You are browsing the archive for Digital Currency.

by admin

Blockchain Technology Allows Digital Investment in Precious Metals

December 1, 2016 in Crypto Currency, Currency, Digital Currency, Education, Gold, History, News, Numismatica, Numismatics, Opinion, Precious Metals, Royal British Mint, Virtual currency

By: Kendall Bailey News.CoinUpdate.com (Coin Update News)

blockchain-main-img

This morning there was a post on LinkedIn that caught my eye. It was a piece from the Telegraph that talked about how the Royal Mint is going to begin offering gold trading using blockchain technology.

If you’re asking yourself what “blockchain” means, I’m sure you’re not alone. I knew the term was somehow related to cryptocurrency, but that was all. I spent a couple of hours reading and bouncing ideas off my three-year-old, always a good sounding board, and decided to write a little bit about it.

Blockchain Technology

This is the technology that Bitcoin is based on. Don’t let words like… Full article at the source>

Source: News.CoinUpdate.com (Coin Update News)

Share Button

by admin

Bitcoin Set to Overtake eBay’s PayPal in Transaction Volumes

May 26, 2014 in Bitcoin, Currency, Digital Currency, E-commerce, Ebay, Investing, News, Virtual currency

By: Jerin Mathew. May 24th, 2014 (http://www.ibtimes.co.uk/) (international Business Times)

Bitcoin

Bitcoin

Popular digital currency bitcoin is expected to overtake e-commerce giant eBay’s payment processor PayPal in terms of US dollar transactions in the near future.

California-based hedge fund Laureate Trust says that bitcoin is fast establishing itself as the currency to use globally and instantly to make purchases or payments over the internet recording nearly $300m (£178m, €220m) daily in transactions.

“Whenever you have an instrument that trades over 300 million US dollars a day, it must be recognized,” Peter Tasca, CEO of Laureate Trust, said in a statement.

“The digital currency works, Bitcoin has greater volume transactions than Western Union and we anticipate it will overtake PayPal later this year.”

PayPal processes payments totalling $315.3m every day, according to Statistic Brain.

“In the next one or two years, Bitcoin can surpass the dollar transaction volumes of other established payment companies including Discover, and even American Express, MasterCard, and Visa,” said SmartMetric CEO Chaya Hendrick.

Bitcoin was launched in 2008 and is traded within a global network of computers. They can be transferred without going through banks or clearing houses, reducing fees involved in the services significantly.

Full article at the source>

Share Button

by admin

U.S. Government Is Turning Seized Silk Road Bitcoins Into Cash

April 29, 2014 in Bitcoin, Digital Currency, News, US Government

By John Biggs. April 28th, 2014 (http://techcrunch.com/)

As I noted in January, the U.S. government is quite interested in getting out of the Bitcoin business and has, thus far, been working hard to convert seized bitcoin to actual cash, a move that could affect the BTC markets if these large transactions happen

Full article at the source>

Share Button

by admin

Judge orders Mt Gox CEO Mark Karpeles to US over missing bitcoins

April 3, 2014 in Bitcoin, Digital Currency, News, Virtual currency

Reuters | Apr 2, 2014 (http://timesofindia.indiatimes.com/)

Bitcoin

Bitcoin

The chief executive of Japan’s Mt. Gox, once the world’s leading bitcoin exchange, was ordered to the United States to answer questions related to its US bankruptcy case, filed after the company lost $400 million of customers’ digital currency.

US Bankruptcy Judge Stacey Jernigan has ordered Mark Karpeles to appear on April 17 in Dallas at the offices of Baker & McKenzie, the law firm that represents Mt. Gox.

Mt. Gox customers want its chief executive and majority owner, Karpeles, to explain why the exchange shut down in February and what happened to their 750,000 bitcoins, which the company said were stolen in a computer hacking attack.

