Overstock to incentivize Bitcoin merchants

Overstock CEO Patrick Byrne

It’s been clear from the start that Overstock’s support of Bitcoin is more than just a business decision, or even an attempt to benefit from the “Bitcoin Bump.” It’s clear that cryptocurrencies and free market economics are topics near and dear to CEO Patrick Byrne’s heart. Speaking today at the Porcupine Freedom Festival, a Libertarian-centric political event and group camping trip, Byrne spoke about Overstock’s plans to try to use their Bitcoin support to encourage mass adoption of the currency.

The company already keeps ten percent of its Bitcoin revenue as Bitcoins (liquidating the rest for cash through CoinBase), and hopes to eventually offer employees bonuses and possibly even salaries in Bitcoin. Now, Byrne has announced that they plan to go one further, and encourage the merchants that sell through Overstock to accept Bitcoin directly, cutting out the middleman and encouraging the growth of the currency as a real medium for exchange. It plans to do this by offering discounts and special terms of use to vendors who agree to be paid directly in Bitcoin.

This news comes on top of a previous pledge to devote 3% of Overstock’s Bitcoin profits to Bitcoin advocacy. The CEO himself has revealed that he personally holds several million dollars’ worth of Bitcoin, and is committed to the long-term success of the currency. Byrne explains the decision like this:

“It’s all about building. If we can get employees taking it, and vendors taking it, and customers paying for it, then it all becomes a virtuous circle.”

Overstock has processed a little more than $1.6 million worth of Bitcoin sales since it introduced support for the currency in January.