Bitcoin : a new way to understand payment systems

Abstract

Bitcoin has recently raised substantial attention from a variety of players: media, academia, and regulators. While the price of Bitcoin has continuously and substantially gone down since its peak in December 2013, other metrics indicate a more optimistic prospect. The adoption of Bitcoin is increasing rapidly, even in off-line channels, with companies such as Microsoft, Paypal, EBay, Dell, and Expedia now accepting Bitcoin payments. Venture capitalists are avid for investment opportunities in Bitcoin related opportunities, such as online wallets and remittance payment systems among others. Bitcoin has a prominent present as a payment technology and the potential to grow as a relevant alternative to credit cards and bank transfer. However, some features of its configuration will hinder its future growth. In this paper, I explore what Bitcoin is today and how could it be improved.