Any opinions about the Bitcoin digital currency? Here in the States it still uncommon for online transactions. I am curious if anyone has used bitcoin yet.
Personally, I think it is an awesome concept, but I don't know if it could actually work in practice. Considering almost all U.S. currency is already in electronic format, it would not be a drastic conversion from what we already use eg. credit cards, PayPal, direct depost, etc.
If you are unfamiliar with this, here is a YouTube clip with a brief explanation of the proposed "world currency".
carnyman - I'm not sure how to respond to this as it's your very first post. I believe you have it completely backwards. One bitcoin was at one time ~$1200 before China came out and said they were cracking down on it. Now if that guy turned over a whole bicoin or even two for the cup of joe, then I think it's pretty obvious who got scammed.
To the OP, I'm torn, leaning towards not ready to jump all the way in. The rapid increase in bitcoin valuations over the past 6 months let alone 12 months give me pause. No one likes to buy at the top of the bubble. Also the self imposed rule there will never be more than something like ~21M bitcoins makes me question its long term viability, at what point does the valuation against the dollar, yuan, euro become silly. With all that said, I stuck my foot in a bit just to hedge my bets. It's a straight forward transaction as long as you don't mind depositing your hard earned cash into the bank account of someone you've never met before and hoping they will transfer you the equivalent amount. I like the concept, but I just don't see this iteration of electronic $ being the one that sticks. We need a few failures to see what works best IMO.
Thanks for the viewpoint snipes. As for bitcoin values, they fluctuate the same manner as shares in the stock market. Hitting the 21million bitcoin limit would then stabilize the volume and settle the price some. Bitcoin is broken down to 0.00001 bitcoin allowing smaller transactions worth less than $1USD to be easily transferred. These smaller transactions that would normally have a minimum credit card surcharge to the company selling the goods would no longer be an issue. Companies and retailers can pass savings on to customers who don't carry cash (eg. Debit and credit cards). Bitcoin may also alleviate issues with exchange rates when dealing with international customers. Companies such as PayPal do this already but the proposed security of bitcoin would make the transaction more secure and more importantly, private. This could potentially keep taxation out of private sales and online sales. Such as we already see in the US with exemption of state sales tax when buying online from a different state than your home address.
I tried to mine some bitcoin and my computer almost exploded. In reality I think its just an under developed idea that will take on many pitfalls before it takes on any real popularity. As an investment, I wouldn't touch it at this time. I actually spend almost every penny I make and would rather have the goods and satisfy my vices. Real items of value that I think can be resold under any circumstance in the future appeal to me the most. Thatis part of why I like CKTG. This is crafted material with a real value, and a practical use.