Full article at the source>

Related posts

http://numismatica.com/mt-gox-ceos-blog-hacked-alleged-bitcoin-balances-posted/

http://numismatica.com/mt-gox-finds-116-million-worth-of-bitcoins/

Share Button

by admin

Mt. Gox finds $116 million worth of bitcoins

March 22, 2014 in Bitcoin, Digital Currency, News, Virtual currency

The exchange filed for bankruptcy protection stating that 850,000 bitcoins had disappeared

By: By John Ribeiro | March 21st, 2014  IDG News Service (http://www.infoworld.com)

Mt. Gox has said it found 200,000 of the bitcoins it claimed may have disappeared as a result of a software flaw.

In a statement on its website Thursday, the failed exchange said it found 200,000 bitcoins in an old-format digital wallet, reducing the number of bitcoins missing to 650,000.

The finding may be a glimmer of hope for Mt. Gox’s customers, although bankruptcy proceedings in Japan and the U.S. are unlikely to result in a speedy determination of which creditors get paid first. The 200,000 bitcoins were worth about $116 million at market price Friday.

Wallets are software programs for holding and transferring bitcoins, and other payments applications. The wallet in which the bitcoins were found were used in the past and the exchange thought it no longer held any bitcoins, wrote Mark Karpelès, Mt. Gox’s CEO.

Full article at the source>

Share Button

by admin

Amazon Coins Now Available for Customers in the US, UK and Germany to Buy, Spend and Earn On Android Devices

March 20, 2014 in Digital Currency, News, Press Releases, Virtual currency

Customers’ Coins balances automatically transfer to their Android device to spend on over 100,000 apps and games in the Amazon Appstore

SEATTLE–(BUSINESS WIRE)–Feb. 19, 2014– (NASDAQ: AMZN)—Amazon today announced that customers in the US, UK and Germanycan now buy, spend and earn Amazon Coins on their Android phones and tablets. Previously available for use exclusively on Kindle Fire tablets, Amazon Coins can now be used to buy the latest apps, like Ridiculous Fishing, purchase extra lives within Candy Crush, or unlock Red’s amazing Super Roaster in Angry Birds GO directly from their Android device. Customers simply need to download the latest version of the Amazon Appstore and their existing Coins balances automatically appear. Existing Android customers can upgrade to the latest version of the Amazon Appstore on their mobile device by visiting www.amazon.com/updateappstore and new customers can download the Amazon Appstore on their mobile device by visiting www.amazon.com/getappstore.

“Since the launch of Amazon Coins, we’ve been amazed by the number of customers using Coins, as well as how many Coins they’re spending on apps and games,” said Mike George, Vice President, Amazon Appstore and Games. “Because customers can earn Coins when they buy apps in Amazon’s Appstore, and because they can buy Coins themselves at up to a 10% discount, customers love the extra value they get when shopping in our Appstore.”

Customers will find that earning extra Amazon Coins is easy and fun, whether it’s by downloading specific apps or by reaching achievements within certain games. The full selection of apps where customers can earn Coins is available by visitingwww.amazon.com/earncoins. Here’s what customers have to say about Amazon Coins:

“Amazon Coins are such a simple, easy idea I’m excited for the future of it. Plus with the money you save it’s a no brainer.” – Dan, Amazon Coins customer

“I bought these Coins so I don’t have a lot of little charges on my credit card. I balance every single purchase I make, so writing down a silly 99 cent purchase my kids make can be annoying. I buy $10 worth of Coins every few months and I save 50 cents and I also don’t have to write down little purchases, so this is a win, win for me.” – J, Amazon Coins customer

“My daughter and I both have the Kindle Fire HD and the Coins are a great way for us to stay on a budget. At the beginning of the month we each buy our Coins for the month.” – Devon, Amazon Coins customer

“Very good deal on Coins, I got at least 1 game paid for by Amazon and my money’s worth! Love Amazon and my Kindle.” – Nikki, Amazon Coins customer

Full press release at the source>

Share Button

by admin

Why Bitcoin Matters

February 11, 2014 in Bitcoin, Digital Currency, Investing, Opinion, Virtual currency

By MARC ANDREESSEN Another View January 21st, 2014 (http://dealbook.nytimes.com)

Editor’s note: Marc Andreessen’s venture capital firm, Andreessen Horowitz, has invested just under $50 million in Bitcoin-related start-ups. The firm is actively searching for more Bitcoin-based investment opportunities. He does not personally own more than a de minimis amount of Bitcoin.

