Business Turns Its Back on the U.S. Dollar, Accepts Only Cryptocurrencies

By Jacob Cohen Donnelly Aug 21, 2014 1:27 PM EDT

NEW YORK (InsideBitcoins) — Amagi Metals, a Denver-based dealer in precious metals and coins, has announced that they will no longer accept fiat currency by the end of 2016. In its place, they will only trade in cryptocurrencies, such as bitcoin.

“With the adoption of cryptocurrencies increasing every day, their viability is virtually assured,” CEO Stephen Macaskill said in a release. “History shows that paper currency, backed by nothing of value, will ultimately fail. It’s only a matter of time until no one will be accepting the dollar. By trading exclusively in cryptocurrencies, we’ll still be in business when that time comes. We want to be a leader in the sound money movement.”

Amagi Metals first started accepting cryptocurrencies in November of 2012 and says over 40% of the company’s customer payments now come from bitcoin. Amagi doesn’t believe that’s going to stop.

“We believe that by 2016, cryptocurrencies will be a mainstream way of payment. Much like the smartphones that appeared in everyone’s hands overnight, cryptocurrencies will almost undoubtedly become widely adopted,” Megan Duffield, marketing director at Amagi Metals, said in an email to Inside Bitcoins.

Of course, many other companies are beginning to accept bitcoin but the precious metals dealer might be the first to move exclusively to cryptocurrency. But bitcoin isn’t the only cryptocurrency that Amagi Metals welcomes. “We currently accept Litecoin, NXT coin, Pot Coin, Dark Coin and Ripple,” Duffield said. While these have all seen different growths and drops, bitcoin remains the most important of the cryptocurrencies.

And the intense price fluctuations that bitcoin has been experiencing the past couple of weeks hasn’t discouraged the company from going forward with this plan.

“No second guessing,” Duffield answered in regard to doubting the choice, “The price of bitcoin will fluctuate, and who knows, maybe another cryptocurrency will take its place as the leader, but the thing we do know is cryptocurrencies are here to stay.”

While Amagi Metals only wants to do business in cryptocurrencies, they did say in the release that they would “offer customers the ability to convert their fiat money to cryptocurrency on our website.” This would require Amagi Metals to become an exchange of sorts. A user would trade the currency in, receive bitcoin, and then turn around and buy the precious metals.

“We are starting to map this out now [launching an exchange],” Duffield said. “As you know, becoming an exchange costs hundreds of thousands of dollars in legal and licensing fees. This isn’t stopping us, but we will be exploring our options soon.”

Written by Jacob Cohen Donnelly

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