Bitcoin : The Bitcoin Future

Cryptocurrency is a digital asset that serves as a medium of exchange with no central authority and was created to prevent the issue of double spending. This problem is solved with the use of blockchains where miners confirm transactions on a public ledger. As of today, there are over 1,000 different types of cryptocurrencies, and at least 600 of these have listed market caps of over $100,000. Bitcoin, Ethereum and Litecoin are top cryptocurrencies trading today with their combined market cap topping $331B. Bitcoin, created in 2009, is the biggest cryptocurrency and has recently reached a net value of over $270 billion, with much of its growth being in the last few months. This has led to much

Consumers tend to be comfortable with virtual transactions and they also prefer payments using electronic systems to cash. There is an increase of accessing personal information to online platform (DeVries, 2016). However, the awareness of customer is likely to be a limiting factor for cryptocurrency to adapt into monetary market. According to Consumer Cryptocurrency Survey, there is only 6% of participants “very” familiar with cryptocurrency, particularly Bitcoin (PwC 's Financial Services Institute, 2015).

Some people only knew blockchain as the causal technology behind the always controversial digital currency Bitcoin. Yet, blockchain technology is so much, much more; it's unbelievably innovative and its potential is extensive to say the least. Much like the internet of today, there’s no need for you to know how this technology works to use

Many people today have no idea what actually exists on the internet. We’re only limited to our basic search engines such as Google, Bing, and Yahoo which actually show just the surface of the internet. Most credit cards or information that is stolen, criminals can sell on the dark web which makes it easy for criminals to perform certain transactions that are illegal an outside of the law without being caught. Most transactions that are performed on these encrypted sites is through bitcoin. Bitcoin is a currency that was created in 2009 by unknown person under an alias Satoshi Nakmto. Bitcoin gets rid of the middleman which is essentially banks and are able to perform transactions anonymously. Usually one bitcoin is equivalent to 4,655 U.S. dollars.

Price is the assignment of value of a product or service. Not only paid with currency, but in multiple manners these could consist of digital money such as the “bitcoin”. The bit coin has merged in to financial market and many firms are starting to use this type of virtual currency. These currencies cannot be controlled by one party (government) that is why it has been such a controversial issue.

In the story of Robin Hood, Robin Hood was a “criminal” who stole from the rich and gave to the poor. In many people’s eyes, he was seen as a hero, while the king and royalty saw him as a thief. Well it is not too far off of what Satoshi Nakamoto did. In the article “The Crypto-Currency” written by Joshua Davis, Nakamoto created a currency system called the bitcoin. The bitcoin deals only with electronic transactions of cash. It is essentially online cash. The bitcoin is not to be confused with a credit card. With a credit card, the transaction goes through a bank, with interest and the bank then pays off with their cash. The bitcoin is cash, which is online, so there is no middle man such as going through banks or the government. It

Digital currency is an Internet-based means of exchange different from physical currency such as circulating printed paper currency and coins.[1] Digital currency allows for instant transactions and boundaryless transfer-of-ownership. Both virtual currencies and cryptocurrencies are types of digital currencies. Like traditional physical money these currencies may be used to buy physical goods and services. Additionally, this digital currency could also be restricted

Bitcoin is a network that enables a different type of payment system it is used a lot for purchasing objects of the dark web and completely digital money. It is the first peer-to-peer payment network that is powered by its users with no central authority or middlemen (someone who buys goods from producers and sells them to retailers or consumers). From a user perspective, Bitcoin is pretty much like cash for the Internet. Bitcoin can also be seen as the most prominent triple entry bookkeeping system in existence.

The hidden power behind cryptocurrency is blockchain technology, which is as tough to recognize as it is to discuss. There are definitely in-depth descriptions of exactly how blockchains work offered, yet generally, each is built on an openly

The word Bitcoin is one you may have heard in the last few years. There are more organizations similar to Bitcoin, but Bitcoin is the most commonly known, so it is the only one that will be discussed in this essay. The idea of digital money was first suggested nineteen years ago, in 1998, but it became a reality in 2009 ("Frequently asked questions"). Bitcoin is one of a few digital, online forms of currency, and it is used throughout the world, not just one country (Popper, "What Is Bitcoin and How Does It Work?"). Bitcoin is a crypto-currency, which means transactions are encrypted to keep them private (Lambert). When Bitcoin first started in 2009, one Bitcoin was worth $27 USD. Today, as of December 2017, one Bitcoin is worth $11,663 USD, and the price is constantly rising. Obviously things cost less than that, but a Bitcoin can be divided into sub units, known as bits; there are one million bits in one Bitcoin. Only 21 million Bitcoins will be distributed, which is something that makes

Bitcoin users are in sole control of their money as there is no central authority that governs this crypto currency. Payments made in Bitcoins are unable to be traced to the owner, as there is no personal information being tied to the transactions made. This also protects the users of Bitcoin from identity theft. As Bitcoin is a digital currency, it can be backed up and encrypted to ensure your money would not be lost.

Vast and rapid improvements to the digital world allow intellectual property to form the basis for the economy today. (Harris, 1998) Entrepreneurs enter into the industry exploiting this new source of demand, driven by its large consumer base. Discovered after E-gold, Bitcoin emerged as the new age of digital currency. Its practicality and benefits led it to catch on quickly as an alternative manner of payment. (Mullan, 2014) Though not recognized as an official currency, the fact that it is immune to manipulation of any third party, including central government, attracts potential many investers and opportunists. On one hand, Bitcoin has made an impact on the productivity and efficiency of business as it increases mobility and speed of transactions. Conversely, critics question the validity and sustainability of this innovation, as it rests purely on consumer confidence and mutual agreement. This essay will examine the Bitcoin and its impact on the economy; thereafter use theories of economists Schumpeter and Kirzner to evaluate the entrepreneurship nature of Bitcoin and its sustainability.

Bitcoin has no value of its own contrary to what many argue. Its value is derived by the number of people adopting it and pouring their money into the BTC ecosystem. Investments by deep-pocketed investors like Winklevoss twins (estimated BTC stake around 11 million USD back in April), Chamath Palihapitiya, ex-Facebook executive and early employee, who has already dropped $5 million into BTCs and has plans to invest another $10 million are the reasons for skyrocketing price of bitcoins [3] [4]. Add to this, the publicity and trust in the system they are generating. Bitcoin's future potential was a hot topic this October at emTech, an MIT conference on emerging technologies [5]. Considering BTCs more as a start-up rather than a currency, its growth curve makes more sense but unlike a start-up it’s not generating any value itself but gaining people’s trust. And that’s what gives it value.

Nowadays, the Internet has implemented great impacts on people’s life, and it also has changed the business world significantly. In order for companies to cope up with the changing customer demands, they must adopt new technologies not only to support their business functions but also to reduce paper works, reduce costs, and provide better services. Bitcoin is a currency of the Internet, distributed, worldwide, decentralized digital money that be developed as a new payment method. In Australia, the regulator has defined Bitcoin as property instead of currency for accounting purposes (King, 2015 February). Although Bitcoins are not materially existed, it can be exchanged for goods and services at places that accept it, the same way you would give someone a dollar for a cookie.

It’s important to note that since Bitcoins are produced without the involvement of governments or banks, they avoid taxes. Lastly, the cap of 21 million bitcoins has driven the value of a single coin up as shown by the below graph depicting expected growth of coins over time.