What Can You Buy With Bitcoin: Bitcoins Buying Power

Bitcoin is quite a popular tool for trading and like other currencies, it is accepted for payment of goods and services. In this report, we will consider the possibilities of how to spend Bitcoin in today`s realities.

Trends in Bitcoin Adoption

Paying with BTC is becoming widely affordable and a huge number of enterprises are keeping up with the dynamic world of cryptocurrency. Today you can freely buy a house, airline tickets, book a hotel, fuel a car, order food, pay subscriptions, and buy appliances with Bitcoins. Real-time BTC exchange rates can be tracked on the Godex exchange platform.

Bitcoin’s emergence in the financial world shook the community of bankers, but every year it gets closer and more integrated into various systems. In July 2020, the US Office of the Comptroller of the Currency gave the green light to the country’s banks to store and manage their customers’ digital assets. The regulator’s official permission to cooperate with any registered cryptocurrency company has dispelled bankers’ skepticism to work with representatives of the crypto industry.

There are many banks in the world where people can buy, store and withdraw cryptocurrency such as Revolut (UK and Europe), Bank Frick (Liechtenstein), Wirexapp (UK), and Fidor (Germany).

Utilizing a Peer-to-Peer (P2P) Marketplace for Bitcoin Expenditure

Bitcoin is one of the first cryptocurrencies utilizing P2P technology to invoke instant payments. This technology allows online rewards to be sent directly from one party to another, bypassing any financial institutions, thereby reducing costs and increasing security. 

You may contact a seller to discuss the transaction terms such as price and quantity. Following the provided payment instructions, you transfer the agreed amount in Bitcoins to the specified wallet address of the seller after agreeing to the terms and conditions. Upon receipt of payment confirmation, the seller will make the agreed deliveries of goods or services. Stay in touch with the seller and monitor the transaction at all times.

Before making any Bitcoin transactions through a P2P marketplace, it is important to be cautious, confirm the seller’s reputation, and verify the security and cost of the platform.

Spending BTC through a Bitcoin ATM

A Bitcoin ATM is an ATM kiosk that is specifically designed for Bitcoins, but not infrequently provides access to other cryptocurrencies. Essentially, these types of ATMs allow individuals to directly buy and sell Bitcoins along with other disposable cryptocurrencies.

There are two types of machines: one-way and two-way. A one-way machine only allows customers to buy cryptocurrencies while a two-way facility entitles also to sell virtual coins. Most of the machines only accept cash, but you can find others that accept credit and debit cards.

Just as banks have their ATMs and the crypto exchanges have their platforms, some companies also use their own Bitcoin ATMs. Essentially, Bitcoin ATM vendors are third-party enterprises that sell facilities to merchants (like regular shops and businesses) that want to install an ATM in or for their business.

Leveraging Bitcoin Remittance Services for Expenditure

Cryptocurrency offers a promising solution to the problems associated with established money transfers. By utilizing blockchain, virtual transactions are processed quickly, securely, and at a lower cost than typical services. The global reach allows for cross-border transactions, making it ideal for international transfers.

Just like traditional money, Bitcoin works with money transfer operators. However, the difference is that the BTC operators use a cloud-based system, meaning they operate digitally. 

Since Bitcoin is decentralized and only exists in a digital form, it is very convenient to use, especially for those who do not have access to traditional banking services. Such people can send funds instantly even if they don’t have a bank account. All they need is a stable internet connection. 

Money transfer operators in the cryptocurrency context can include various concepts such as Bitcoin wallets, exchanges, or peer-to-peer platforms. 

Essential Requirements for Bitcoin Spending

Paying with Bitcoins involves obtaining a wallet, purchasing BTC, finding businesses that accept such payments, making transfers using wallet data or QR codes, waiting for transaction confirmation, and keeping records of transactions for accounting purposes.

You need to look for businesses or service providers that accept Bitcoin as a form of reimbursement. When you make a purchase, a merchant will usually offer a QR code or payment address in Bitcoins. The next step is to confirm the payment and view the transaction details.

For accounting and tax purposes, you have to keep a record of your BTC transactions. Typically, the wallet offers a transaction history that they can access as needed.

What can you buy with Bitcoin?

To the question of how to spend my Bitcoin the answer is you can buy almost anything from physical goods to online services. We have compiled for you the top 6 options worth spending digital money.

Online Shopping and Retail

Bitcoin is becoming an increasingly popular payment method for buying clothing and accessories, with many retailers accepting it. Major brands, including Etsy, have also started receiving Bitcoin payments.

The availability of buying medicines with Btcoin has been made possible by Aliberti Pharmacy, and MedExpress, and you could even have purchased a rapid COVID-19 test at PharmcoRx. 

Where can you spend Bitcoin? You can buy gift cards to redeem at some of the biggest furniture retailers, including Overstock.com and Wayfair. You can also purchase electronics and home appliances. Newegg accepts gift cards that can be purchased with Bitcoin, as do major appliance retailers such as Best Buy.

Petrol stations such as The Cosmic Market, Tifon, OTR, Coin Fueled, WOG, and VET d.o.o, accept payment with BTC too. 

Howsoever, the range of products, services, and places where to spend Bitcoin does not end there and continues to grow. 

Travel and Hospitality

You can book a trip using Bitcoin, while Airbnb allows hosts to accept Bitcoin payments for rentals.