A mysterious new technology emerges, seemingly out of nowhere, but actually the result of two decades of intense research and development by nearly anonymous researchers.

Political idealists project visions of liberation and revolution onto it; establishment elites heap contempt and scorn on it.

On the other hand, technologists – nerds – are transfixed by it. They see within it enormous potential and spend their nights and weekends tinkering with it.

Eventually mainstream products, companies and industries emerge to commercialize it; its effects become profound; and later, many people wonder why its powerful promise wasn’t more obvious from the start.

What technology am I talking about? Personal computers in 1975, the Internet in 1993, and – I believe – Bitcoin in 2014.

Full article at the source>

Share Button

by admin

The Definitive History of Bitcoin

December 19, 2013 in Bitcoin, Digital Currency, Education, History, Investing, Virtual currency

An infographic by Visual Capitalist Dec. 13th, 2013.

In 2008, the aftermath of the Subprime Mortgage Crisis created the perfect storm for the emergence of Bitcoin. Here is the definitive history of the famous crypto-currency. –

Full Infographic at the source>

Share Button

by admin

Greenspan Says Bitcoin a Bubble Without Intrinsic Currency Value

December 10, 2013 in Bitcoin, Currency, Digital Currency, Investing, Money, US Federal Reserve, Virtual currency

By Jeff Kearns  Dec 4, 2013 (http://www.bloomberg.com) (Saving and Investing)

Former Federal Reserve Chairman Alan Greenspan said Bitcoin prices are unsustainably high after surging 89-fold in a year and that the virtual money isn’t currency.

“It’s a bubble,” Greenspan, 87, said today in a Bloomberg Television interview from Washington. “It has to have intrinsic value. You have to really stretch your imagination to infer what the intrinsic value of Bitcoin is. I haven’t been able to do it. Maybe somebody else can.”

Bitcoins, which exist as software and aren’t regulated by any country or banking authority, surged to a record $1,124.76 on Nov. 30. The currency has rallied on growing interest from investors, while merchants are starting to accept Bitcoins and U.S. officials have told lawmakers such payments could be a legitimate means of exchange.

Full article and video at source>

Share Button

by admin

What are gold, silver and bitcoin doing to each other?

December 4, 2013 in Bitcoin, Digital Currency, Gold, Investing, News, Precious Metals, Silver, Virtual currency

Author: Jan Skoyles* 02, December, 2013 The Real Asset CO (http://www.mineweb.com/)

A momentous thing just happened. Bitcoin hit $1,000. (Note: By numismatica.com it is $ 1,200.00 as per the posting time 10:24 am EST)

Is it a bubble? Who knows, but one thing is for sure, you can buy a lot more gold and silver with one bitcoin than you could a year ago.

There are many parallels between bitcoin and gold, both are alternatives to fiat money, both are faceless currencies and both have limited supplies. However, in the last two years one has seen its price climb from $7 to $1000, the other has fallen from $1,900 to $1200.

Debating if bitcoin is the new gold.

We don’t see it like that. Instead, bitcoin is another alternative to fiat money. If it is a safe haven or a hedge against inflation, as gold and silver are so often seen to be, we won’t know for a long time.

However what we can see right now is that people are choosing to park their wealth in the virtual currency as they speculate on its continued rise. They can spend bitcoin and they can save in gold and silver. Both the precious metals and bitcoin seem to have one thing in common – they are viewed as sounder money.

So how much would it cost if you wanted to spend your bitcoin on the ultimate sound money?

