BitCoin: A Loop Of Faith

BitCoin: A Loop Of Faith

BitCoin: A Loop of Faith

Bitcoin_logo

If you find yourself in Allentown, Pennsylvania around lunchtime, feeling a little hungry but without any cash in your pocket, take heart: the Subway franchise on Hamilton Boulevard takes BitCoin. If you have the app on your phone, your sandwich will only cost you 0.006 BTC, or thereabouts.

BitCoin, the fabled virtual currency, developed in part by the Winklevoss twins, themselves famous for their early involvement with FaceBook, has upped its status in recent months, from being the currency most favoured by gun and drug runners on the Silk Road website, to receiving cautious endorsement from Fed Chairman Ben Bernanke.

To some BitCoin is already a cliché, to others is seems like an untenable idea, while to others, especially those involved in new technologies and possibilities, it seems like a herald of what’s to come. BitCoin is ushering in a new age of collaborative existence with which governments have a hard timekeeping pace. It is a major economic disruptor; a virtual currency whose value is based not on gold reserves or central government policy, but instead on a complex algorithm that bases its value on its own capacity to be a currency – a loop of faith, if you will, which is actually not so far removed from traditional currencies.

There are many dozens, if not hundreds of virtual currencies out there. BitCoin is only the most famous of the bunch – for now. But together they represent change, and a significant move toward decentralization and virtualization, just as cloud technologies are doing with big data.

Change is happening fast. In just a few short months, concurrent with the evolution BitCoin, the world has witnessed seen the emergence of innovations such as using drones as civilian delivery vehicles (many of which are already in service in Australia and China), and as well as the development of food replicators as well as a thousand other amazing things; and while the majority says, let’s be cautious and examine this before acting, there are others who take the Richard Branson approach instead and say, “Screw it, let’s do it.” One of these is the aforementioned Subway sandwich franchise in Allentown; and another is the online travel portal Cheapair.com, which already accepts payment in BitCoin. As Cheapair.com CEO Jeff Klee explains, one of the main reasons for doing so was customer demand.

The idea to accept BitCoin originally came from a customer,” Klee says. “One of our travel advisors got the request and began asking around about it. I heard about it and got very intrigued by the idea so I started looking into it. I soon realized that Bitcoin would actually be pretty easy and very feasible to accept.

Klee points out that as a currency BitCoin offers everything needed to manage a transaction. “From a purely practical standpoint, it almost doesn’t make sense for a company NOT to take BitCoin. There are third party processors out there who make it very easy to do (we use Coinbase), and they will allow merchants to accept as much or as little of the volatility risk (or reward) as they want. If there are a certain number of customers who prefer to pay in BitCoin, why would any company not want to accommodate them?

On a higher level, Klee recognizes that virtual currencies are driving change, and moving economies out of long-held patterns of ownership by banks and credit card companies, along with the service charges which many merchant recognize as being disproportionate to true transaction costs. “It’s past time for an alternative payment system to challenge the entrenched players,” Klee says, “and I think BitCoin can provide just that.

So whether BitCoin itself survives the hype of the moment, only time will tell. But it has awakened the world to the possibility of virtual currency co-existing with virtual data, virtual companies and even virtual jobs, all of which are based on an innate human desire to innovate and improve, which makes it all very real.

By Steve Prentice

Steve Prentice

Steve Prentice has dedicated his career and energies to pinpointing the perfect juncture of productivity between humans and technology in the workplace.

Steve is an acclaimed author and professional speaker who delivers timely, relevant, entertaining and informative keynotes dealing with technology, people and productivity in the workplace. As a mentor, he works with executives in one-on-one discussions, delivering answers and guidance to issues dealing with technology, personal time management and other practical skills. In addition, Steve is also a technology writer and consultant for CloudTweaks Media.
FacebookTwitterLinkedInGoogle+Share

Sorry, comments are closed for this post.

Join Our Newsletter

Receive updates each week on news, tips, events, comics and much more...

Popular

Top Viral Impact

Cloud Computing Offers Key Benefits For Small, Medium Businesses

Cloud Computing Offers Key Benefits For Small, Medium Businesses

A growing number of small and medium businesses in the United States rely on as a means of deploying mission-critical software products. Prior to the advent of cloud-based products — software solutions delivered over the Internet – companies were often forced to invest in servers and other products to run software and store data. The

Cloud Infographic – Big Data Survey: What Are The Trends?

Cloud Infographic – Big Data Survey: What Are The Trends?

Jaspersoft Big Data Survey Shows Rise in Commitment to Projects and Decline in Confusion Nearly 1,600 Jaspersoft Community Members Participate in Second Jaspersoft Big Data Survey San Francisco, February 4, 2014 – Jaspersoft, the Intelligence Inside applications and business processes, today shared results from its Big Data Survey. Nearly 1,600 Jaspersoft community members responded to

Cloud Infographic: Most Used Cloud Apps

Cloud Infographic: Most Used Cloud Apps

Cloud app and analytics company, Netskope released its quarterly Cloud Report. The new report reveals that enterprise employees are using an average of 397 different cloud apps (most of which are unsanctioned), when IT estimated they have 40-50 — that’s a tenfold underestimation. Below is an infographic provided courtesy of the group at Netskope which goes into further detail.

Can I Contribute To CloudTweaks?

Yes, much of our focus in 2015 will be on working with other influencers in a collaborative manner. If you're a technology influencer looking to collaborate long term with CloudTweaks – a globally recognized leader in cloud computing information – drop us an email with “tech influencer” in the subject line.

Please review the guidelines before applying.

Whitepapers

Top Research Assets

HP OpenStack® Technology Breaking the Enterprise Barrier

HP OpenStack® Technology Breaking the Enterprise Barrier

Explore how cloud computing is a solution to the problems facing data centers today and highlights the cutting-edge technology (including OpenStack cloud computing) that HP is bringing to the current stage. If you are a CTO, data center administrator, systems architect, or an IT professional looking for an enterprise-grade, hybrid delivery cloud computing solution that’s open,

Public Cloud Flexibility, Private Cloud Security

Public Cloud Flexibility, Private Cloud Security

Public Cloud Flexibility, Private Cloud Security Cloud applications are a priority for every business – the technology is flexible, easy-to-use, and offers compelling economic benefits to the enterprise. The challenge is that cloud applications increase the potential for corporate data to leak, raising compliance and security concerns for IT. A primary security concern facing organizations moving

Hewlett-Packard Company On-Demand Webinar

Hewlett-Packard Company On-Demand Webinar

Shifting Workloads and the Server Evolution Learn more about the latest industry trends and the challenges customers are talking about. Every ten to fifteen years, the types of workloads servers host swiftly shift. This happened with the first single-mission mainframes and today, as disruptive technologies appear in the form of big data, cloud, mobility and