Where can you spend Bitcoin in Australia? It’s a good question and something we will explore in depth in this article. As Bitcoin is becoming more popular among the general public, more businesses are beginning to accept crypto payments. Some people buy Bitcoin for HODL (Hold On for Dear Life), which means to plan long-term. HODL is a method of purchasing Bitcoin and holding on to it until the right moment arises so that you can sell it for maximum profit. People generally sell the cryptocurrency when it hits an all-time high to ensure maximum returns.
Various people also trade Bitcoin on popular exchanges and make money off of the profits earned. However, it might be relatively difficult for a new trader to make profits in crypto trading. Thus making it hard to find a place to spend it.
People often consider Bitcoin and other cryptocurrencies to have massive potential in the real world market. But the main aim of digital currency is to be an alternate payment method to the traditional currency. If people do not spend Bitcoin, then its main purpose is lost altogether. Unless more people begin spending Bitcoin, how can it be a mainstream method of payment?
We will talk about the requirements, how to spend, what you can buy and where you can spend your Bitcoin in Australia.
What Do You Need To Spend Bitcoin?
To spend Bitcoin, you will, of course, need some BTC and the following:
- A Bitcoin wallet
- A vendor who accepts Bitcoin
- A Bitcoin Address or QR code of the recipient
Bitcoin is a popular digital currency created by an anonymous entity, Satoshi Nakamoto in January 2009. The main aim of Bitcoin was to provide a stable currency free from the influence of real-world factors such as the government, stock markets, etc. Due to this reason, many people opt for the HODL strategy, with the hope to profit from Bitcoin’s future success in the crypto market.
Bitcoin is mainly a decentralised digital currency that runs on a public blockchain. If you know the public address of any person, you can look at their transaction history.
There can only ever be 21 million Bitcoins in circulation. This pushes the market supply and demand. Already, more than 18.5 million Bitcoins have been mined, which is more than 85% of the limit. The Bitcoin miners are one of the main reasons behind the success of the cryptocurrency. They have been verifying transactions and mining new coins for more than a decade.
With the halving of the miner rewards every four years, there are fewer miners today, compared to a few years after Bitcoin’s launch. If you already own a powerful mining rig, you can mine Bitcoin. Mining is a process that helps create new blocks of cryptocurrency. Miners have to solve complex mathematical puzzles to create new blocks of Bitcoin.
Other than through mining rewards, you can buy Bitcoin easily and quickly from our exchange. We aim to provide the lowest buy prices for our customers with fast deposits. We work with a major global insurer to ensure that the platform is secure and the assets are insured. In Australia, Zipmex works with regulators to ensure that our platform meets the local laws for online trading.
A bitcoin wallet is any digital wallet protected by a key pair configuration. This key pair consists of a private key and a public key. The private keys can be considered a pin that helps authenticate the transaction and the user. If you lose your private key, you potentially lose access to your Bitcoins and your wallet.
The public key or address can be provided to others to accept payments. The public key is extracted with the help of a private key using a one-way hash, meaning the public key cannot be used to trace the private key.
The private key is a series of unique numbers and letters of a fixed length. This is generally stored in the digital wallet. However, you can also store the private key on paper wallets with QR codes.
You have four different types of Bitcoin wallets:
The mobile wallet can be an application downloaded on the phone, which works on a mini-ledger of the Bitcoin network to verify transactions. At Zipmex, we provide an in-built mobile wallet with our mobile application (for Android as well as iOS).
A desktop wallet can be downloaded on the computer. You can store the private keys on a hard drive, and this is more secure than online wallets. At Zipmex, we provide a desktop wallet so you can either store or trade your BTC securely.
Hardware wallets are one of the most secure forms of digital wallets. Your private keys are stored on specific hardware, and they can be accessed easily. You can authenticate yourself with a preset PIN. Trezor is one of the most popular digital wallets available in the market. However, you can buy multiple versions, just ensure you obtain them directly and not from a third-party provider.
