A startup has developed a machine that converts cash into bitcoins.

The rapid increase in the bitcoin rate is gaining more and more attention. However, while most have only recently been concerned with the blockchain technology, there are some companies that have been dealing with the new alternative currencies for years.






For example, the Austrian Startup Cointed has quickly recognized and implemented the advantages of blockchain technology. "Blockchain is the answer of the Fintechs to the question of how to transfer payments quickly from one place to another. Speed ​​is of great importance in the digital age, so this technology is one of the greatest developments in recent years, "explains founder Christopher Rieder in conversation with Business Insider.


Blockchain speeds up payment transactions


But not only the rapid transfer of money - especially abroad - is an advantage. It is also about the control mechanisms in the background. "The advantage with payment transactions is the constant check of the individual blockchain participants. If I have 10 bitcoins in my wallet and want to spend 9, then the network must look into my account and confirm that I have enough bitcoins before the payment is made. So no one can spend more than he has at his disposal. "


A blockchain is like a public database, in which each participant has an insight. Private information remains under lock and key because a private key is needed. We have already explained the more exact function of the blockhain.
Bitcoins at the machine


Cointed has then looked for a niche, as it could take a foot in the bitcoin area - and this happened, as so often, through own experiences. "In 2015, my co-founder Wolfgang Thaler and I tried as Bitcoin advocates to get to this digital currency. We found out that it was not easy to buy bitcoins. So we thought about a way and came to automatons - that was the birth of Cointed, "explains Rieder.


A Bitcoin machine from Cointed. Cointed


Automators are a simple method to get to Bitcoin, because no identification is necessary. Users who want to use Bitcoin Exchanges must first identify themselves - and this verification sometimes takes several days, if not weeks. If this step goes away, it goes much faster via the machine.
Four countries already developed


In practice it seems that the amount you want to exchange is put into the machine. This converts the amount according to the current course in Bitcoin and they are credited to the personal wallet - a digital wallet.


Up to now Cointed has 30 machines in four European countries: Austria, Hungary, France and Spain. Germany is also interesting as a location, but for the operation of such an automaton a bank license is necessary, which would only have to be received by the Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin)). The regulation is therefore strict and causes difficulties.
Also interfaces for retail


Cointed charges a fee for the transactions at the machines - but this is only a pillar of the business model. In addition, the startup also provides its own trading platform for bitcoins, ether mining and payment interfaces for the retail trade. With such a terminal can be paid both by bank card, but also the QR code of the Wallet scanned and with Bitcoins the invoice be settled.


"We are looking forward with our four pillars and want to consolidate them in the coming years. At the same time, we plan to expand into Turkey and the Asian region. The legal situation is good for us here, because Japan has already approved Bitcoin as a means of payment, "says Rieder about his company's future plans.
Car with Bitcoins bought


Look at the cointed office with the two founders Wolfgang Thaler (left) and Christopher Rieder (middle). Cointed


The growing popularity of Bitcoin is also contributing to this. This week the food supplier Lieferando also announced that food can be paid with bitcoins in the future. Recently, Daimler and LBBW launched a financial product on a block-based basis . Bitcoin could continue to benefit from such developments.


Cointed assumes that the bitcoin rate will rise to about 4,000 US dollars by the end of the year. It should not get any rarer because the rally would be too much driven by speculators, which could lead to a sharp correction. But even a rise to this target would be a plus of 55 percent from the current level.


The fact that bitcoins are much more than a mere speculation in the Internet is also shown by the latest autocup by Christopher Rieder. Because he paid for the crypt diet. "I just asked the dealer if he already accepts bitcoins. He spontaneously agreed, and then I could pay the car on this way. This shows that in the real economy, too, cryptosciences are becoming more and more relevant. "

Source: Business Insider