Bitcoin, the online currency that gained popularity most recently with new economy businesses and hipsters, is making some serious changes. Chief among them is the decision to cut the supply of bitcoins in half, which means that individual Bitcoin will theoretically increase in value. In order to offset the probable rise in crime with the increased value of individual Bitcoin, the company will also be instituting more stringent policy related to the mining of Bitcoin, which further puts the supply of Bitcoin in danger.
This is a cool development because it signals that virtual currency is something that has staying power. It’s not just a fad. We don’t know if virtual currency is really going to be something that comes onto the mainstream of how we do commerce online, but we now that Overstock.com is already accepting Bitcoin and other company are looking into it as well. It’s certainly a growing and changing enterprise no matter how you slice it.
Virtual currency is interesting, and I’m excited about what it means for all of us. I’ll admit though that no one I know uses Bitcoin, so this development won’t matter to them. It’s just nice to pull out physical cash on the rare occasion you have it, and it’s also nice to pull out a fresh debit card and put it in the special little pocket in the billfold. What do you think?