BitPay, the world’s largest Bitcoin payment processor, has announced that they have processed over $2 million in payments in the first 25 days of March. The company also reports that the rate of transactions is also accelerating, with 3,600 processed this month, and the total number of merchants that the company serves has now increased to over 4,000 – more than triple what it was in November before WordPress’s announcement.
As a sign of Bitcoin’s greater adoption, this news is very significant. As the Bitcoin price has now shot up by a factor of five since it first started its meteoric rise since the beginning of January, many people are becoming increasingly concerned that Bitcoin is entering another bubble, a cycle of self-reinforcing price increases and media attention that is not backed by any underlying adoption. If that is the case, then it means that the price could easily crash back down just as quickly, much like it did in 2011. Now, however, the opposite is clear; although Bitcoin’s price and visibility have increased drastically over the past two months, at least for now adoption seems to be keeping up. Other data corroborates this; Bitcoin transaction counts are also going up, although not as quickly.