Vericoin developers unveiled their newest feature and technological advancement to their community yesterday: VeriBit. The service accepts Vericoin payments for Bitcoin transactions, allowing users of the currency to utilize it immediately. The developers are looking to give people a reason to pay attention to their coin right out of the gate and the markets are reacting accordingly.
VeriBit allows users to take the Bitcoin address they plan to send payment to and generates a separate Vericoin address that users send Vericoin toward. Once the Vericoin is sent the address will change it into Bitcoin, and the payment will go verify. This means people can use the coin anywhere that accepts Bitcoin, including Overstock and Gyft.
“Altcoins are almost all priced based on pure speculation. We wanted to give VeriCoin some immediate utility,” Patrick Nosker, co-developer of Vericoin, told CCN, “We also wanted to make it easy to use with no requirement for an exchange or passwords, along with no waiting for exchange withdraws. VeriBit lets us leverage the infrastructure of Bitcoin while VeriCoin gets to build its own.”
So why would anyone do this? Why not just pay with Bitcoin directly?
Currently, one Vericoin is worth approximately $0.20. Last week, one Vericoin was worth $0.07. In other words, the young coin already has utility and a bright future for an incredibly low price. The markets for Vericoin are incredibly active, and it looks as though people are beginning to rally.
“The transaction speed is identical to Bitcoin’s and is faster than exchange withdraws,” Nosker said, “There’s really no reason whatsoever that you couldn’t use Vericoin instead of Bitcoin for payments.”
VeriBit allows the user 20 minutes to send the VRC to the generated address. Currently, there is a 2 Vericoin fee along with a weighted average of the current live exchange rates; however, Nosker says this will change over time.
“If anything it will decrease. The fee covers the transaction fees and as the value of VRC goes up the fee will shrink,” he said, “We expect Vericoin to be used like Bitcoin is today in the future. Until then, we want VeriBit to be a way people can effectively hold a coin as useful as BTC but with interest, fast transactions and all of the other benefits.”
Nosker and other developers are working with payment processors to integrate VeriBit closer to the digital currency world, with hopes that it will lead to a “Pay with VeriBit” button on all Bitcoin accepting sites.
Vericoin also utilizes VeriSMS, a service to send digital currency directly through text message, and a VeriBank on the horizon utilizing a “hot wallet” for checking and “cold wallet” for savings. They have recently sponsored youtuber Chris Pirillo, and look to continue pushing the boundaries of digital currency technology.
Patrick and the other developer created Vericoin because they were fed up with the state of other digital currencies. ““We were investors and owners of other coins, but were very disappointed in the lack of innovation and general stagnation in all coins besides Bitcoin.”
Disclaimer: I do not hold any Vericoin. I do hold Bitcoin.