Committee Explores Risks and Benefits of Bitcoin Use by Small Businesses

Press Release

The Small Business Committee, under the chairmanship of Rep. Sam Graves (R-MO), today examined Bitcoin adoption by small businesses. In the first Bitcoin hearing in the U.S. House of Representatives, the Committee heard testimony on the potential risks and benefits involved.

Bitcoins are a form of virtual currency first introduced in 2008 that allows users to exchange value digitally through the Internet. Despite not being backed by a government or holding any intrinsic value of their own, Bitcoins are growing as an alternative payment system. Testimony today provided valuable insight on Bitcoins, their current and future use, and whether small businesses have more to gain or lose by embracing this trend.

"Rapid changes in technology such as Bitcoin can create both opportunities and risks for small business. We want to help small businesses navigate this issue by providing information to help them with these considerations," said Chairman Graves. "I'm pleased with our thorough discussion of this alternative payment method. Today's examination of Bitcoin's potential pitfalls and advantages added to the Committee's knowledge base, and will inform Congress's decision-making as virtual currencies are more widely used and come under greater regulatory scrutiny."

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