Digital payment platform Bitcoin began in 2008 as a secure cryptocurrency, and it has evolved into a valuable digital exchange system. Bitcoins can be ‘mined’ by anyone with a suitable computer – they can use their machine’s processing power to handle transactions and pick up Bitcoins of their own. Those coins can be stored in a digital Bitcoin wallet and are secured with the user’s private key, which is required in order to make transactions or trade Bitcoins. The digital coins can be traded and sold securely online, with over 100,000 global merchants accepting the payment method. The value of Bitcoin Due to a limit on production, there will only be a maximum of 21 million Bitcoins in circulation – and this allows them to retain a real value and maintain themselves as a legitimate currency. At the time of writing, one Bitcoin was worth around £440.51 in the UK and $575.88 in the USA. The value of the currency fluctuates by day and by hour, as it does with any international economic system. Back in June of this year, it reached an all-time high value of $719.85 (£550.82) but since then, it has fallen slowly and levelled off at around the £450 mark. Of course, it only carries value with merchants who recognise it – or through special coin exchange companies. Although some major brands will accept digital coins, many will not. Tech industries have been more willing to embrace the switch to Bitcoin, including social media platform Reddit and content platform WordPress. Global retail brands like Subway, Kmart and Sears have all signed up to allow Bitcoin purchases. Risks and challenges created by Bitcoin Is it a safe investment for the future? Perhaps not. However, it could still be well worth taking the risk. There are no […]
