In 2012 American business magnate and billionaire Donald Trump warned Americans that financial ruin was only round the corner. Furthermore, fluctuations in the price of gold and other precious metals has caused much panic throughout worldwide financial markets.
The Bitcoin has been viewed as a lifeline in a climate of financial crisis. This is predominately because Bitcoin is a decentralised digital currency and is therefore beyond the control of governments. The Bitcoin is not regulated by any government but rather a number of mathematical laws.
Bitcoins are simply nothing more than strings of computer code which are self-regulating and ensure that there are no more than 21million coins in existence ever.
Now Bitcoiniacs, a Vancouver based company, are set to install the first physical Bitcoin exchange in Vancouver. The company opened in June and have since bought 5 ATM terminals. The first Bitcoin ATM in Vancouver will be installed in October.
The kiosks use Windows 7 and are equipped with photo identification technology and a palm scanner. Only after passing certain security parameters will the user be allowed to cash in Bitcoins or withdraw Bitcoins.
Even though it is early days for the Bitcoin if the currency was to stabilise and was supported by a large user base then cash flows will be forever out of the hands of governments and law. The Bitcoin looks like a viable alternative to the more traditional currencies backed by nation states.