“Bitcoin, a digital currency that is traded on a peer-to-peer network independent of central control, has seen its value soar in the past year as it gains attention from growing numbers of investors, entrepreneurs and regulators.” – Reuters
This quote is taken from an article published nearly four years ago, in March of 2014. It has the same relevance today. At the time, Bitcoin was priced at approximately $600. Today, usage is widespread and the currency is valued at approximately $15K. Also referred to as the Internet of Money, Bitcoin is by far the largest and most well-known cryptocurrency in the world. There are many reasons for Bitcoin’s growth in value, but one of the main reasons is its growing acceptance as a payment method for everyday items. You can even use Bitcoin to buy your next car.
The rise of Bitcoin
The widespread adoption of Bitcoin isn’t surprising. Most of the world’s currency is digital as well. In fact, only 8% of the world’s currency, valued at $7.6 trillion, is considered physical. This is a narrow definition of the world’s money supply. The true money supply, which includes non-physical or “digital money” (money market accounts, savings, checking, and time deposits), is referred to as broad money. The total amount of broad money in the world is $90 trillion. This money is all issued under a global “centralized” banking system.
By contrast, Bitcoin is the world’s first decentralized digital currency. It is a digital currency created by thousands of people referred to as “Bitcoin miners.” Like the Internet, Bitcoin has no central authority, which means it can’t be easily manipulated. Unlike centralized digital currency, it’s difficult to confiscate and transactions are anonymous. One of the world’s most targeted journalists, Julian Assange, continues to rely on Bitcoin as a store of value and medium of exchange.
Which car dealerships accept Bitcoin?
With the recent rise in Bitcoin’s value, many businesses have already started accepting Bitcoin. You can get paid in Bitcoin, and pay people in Bitcoin. You can buy a sandwich, join a dating site, book airline tickets, and even buy that car you’ve always wanted with Bitcoin.
Several car dealerships accept Bitcoin. To find one, look for the “Bitcoin Accepted Here” icon on the dealership website’s finance page. For example, if you’re in Missouri, you can go to Overland Park Jeep Dodge Ram Chrysler, or if you’re in California, check out Lamborghini Newport Beach. In addition to looking for the Bitcoin icon, you can also look up car dealerships on SpendBitcoins.com. Currently, there are 28 locations listed.
If you can’t find a dealership in your area, you can always convert your Bitcoin to cash through Coinbase or find another intermediary. Sites like LocalBitcoins.com, also referred to as the Craigslist of Bitcoin, provide a peer-to-peer exchange network for Bitcoin.
The future of Bitcoin
Bitcoin’s future direction will be a function of many things. For some, Bitcoin represents the realization of an emergent technology with the ability to drastically improve how the world exchanges resources. For others, Bitcoin represents the fastest growing asset class in the world. Some people, like the Winklevoss twins, have used it to buy a flight into outer space. Now, Wall Street institutions have gained interest with the introduction of Bitcoin futures contracts. It appears Bitcoin’s potential is fueled by the ambition and reach of the people who use it.