The Reality Of BitCoin8707775
Bitcoin is a bartering system that is an alternative to paying with money, checks, PayPal, or credit cards. Bitcoin offers a private (or perhaps even a clandestine) way to spend for things. My guess is that sadly, some Bitcoin transactions are probably utilized to purchase illegal services or things.
The advantage of Bitcoin is that it preserves your privacy. Bitcoin has numerous disadvantages, including:
1) Even though Bitcoin has its charms, it is proprietary and is not part of, or backed by, any government. Only a finite number of Bitcoins have been produced, which assists make Bitcoins seem to be much more beneficial than they really are. By limiting the number of coins produced, combined with the hype, have pushed up the cost of Bitcoins.
2) Some of Bitcoin's advantages might have questionable worth. The advertised benefits include being able to e-mail your friends cash, it is related to gold, it provides privacy and stability, and so on. The issue is, cash, checks, credit cards, prepaid money cards, cash orders, bartering with something (e.g., postage stamps), wire transfers, and PayPal seem to cover almost every payment require.
3) Purchasing Bitcoins is not cheap. And except for EBay, buying Bitcoins is not easy or simple and except for (probably) EBay, some of the Bitcoin vendors seem a bit flaky. For a test, I emailed 4 Bitcoin exchange vendors, including two somewhat close to me, and none of them responded. When you buy Bitcoins, there are no refunds.
4) In my tests, the software to create a Bitcoin "wallet" on your pc seemed slow and buggy. I tested two various Bitcoin wallet applications, and it seemed as if they would have taken days to finish coordinating things with Bitcoin's remote server network.
5) I would guess that because Bitcoins are totally safe and private, and because they can be used to buy something anywhere, utilizing them may help get you on the government's radar. Who knows, maybe that person promoting unobtainium that you can only buy with Bitcoins, is really with some police department, looking to bust you.
6) With Bitcoin, the chances of obtaining ripped off for purchases vastly increases, simply because almost no seller information is shared with the purchaser, such as their name and address.
I might be wrong and perhaps Bitcoin usage will grow, and much more Bitcoins will be issued, and it will become regular on mobile devices, and be accepted by almost every conventional store, for instance Amazon and Apple. Right now, the ways to spend for Amazon purchases with Bitcoins are all flaky. Also, when you want to trade Bitcoins for conventional products, the markups you should pay make what one pays to exchange foreign currency at an airport, appear low.