Destinia is the first online travel agency that started selling tickets for cryptocurrency and integrated Bitcoin payments back in January 2014. 

In 2019, the leading travel booking platform Travala, partnered with Booking giving its customers the ability to book any hotel from the Booking.com aggregator and pay with cryptocurrency.

Digital Entertainment and Gaming

Online gaming platforms such as Steam and Xbox Live accept Bitcoin payments to purchase games and subscriptions. Bitcoin can also be used to purchase music and films from online shops such as iTunes and Amazon. 

One of the most popular things you can buy with Bitcoin is software and digital subscriptions. Any kind of software can be purchased with Bitcoin, including productivity tools, antivirus, and even video editing software. Many digital subscription services also accept gift cards purchased with Bitcoins, including streaming services like Spotify and Netflix.

Dining Out and Food Delivery with Bitcoin

Many cafes and restaurants are becoming the common places to spend Bitcoin, and various services offer the ability to buy gift cards from major food chains such as Subway, and Domino’s with Bitcoin.

Grocery shops most commonly use gift cards for Bitcoin purchases. Thus, Starbucks, Chipotle, Uber Eats, GrubHub, Deliveroo, Walmart, Rewe, DoorDash, Carrefour and Just Eat are among the best places to spend Bitcoin.

Real Estate and Bitcoin Transactions

In general, today buying property for cryptocurrency is possible in many countries, but transactions are processed differently everywhere. Where can I spend Bitcoin to acquire real estate? Below are a couple of illustrative examples.

The first transaction to buy property for cryptocurrency took place in Indonesia in 2014. The buyer of a luxury villa in Bali wished to remain anonymous, but it is known that he paid 800 Bitcoins (BTC), which at the time was about $500 thousand. 

In 2017 in Montenegro, three luxury flats on the coast in Budva were sold to an anonymous crypto investor for 420 Bitcoins, which at the time was equivalent to $3.2 million. Cryptocurrency is not considered a means of payment in Montenegro, but there are no bans on its use either. The country’s authorities are quite loyal to civil legal relations, so various transactions can be concluded by agreement of the parties.

Cryptocurrency Debit Cards

Just like a regular debit or credit card, cryptocurrency debit cards allow you to perform everyday transactions using BTC, ETH, XRP, and other altcoins. Many of the products have been co-branded with Visa and Mastercard, which means they can be used in millions of places. You top up your cryptocurrency debit card with the digital currency of your choice. You can then make purchases through a mobile app or website. Many cryptocurrency debit cards offer generous spending limits as well as low transaction fees.

You will be able to use your cryptocurrency debit cards for ATM withdrawals – and many products on the market also support Apple Pay, Google Pay, and Samsung Pay. Some cards offer rewards, such as airport lounge access or cashback on transactions.

Safety Measures for Bitcoin Purchases

Paying with cryptocurrency and accepting it as a payment method is not as easy as credit/debit cards, bank transfers, or ApplePay, as these methods work with fiat currencies. But recently, setting up cryptocurrency acceptance on a commercial website is no longer a problem. Many companies that have already implemented Bitcoin have appreciated the high security of online transactions, lack of fraud and chargebacks, and low fees.

To accept BTC or another cryptocurrency, the merchant needs to connect special payment services or integrate technical solutions that generate a wallet address to which customers can transfer funds. Bitcoin transaction processing is quite simple and fast. The customer opens his cryptocurrency wallet, scans the QR code of the payment account on the merchant’s website, and confirms the action with a PIN code (or other method). Once the funds are credited to the specified account, the Bitcoin network recognizes and confirms the transaction. Thanks to blockchain technology, every transaction made is stored in a single registry. Everyone has access to information about all transactions, but no party can change or falsify the transaction record.

When you spend your Bitcoin you certainly, will have to pay for the comfort with certain risks, such as exchange rate fluctuations, inability to restore access to the wallet in case of loss of the private key, irreversibility of the transaction, lack of insurance of crypto-assets, and others. But, if all precautions are observed, paying in digital assets has many advantages.

FAQ

Can I use Bitcoin to buy physical goods and services?

Most people imagine that Bitcoin can only be used for virtual payments (wallets, exchangers, gambling industry) and associate the BTC procurements of specific goods with a rather complicated procedure. This is not the case at all.

With Bitcoin, you can buy appliances, airline tickets, hotels, groceries, online subscriptions, and even property objects. The list of things will grow with the famousness of Bitcoin. And how do you spend Bitcoin?

Are there any restrictions on what I can buy with Bitcoin?

Although the abundance of companies accepting digital coins is boosting, there are still not many opportunities for how can you spend bitcoin. The current infrastructure for buying goods and receiving payments in BTC is still underdeveloped. There are also restrictions in some countries where Bitcoin is not used as a means of payment. These points make it difficult to widely use cryptocurrency in everyday life.

Can I convert Bitcoin into traditional fiat currency to make purchases?

Let us imagine that you finally bought your long-awaited cappuccino using your BTC debit card. Once the transaction is complete, the card provider will convert the digital currency into cash, which means that the coffee shop will receive your payment in fiat currency, such as US dollars, pounds sterling, or euros.

Disclaimer: Please keep in mind that the content of this article is not financial or investing advice. The information provided is the author’s opinion only and should not be considered as direct recommendations for trading or investment. Any article reader or website visitor should consider multiple viewpoints and become familiar with all local regulations before cryptocurrency investment. We do not make any warranties about reliability and accuracy of this information.