs have risen 1.6%, but as recently as one year ago they were basically negative.If prices continue to rise, the Federal Reserve could take a more aggressive approach to raise interest rates to squelch any potential for inflation to overshoot the central bank’s 2% to 2.5% target, based on broader measure of inflation.