Full article at source>

*Jan Skoyles is Head of Research at The Real Asset Company –www.therealasset.co.uk

Share Button

by admin

Record bitcoin payment of $1 million spent on new mining hardware

October 30, 2013 in Bitcoin, Digital Currency, Investing, News, Virtual currency

James Niccolai, IDG News Service@jniccolai Oct 29, 2013 (http://www.pcworld.com)

Bitpay, a company that lets businesses accept payments in the Bitcoin virtual currency, has just processed its first $1 million transaction.

The money was spent on new bitcoin mining hardware sold by Butterfly Labs, a company in Kansas City that makes specialized computers used to unlock new bitcoins and help manage the bitcoin network, Bitpay said on Tuesday.

The order was only a down payment on a forthcoming order, which will be worth more than the million dollars just spent, said Jeff Ownby, a spokesman for Butterfly Labs.

It was placed by a U.S. corporation that’s an existing Butterfly customer, Ownby said. Butterfly will disclose the customer’s identity in the next day or so, he said, but Butterfly appeared to have been caught off guard by Bitpay’s announcement and wasn’t prepared to do so yet.

Full article at source>

Share Button

by admin

Man Forgets About Buying $27 of Bitcoin, Is Now Worth About $1 Million

October 30, 2013 in Bitcoin, Digital Currency, Investing, News, Virtual currency

By:  Ashley Feinberg. 10, 29Th 2013 (http://gizmodo.com)

Four years ago, Oslo-man Christopher Koch’s girlfriend scoffed at his purchase of $27-worth of Bitcoin. Chances are she was singing a decidedly different tune last April, when Koch checked back in on his investment and found out it was worth $886,000. And over a cool million today.

Back in 2009, Koch was working on a thesis paper about encryption, which introduced him to the relatively unknown world of Bitcoin. On little more than a whim, he decided to throw down $27 for 5,000 Bitcoins because the encryption process fascinated him and because why not. Koch then promptly forgot about the purchase—until Bitcoin started popping up in the news four years later, that is.

Remembering his offhand investment, Koch frantically searched for the password to his wallet and was floored to find that, by last April’s standards, he was sitting on an $886,000 nest egg. After trading in just one-fifth of his total purchase, he was able to buy himself an apartment in Toyen, one of the wealthiest areas in Oslo.

Full article at source>

Share Button

by admin

CoinX Is A New Bitcoin Exchange That Actually Takes Financial Compliance Seriously

October 15, 2013 in Bitcoin, Digital Currency, Investing, Money, News, Virtual currency

By: DYLAN LOVE OCT. 13, 2013 (http://www.businessinsider.com)

CoinX is a brand new Bitcoin exchange that just opened its doors, and we caught up with founder Megan Burton at the Money2020 conference in Las Vegas to learn what her company is all about.

Burton came from an IT and security background and took the opportunity to throw her skills into the increasingly weird world of money.

Operating out of Atlanta, Ga., CoinX is all about turning conventional money into the anonymous digital currency called Bitcoin, and Bitcoin into conventional money. It’s also the first to actually take financial compliance seriously.

Full article at source>

Share Button

by admin

Winklevoss twins: Bitcoins better than gold

September 20, 2013 in Bitcoin, Digital Currency, Gold, Investing, News, Virtual currency

By Maureen Farrell   @CNNMoneyInvest  (http://money.cnn.com) September 17, 2013

NEW YORK (CNNMoney)

Tyler Winklevoss, one half of the duo known in popular culture as the Winklevii, thinks that the cybercurrency Bitcoin may be a better long-term bet than gold.

“It’s gold 2.0,” he said in a presentation at the Value Investing Conference in New York Tuesday.

Tyler and his brother Cameron, who shared the stage, outlined the bull case for bitcoins. They have been investors and are aspiring Bitcoin entrepreneurs. The twins recently filed paperwork with the SEC for a Bitcoin exchanged traded fund.

Full article at source>

Share Button

by admin

What’s the Deal with Bitcoins Anyway?

