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<p>Banks and other financial institutions have evolved along with e-commerce by enabling unfamiliar parties to transact around the globe with little to no risk. This service does not come without a price. Bitcoin was established as a more efficient way to securely transact online, removing the need for third-party financial institutions. The purpose of this Note is to highlight the potential of Bitcoin as a medium of exchange, making Internet transactions more flexible and affordable to all. The author analyzes Bitcoin’s current price volatility, highlighting a trend of Bitcoin-backed investments, and argues against any government action in support of these purely speculative and short-sited investment schemes. This Note expounds upon the major obstacles facing Bitcoin’s acceptance by mainstream commercial marketplaces. Most importantly, the author looks at future government intervention, and argues against any direct legislation on the Bitcoin system in order to allow for its growth and development.  </p

A Medium of Exchange for an Internet Age: How to Regulate Bitcoin for the Growth of E-Commerce