As the name suggests, this wallet is in the form of a paper just like your traditional currency. It contains your public address and your private key in the form of a QR code so that you can scan it for authentication. Although the paper wallet is quite secure from hackers, you might misplace it or even spill water on it. Therefore we recommend laminating the piece of paper and storing it in a secure place such as a fireproof safe.
After you have bought some Bitcoin from the exchange and stored it safely in a secure digital wallet, you need a way to spend it. To spend Bitcoin, you need to find vendors who accept Bitcoin. It may be an online store or even your general grocery store.
Once you have found a vendor who accepts Bitcoin payments, you need to send Bitcoin to their public address. The public address might be in the form of QR codes or alphanumeric string which you can scan or save to your phone during the transaction process.
How Do You Spend Bitcoin?
To send or receive Bitcoin in your digital wallet, the private and public keys of both parties play a crucial role. The following steps will guide you and the recipient through the process.
Step 1 – Retrieve the Public Address of the Recipient
To pay for goods and services or to just donate to someone online using BTC, you need to retrieve their public address. Shop owners may provide a QR code which you can scan on your mobile wallet to send Bitcoin directly to their wallet.
People who accept donations in Bitcoin or online vendors may provide their alphanumeric public address or QR code. You can send Bitcoin to them directly from your wallet by providing or scanning this address and entering the donation amount.
Step 2 – Authenticate the Transaction with your Private Key
Once you have provided the public address and amount for transfer, you need to authenticate the transaction with your private key. Once you provide your private key, the transaction cannot be reversed.
Different forms of wallets have different ways of authentication. For example, a paper wallet has a QR code that consists of the private key which needs to be scanned to authenticate the transaction. If you are using a hardware wallet, you may need to plug in the device to authenticate the transfer. Authentication is relatively easier on the mobile and desktop wallets.
Step 3 – Verification
This step is not done by any of the parties involved in the transaction. Bitcoin miners take up the task of verifying transactions as they show up in the blockchain. They need to solve complex mathematical puzzles that help verify the transactions in the blockchain as well as mine new coins.
If a miner is the first one to verify a block of a transaction (which will include yours), then they may receive a miners reward (6.25BTC currently). The miners will take approximately 10 minutes to verify your transaction, and the amount will be in the recipient’s wallet once the verification is done.
What Can You Buy With Bitcoin In Australia?
Bitcoin is quite popular in Australia. Various forms of businesses accept Bitcoin as a popular mode of payment. This shows that the public is slowly beginning to accept cryptocurrency for all its worth. Although not all businesses accept Bitcoin payments, quite a lot of them do, and many more will follow. So, what can you buy with Bitcoin in Australia?
Food and Beverages
Being a popular tourist destination, various restaurants, cafes and pubs around Australia accept Bitcoin payments. Especially in popular areas such as Sydney, Melbourne and Brisbane.
Various medical clinics accept crypto payments in Australia. From dental clinics to heart clinics, all of them accept Bitcoin as a payment method.
Entertainment, Fashion and Fitness
There are also various entertainment, fashion and fitness centres accepting Bitcoin payments in Australia.
For international tourists who need a place to stay, some lodges around the country accept payments in Bitcoin.
Where Can You Spend Bitcoin?
Maybe the biggest company accepting bitcoin, Microsoft has been accepting the cryptocurrency for use in its online Xbox Store since 2014. They temporarily paused bitcoin payments due to the volatility, however now they are accepting it again, strictly for the Xbox store credits.
Overstock is one of the biggest ecommerce stores and is a trailblazer when it comes to accepting cryptocurrency. Overstock allows shoppers to purchase designer fashion and big ticket home goods, not just with bitcoin but multiple kinds of cryptocurrency.
Amazon with Purse.io
Amazon doesn’t directly accept bitcoin, however, with Purse.io shoppers can essentially use bitcoin to make purchases on Amazon. Users of purse.io make orders on Amazon and pay with bitcoins through purse.io. These bitcoins are sent to people who exchange their Amazon gift cards for your bitcoins in order to make the purchase. Purse.io also claims that they can help you make significant savings through their service.