September 16, 2013 in Bitcoin, Currency, Digital Currency, Education, Money, Virtual currency

Short video 2:05 Min that explains what Bitcoin is: (By: Ebay Deals)

If you want to dig a little deeper check Numismatica.com category Bitcoin by clicking here

Share Button

by admin

Germany recognizes Bitcoin as ‘private money’

August 19, 2013 in Bitcoin, Currency, Digital Currency, Investing, News, Virtual currency

August 18, 2013 (http://rt.com)

Bitcoin has been recognized for legal and tax purposes in Germany, making it the first country to take an official stance on the status of using the online currency as money.

Berlin has acknowledged the virtual tender as a “currency unit” and “private money,”according to German newspaper Die Welt.

The classification means that some commercial profits on Bitcoin related endeavors may be taxable, but personal use of the currency will remain tax-free, the paper reported.

The recognition was laid out in a Finance Ministry response to a query from Frank Schaeffler, a member of parliament’s Finance Committee.

“For the first time, the federal government recognizes Bitcoins as private money,” said Schaeffler.

Full article at source>

Share Button

by admin

Bitcoin Judged as money

August 9, 2013 in Bitcoin, Digital Currency, Investing, Money, News, Virtual currency

by Nadine Mackin. August 8th, 2013 (http://nysebulletin.com)

Bitcoin, up until now has been known as a  cryptocurrency, which is a currency that actually relies on cryptography, however now it has been made official. There was a federal judge from Texas that has declared that Bitcoin is a type of currency that needs to be regulated just as gold and U.S. dollars.

While this means that Bitcoins are actually worth something, this actually threatens the concept of Bitcoin’s utopia.  The Department of Homeland Security has recently issue a warrant of seizure on Bitcoin since it did not comply with the regulations of money transfer.

The decision issued today is heading in the same direction. According to Judge Amos Mazzant the investments in BTCST are not considered securities since Bitcoin is not actually money and not regulated by the U.S. She made a statement that was the exact opposite of the defense of BTCST:

Full article at source>

Share Button

by admin

If Someone Invests $200 Million in Bitcoin, Should You?

August 8, 2013 in Bitcoin, Digital Currency, Investing, Virtual currency

by Dan Newman, The Motley Fool Aug 6th 2013 (http://www.dailyfinance.com)

 

Bitcoin finally hit the mainstream press this year, helping cause a spike in the value of a bitcoin from under $20 at the start of this year to more than $260 in April, and now it hovers around $100. With the attention came a lot of novice voices asking if they should grab a piece of the latest craze — the Beanie Babies of currency, if you will. Thankfully, the technical hurdles involved in converting dollars to bitcoins make it difficult enough for many to give up and stay away from bitcoins.

Recently, a story about private equity fund preparing to invest $200 million in a bitcoin mining-related company might have caused some to redouble efforts to get into bitcoins. The story turned out to be fake and represents another reason you should stay away from bitcoins if you have little understanding.

 If you can’t spot the sucker …
The bitcoin market is a great example of why regulation is not all bad. There have been numerous thefts, scandals, and issues that have burned many people. In the latest, the SEC charged a Texas man in late July for running a bitcoin Ponzi scheme, promising investors 7% interest per week, and taking in 700,000 bitcoins. While these bitcoins were worth about $4.6 million when taken in by the “investment fund,” they’re worth more than $70 million today. The scheme was paying out interest with funds from new investors, while the man was spending a portion on rent, food, and gambling, according to CNN.

Full article at source>

Share Button

by admin

Bitcoin Millionaires Become Investing Angels

June 12, 2013 in Bitcoin, Digital Currency, Investing, Virtual currency

Early investors in Bitcoin got rich. Now they are the cryptocurrency’s most powerful gatekeepers.

By Tom Simonite on June 12, 2013 (http://www.technologyreview.com) MIT Technology Review.

