Thus, Bitcoin is the kind of money that works in an unstable world, which is the only kind that we know of, and it is a good store of value, unit of account, and medium of exchange, to the extent that these terms make sense amid great uncertainty.
Lastly, is Bitcoin a medium of exchange?
Bitcoin is designed as a decentralized peer-to-peer payment system and thus a medium of exchange. ... Whilst commodity money is naturally scarce and has a use other than being a medium of exchange, fiat money is not naturally scarce but issued by a central bank and its main purpose is that of being a medium of exchange.
Into the bargain, is Bitcoin a Recognised currency? Even where Bitcoin is legal, most of the laws that apply to other assets also apply to Bitcoin. Tax laws are the area where most people are likely to run into trouble. For tax purposes, bitcoins are usually treated as property rather than currency. Bitcoin is generally not considered legal tender.
In addition to that, what does unit of account mean?
In economics, unit of account is one of the functions of money. The value of something is measured in a specific currency. This allows different things to be compared against each other; for example, goods, services, assets, liabilities, labor, income, expenses.
Which function of money is Bitcoin?
medium of exchange