Companies Warming Up to Bitcoin

Bitcoin Imageby Paula Vergara

Digital Currency (a.k.a., Bitcoin) may have hit a few bumps in the electronic road recently, but for some companies, it’s paving the way to an untapped source of revenue.

Bitcoin debuted in 2008, after a white paper written by Satoshi Nakamoto was published, then it officially launched as a currency in 2009.

In an attempt to over-simplify, Bitcoin is basically email for cash, and prices are based on current Bitcoin exchange rates. Bitcoins are stored in  digital wallets — more commonly known as computer files. You can purchase Bitcoins at exchanges, located around the world. 

There isn’t exactly a bottomless pit of Bitcoins. The Winklevoss twins confirmed that there will never be more than $21 million Bitcoins available, based on very specific algorithms.

Why is this e-currency enticing for companies?

A few reasons:

Fees are low, which enables companies to have a price advantage over their competition. There are no ties to specific countries, and transactions are safe.

So who are some of the early adopters of Bitcoins?

OKCupid (April 2014)
online dating site

Mount Everest Adventures (March 2014)
Australia-based company

TigerDirect (Jan. 2014)

Zynga (Jan. 2014)

Forsyth Real Estate, Sydney Australia (March 2014)

Overstock.com (as of Jan. 2013)
The first major online retailer to accept bitcoin

Virgin Galactic (Nov. 2013)
Private Space Travel

Shopify (Nov. 2013)

Tesla (Dec. 2013)

WordPress (Nov. 2012)

Can Bitcoin continue with this trajectory?

 

 

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