Every time you spend bitcoins to buy a drink at Evr, a swanky bar in midtown Manhattan that accepts the digital currency, you make its co-owner, Charlie Shrem, just a little bit richer.

And that’s not only because a chamomile sour costs $17 (or 0.16 bitcoins). It’s because whenever someone new uses bitcoins, the electronic currency’s value tends to increase. Shrem has bought thousands of bitcoins for about $20 each, starting in 2011. Since then, the digital coins have soared in value to $109.

That’s turned the 23-year-old into a millionaire and into one of a handful of early bitcoin investors who’ve decided to sink their windfalls back into the bitcoin economy, starting their own companies and investing in others.

 Full post at source>

Share Button

by admin

Why Bitcoin will be the next big thing: Interview with Jeff Berwick

June 3, 2013 in Bitcoin, Currency, Digital Currency, Education, Gold, Gold Bullion, Investing, Money, News, Politics, Precious Metals, Virtual currency

*The bitcoin part starts at 4:26

Cambridge House (Youtube.com)

Published on May 27, 2013

The Dollar Vigilante’s Jeff Berwick (http://www.dollarvigilante.com) on why bitcoin will continue to gain in popularity worldwide. In this interview with Cambridge House Live anchor Bridgitte Anderson he also discusses his massive real estate development just outside Santiago, Chile. Taped in Vancouver at the World Resource Investment Conference.

Stay Connected!

http://www.cambridgehouse.com/
https://twitter.com/cambridge
https://www.facebook.com/cambridgehouseconferences

 

Share Button

by admin

The Rise and Fall of Anonymous Bitcoins

May 16, 2013 in Bitcoin, Currency, Digital Currency, Investing, Money, News, Virtual currency

Bitcoins have been embraced as real money by the Treasury. But can they survive legitimacy?

By Richard Satran May 14, 2013 (http://money.usnews.com)

Is there a bitcoin in your future?

It’s the digital currency that claims to be completely anonymous, non-inflationary and more secure than Fort Knox. Its largest backer, Bitcoin Foundation, says the virtual money “cannot be manipulated by any government, bank, organization or individual.”

Many have been expecting the government to crack down on the currency because it has been used for illegal activities ranging from drug purchases and money laundering to avoiding sanctions in Iran.

Instead, the U.S. government has embraced it by recognizing bitcoins as a currency and saying it would not halt their use in e-commerce. The U.S. Department of the Treasury’s Financial Crimes Enforcement Network, or FinCEN, says virtual currency has the status of real money and should be regulated as such. The Bitcoin Foundation calls the FinCEN ruling a “positive first step toward regulatory acceptance.”

Full article at source>

Share Button

by admin

Amazon launches its own virtual currency called Coins and gives ‘tens of millions’ away for free to US Kindle owners

May 15, 2013 in Digital Currency, News, Virtual currency

Amazon Coins

Amazon Coins

  • One Amazon Coin is worth one US penny
  • Coins can be bought in batches of 1000 and Kindle Users have been given 500 Coins for free
  • Plans to launch Coins in the UK and for non-Kindle users have not yet been announced
By Victoria Woollaston 14 May 2013 (http://www.dailymail.co.uk)

Amazon has launched its own currency called Amazon Coins.

It’s currently only available in the States for Kindle Fire owners, but the Coins can be used to pay for games, apps and in-app purchases from the Amazon Appstore. 

One Amazon Coin is worth one US penny, and Kindle Fire owners are getting 500 Coins ($5) for free as part of the launch.

The Coins will also be able to be used on the company’s retail site when they become more widely available.

Amazon has not yet confirmed when the scheme will be launched outside of the US, or if it will be available to non-Kindle users.

