Digital Currency’s Role in Prepaid, Retail and Banking

How will digital currency change your business?

When Microsoft announced that it would accept Bitcoin as payment last month, the company noted that digital currencies are growing "beyond the early enthusiasts." Microsoft has placed its bets that the growth will continue - and at All Payments Expo, you'll forge the connections to determine your own company's strategy in the digital currency industry.

As digital currency's role in retail, payments and money movement evolves, it's paramount that you make sense of the role crypto will play in retail, prepaid and other industries.

Do you need to rethink your strategy?
 

Get up-to-the-minute analysis from the executives, legal minds and industry entrenched in this next phase, including:

• Keynote address from Overstock.com Chairman Patrick Byrne, one of Bitcoin's earliest champions
• A Bitcoin Bootcamp for novices, with perspectives from Strategic Counsel Corp., Ethereum, Gliph, Coinsetter and the Digital Currency Council
• The legal implications of Bitcoin
• How digital currency impacts accounting and taxation - a must-see for anyone considering accepting or working with digital currency
• Sessions on digital currency's applications in retail and products for the under-served

 Special Benefits for Attending

• Prepare you for the Digital Currency Council (DCC) Certification Exam.
• For those already DCC Certified, DCC Continuing Education Credits are available.
• Attendees will receive a 3-month trial Leader Membership in the Digital Currency Council - the leading professional association in the digital currency economy.

 

To see a detailed session breakdown, download the complete agenda. Also, register by Friday, January 23rd and SAVE $300! Use the code XU2848BLOG. 

Share this article with your social network, just click below to share now!

Share |

Why Does Bitcoin's Value Fluctuate So Much?

Introduced as open-source online payment software in 2009, Bitcoin in simple words refers to a purely digital currency which is used primarily for online payment purpose. Although, it was recognized by the US Treasury as a decentralized virtual currency, the popularity of cryptocurrency is still in developmental stages and is not as widely accepted. Despite of being a purely virtual currency, Bitcoin is one of the most volatile currencies and the prices can fluctuate even in a normal market situation. Despite of several shortcomings as a viable currency, the popularity of Bitcoin among online users has grown rapidly since its introduction. Given below are the various reasons why the value of Bitcoin fluctuates so much.


1. Buyer Protection
Several banking agencies like the European Banking Agencies have issued several warnings about Bitcoin lacking any sort of consumer protection. This means that if you use Bitcoin online to buy a product and the seller doesn’t deliver it or the product is faulty, then there is absolutely nothing that you can do to recover your lost Bitcoin cash. While this problem can be resolved through escrow services, but this definitely makes the investors apprehensive about investing in a poorly protected currency.

2. Bad Press Reviews And Use In Illegal Trade
Bitcoin’s popularity was severely hampered due to the news about Bitcoin being regulated by the government. There were several instances of it being used in illegal drug trade via the Silk Road which also resulted in the marketplace being shut down by the FBI in 2008. Trade has picked up since then but these incidents have also created an unrest and disbelief in the value of Bitcoin among the people.

3. Digital Wallets Are Prone To Technical Issues
The vulnerability of digital wallets to data corruption and virus make it a really dangerous currency to invest. Bitcoin currency is usually stored on a computer hard drive which is susceptible to data loss and can very well bankrupt a wealthy investor. The coins collected on the hard drive are also lost permanently with no chance of recovery and will be permanently orphaned by the system.

4. Deflation
Unlike regular currencies which are valued against a solid standard such as gold or silver or another valuable currency, Bitcoin’s price is regulated due to its limited production. The current mining technology limits its production to 21 million and is thus prone to deflation. Since the value of each Bitcoin will increase each day, the question of when to spend the currency will be a serious problem for the investors and result in spending sprees. A sudden surge in spending can not only cause deflation but also unexpected volatility.

5. Security Breaches Due To Poor Software Design
Due to being operated through an open-source database, the source-code can easily be modified and hacked by anyone. This makes it an extremely unsecure form of currency to invest in. Recent news about the OpenSSL attacks by the Heartbleed bug in April, 2014 has led to even further repercussions in the value of Bitcoin in the market. The value of Bitcoin is highly based on the people’s confidence in the software design and security breaches as such can act like a bane to its popularity and use.

