An innovative concept comes to the fore

Internet Transactions

There’s very little awareness about Bitcoin — a new digital currency and payment system, designed for the voting process of ‘Bitfilm 13’  — in the City. Aaron Koenig, the managing director at Bitfilm Networks Hamburg, addressed this issue recently, during a talk held at The Centre for Internet and Society. The talk was based on the creation of Bitcoin and its various uses.

“The potential of Bitcoin is huge. It’s easy to use and currently, there are about 21 million (units of) Bitcoin in the world and everyone accepts it. It works differently, but it is the same as gold and has an intrinsic value,” explains Aaron.

Aaron also showed cryptographic diagrams of how a Bitcoin transaction works. “It is a clever way of encryption and it is easy to open an account. You just need to download some software and then, you get a virtual wallet and a user ID and password. The identity of the person is kept anonymous and hence, there have been instances of people misusing Bitcoin,” he says.

An animated short film about Bitcoin, which Aaron produced along with an animation team based in Bangalore, was also screened during the talk. “I have paid all the animators in Bitcoin. Initially, they were hesitant and did not want to accept it. But when they got to know about how its value almost doubles itself in the span of a year, they readily accepted it,” he explains.

“There is a German restaurant where Bitcoin is accepted. Slowly, more such places are coming up, as people are realising its worth. It is easy to transfer,” he adds.
There was an interactive session with the audience after the talk, which was equally interesting. Many wanted to know if Bitcoin can be liquidated.

“I am very curious to know if Bitcoin can be liquidated. Also, what is the exact process that one should follow when they want to liquidate Bitcoin?” questions Geane, who was attending the session. These queries, as well as many others, were addressed.

Vinod, who also attended the session, says that it was a new concept and interesting for those who wanted to know more. “The concept of a new form of money sounds great and Aaron really helped us get to know more about it. For people like us, who had no clue about Bitcoin, it was an enlightening session,” he
informs.