New ATMs turn real money into Bitcoins
The machines will convert cash or funds from your bank account into the digital currency -- for a very real fee.
Bitcoins are taking a step into the real world, with an entrepreneur planning to introduce ATMs for the digital currency in Los Angeles and Cyprus.
But there's a catch: Rather than dispensing cash, the Bitcoin ATMs will transform your hard-earned real money into the digital currency. On top of that, the ATMs will charge fees of about 3%, which is slightly more than what regular ATMs charge, according to CNN.
The ATMs will convert cash into Bitcoins stored in a Bitcoin wallet, or else will transform the cash stored in a personal Bitcoin account into the digital currency, according to the report.
The electronic tellers were developed by 42-year old Jeff Berwick, who says he's had orders for hundreds of the ATMs from 30 countries.
"It's been hard to get access to Bitcoins," Berwick told CNBC, explaining what spurred the idea for the devices. "You can trade them over the Internet, but it's not all that easy to do."
So what can you do with a Bitcoin? As my MSN moneyNOW colleague Kim Peterson wrote on Wednesday, you can use them on sites such as PizzaForCoins, which takes Bitcoin payments and then places pizza orders with companies such as Domino's (DPZ).
But people are also buying Bitcoins to hedge against real currencies, viewing them as a new way to store their money. Their value has surged from about 4 cents in 2010 to more than $140 in recent weeks amid worries about the strength of government-backed currencies and the bank runs in Cyprus.
That's leading to concerns about Bitcoins themselves, with fears that the digital currency is in the midst of a bubble. Then there are concerns about the security of the virtual currency, which quickly lost 20% of its value last night after one of its top exchanges was hacked, according to CNBC.
But its freewheeling culture is one of the virtual currency's advantages, according to Berwick.
"These are the kinds of really exciting innovations that can come from the free market," he said. "This monetary system we have today is much more dangerous than anything Bitcoin has."
To me Bitcoins are a disaster waiting to happen...Has anyone ever held a Bitcoin in their hand.?.
Actually maybe they have? or I might have one in my hand now?...It's called air.
I wouldn't suggest putting all of your money into Bitcoin, as with any other thing, but to have a hundred dollars or two worth of BTC to spend is always handy.
Have you ever help a dollar in your hand? It is just a piece of paper and nothing else...lol
Copyright © 2013 Microsoft. All rights reserved.
Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.
Sales of collectible automobiles hit an all-time record this year, leading some to speculate that soaring prices could lead to a huge deal.
- Bah, humbug! New Christmas tree tax proposed
- Should you get a store credit card?
- The best credit cards of 2013
- Can a new chief exec keep GM on course?
- 'Tips for Jesus' big spender unmasked?
- Chinese investors are buying up Detroit
- Mega Millions jackpot hits $344 million
- 5 reasons to think twice about a balance transfer card
- Will I have to pay taxes because of a foreclosed home?
[BRIEFING.COM] The S&P 500 continues trading near its session-low as today's downtrend persists. Meanwhile, the Nasdaq (-1.1%), which traded ahead of the broader market earlier, now trails the S&P 500.
With regard to individual sectors, five of ten groups register losses of 1.0% or more. On the upside, the consumer staples sector (+0.6%) sits at its best level of the session.
Treasuries have continued their afternoon retreat that began following today's ... More
More Market News
Fears of new firearm restrictions arose after last year's Sandy Hook school shooting, but those appear to be fading with time.