6. Tax Treatment
Despite of its small value, the volatility of Bitcoin was highly affected by the recent announcements by the IRS. In March 2014, the IRS announced and recognized Bitcoin as an asset that is taxable under the US law and made it mandatory for the users to record its value at the time of each transaction. This has led to a sudden decline of Bitcoin users and investors as book keeping is essentially troublesome for what the currency is worth.

Despite of its several advantages as an unofficial cryptocurrency, Bitcoin is met with several challenges and obstacles to its growth in use. The above reasons for its volatile and constantly fluctuation prices have led to a bad perception of its value in the investors.  Nevertheless, Bitcoin is also viewed as a sign of a maturing market and changing trends in global economics by several investors and there might be a bright future after all for the digital currency.


Author: Luke Peters is an active trader on several forex related platforms like Cornertrader.ch and has written several articles related to law, trading, finance, and financial management. He likes to spend most of his time reading various books and literature related to the respective niches

Share this article with your social network, just click below to share now!

Share |

APEX Digital Currency Partnerships Agenda Released!

APEX Digital Currency Partnerships addresses how cryptocurrency can be integrated, utilized and valued by mainstream banks, payments, nonprofit and investing firms.

The latest agenda is now available for download!

 


 Highlights include:

1. More than 50+ speakers, 20+ sessions in a streamlined schedule, and one monster keynote from Patrick Byrne, Chairman of Overstock.com

2. Insights into what you should be learning from the VC Activity in crypto, the development of less-clunky user experiences, the realities of compliance and regulation and much MORE!

3. Eight hours of built-in networking, including two attendee parties, a Women's-Only Lunch and MORE!

4. Crypto Awards celebrating industry achievements after a blockbuster year of innovation, press coverage and exposure. Nominations are open until July 31st for 6 award categories. Enter now.

5. Meet-Up Collision: The ultimate mash-up of the nation's best crypto meetups, and it's only at APEX.  Contact Krystin Bruan, at kbruan@iirusa.com to get involved.

DOWNLOAD the Agenda by Clicking Here!

See you in San Francisco!

Share this article with your social network, just click below to share now!

Share |

Uncover Banks’ Roadmap for Bitcoin

What's the Ideal Collaboration Between Bitcoin & Banking?

It's a complex time for banks looking at potential pathways & partnerships in cryptocurrency. Questions remain about whether cryptocurrency is friend or foe for the existing financial services industry.

But for the APEX Digital Currency Partnerships faculty of speakers, this is an unprecedented time for partnerships and innovation:

"Creating an infrastructure around bitcoin will take time and requires founders of startups, regulators and state officials to team up and build Bitcoin into a sustainable and profitable technology for everyone. APEX Digital Currency Partnerships provides a great platform to bring members of the payments ecosystem together and collaborate on solutions."
Hemant Taneja, Managing Director, General Catalyst Partners

Here are some of the questions that will be answered at APEX Digital Currency Partnerships by the leading minds in crypto and mainstream financial services:

• What are the implications of regulatory actions or attitudes?
• Is crypto a currency or commodity? The debate grows more complex with the IRS' ruling that it's property.
• What factors delay uptake of digital currency options by established banking & financial services industry?
• How will partnerships can be structured amid pricing volatility and regulatory uncertainty?

For financial institutions, the time is NOW to devise a strategy, a roadmap and a slew of connections to guide the way.

Download the complete agenda here.

Register for APEX Digital Currency Partnerships here.

Current Event Supporters:

Share this article with your social network, just click below to share now!

Share |

The Crypto Awards @ APEX Digital Currency Partnerships

The Crypto Awards
@ APEX Digital Currency Partnerships
September 8th | 4pm






Join us as we recognize the contributions of the:
• leading innovators and disruptors building the future of the financial services, payments & investing infrastructure
• trail blazers legitimizing the industry to the rest of the financial services world
• entrepreneurs lassoing this new technology to do real good for under-developed communities and constituencies
• future leaders of payments and financial services

Awards:
1. Best Retail Application of Cryptocurrency:
For the top company or platform that is enabling retailers to embrace cryptocurrency. We’re looking for great innovators who are re-thinking the way merchants process payments, manage loyalty, interact with customers – and how cryptocurrency plays a role. Open to company or an individual product. Credit goes to the CEO of the companies involved.

2. Leading Investor:
For those who are putting their money where their mouths are an investing in the cryptocurrency space. We are not only looking for the silent wallets – we’re looking for the true believers who have an innate sense of where the industry is headed, and its untapped opportunities. Awarded to an individual, not a firm.

