Up to this date, the usability, function and exchange of Bitcoins and other digital currencies have been limited and circulating around small communities-group of individuals or large enterprises-who have ventured into the world of digital currency.
Since the community is small, the ability to spend or trade it for various products is also limited and a lot of this currency owners hope that it can be widely accepted in the future. Although these are possible, this will take time and a lot of discussions as the concern for safety and security is at large. Besides that, the government and some large institutions are threatened with the possibility of using such a system.
The Reluctance of Bitcoin
Not many people widely accept digital currency. If you haven’t heard of it or aren’t one of those who have spent much of your time understanding, mining and acquiring the said currencies, you will not feel safe trading in or acquiring such currencies in exchange of items that you wish to sell or have. It has not been accepted widely and the fear of the loss it may acquire in the future is great due to the fact that there is no governing body in it. People would need to feel safe using it but this would normally require the interference and approval of the government and general sectors of the financial market.
The Need for a Controlling body and Fiat
The transfer to digital currency would allow people to make online trading without issuing actual and paper money which are prone to being stolen. However, it is not a hidden fact that some digital currencies have been stolen too. The government would want to control it as there is a significant amount of income from the exchanges and trade. Other sectors not open to the actual value of digital currencies may find it hard to liquidate their assets and make use of digital currency exchanges.
Although the future of digital currency adoption is greatly possible, the greatest risk everyone has to deal with would be the security. For example, PayPal is trying to impose this on their system (the news of which eventually made the value of Bitcoin rise in one day) but the problem is, delivery schedules may often not be met and it would be hard to recover the said currency-also includes defects on products upon delivery. The possible adoption could take time and effort from both the government and independent sectors to work out the glitches in connection with fraudulent acts over the internet and sectors wishing to sabotage the project.