The future of Bitcoins in Canada

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Bitcoin - The virtual currency could very well change the shape virtual financial dealings in the upcoming years
Bitcoin - The virtual currency could very well change the shape virtual financial dealings in the upcoming years

Bitcoin - The virtual currency could very well change the shape virtual financial dealings in the upcoming years
Bitcoin – The virtual currency could very well change the shape virtual financial dealings in the upcoming years

CALGARY, AB – BUSINESS  – While financial institutions in Canada may not currently know much about Bitcoins, the digital currency has been in the headlines during the last few months – for most of the right and . . . some of the wrong reasons.

Nevertheless, the Bitcoin Canadian community is growing significantly: there are now a couple of exclusive Bitcoin embassies in Toronto and Montreal, while a couple of exchange services and ATMs have also popped up in certain parts of the country.

At the moment, Bitcoin ardent supporters include online merchants: brick and mortar stores are yet to open up to the concept. Banking institutions like Coinkite are aiming to fill in the gap by offering technology and devices that will allow merchants to accept the digital currency at the cash register – an effort that is expected to increase the demand further.

Price volatility doesn’t seem to be the major issue at the moment, as the value of Bitcoins is on the rise both in Canada and throughout the world where they are being used. People are also willing to trade and spend Bitcoins for purchase, as well as invest in them for financial gains.

An Alberta property listing recently revealed that Bryce Kander, son of Penny Kander (a well-known figure in real estate in Alberta), was willing to sell the property for Bitcoins. According to him, the value of Bitcoins is either going to dip down to zero, or soar to a million dollars. And the way things have shaped up so far, sign are positive that their value will rise, so he has faith in the digital currency.

Moreover, virtual money is being purported to win massive consumer confidence, because no single authority is involved in controlling the currency, such as bigger and more powerful financial institutions, Consumers, therefore, are empowered and more likely to embrace something that they can control.

Sadly, Bitcoin is also vulnerable to security breaches, which will need to be overcome in order to ensure its future, and to retain consumer confidence.

A major breach was reported earlier this month when a vendor known as ‘EBOOK101’ got away with Bitcoins worth $5 million from users in the Sheep marketplace.

This isn’t the first time Bitcoin owners have been left scratching their heads: two different security breaches recently compromised 4,100 Bitcoins, worth $1.2 million.

Advanced cloud computing security measures and vulnerability patching actions are required. According to a recent paper from Trend Micro, companies and users alike need to “enable advanced cyber security against targeted attacks,” because Bitcoin websites, networks, marketplaces etc. require defenses against well-versed attackers. Eventually, enhanced cyber security that features multiple layers of protection functioning in real time are going to significantly reduce Bitcoin security threats.

Anyone looking to invest in Bitcoins has a few options at hand, but the reputation and credibility of each option should be evaluated to avoid any losses, especially as organizations selling, trading and managing the currency have been appeared overnight.

Some of your options are:

  1. Canada Virtual Exchange: includes EFT direct transfer and cash deposit options.
  2. Bitcoiniacs: Physical Bitcoin exchange store based in Vancouver.
  3. VirWox: The only place where Bitcoins can be purchased through credit cards and PayPal.

Bitcoins are still young, but they hold a lot of promise, and could very well change the shape virtual financial dealings in the upcoming years.

Rachel Matthews

www.troymedia.com