Full article at source>

Share Button

by admin

Bitcoin Primer: What You Need to Know About the New Virtual Currency

May 9, 2013 in Bitcoin, Digital Currency, Education, Investing

By Sarah E. Needleman and Spencer E. Ante. May 8, 2013 (http://blogs.wsj.com)

Bitcoin startups are beginning to raise sizable investment capital even as industry leaders warn that hackers are abusing the Internet virtual currency for profit. Supporters of Bitcoin say it offers anonymity and a cheap way to transact business across borders. But critics say Bitcoin faces so many regulatory and technical hurdles it will never mature into a mainstream currency. Here’s what you need to know:

What is Bitcoin?

It’s a virtual form of currency that can be used to make payments over the Internet without transaction fees or involving a financial institution. Each Bitcoin is subdivided into 100 million smaller units called satoshis, defined by eight decimal places.

Where does it come from?
Bitcoin was created in 2009 by a person or group that goes by the name Satoshi Nakamoto. A 2008 paper written by Nakamoto proposed the creation of a “peer-to-peer electronic cash system” that would allow online payments to be sent directly from one party to another without going through a financial institution. Instead of a trusted third party like a bank, Bitcoin creates trust through a cryptographic system.

How is it made?
Like gold, no central bank controls Bitcoin currency so governments can’t print or mint more of it. Using computers and complex software, people can “mine” Bitcoins by solving complex mathematical problems. If they solve the problem, they get Bitcoin. But since the process is so difficult most people just buy Bitcoin from various exchanges popping up.

Full Article at source>

Share Button

by admin

What’s a Bitcoin and why would you want one?

May 2, 2013 in Bitcoin, Coins, Currency, Digital Currency, Gold, Gold Coins, History, Investing, Money, News, Precious Metals, Silver, Silver Coins, Virtual currency

By Woody Leonhard on May 1, 2013 (http://windowssecrets.com)

You might have heard in recent weeks about Bitcoin millionaires — people who raked in vast sums of real money riding this relatively new form of currency.

Bitcoins offer both a fascinating, new approach to money and many potential pitfalls. Here’s what you should know about this online phenomenon.

The history of money is fascinating. Ancient humans traded salt for fish, wheat for beer, and camels for wives. Around 9,000 BC, give or take a millennium or three, people started using an intermediary object — something they might not need but could exchange. For example, I’ll take one bag of rice for my duck; I’ll give you a half-bag of rice for that small clay pot or a whole bag for that big pot.

In Asia, cowry shells (considerably easier to carry than bags of rice, no doubt) were used long ago for bartering. But as trade expanded around the world, more sophisticated forms of “currency” were needed: bronze-cast knives in China, silver bars of set weights in Mesopotamia, gold bars in Egypt.

Around 700 to 500 BC, the first coins appeared — typically, stamped bits of naturally occurring silver/gold metal called electrum. Minted coins followed, their value dictated by the weight and fineness of gold or silver used. Coins from Athens, Persia, and China circulated all over the world.

Around the 11th century, paper money appeared alongside coins in China. In Europe, the first paper money was a sort of IOU used to document loans in gold. The IOUs gradually formalized into official banknotes.

In the 17th century, European governments (and much of the world soon after) moved into the business of issuing paper money, backed by deposits of gold and silver.

Skipping over centuries of hyperinflation, bank runs, and the end of the gold standard, we arrive at the monetary system in use today.

Full article at source>

Share Button

by admin

Bitcoin dealers grappling with big banks and murky financial rules

April 29, 2013 in Bitcoin, Currency, Digital Currency, Investing, Money

Joel Eastwood, The Canadian Press.  Sunday, April 28, 2013 (http://www.ctvnews.ca)

OTTAWA — Canadians buying and selling an emerging digital currency are running afoul of established banks and operating in uncharted territory for financial regulators.

“The Canadian government doesn’t know what a Bitcoin is, doesn’t recognize the Bitcoin, and there’s no regulatory agency that knows what a Bitcoin is,” said Joseph David, the owner of VirtEx.

His Calgary-based website lets Canadians trade Bitcoins through an online market similar to a stock exchange. David said the two-year-old company facilitated $15 million in transactions this year.

Full article at source>

Share Button
Translate »