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A new form of digital currency known as bitcoin has recently come into prominence. Only 21 million bitcoin exist, and 12 million are currently in circulation.
PHOTO ILLUSTRATION BY MICHAEL STRICKLAND/KANSAN
progress Advancements toward an intramural championship between Mizzou were made over winter break and will continue throughout the semester. Marcus Tetwiler is working with a corporate sponsor to cover travel expenses and funding for food.
Amelia Arvesen
http://bit.ly/1e94M7t
GRAHAM STEVENSON Leawood junior
gets bigger."
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currency is hiding itself in the limelight this week, thanks to controversy surrounding Charlie Shrem, the CEO of BitInstant, a popular bitcoin exchange website. Shrem faces accusations that he knowingly used the company to convert cash to bitcoin to be used on Silk Road, a black-market website shut down last year that is primarily used to purchase drugs. With attention like this across the media and the Internet, questions and concerns continue to pop up regarding this new, mysterious technology.
Bitcoin acts as a form of payment on the Internet, with buyers and sellers transferring
"Different forms of money and payment have been used historically," Wu said. "First it was stones, precious metals or even chocolate as money, so as technology progresses you start to see these different forms take shape."
professor Shu Wu said it's not a surprising development in the way we pay for things.
How do you get bitcoin?
Many of the comparisons made for bitcoin are not to
"People think of Bitcoin as a currency, but it's really more of a speculative commodity. It's sometimes easier for people to work with it when you think about it like this," said Walt Ohnesorge, a board member
cash but to gold, which is a precious, finite commodity, unlike money.
There is a finite amount of bitcoin in the world, 21 million to be exact, and 12 million are currently in circulation. In order for a bitcoin to come
at the Lawrence Percolator, a nonprofit local art gallery that is the first business in Lawrence to accept bitcoin transactions.
into circulation, it must first be "mined."
Those who mine bitcoin do so by solving difficult computer algorithms, almost like computer puzzles, to release the coins. Not just
CRYPTOQUIPS 5
OPINION 4
CLASSIFIEDS 13
CROSSWORD 5
SPORTS 14
SUDOKU 5
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