KNOXVILLE, Tenn. (WATE) – Cryptocurrencies are becoming increasingly popular around the world and in East Tennessee.
Because of this, Ben Morton decided that his company would accept it as payment earlier this year.
“We wanted to focus on the versatility of our customer service and offer our customers as many payment options as possible,” he said. Morton owns Tech Boss, LLC and believes this high-tech financial network will stay here.
James Reeve, Professor Emeritus at Haslam College of Business at the University of Tennessee, agrees. He says the best way to understand cryptocurrency is to think beyond the coin itself and instead see it as part of a network.
- In contrast to a bank, this network facilitates the transfer of value between two people without an intermediary.
- Even unlike a bank, Reeve explained, there is no owner or central location.
- There is no such thing as physical money or actual coin.
- Transactions are digitally stored in virtual ledgers, verified, and then duplicated around the world in a program called blockchain.
Reeve found that the decentralized and secure payment method could be liberating for others around the world.
“There are parts of the world where people don’t have access to credit. You don’t have access to banks. They don’t have access to credit cards. In fact, they are kind of separate from the financial system, ”he said.
The value of currencies like Bitcoin is determined by demand.
Many see this demand as an investment opportunity. Reeve believes the network offers opportunities, but also urges users, investors, and speculators to exercise caution and do their research.
“This is absolutely the wild west. There are some great ideas worth investing in that you can benefit from by actually investing in the coin associated with this network. There are others who will end up being worthless, ”he added.
Morton noted that values change daily and have been particularly volatile lately, but said he was still comfortable accepting virtual currency as a means of payment.