Bitcoin is a form of digital currency that is quickly growing in popularity. Despite it being a very real currency, and definitely a legitimate one, there are some things you should know before you choose to pay with something online using Bitcoins.
First things first, while the currency is a genuine one used by a vast number of people all over the globe, it is still yet to be recognized as an official currency. This doesn’t bring about too many negative connotations; it just means that you still need to pay taxes on it and treat it as an ordinary currency. Be aware of this when using Bitcoin regularly as a method of payment.
In addition to this, Bitcoin is still very much an experimental currency; it is altered and tweaked with all of the time to make sure that it is continually providing users with the best service it can. Sometimes fees applied for using Bitcoin may increase, or you might come across some technical issues. This is just a small price to pay for being able to use such a unique and advanced method of payment, however!
A lot of people think Bitcoin is anonymous; the truth is, it is not. All Bitcoin addresses for all transactions ever made can be seen by any member of the public at any given time- however, the identity of the person behind the Bitcoin address remains anonymous unless personal information is provided during a purchase- then the individual’s identity can be revealed by someone who really knows their way around computers and coding.
Lastly, Bitcoin payments cannot be reversed. If you buy something online using Bitcoins and then you change your mind and want to send it back, it’s just tough luck- you can’t do it as there would be no way to refund you for your purchase. Bitcoin transactions cannot be undone.
The fact that you can use Bitcoin to purchase things online at all is evidence enough that this cryptocurrency is a legitimate form of payment- it’s just important to remember all of the above factors when choosing to use it as a method of payment.