Bitcoin hits two-year high as yuan worries drive Chinese demand

Digital cash: Bitcoin is a virtual currency that is created from computer code.

LONDON: The price of the web-based digital currency Bitcoin soared to its highest in almost two years on May 31, rising to more than US$500 (RM2,074) per unit, as worries about a further weakening of the yuan drove increased demand from China. 

Trading volumes on the Chinese Bitcoin exchange BTCC surged to three to five times their daily average since May 27, according to CEO Bobby Lee, as Chinese savers have moved to protect their money against a further devaluation of the yuan.