Asking price for Canadian gold mine is $2 million in bitcoin
Thursday, June 12, 2014, 7:04 PM - The owner of a small gold mine in Canada's Yukon gold belt has put the property up for sale for the equivalent of $2 million of the virtual currency bitcoin.
The mine is being advertised on the website BitPremier, which sells a bevy of luxury items that can be bought using bitcoin, including cars, condos and designer handbags.
It's being advertised as a "profitable gold mine" in Dawson City that produces, according to the seller, the potential for up to 4,000 ounces of gold per year.
The sale also includes $1 million (CDN) worth of equipment and a projected average of $1 million (CDN) in sales per year.
It was apparently founded in 1986 and is described by the seller as a "well respected, fully compliant and profitable company." The seller says the buyer can expect to "recoup their initial investment in as little as two mining seasons."
Bitcoin made headlines when it was introduced in 2009 by developer Satoshi Nakamoto.
The virtual currency can be bought online, earned through a transaction or 'mined'.
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Users can 'mine' for new bitcoin by creating an algorithm that verifies bitcoin transactions, thereby discovering new ones.
According to blockchain.info, there are currently 12.8 million bitcoin in circulation. When it was developed, a finite number of 21 million was placed on the currency -- meaning there are still 8.2 million bitcoin to be discovered.
Critics say the anonymity of bitcoin makes the virtual currency a prime target for illegal transactions like money laundering.
Recent setbacks, like the March bankruptcy of bitcoin exchange Mt Gox, have raised questions about the currency's viability.