Proof that bitcoin turns into real currency
It does not matter if you know about the blockade, or not, you should have heard about the mysterious digital currency – bitcoin. Bitcoin and the underlying technology of the blockade slowly, but confidently subdued the headlines of most of the world’s media. Thanks to the achievements of bitcoins and the reliability of the block, many have already started investing in a new currency, but those who still doubt, too, are enough. The latest data confirm the legitimacy of the currency, although it is possible that this is just an attempt to push indecisive people towards the crypto-community.
In 2008, an anonymous group of programmers under the pseudonym of Satoshi Nakamoto first introduced bitcoin, and already in 2009, it was released to the public as open source software. It differs from other online payment systems such as PayPal and Venmo in that it is a peer-to-peer network in which two users can contact in person, without any intermediary. The virtual currency is completely protected from external influence, and all transactions occur through the block registry.
Although bitcoin is absolutely anonymous, all transactions of the registry-registry are public. So, using the time and date of a certain transaction, it is possible to match someone’s online address with a person’s identity. Nevertheless, all bit-commerce transactions are encrypted with top-class cryptography, which makes them absolutely safe.
Now, sending or receiving bitcoin is as easy as using e-mail, and with BitPay this process will become even easier.
Bitpay is a payment processing service that allows users to pay for purchases with bitcoins in a fairly extensive payment network. A sharp and unexpected rise in bitcoin prices caused delays in transactions and an increase in fees, which, along with the peak of bitcoin popularity, had to be taken into account by BitPay developers.
“These difficulties force us to work even harder and think more about creating a user interface design for deferred payments on the BitPay platform,” co-founder Steven Pyr explained at the Distributed: Markets 2017 conference. “Our designers and engineers are constantly thinking about one question: how make the use bitcoin understandable, even at an intuitive level, “- he added.
And it seems like constant updates are worth it, since the company recently introduced a whole series of graphs, from which it is possible to track the positive trend in bitcoin usage. Data shows a significant increase in the number of daily payments when using bitcoin, and the cost of processed payments has also increased.
Experts call this the “wealth effect”. So, people who bought bitcoin “cheap”, would like to spend it now, when the price has grown tens of times. There is also a certain tendency of what people buy for bitcoins. For example, one of the dealers of the Bitpay platform, CheapAir – a site that sells air tickets, hotel reservations and car rentals, noted a significant increase in the use of bitcoin among its customers.
“More often than not, tickets are paid for in business or first class,” said CheapAir founder Jeff Klee in an interview with Quartz. “And the cost of users who use bitkoyn, on average, is much higher than those of users who do not use the digital currency.”
Increasing the use of bitcoins can be considered a historical moment in the entire cryptocurrency industry. Earlier, people viewed bitcoins exclusively as a way of accumulating and storing savings, now they are ready to spend it. “Bitcoin is used as a value depository, like insurance, and as a payment method in economies where there is no credit card market or access to various banking services,” said James Walpole, marketing manager for the BitPay platform.
If this goes on, thanks to the growth in the acceptance of the cryptocurrency, as an alternative payment method, bitcoin will gradually become the mainstream.