CeX Accepts Bitcoin In The UK - Essay Example

CeX, the Second hand electronics retailer, has announced that they will support Bitcoin for sales and purchases at all their centrally-owned shops in the United Kingdom. This has been made effective from Wednesday.

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They claim that this is the largest adoption of the leading crypto currency on the UK high street till now.

The retail company owns 30 shops directly. It also grants franchises for about 170 more shops. Only the shops that are directly managed by CeX are expected to accept Bitcoin.

The stores will also keep Bitcoin as a currency option for paying for purchase of used devices from the customers. In the CeX store, a buyer would have to pay 2.36 Bitcoin for an iPhone 6 while a customer can get 0.86 Bitcoin by selling his PS4 to the company.

This step of accepting Bitcoin as a payment method was announced after a pilot project held in Glasgow and Scotland’s first Bitcoin ATM’s installation. 5 more ATMs will be placed in shops in different locations of the country. The company has not finalized yet which branches the ATMs will be installed in.

The company has informed that it employs a system that integrates payments processor Coinbase and that the ATMS they will launched will be Lamassu ATMs, like the ATM in Glasgow. It was found that all the ATMs were purchased using bitcoins.

The company became the very first national UK retailer to adopt Bitcoin. They celebrated their online launch by turning their Glasgow store into a pound-free zone for 3 days.

The firm also plans to hold the leading digital currency at a central level, resisting the trend for retailers exchanging their digital currencies immediately to US dollars, British pounds or other fiat currencies.

As many businesses are threatened by the price volatility of the digital currency, they try to reduce as much of their holdings as possible in order to minimize risk.

CeX claims that it is responsibly supporting the stabilization of Bitcoin by retaining its Bitcoin holdings.

The commercial director of CeX, David Butler shared that for the start-up, Bitcoin is not only a passing fad. In fact, they consider the crypto currency to be the beginning of an important shift in the way individuals think about digital asset.

He said that their customers always seek new and engaging ideas. They search for innovations and this new attitude is not limited to any new game or a phone but it is reflected in their approach to payment choices.

Although CeX serves a technologically inclined customer group, they think a lot of work needs to be done to convince customers about the benefits of Bitcoin.

Butler commented that bitcoin integration allows a nice way to connect potential users with a way of actually receiving or spending bitcoins.

Butler concluded by stating in only their Glasgow store, first day’s transactions in Bitcoin has been 50% of transactions on webuy.com. They expect the response to their Bitcoin acceptance to be dramatic in all the major cities in the UK.