Bitcoin is a digital currency that uses a peer-to-peer payment network to process transactions. First introduced in 2009, bitcoin has seen tremendous growth in popularity and acceptance worldwide. The Bitcoin network uses public-key cryptography to ensure that transactions are valid.
When paying with bitcoin, the buyer (or sender) requests the network to update a public transaction log that verifies and records the payment. Once the payment has been validated by the Bitcoin network, the amount paid is deposited in a digital wallet belonging to the seller (or receiver). Bitcoin payments can be processed very quickly compared to traditional payment methods.
Quonzō uses bitcoin to make payments to members. Simply put, Quonzō uses bitcoin to keep transaction costs low. When payment is made in a traditional currency, there is usually a substantial processing fee. With bitcoin transactions, transaction fees are significantly lower, e.g. around $0.10 per transaction or less.
Bitcoin can be saved, spent or converted to other types of currency. Bitcoin can be saved in a bitcoin wallet, either on your computer or at an online provider. In addition, many retailers, such as overstock.com, now accept bitcoin as a method of payment. Finally, bitcoin can be exchanged for traditional currency at a number of bitcoin exchanges, such as coinbase.com.
Bitcoin is stored in a wallet, which is a digital file that can be stored on your computer or on the computer of an online wallet provider. Wallets can be backed up to a disk, a thumb drive, or even printed out on paper for safekeeping.
You can change the bitcoin address that is on file with Quonzō at any time. If you would like to change your bitcoin address (for example to use a bitcoin address of your personal wallet), simply go to your Account Settings, select the “Payments” tab, enter a new bitcoin address that you would like for us to use, and press “Update Settings.”
In addition, if you would like for Quonzō to generate a new bitcoin wallet for you, simply go to your account settings, select the “Payments” tab, and press the “Generate Bitcoin Address” button.
Your bitcoin address, which is a 34-digit string of alphanumeric characters, is a public address. You can give your bitcoin address to anyone you want to receive payments from.
When you sign up for Quonzō, you must provide a bitcoin address in order to receive payments from Quonzō. Your bitcoin address cannot be used to withdraw bitcoin from your wallet – it can only be used to send you bitcoin. For example, our bitcoin address is 1JUp73K1kp6T76brbpPD3tt2Aoge5Tq3nL. Feel free to send some bitcoin to it 😉
Of course, you can always change your bitcoin address at any time by logging in and changing your user preferences.
When you register for Quonzō, we will automatically create a bitcoin wallet with a unique bitcoin address for you at blockchain.info. You will receive an email from Quonzō containing your bitcoin address, a link to your bitcoin account, and a temporary password for your account. Be sure to keep this email, as it contains important information about your account. Quonzō will only store your public bitcoin address so that we can send payments to your account. Quonzō will not store the password to your bitcoin account!
Once you have received the email with your bitcoin address, log into your bitcoin account and change your password. Be sure to keep your password in a safe place so that you will not lose it. If you lose your password, you may be unable to access your bitcoin account.
Go to bitcoin.org to find out more about bitcoin.