Wednesday 12th June, 2013

The virtual currency Bitcoin (it only exists digitally), has been used for the first time in a UK pub. Earlier this week customers were able to buy a pint of their usual with the new currency. The half pint cost £1.55, which works out as 0.0202 Bitcoins (BTC) – in other words an exchange rate of almost £77 for a single Bitcoin. The currency can be used in any country irrespective of the domestic currency.

Former Cambridge University Computer Scientist and co-founder of the pub, Stephen Early told The Cambune that there's more to his use of the currency than the curiosity of a former computer scientist. One of the benefits of Bitcoin's decentralised system is that anybody can use it and install it and as long as they have the necessary software, there are no barriers to entry, unlike bank cards which need costly service providers and specialist equipment. It also plugs straight into the till system, allowing transactions to be performed in a single process, unlike card readers which require bar staff to type a confirmation code into the till that's taken from the card reader's receipt, a process ripe for human error.

Nevertheless, the four year old currency is very volatile and although one to watch for the future, Early advises that the currency shouldn’t be viewed as an investment.