Maybe by now you’ve read my other posts on how and where to buy Bitcoin and other digital currency. If not, feel free to do so here Setting Up Your Digital Wallet.
If you have bought some Bitcoin or are considering doing so, you may be wondering where you can actually spend it. Well, obviously you can’t spend it everywhere (yet) or you would have no need for this post.
However, if the current trends keep up, it won’t be long until you can do just about anything with Bitcoin or several other digital currencies. I read an interesting article the other day about a man selling his house in Vancouver for 2099 Bitcoin. That’s around $3.5 million. Here is the link to that article.
Your location will largely determine how fast you will start seeing Bitcoin merchants. For example, Japan has really bought in. They are estimating to have around 300,000 merchants accepting it this year. They also had a major announcement that Peach Airlines is now officially the first airline to accept Bitcoin.
South Korea is seeing similar demand for the cryptocurrency. As are China, India, and Venezuela. Those countries’ residents, especially Venezuela, are looking for an alternative to their native currency. Venezuela has the world’s highest inflation, unemployment and crime rates. Because of this there are severe food shortages and people are desperately looking for a way to keep up with inflation. Citizens of countries like these are looking for a solid place to invest their money. Bitcoin is seeing a large spike in price the last two months largely due to this.
Blockchain CEO Peter Smith predicted bitcoin prices to hit $500,000 by 2030. Wences Casares, a PayPal board director, one ups him and believes it will be at $1,000,000 by then.
How about ways to spend it in the U.S.? Las Vegas is betting on Bitcoin as they just installed a Bitcoin ATM at a popular night club. Rooms can be booked at The D and Golden Gate hotels there as well. There are plans to add more. Technically you can book anything on Expedia as well. The caveat is that it is powered by Coinbase and you use your Bitcoin with them to make the purchase from Expedia (Click that link to be redirected to where you can sign up for Coinbase and you will receive $10 after you purchase $100 or more of digital currency). Coinbase is the highest rated and easiest to use exchange. They also recently announced a partnership with Fidelity Investments where you will soon be able to see your Coinbase cryptocurrency holdings on Fidelity.com.
How about food? According to http://bitcoinrestaurants.net/, there are now at least 95 restaurants in the U.S. already accepting it. Interesting to note that Massachusetts leads the nation with 7. Also, one of my favorite spots to people watch and have a drink is The Clevelander in Miami’s South Beach. The next time I am there, I will be kicking back with a Corona I bought with Bitcoin.
As far as merchants go, Dell, Apple’s app store, and Overstock.com are just a few of the growing list of companies that accept it. There’s a long list of retailers including Target that you can also get gift cards from using Bitcoins. Although they do not accept Bitcoin directly, a company called Purse matches buyers with gift card holders. In my humble opinion, if I owned a business you better believe I would accept it. In just the past two months the price has surged from around $1,000 to over $2,500 per Bitcoin. By the way, you don’t have to purchase a complete coin. You can buy as little as .0001 of a coin.
As more and more merchants embrace the digital currency world I will be sure to keep you updated. My prediction is that by 2020 it will be commonplace to walk into Starbucks, get your morning latte, then stop and pump gas on your way to work using Bitcoin. It won’t be long until you’re Ubering home at night paying the driver that way too.
Bottom line is it is here to stay and it is just beginning. In the meantime, you can do what I do and that is trade and invest in digital currency. The Dow was up .30% today. Not bad. Bitcoin was up 15%.