Do you want to buy your next car with bitcoin? What about your next cup of coffee?
Elon Musk, a longtime advocate for bitcoin, will soon be joining Tesla Inc. gives customers the chance to buy the company’s electric vehicles using the digital currency. The news – along with Tesla’s attempt to acquire $ 1.5 billion of cryptocurrency for its corporate treasury – raised the price of bitcoin by 25% from Sunday to a new intraday record of $ 48,226 on Tuesday .
For bitcoin bulls, the announcement was the latest sign of validation for the burgeoning digital currency.
Despite the fact that investors have started, bitcoin is slowly emerging as a means of payment. It was originally created in 2008 to function as an electronic version of cash, enabling two people around the world to exchange value digitally as if they were physically exchanging cash.
In practice, it has not worked that way yet. The cost of using bitcoin and its volatility has made normal, daily transactions impractical. This is unlikely to change if Tesla accepts the currency.