If one were to have a list of frequency for words used in conversation and on the web, then Bitcoin would have to be somewhere near the top. From the first price spike in 2011 where it rose by 3200% in three months, it has been the predominant word on many investors’ lips. After its meteoric rise, it is clear that Bitcoin is here to stay and may one day be a genuine payment option accepted at most businesses worldwide. It has been backed multiple times by Elon Musk and his company, Tesla, has begun to accept it as payment for its cars. In Colorado especially, Bitcoin seems to be gaining some favour.
Colorado’s own Governor Jared Polis has always been known to be a supporter of cryptocurrency – a currency that is completely virtual. During his campaign, he became the first US politician to accept donations of Bitcoin. This integration of the relatively new cryptocurrency into US politics marks a major step forward for Bitcoin and illustrates a promising future. More recently though, Polis has proclaimed a desire for Colorado to become the first state to accept taxes in cryptocurrency too, saying “I’d be thrilled to be the first state to let you pay your taxes in a variety of cryptos”. With the rise of a number of different cryptocurrencies, it would not be surprising to see this idea come to fruition.
The Governor also said, “Colorado is and will be the centre for blockchain innovation in the United States”. It is clear that he is backing crypto all the way, which can only be a good thing. Giving residents more ways to pay their taxes is welcomed, and only serves to illustrate the legitimacy of cryptocurrencies like Bitcoin. However, Colorado would not be the first state to try and blend cryptocurrency into the system. Ohio has already tried it – in 2018, the state allowed only businesses to pay taxes in cryptocurrency. It was shut down a year later after only 10 businesses used it. Three years later, and it remains to be seen whether Polis’ plan will work in practice.
Cryptocurrency applications are numerous. Yankees manager Aaron Boone has already said that using crypto to pay its players is “definitely a big conversation in our clubhouse”, showing that there is some interest in using crypto like Bitcoin and Ethereum as a valid salary. Due to its popularity, the world is already beginning to see Bitcoin accepted in businesses, the most prolific being the aforementioned Tesla. Even the gambling industry is getting on in the action and taking crypto as a form of deposit. Players can use Bitcoin to play with some options here, which is indicative of the widespread use crypto is now seeing.
Cryptocurrency, whilst it certainly does have its critics, is looking more popular than ever and shows no sign of stopping. Despite its volatile performance in the stock market, it is clear that it will be a useful alternative to traditional currencies.