4 Risks Bitcoin Must Overcome – Yahoo Finance
But the real problem is the so-called Social Security Trust Fund, which is an oxymoron if ever there was one. The money isnt in a lockbox or a vault or in some bunker in North Dakota. That money exists only on the governments ledger. The Social Security Administration allows the US Treasury to borrow the money under the assumption (and blind faith) that it will get the dough back some day. And it will maybe, probably, we hope if the government doesnt continue to run enormous deficits forever. Whats more likely to happen is that the debt to Social Security will simply be eliminated through the stroke of a computer entry the Treasury will print additional money and pay Social Security back with the new bills. And it will hope the world doesnt realize that it just stoked massive inflation.
VC Funding Boosts Global Growth For Berlin-Based Bitcoin Startup – Forbes
Bitbonds lending model is not unique BTCJam and BitLendingClub are also in the bitcoin loans space but the competition is not huge, and Bitbond already operates in a global marketplace. Since its launch in July 2013 it has facilitated almost two hundred loans and has users in over a hundred countries. Small business owners seeking finance are rigorously assessed by Bitbond for their credit worthiness, and once approved, are eligible to list on the site and apply for either short or long-term loans from individual lenders. By using cryptocurrency bitcoin, Bitbond users dont need a bank account to make transactions. Albrecht, who has a background in economics and previously worked at Deutsche Bank Deutsche Bank , said: Our main target borrowers are small businesses that have been operating for two or three years, or maybe longer and cannot get finance from a bank, possibly because they simply dont have access to a bank account, or they are a type of business that the banks typically do not lend to. It may take some time for bitcoin to be adopted by the mainstream small business world, but the interest being shown in promising bitcoin start-ups by the investment community is encouraging.
WASHINGTON: Digital currencies such as bitcoin carry significant risks, feds warn | Economy | McClatchy DC
Steve Pratt , formerly of Visa, will become the companysdirector of business development. And Gregg Zigler, formerly of PayPal, will become a senior developer. In September 2013, BitPay had 10,000 merchants signed to its platform. It amped that figure thisyear. The company has a goal to have 1million merchants using its platform by the end of 2016. Its a massive objective, given that the company is implicitlyhoping to grow its merchant base by 25Xin less than a year-and-a-half.
In addition to issuing the advisory, the bureau announced Monday that it will start collecting consumers complaints about virtual currencies on its website, http://www.consumerfinance.gov. An official with the trade group Bitcoin Foundation shrugged off the advisory as standard practice. There are consumer risks around new technologies, and even-keeled educational material from government agencies can help make consumers aware and savvy, Jim Harper, Bitcoin Foundations global policy counsel, said in a statement.
Why Bitcoin’s Growth Should Explode – Yahoo Finance
This could be compared to email versus standard mail. Bitcoin is the same idea — send money as fast, cheap and easily as sending an email. To realize that vision, two things need to happen: infrastructure needs to be built and a critical mass of people need to have bitcoin. Related Link: Signs A Bitcoin Tidal Wave Is Forming To Disrupt Business The Coming Explosion Bitcoin is very easy for companies to integrate. Dell and Overstock both implemented bitcoin payments one week after making the decision to go bitcoin. Why so fast?
BitPay Staffs Up In San Francisco With Visa, PayPal Alums
For example, when one swipes Visa to pay for gas or to buy an airline ticket, Visa facilitates the transaction. Visa takes on the risk of fraud and also incur expenses to process the transaction and provide customer support, among other things. Bitcoin transactions are similar to cash transactions in that the sender gives and the seller receives no third parties. This means companies like Visa, Mastercard , Western Union and Moneygram could have a lot to lose if bitcoin is successful. Related Link: Bitcoin Industry Growing Pains Create Risk For Investors The other big loser are regulators who have rules in place to prevent money laundering and to protect consumers.