California Approves Bitcoin - Essay Example

Bitcoin enthusiasts in California can now finally use digital currency bitcoin openly for transactions.

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The people of California have showed interest in bitcoins for a long time, some of them even started using it secretly. But now, interested individuals and merchants can finally use digital currency bitcoin legally.

The governor of California has approved crypto currency bitcoin. Bitcoin enthusiasts and merchants residing in this US state can now use the crypto currency to buy and sell products.

The ratification of a new finance bill is what made this possible. Because of the bill, users in California can now choose to pay in bitcoin. Only the US Dollar was recognized officially before.

It can be said that California is a Bitcoin-friendly State in the United States. However, as the new bill allows use of other digital and national currencies, local bitcoin users think it is a progressive step.

Local reports informed that some new legislation is impending for 2015. The bill AB129, passed by Governor Jerry Brown is one of the important ones among them. It was passed in mid-2014.

California media shared that the bill aims to end a prohibition against use of any alternative to USD for commerce.

The bill also identifies and allows the use of alternative currencies for transactions. So, there is enough scope for crypto currencies like bitcoin and litecoin.

California’s newly accepting stance on bitcoin makes it one of the more bitcoin-friendly states in America, where political view on the rise of crypto currencies is highly polarized. New York’s BitLicense is an apt example.

Some of the observers expressed that the state’s decision is not surprising as California has been one of the technology centers of the United States for a long time.

This is why it was predictable that California will make headlines about accepting bitcoin.

The Silicon Valley area has 32 bitcoin companies supported by venture-capitalists. Also, state residents secured top position for googling “bitcoin” in 2014.

This shows increased interest about the digital currency. This is why bitcoin gained so much traction in California. The legislators are simply respecting the popular sentiment.

The businesses in the state which have already accepted bitcoin can now admit it as the crypto currency is considered “legal money.”

In addition, many new outlets and businesses will be motivated to accept bitcoin as a payment method.

In an interview Fletcher Starkey, owner of a San Francisco based bar and restaurant, discussed the ratification of the bill.

His company accepts bitcoin since the time it was opened in 2014. He thinks that the state and Governor Jerry Brown are moving in the right direction.

Fletcher Starkey, owner of CDXX, said “California is leading the charge toward a more secure and simple payment system, which benefits customers and merchants, instead of credit card companies.”

He also explained how CDXX, his restaurant, has “plenty of tech savvy customers and business owners, and many open-minded entrepreneurs. I wish every one of my customers would trade in their Visa for Bitcoin.”