Traditional banking meets bitcoin with launch of Bit-X exchange
July 6, 2015 | by Bradley Cooper
The libertarian anti-establishment innovators who first leaped into the pool of bitcoin have now become the old guard, as a series of new startups dive in the deep end. In the process, the big dogs of the financial industry have started to show interest in the currency, or start their own virtual currency exchanges.
For example, goNetcoins CEO Michael Vogel has consistently said that bitcoin companies should not be frightened of regulation. "Regulation is not the enemy," Vogel said. Several banks and major financial giants have also shown interest in the virtual currency. Nasdaq is working with startup Chain to utilize the blockchain for private trading. In May, Richard Branson of Virgin held a private summit on the blockchain with several innovators. In the case of Bit-X, the founder's background was in the traditional banking world.
Bit-X recently launched its new cryptocurrency exchange DIGITRADE. Bit-X founder and CEO Brad Moynes spent several years researching bitcoin exchanges. "My background is in investment banking, money and brokerage," Moynes said. "I came across bitcoin a couple years ago, and started to research it."
As part of his research, Moynes examined the largest exchanges and began to sample and test them. He describes how he examined every possible flaw, trying to find some way they might break or disappear. When he realized the inherent benefits and security of exchanges, he decided to jump into the market.
"We are not getting fancy. We are a straight up exchange platform," Moynes said. Currently, users can purchase bitcoins with either Canadian dollars or U.S. dollars on the exchange. Moynes also mentioned how the wire transfer should not take an unusually long amount of time. "If the user has properly created their account and provided their verification tools, the transfer should go through in 24 hours," Moynes said.
"As we roll out, we will introduce additional fiat currency like debit cards, pesos and pounds," Moynes said. His work in the financial industry has accustomed him to working within a regulatory framework, he said, so adjusting to bitcoin regulations has not been a challenge.
"We are a publically traded company with internal directors and we report to the FCC. We are used to a regulated framework," Moyne said. "Getting into the bitcoin world was no big deal."
Moynes' position is rather unusual considering some of the common responses and arguments regarding bitcoin regulation. It's common knowledge among the virtual currency community that the founders and the government did not mix.
Moving forward, we are left with an intriguing question. Will the bitcoin industry inevitably become simply another branch of traditional financial industries? Will we start to see conflict emerge between the old guard and the new blood? However, we can be sure of one thing: If bitcoin becomes a household name, more perspectives and viewpoints will become invested in the future of virtual currency.
July 6, 2015 | by Bradley Cooper
The libertarian anti-establishment innovators who first leaped into the pool of bitcoin have now become the old guard, as a series of new startups dive in the deep end. In the process, the big dogs of the financial industry have started to show interest in the currency, or start their own virtual currency exchanges.
For example, goNetcoins CEO Michael Vogel has consistently said that bitcoin companies should not be frightened of regulation. "Regulation is not the enemy," Vogel said. Several banks and major financial giants have also shown interest in the virtual currency. Nasdaq is working with startup Chain to utilize the blockchain for private trading. In May, Richard Branson of Virgin held a private summit on the blockchain with several innovators. In the case of Bit-X, the founder's background was in the traditional banking world.
Bit-X recently launched its new cryptocurrency exchange DIGITRADE. Bit-X founder and CEO Brad Moynes spent several years researching bitcoin exchanges. "My background is in investment banking, money and brokerage," Moynes said. "I came across bitcoin a couple years ago, and started to research it."
As part of his research, Moynes examined the largest exchanges and began to sample and test them. He describes how he examined every possible flaw, trying to find some way they might break or disappear. When he realized the inherent benefits and security of exchanges, he decided to jump into the market.
"We are not getting fancy. We are a straight up exchange platform," Moynes said. Currently, users can purchase bitcoins with either Canadian dollars or U.S. dollars on the exchange. Moynes also mentioned how the wire transfer should not take an unusually long amount of time. "If the user has properly created their account and provided their verification tools, the transfer should go through in 24 hours," Moynes said.
"As we roll out, we will introduce additional fiat currency like debit cards, pesos and pounds," Moynes said. His work in the financial industry has accustomed him to working within a regulatory framework, he said, so adjusting to bitcoin regulations has not been a challenge.
"We are a publically traded company with internal directors and we report to the FCC. We are used to a regulated framework," Moyne said. "Getting into the bitcoin world was no big deal."
Moynes' position is rather unusual considering some of the common responses and arguments regarding bitcoin regulation. It's common knowledge among the virtual currency community that the founders and the government did not mix.
Moving forward, we are left with an intriguing question. Will the bitcoin industry inevitably become simply another branch of traditional financial industries? Will we start to see conflict emerge between the old guard and the new blood? However, we can be sure of one thing: If bitcoin becomes a household name, more perspectives and viewpoints will become invested in the future of virtual currency.
