It is currently estimated that Bitcoin accounts for around $10 billion in illegitimately acquired services and products. Bitcoin can be used to buy illicit drugs such as black market prescription medications, purchase illegal weapons, and even hire contract killers. Bitcoin also makes it possible for ransomware hackers to take hostage an individual’s computer files until the victim has sent them a hefty sum of Bitcoin through physical or electronic means.
Despite Bitcoin’s dark side use cases, there is a far brighter side: Bitcoin is slowly but surely making its way into mainstream society and beginning to become more widely adopted and accepted than ever before. Quantum AI can also help you in providing all the authentic details about bitcoin trading.
As Bitcoin begins to gain momentum in popularity worldwide, some states are starting to take notice – particularly New York state [believed to be the epicenter of Bitcoin exchanges and Bitcoin mining operations].
According to The New York Post, Bitcoin can be potentially used as a money-spinner for the Empire State. For example, Bitcoin is an attractive option for tourism businesses considering that many Bitcoin enthusiasts are looking to spend their digital currency on travel and vacations.
BitPay co-founder Stephen Pair said that “tourism bureaus could market themselves as destinations for Bitcoin users.” Areas such as the Niagara Falls region could benefit greatly from increased Bitcoin adoption given its large volume of non-locals who visit each year and the vast amount of tour operators and transportation services that cater to tourists. And it isn’t just small businesses either: BitPay has over 50,000 merchants in its books – roughly ten times more than it did last year. Bitcoin is not just for small businesses though; luxury resorts Five Diamond Waterfront Hotel could offer Bitcoin as a payment method to guests wanting to use Bitcoin, spurring Bitcoin tourism in the region too.
New York state may also benefit from Bitcoin mining operations considering the amount of power needed to mine Bitcoin compared with traditional currency transactions. According to CoinDesk, Bitcoin mining used up approximately $15 million worth of electricity in one month alone! That’s an incredible 150 megawatts of energy needed per day – enough energy to power roughly 30,000 homes.
Not only could Bitcoin help New York state benefit financially, but the move into Bitcoin will open new doors for research too. The state recently introduced its “BitLicense“, which aims to regulate Bitcoin and digital currency transactions. The BitLicense is a huge step for Bitcoin, legitimizing it as a real form of money that is here to stay.
The Bitcoin market has come a long way in just three years since its inception with Bitcoin recently breaking the $1 billion mark in terms of volume. As Bitcoin continues to gain momentum, more states are expected to take an interest in Bitcoin mining operations and Bitcoin-centric businesses too.
It is no secret that Bitcoin has been a major player in the financial market since its introduction. Bitcoin has brought about a new way of conducting transactions, which enables users to make secure and anonymous digital transfers of money across long or short distances. Bitcoin is decentralized from traditional banks and implements cryptography, hence preventing any tampering with account balances or transactions.
Bitcoin has also made possible the biggest financial gain within a few years for people who invested early in Bitcoin: A US citizen claimed to have bought $27 in bitcoin in 2009 and recently cashed out at $886k. This number is expected to reach $1 million by 2020 when factoring in Bitcoin’s volatility to go alongside its exponential growth rate within the past few years. Bitcoin can be expected to grow more throughout the next few years. Bitcoin is a good investment for citizens in the US, but Bitcoin’s ability to generate revenue may also attract another crowd: States. Bitcoin is decentralized from traditional banks and implements cryptography that prevents any tampering with account balances or transactions. Bitcoin has made possible the biggest financial gain within a few years for people who invested early in Bitcoin: A US citizen claimed to have bought $27 in bitcoin in 2009 and recently cashed out at $886k. Bitcoin is a good investment for citizens in the US, but Bitcoin’s ability to generate revenue may also attract another crowd: States
A state would benefit from taxing Bitcoin directly through exchanges, mining pools, Bitcoin business incorporation, Bitcoin ATM purchases, and Bitcoin mining equipment.
The first way a state could benefit from Bitcoin is through taxing Bitcoin directly through exchanges, etc., or by legalizing Bitcoin transactions to only monitor Bitcoin transactions.
