You can trade a Bitcoin, which now translates to about $600, for a new TV. Not very bitty, I’d say.
In 2008, programmers under the name of Satoshi Nakmoto introduced Bitcoin as a virtual currency, which can be used to purchase goods online. Similar to real currency, Bitcoins can be traded over an online exchange. However, they are unique in that they are impossible to counterfeit and retain the advantages of being a digital currency. For example, Bitcoins can traverse the world in seconds and they are independent of bank and government influence.
Recently, Bitcoin has been gaining acceptance as a legitimate financial instrument. Like real currencies, digital money carries benefits and risks, and provide legitimate transactions. If Bitcoins are accepted as alternate means of conducting business, they can be the foundation for a fast-paced digital currency market, where transactions can take place anywhere and anytime.
I am interested to see which direction Bitcoins will take. It definitely has the potential to replace currency as we advance towards an internet age. Its substantial growth over the past five years proves that it can be a great investment for our portfolio as well.