Consumer Reports on Bitcoin: It's a Gamble Until Prices Stabilize

Consumer Reports on Bitcoin: It's a Gamble Until Prices StabilizeConsumer Reports finally weighed in on bitcoin, providing an overview of the good and the bad elements of the cryptocurrency.
“For online retailers, accepting bitcoin along with fuddy-duddy U.S. dollars has become a way to announce their virtual hipness,” says CR, referring to the moves by TigerDirect, Overstock.com, and Zynga to accept the virtual currency as payment.
Asks CR: Is bitcoin the next Internet or this generation’s Internet stock?
Consumer Reports really doesn’t answer the question. It mostly defers that conclusion but makes sure that consumers know the risks.
“It’s true that traditional banking systems have their shortcomings, particularly in the U.S., where it can still, frustratingly, take days for some types of transactions to clear,” CR says. “But it seems likely that the attraction of bitcoin is still largely speculative in nature.”
But there is a potential benefit that may evolve from bitcoin transactions, which don’t require fee-heavy third-parties for consumers and smaller fees for bitcoin-accepting businesses, compared with the current payment networks.
“Maybe the best outcome from the bitcoin experiment isn’t that it will make some people rich, but rather that it might persuade our traditional banking systems to undertake a much-needed overhaul to make financial transactions better, faster, and cheaper.”
Read CR’s article.

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