There are many questions going on about Bitcoin and it possibly becoming the only currency online but does it have a chance of survival since the government won’t be backing it up? Coinbase feels that they in fact have a chance and that investors have felt comfortable with providing a startup capital so that they can build a system which is easier for users that might be nontechnical.
A Bitcoin is the internet digital created currency that was designed in order to avoid all fees to transferring cash online and to also get rid of the need for companies to use credit cards. Bitcoin is not backed by some sort of government or gold entity. The movement of Bitcoin is rather rogue and they create a value by just simply solving the calculations which are mathematical. The value gets trigged by solving the difficulty of the problems because of the scarcity.
The Europeans love being able to use Bitcoin because of the fear of possibly losing savings but the other problem is that security breaches and other problems have happened. If people did not come together to support this currency everything could possibly collapse but there are lots of people that support it and they are working together to build a strong community for it.
Bitcoins is almost like PayPal. You can send and also receive the money with simply using your email address and that address is connected to your banking account. In the future company founder, Brian Armstrong, plans on having buy buttons and even a shopping cart. He also feels that the merchants in time will adopt the system due to the fact that the transaction fees will be reduced.
In the San Francisco’s Mission Neighborhood they hosted a meeting to meet up and buy beer with using Bitcoins. Armstrong admitted that the process was not easy and it required having access to the Coinbase and also the browser online and then being able to copy then paste the QR code from the app then in the browser. He paid $6.50 for one beer using Bitcoin that would have just been less than $5 if you don’t include the tip.
Armstrong said it was cool but everything about it was impractical. They are looking to change that though and hope that in the future things will be much smoother.