Bitcoin has been trading in the USA since 2010. It is known as a digital currency that allows people to buy goods and services through an open blockchain network anonymously. Bitcoin's value fluctuates constantly, however, each Bitcoin was worth 1/100 of a US dollar at the time this article was written. the crypto recently reached an all-time high of 1 Bitcoin being equal to $300 USD on October 8th, 2013. This means 1 Bitcoin is now worth more than double its original price (October 8th, 2013).
Recently U.S economic regulators are starting to take notice of Bitcoin, looking into how it fits into economic regulations. This has caught the attention of speculators who believe that it may be used by big companies like Amazon or eBay in the future. Especially, if they start accepting Bitcoin as a form of payment. Bitcoin also takes the opposite side, being criticized for its use by drug dealers and other criminals on various dark websites. However, Bitcoin itself has no ties to illegal activity since it operates solely online. For more information visit Immediate Edge.
Bitcoin has been steadily increasing in value since it began trading. But, recently there have been some changes in the reputation of Bitcoin around the world. The largest change is that Bitcoin was recognized as a legal currency by Japan. This makes it an official form of payment within the country according to Forbes Magazine. Many countries may closely follow this, like China
It is the reputation of Bitcoin that stands in the way of its a success. Bitcoin has a very bad image with many people because Bitcoin can be used for illegal purposes. It can be used to buy drugs or even pay for an assassination attempt on someone. This is a reason politicians tend to bring up to prove why Bitcoin should not exist. It is also associated with e-criminals by some as well as they generally also use Bitcoin as a form of money laundering. Terrorist groups also use Bitcoin and this has been displayed when Bitcoin was used to pay ransom demands from terrorists holding hostages hostage. With Bitcoin you do not need any identification. Therefore, anyone anywhere could acquire Bitcoins through whatever means they wish. All without having to go through any checks whatsoever.
Bitcoin does have some good qualities, Bitcoin transactions are done through the blockchain and Bitcoin is decentralized. This means it should be less vulnerable to attacks. It also has infinite divisibility which allows Bitcoin users to make very small payments quickly without too much delay. The transactions are also irreversible, unlike traditional payment methods where there is always a chance of chargebacks.
Bitcoin is the world's most well-known cryptocurrency. It was created in 2009 to serve as an online currency free of government intervention and managed by a decentralized network of computers across the world, using Bitcoin software. Bitcoin can be used to purchase goods anonymously without transaction fees. Users' Bitcoin accounts cannot be frozen by law enforcement authorities, banks, or other financial institutions. But, transactions can be reversed when bitcoins are stolen or paid for in error. The cryptocurrency has enjoyed widespread success in its short history so far. However, it is still extremely new and lacks many regulatory protections. These would help reduce the risk for consumers taking advantage of this emerging technology.
Bitcoin owes its popularity partly due to the fact that it provides anonymity when exchanging funds online. However, it has also been used to transact for illicit goods, such as buying and selling drugs on the now-defunct Silk Road website. This has a big impact on the reputation of Bitcoin. Bitcoin is therefore referred to as "pseudonymous" rather than "anonymous". All transactions are publicly visible in the Blockchain but with no personal information. Bitcoin is also a "cryptocurrency" because it uses cryptography to secure its transactions against unauthorized interference.
Bitcoin experienced an unprecedented surge in prices during late 2013 when it hit over $1,100 USD per bitcoin. This is up from around $10 at the start of the year. The dramatic price increase stirs much controversy within the Bitcoin community. Especially, between those claiming bitcoin should remain independent of government regulation and those that claim Bitcoin will never gain widespread acceptance without the introduction of some kind of regulation. Bitcoin has experienced several high-profile thefts. This includes one in October 2013 when hackers stole 4,100 bitcoins from Bitcoin Internet Payment Services (BIPS), a Bitcoin payment processor based in Copenhagen Denmark (Krebs 3).
