Boston, MA, 03/28/2013 – Cyprus has been in the headlines for some time now, for its near-collapse and proverbial rise from the crashes. There is news of the Euro coming to its rescue and the country heaving a sigh of relief. But amongst all this brouhaha is a very odd piece of news that has to be told. The collapse of a country has lead to a boost in the virtual currency Bitcoin. Every media-savvy person is well acquainted with the media-friendly but rebellious internet currency. The Bitcoin is now valued at $78 and Bitcoin app downloads have skyrocketed in Spain. The country is also the one to action the most searches for Bitcoin on Google Inc (NASDAQ:GOOG) (current: $794.19, Down by 1.06%). Across continents, a Canadian man said that he was willing to sell his house for BTC 5,362.
An alias with ingenuity
An incognito hacker who goes by the name of Satoshi Nakamoto created the Bitcoin in 2009. It is virtual currency that can be used to buy online products and services. Though a lot of things that happen on the web defy logic, this phenomenon definitely takes the cake. Advanced cryptography and peer-to-peer networks have taken online currency concepts to dizzying heights and the concept of an entirely new economy taking shape is not an impossibility. Though the Bitcoin is nowhere close to replacing hard currency there are 10,952,975 Bitcoins currently in circulation and since this is digital currency the figure is an accurate one. Virtual currency is not within the control of any government and will eventually have to be taken seriously. Bitcoin is platonic currency and will be around till the time the internet exists.
The currency of the future
Users have an online Bitcoin “wallet” and they have to click around the application when they want to buy something online. The peer-to-peer network authorizes the transaction and the recipient’s wallet shows confirmation of the receipt of payment. This is very different from Paypal because anyone who transacts via this international mode of money transfer has to take world currencies, security and handling regulations into account which is not the case with Bitcom. There is no central bank, there are no middlemen and there is no Federal Reserve. Bitcom touts itself to be a hedge against the world’s currency system and hardcore fans believe that it is the currency of the future.