Back Office

What is Bitcoin?

Bitcoin is a virtual currency, like VirtaPay. Bitcoin launched in early 2009, about 18 months before VirtaPay.
Bitcoin is the first virtual currency to achieve widespread acceptance as a form of payment.
It has even begun to displace national currencies in countries with unstable economies and currencies.
Bitcoin started as all virtual currencies do... worth nothing. Then it slowly gained value.
For almost 2 years, you could buy hundreds or thousands of bitcoins for just US$1. But, then, the value of
bitcoins began to steadily rise...
  • In February 2011, 1 bitcoin finally cost US$1.
  • In June 2011, 1 bitcoin cost US$10
  • In March 2013, 1 bitcoin cost US$50
  • In July 2013, 1 bitcoin cost US$100
  • In November 2013, 1 bitcoin cost US$500
In late November 2013, the price soared past US$1,000 for a single bitcoin!

Debit Card Plans Terminated

Creating our own debit card was one of our goals since VirtaPay began. But, we had no
way of knowing the course history would take and how that would affect VirtaPay. Due to recent events
surrounding Bitcoin, we have terminated our plans for a VirtaPay debit card. Instead, we plan to provide VirtaPay users
with something much better — VirtaPay will be converted to a crypto-currency that will be exchangeable with Bitcoin.

Why drop the Debit Card?

Powerful banks and financial institutions have a strangle hold on the existing financial system.
They were unwilling to let VirtaPay create a debit card and participate in their network. So,
we planned to create our own network. We knew that developing our own debit card system on our own network
would be a monumental task. Completion and large scale adoption of such a network would probably still be
years away. Bitcoin has changed all of that!

Bitcoin is Good for The World

Bitcoin is decentralized. It operates on a peer-to-peer network of computers,
without a central server. This makes Bitcoin nearly impossible to shut down. It is out of reach of the powerful
players that control the existing financial system. Enough people are now using Bitcoin that governments, central banks,
and almost everyone relying on the old financial system are starting to get scared. The central banks of most
major governments have issued warnings to their citizens about Bitcoin. They see what is coming — as virtual
currencies succeed, they will lose control of the people's money. Virtual currencies put the power back in the hands of the people.
Which is the real scam? In its early days, many people called the Bitcoin project
a scam — and some still do. But, Bitcoin went on to become the first virtual currency to gain
enough traction among people to challenge fiat currencies issued by governments... and Bitcoin
is winning. It seems clear that Bitcoin has embarrassed all national currencies, including the
powerful U.S. dollar. People are tired of holding national currencies that lose value every time their central bank decides
to print more money. Each time your government prints more money, it devalues the money held by you and
everyone who holds that currency. Many people are beginning to wake up and realize that the "scam" is actually being run by the
governments against their own people.

Bitcoin is Good for VirtaPay

Bitcoin proves virtual currencies can succeed. Thanks to Bitcoin, a healthy and triving ecosystem
of independent virtual currencies has sprung up in defiance of the old system, putting the power back in the hands of
individual people. The success of Bitcoin is extremely beneficial for the VP$ and for the health of the
entire virtual currency ecosystem. Competition in markets is healthy. However, when a few big players control any market,
that is unhealthy and bad news for everyone except those at the top.
Bitcoin opens the door. The success of Bitcoin has opened the door for widespread acceptance of virtual
currencies, including VirtaPay. Bitcoin has proven to many people that a virtual currency can be more desirable than fiat currency
issued by a government central bank. Until recently, if you wanted to do business, you were forced to participate in the old,
corrupt financial system... but now, you have a choice.
VirtaPay is following Bitcoin's example. We are planning to migrate the technical framework of the VirtaPay
currency to a crypto-currency similar to Bitcoin. This means that the VirtaPay currency:
  • will be decentralized
  • will be nearly impossible to shut down
  • will have a mathematically limited amount of currency
  • will be steadily created over time by people who contribute computational power ("miners")

The Changes are Good for You

It can be ready much more quickly. On a technical level, these upcoming changes will be far less difficult
to develop than it would be to create our own debit card network. These changes could be available within weeks or months, instead
of years.
Spend your VP$. The changes will allow you to exchange your VP$ for bitcoins. From there, you can
spend your bitcoins on goods and services offered by countless merchants worldwide that accept bitcoin payments.
Convert your VP$. Another option is to exchange your VP$ for bitcoins and then convert those bitcoins into
the national currency of your choice. There are now countless people and services worldwide who are willing to exchange bitcoins
for national currencies. Just search for bitcoin exchanges.
Invest in VP$. You may also choose to buy and hold VirtaPay dollars. Imagine if you sold off all of your VP$
balance and then VP$ rose thousands or millions of times in value as bitcoin has.
Here is something to think about... In May 2010, a man purchased two pizzas for 10,000 bitcoins. In late November 2013,
those same 10,000 bitcoins would have been worth almost $12 Million U.S. dollars. You may want to hold some VP$ in
reserve, or even buy more, in case they experience a similar rise in value.