3. Biggest Global Impact:
How is cryptocurrency changing the world and making its inhabitants safer, better-educated and more prosperous? We want to hear about the charities, nonprofits or for a company that funneled cryptocurrency to a charitable cause. Applications can include those that better emerging markets, aid disaster victims, etc.

4. Trailblazer:
Our MVP of the industry, this award is reserved for who the industry chooses as its most influential person in digital currency. Awarded to an individual who has made sizable and measurable contributions to the acceptance of Bitcoin.

5. Rising Star:
Cryptocurrency is known for its young, vibrant entrepreneurs who are hell-bent on changing the guts of the financial system. Now’s your chance to pinpoint the most influential digital currency market maker under the age of 25.

6. Best Crypto Partnership:
The key to mass adoption for cryptocurrency lies at the partnerships the industry’s leaders create with established payments, banking and investment players. We want to see the best of the crypto-mainstream mash-ups. This will be awarded to the CEOs/senior leaders of 2 companies.


The nomination process:
Nominations can be submitted online. Nominate your crypto stand-outs, and why you think they deserve the nod. Nominations are free and are open now, the voting closes on July 31st. Submit your nominations here.

Nominations must include:
• Name of nominated organization
• Name of award
• A brief synopsis (250 words) on why the nominee meets the core criteria for the category

Voting:
We'll turn the nominations over to our speaker voting board, who will choose the shortlist of nominees. This shortlist will be available to the public for voting on August 18th and voting will close September 5th.

Winners:
The winner of each award will be announced live at APEX Digital Currency Partnerships on September 8th to the entire event audience. We encourage all nominees be present for the announcement.

Winners will receive:
• A prominent profile on the event website
• Profile in post event email campaign
• Interview post event which will be distributed on our social media channels
• Crypto Awards logo to use on your own website / marketing material

For questions on the awards, please contact Michellee Nelson at 646-895-7406 or mnelson@iirusa.com

Share this article with your social network, just click below to share now!

Share |

Reddit AMA with Patrick Byrne, CEO, Overstock.com & APEX: Digital Currency Partnerships Keynote Speaker

Introducing APEX: Digital Currency Partnerships, September 8-9 in San Francisco, CA. Our mission is to bring digital currency to the forefront of financial services. At APEX: Digital Currency Partnerships, you'll engage in new conversation, bridging Bitcoin philosophy and business development. We'll cover digital currencies as transactional currency, investment vehicles, protocol platforms and the underpinning of financial services for mainstream and underserved consumers.

The keynote address at APEX: Digital Currency Partnerships will be given by Patrick Byrne, CEO, Overstock.com. Mr. Byrne recently sat down are did a Reddit; Ask Me Anything (AMA). Below are a few answers that dive into digital currency and topics we will be covering in Septmeber

Register by Friday, June 6th to lock in the early bird rates!



What would you say to other CEOs and decision makers who are hesitant to utilize bitcoin?

It depends upon what their hesitancy is...There are business reasons to do it: save on transaction fees, eliminate fraud and chargebacks, etc. There may be business reasons not to do it as well, such as the risk of volatility (but this concern can be obviated by trading out of Bitcoin immediately upon receipt, a service that the firms like Bitpay, Coinapult, and Coinbase all offer, I believe). But if they are pro-freedom, they should want to get behind it on principle alone. Ghandi said, "Be the change you wish to see in the world."


Clearly bitcoin and other cryptocurrencies have the potential to change how our world does money for the better. What made you such a strong believer in bitcoin, and how would you spread this knowledge to other CEOs like yourself?

I became a strong believer in several ways.

1) As a grad student at Stanford I studied computation thory, which underlies public key encryption, and so when cryptocurrencies came along it was not as magical-sounding to me as it might have been.

2) I am a proponent of the Austrian School of Economics, which, in general, eschews fiat currency in favor of a gold standard. The goal is not really the gold standard, however: the goal is to have a form of money that is intrinsically limited. Bitcoin et. al. accomplishes that.

In addition, cryptocurrencies are SpaceCash (a word I think I just made up) that can be beamed across the galaxy! (Henceforth in my answers I will use "SpaceCash" top refer to all cryptocurrencies.)


To read more from Mr. Byrne's Reddit AMA, click here.

And to hear him speak at APEX: Digital Currency Partnerships. Make sure you book your ticket today!

Share this article with your social network, just click below to share now!

Share |