Ever hear of monopoly money? Everybody understood that it was not worth the paper it was printed on; it was a game.
Try spending bitcoins in any shop in the US.
Any currencies worth can be determined by the exchange rates of those currency at any one time in the open market place.
Mt.Gox is the world's most established Bitcoin exchange. You can quickly and securely trade bitcoins with other people around the world with your local currency!
A Bit expensive
Mar 19th 2013, 15:18 by Economist.com
Bitcoin's record price looks like a bubble
NOT MANY fund-managers have heard of Bitcoin, let alone put any of their clients’ money in it. But over the past few months, the world’s first “crypto-currency” has become one of the world’s hottest investments. Since September, when The Economist last wrote about it, the price of a unit of Bitcoin as recorded by Mt Gox, a popular Bitcoin exchange, has soared. Unlike other online currencies—such as the new Amazon Coins—the supply of Bitcoin is not determined by any central issuing authority. Instead, new coins are generated according to a predetermined formula by thousands of computers solving complex mathematical problems. As more coins are generated, these problems get ever more complex, increasing the cost of computing power necessary to generate them, and so setting a floor underneath the price. Mimicking gold, the currency is designed to be deflationary. However, there is every reason to think that the current Bitcoin boom will shortly bust. As the chart shows, online interest in the currency has spiked in recent months. Though an increasing number of legitimate businesses are adopting the currency—one Finnish software developer has offered to pay its employees in Bitcoin—it still has relatively few users. Its primary commercial use is probably to buy drugs from Silk Road, a sort of pirate eBay hidden in the “deep web”. This suggests that the new users are buying Bitcoin as an investment, not as a means of exchange. For any currency to thrive it needs users, not just speculators.
How many businesses accept bitcoins to purchase goods and services?
Vegas Budget Dental
Posted April 2nd, 2013 by Tuxavant & filed under Bitcoin Accepted Here, Local Business.
General and Cosmetic Dentistry, Braces, Implants, Root Canals, Laser, Zoom, Invisalign. 5% discount if payments made in Bitcoin. Full disclosure of all pricing up front!
The bitcoin has no established value; it's all speculation. Anyone who accepts bitcoin is only gambling on its value
At least gold has some practical value in jewelry and industry, but not much else.