Digital currency has come a long way over the last few years. Some hail the creation of digital currencies like Bitcoin as the greatest invention since the internet, perhaps rivaling the importance of the internet itself. But did you know that the legal cannabis industry has its own digital currency? PotCoin*, born in Montreal, is digital currency accepted at dispensaries across North America and may be the cannabis industry's solution for banking.
Bitcoin was the first successful digital currency. It is powered by a technology called the blockchain, which fundamentally is a distributed ledger. It is a currency that has no one in charge, cannot be controlled or manipulated, and is unhackable. Blockchain technologies are a dramatic shift from traditional currencies by giving the user full control over their own money without needing a third party like a bank. The market cap for these digital or crypto-currencies is fast approaching 40 billion dollars which makes it ripe for adoption by the medical marijuana industry.
PotCoin was created by Joel Yaffe, a Montreal based entrepreneur. Joel started PotCoin Systems, a software development firm, with the purpose of changing how people buy and sell marijuana. By running on its own blockchain, PotCoin removes the need for third party intermediaries and leaves complete control to the user. Users can access their PotCoins directly on the blockchain by using what is called a wallet. A PotCoin wallet is a portal to the blockchain which allows you to send and receive currency right from your phone.
In places like the US, the majority of banks will not deal with cannabis companies as they are federally illegal. This could open banks up to federal money laundering charges if they decided to handle pot money. Digital currencies like PotCoin completely bypass traditional banking systems and allow cash-only cannabis businesses a chance to store their assets without the worry of physical security. Coins are secured on the blockchain by a private key, a long and complex password controlled by the user. Blockchain encryption is some of the strongest on the planet, making storage and use of PotCoin safer than using cash.
PotCoin has been around for a while now, however, there has been an explosion of money into the crypto-currency space, from which PotCoin has definitely benefited. The price of PotCoin used to be around a tenth of a penny US. Today, due to the explosion of new investors and pot enthusiasts gravitating toward PotCoin, the price now holds at around 5 cents a piece. Anyone who invested in PotCoin in the early days is probably worth a pretty penny today.
PotCoin, just like the cannabis industry itself, is in its infancy. Besides being a convenient way for consumers to buy cannabis, PotCoin is proving to be a long-term worthwhile investment. As the industry continues to grow, so will PotCoin. PotCoin Systems has already begun to expand development of PotCoin ATMs into California, and Colorado, two of the biggest markets in the US. Digital currencies are a significant invention and will undoubtedly change the way we look at money and finances. Keep an eye out for the PotCoin logo at a dispensary near you.
Author - Cory Hughes / Twisted Purple Media.
Twisted Purple Media is a cannabis content provider and original author of this article.
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courtesy www.roottie.com
I have a GANG of Potcoin. Looking to get some more soon.
I was dealing with stock for these companies (one in particular) for a while. Bought very low and the price shot up a few months back then I sold. Keep some (SING).
Potcoin is doing MUCH better and easier to hold and trade.
yes i also have a few hundred potcoins but ya best to just get Bytecooins and Siacoins and steller riipple ul make alot more
Yeah Potcoin hit 10 cents last week. I really like potcoin, but I have to admit, Im a bitcoin purist.
I am a bitcoin purist, too. But once you have Bitcoin and continue to accumulate more...it's cool to suppot other efforts and thangs. :)
Nice read! You're listing up any worth knowing item for a newbie in cryptocurrencies. Easy to understand. If Cannabis is getting legalized as I think it will PotCoin could make some fortune. Also worth to mention, when you download the PotCoin wallet to store your coins you can stake them, which means that you're strengthening their network and therefore get some PC as reward. If you're interested - http://www.potcoin.com/wallets/
I've definitely heard of PotCoin before. At first, I thought it was a bit of joke like Dogecoin and Pepecash. But the more I read about it, the more I realized that there is a huge market for PotCoin, since it provides a more straightforward avenue for consumers to get cannabis, especially for alternative treatments. Very informative post!
This is gonna be huge disruption for the cannabis industry....It's only the beginning!!!
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Holding around 700 potcoins. Sad to say that most dispensaries in my area (CO) still don't accept them. I have hope though. At least until federal legalization.
I do have to say, unless the market is stable it would be difficult for growers to deal with only POTcoin. The entire supply chain would have to accept it. Hydro supply companies, electric companies, land lords, the employees, and finally the customers. I have hope for their business model.