Rather than using Purse.io, eGifter allows you to purchase gift cards for major retailers using bitcoin. eGifter sells gift cards for a wide range of retailers and online stores, both on its website and mobile app. Use bitcoin, bitcoin cash, Ethereum, Litecoin or even your visa debit card or credit card. If you can find a gift card on eGifter, it will make it possible to use bitcoin.
There are various locations where you can spend your Bitcoin in Australia. Travelbybit is one of the largest booking agents in Australia who assist with ordering food, hotels and flights using Bitcoin. While the list might be small at the moment, it is certainly growing with more and more merchants being added over time. Here are some of them.
Lugarno Pharmacy, NSW
The Lugarno Pharmacy is a merchant who accepts Bitcoin. Located in Lugarno, NSW, this pharmacy operates from 9 am – 6 pm, Monday to Friday and is also open on Saturday. The store is wheelchair accessible and on standby to help with your medical needs.
Jam’s Karaoke & Bar, NSW
Why not hit the bar and sing to some classic hits all while spending your Bitcoin at Jam’s Karaoke & Bar. Located north of Sydney in Newcastle, this small Japanese restaurant is somewhat different from the rest, but at the same time a world above due to their acceptance of BTC.
BIG4 Tweed Billabong Holiday Park, QLD
This family-oriented holiday park is excellent for a short break away from the city. To book using Bitcoin, navigate through the Travelbybit portal and follow the prompts to exchange your BTC for a short stay or a longer stay with the kids.
2 Gems Media, QLD
If you require a video, then the team at 2 Gems Media can assist. The team is available to cover private functions or large corporate events. Plus they can assist with marketing videos for real estate and small businesses.
Another World Computer Centre, VIC
For all your computer needs, the team at Another World Computer Centre are on standby to assist. Either spend your Bitcoin online or directly at their Coburg store. After all, if any business is going to accept BTC, it makes sense that a computer store would!
Barber of Seville, VIC
Fancy a haircut paid for with Bitcoin? Well, it is possible in either Richmond or Melbourne’s CBD. As a merchant of Travelbybit, Barber of Seville accepts BTC as a payment method.
Hunt Furniture, SA
Why pay cash for furniture when you could use your Bitcoin? Sourcing locally made and designed furniture is hard to find in Australia, which is why Hunt Furniture makes our list. If you are a BTC holder looking for something unique, then drop in and see the team or shop online to exchange your Bitcoin for something elegant for the home or office.
Talunga Functions, SA
Are you looking to hold a function? Talunga estate is a winery based in the Adelaide Hills in South Australia. At the venue, the team can host various functions including, weddings, birthdays and functions. Bookings can be made in Bitcoin so now there is no excuse to tie the knot!
King’s Road Brewing Co, WA
If you are looking to quench your thirst in WA, look no further than King’s Road Brewing Co. This family-owned and operated brewery is set on 90 acres of rural farmland and offers excellent drink and food. It is an excellent day out if you are planning to travel south of Perth.
Norfolk Hotel, WA
The Norfolk is well known in the local area for great food and drinks at reasonable prices. Over the years there have been various cryptocurrency meetups at the Fremantle hotel – and they have been great supporters.
Thrive Darwin, NT
If you are located in the Northern Territory, then Thrive Darwin is your local cafe that accepts Bitcoin. The team offers great coffee, smoothies and healthy food options to Darwin so you will be sure to find what you are after.
Hungry Joe’s Pizza & Ribs, NT
This restaurant is following the footsteps of the first commercial bitcoin transaction, which was for a pizza many years ago. So head in, order your pizza and pay via your phone using Bitcoin.
Bitcoin adoption is still quite early in terms of technology. So while this list is short as new payment gateways develop so too will the list of merchants. For more information on Bitcoin and how you can purchase some from Zipmex, head to our FAQ page.