A new Bitcoin ATM has been installed in Saint John’s West End, on Ludlow Street, offering residents another way to buy cryptocurrency directly, a sign of growing interest and acceptance.
Bitcoin Lands on Ludlow
While specific data on Bitcoin usage in New Brunswick is scarce, Canada has seen a significant uptick in cryptocurrency adoption. According to the study, Cryptoasset Ownership and Use in Canada: An Update for 2022, approximately 13% of Canadians own some form of cryptocurrency, with Bitcoin being the most popular. The rise in Bitcoin ownership from previous years is partly attributed to the increase in Canadians' savings and wealth during the pandemic. The study also highlights that while the awareness of Bitcoin is high among Canadians, the understanding of its workings remains low outside of the owning community.
What is Bitcoin?
Created in 2009 by someone using the pseudonym Satoshi Nakamoto, Bitcoin is a form of money that can be sent and received without having to go through regular banks. Instead, it uses a digital ledger that keeps track of all transactions on many computers around the world. Today, Bitcoin's price is approximately $100,864.07 USD. With $1, you can buy about 0.00000979 Bitcoin.
Benefits and Drawbacks of Bitcoin
Benefits
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Lower Transaction Fees: Bitcoin transactions generally incur lower fees than traditional online payments, making it attractive for small business transactions.
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Decentralization: Without a central authority, Bitcoin promises a form of financial freedom from traditional banking restrictions and fees.
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Privacy: Bitcoin transactions offer a level of anonymity, appealing to those concerned about privacy.
Drawbacks
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Volatility: The price of Bitcoin can be highly unpredictable, which adds a risk factor for businesses and investors.
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Regulatory Uncertainty: The lack of clear regulations can be a hurdle for widespread adoption, as businesses and consumers navigate the legal implications of cryptocurrency transactions.
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Limited Acceptance: Despite growing interest, Bitcoin is still not as widely accepted as traditional currencies, limiting its use for everyday transactions.
Where is Bitcoin Accepted in New Brunswick?
As for services or products accepting Bitcoin, it’s slim pickings. However, the trend is slowly catching on as more business owners appreciate the lower transaction fees and global reach of cryptocurrencies. In the meantime, Bitcoin owners can buy store-branded prepaid cards to make purchases from businesses that do not directly accept cryptocurrencies.
Making Money from Bitcoin: Investment or Gamble?
Bitcoin is known for its price volatility, which can result in high returns for investors but also significant losses. Unlike traditional investments, Bitcoin's value can fluctuate wildly within short periods, often driven by global events and investor sentiment. While some compare it to gambling due to its unpredictability, others view it as a legitimate investment akin to stocks or real estate.
As Saint John welcomes its new Bitcoin machine, the future of cryptocurrency in New Brunswick looks promising yet uncertain. Will this lead to wider acceptance of Bitcoin across the province, or will the volatility scare off potential users and investors? Only time will tell, but one thing is certain: the cryptocurrency wave is here, and New Brunswick is starting to ride it. Are you a New Brunswicker who uses Bitcoin? We'd love to hear from you in the comments.
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