How Does The Bitcoin Boom Affect The Weed Market?

Stoned Bitcoin Man

Credit: CoinTelegraph

Unless you’re living under a rock, you probably have heard about the Bitcoin boom. This confusing currency has been blowing away market competitors and soared to incredible prices topping $16,000 at the time of publication. What you might not know is that Bitcoin can actually have a reasonable large impact on the way you buy and consume weed. Let’s take a look at what these two seemingly unrelated products have to do with each other.

What Exactly Is Bitcoin?

We’re going to cover the basics of what Bitcoin actually is. This may be a topic you are familiar with. If this is the case, you may want to skip this section.

Bitcoin is an online currency that was created in 2009 by an unknown man using the name Satoshi Nakamoto. It is a cryptocurrency, which is the generic name for the form of currency that exists entirely online and revolves around the use of cryptography to keep its transactions secure. Bitcoins are created through the process of mining, which is a complicated process of constantly solving algorithms that eventually uncover a coin. This is all very confusing so we’ll cut to the chase.

Bitcoins are useful because they are online money that do not require the use of a bank. It is a secure and discreet payment that exists wholly online. Using Bitcoins for purchases ensures an entirely anonymous payment method as well as a transaction without a middle man. It is excellent for entrepreneurs and consumers who are looking to keep their payments secret or just personal.

To start using Bitcoin, you will need to set up what is called a “crypocurrency wallet” that acts as a storage unit for your coins. Once you have it set up, you can purchase Bitcoins or other currencies and being to trade and sell. One major site for you to buy and sell Bitcoins is Quadrigacx. Do some research into what trading sites and wallets will work best for your needs.

How Does it Affect the Weed Business?

The biggest impact Bitcoin has had on the weed industry is in the illegal department. Because of the anonymity that Bitcoin affords, people have grown bolder with their purchases of drugs. There are, of course, other reasons other than illegality that this currency will be changing the way you buy weed soon.

In America, banks generally do not allow even legal marijuana businesses from holding accounts. This is because that even though weed is legal in many states, it is technically illegal through the federal government. Because of this, they often have to operate in all cash. Bitcoins help bridge this gap and allow those businesses to stay competitive.

In Canada, the major use of Bitcoin will come in the online businesses. With legalization on the horizon, each providence is expected to set up its own online pot shop, or hire somebody else to. Image result for bitcoin accepted here

Expect to start seeing this graphic a lot more frequently as both the pot and cryptocurrency industries take major leaps in their consumer base. Once the market flattens out, Bitcoin will begin to function more as a currency than a stock market. Once this occurs, buying weed using Bitcoin will become much more practical. Look for this to take effect in the coming future, as both industries start to hit their stride.

Many people consider cryptocurrency to be the money of the future, which puts it at the forefront of finance right now. With the legal weed business taking off at just the same time, the sky’s the limit for your high.

How To Buy Marijuana With Bitcoin

Of course, right now, Bitcoin markets are still relatively obscure. You can’t just walk into a dispensary or online shop, whip out your virtual wallet and pick up an ounce. Luckily, there are alternatives.

Currently, The Pot Vault does not accept Bitcoin directly, but this doesn’t mean that there aren’t alternatives. Let’s look at a few.

  1. A Bitcoin Debit Card- These are just coming into vogue, so the options are limited. The basic idea is that you receive a card that lets you pay with your Bitcoins anywhere you would be able to use a normal debit card. This allows the flexibility that a normal cryptocurrency wallet does not allow. One service, Criptopay offers the ability to “shop anywhere, online or offline,” though we cannot verify its accuracy. Do some research into whether they are available in your area, but these are likely to come in handy in the near future.
  2. The Dark Web- This is not something that we advocate here at The Pot Vault, but it does exist as an option. In our opinion, the risks of buying illegal marijuana are greater the rewards. However, the fact remains that the dark web does offer a number of options that take Bitcoin. Take a look here to learn more about the dark web and what it is useful for.
  3. Seed Sellers-  There are many legal weed sellers that only sell marijuana seeds. A handful of them also take Bitcoin. For instance, Gorilla Seeds, a UK-based seed seller, will allow you to pay in Bitcoin. Of course, starting a grow op requires much more time and work than just buying pot, but it certainly remains an option for the dedicated stoner.

 

We are only in the early stages of understanding what the markets for Bitcoin and legal weed are going to look like. However, it is clear that the two will have a major impact on each other going forward. The best recommendation we can make is do your research and follow the news carefully. If you do that, you will be able to participate and even succeed in this brave new world.

Until next time, stay secure, stoners!

THE POT VAULT

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