Bitcoin not the best for the Web – But Blockchain is

Bitcoin and the technology behind it is as much a fantasy as a reality. It’s a borderless, decentralised currency that operates on an incorruptible ledger – the blockchain.

For all the wonders it has done for the popularity of cryptocurrency around the world, the case for using bitcoin in business is an increasingly difficult one to defend. Its infamous volatility, a limited number of possible coins, and painful transaction costs could soon spell problems for companies invested in the original cryptocurrency, although it still has major supporters as Forbes covered recently.

Access to Markets

Thanks to the internet, businesses are global almost from the point of inception. The major barriers to this position are often things like postage costs and import/export taxes rather than access to foreign markets. Even personal endeavours, like those on Etsy and eBay, sell to clients overseas. However, businesses with a small physical footprint, such as entertainment sites, have arguably benefitted the most from the internet’s vast reach.

While it’s likely a coincidence, what many of these companies have in common is that they don’t accept Bitcoin. For example, Amazon and Netflix have both shunned the cryptocurrency, while gaming site William Hill relies on a mix of traditional and high-tech options like Visa, MasterCard, and Skrill for deposits and withdrawals. The latter site has also expanded into 13 countries using these payment methods, a situation that emphasises the versatility of non-crypto options.

Digital Possessions

It’s worth noting that, while Bitcoin cannot exist without the blockchain, the reverse is not true. The latter technology provides a number of benefits that simply cannot be replicated by related software and hardware. Sticking with entertainment, the recent growth in NFTs for sale – digital possessions like videos and albums stored in the blockchain – potentially points to a change in how the ownership of assets could change in the future.