Bitcoin’s Bluetooth Answer to Apple Pay

bluetooth-bitcoin21 Oct 2014 / NEW YORK (InsideBitcoins) — If you’ve ever used Bitcoin at an actual brick and mortar store, restaurant, or bar, then it’s possible that you’ve also noticed a few common issues with the current setup. While paying with Bitcoin generally works in most situations in the physical world, it’s definitely still not as reliable as credit cards or cash. One new addition to the protocol could solve some of the issues related to retail Bitcoin payments.

Why turn to bluetooth?

Andy Shroder, the creator of a Bitcoin fluid dispenser, recently made a proposal for implementing Bitcoin payments over bluetooth connections. In his original proposal, Shroder noted, “Bluetooth communication is critical [for point of sale systems] in my mind due to the potential lack of Internet access at many points of sale. [This is] either due to [the] lack of cellular Internet coverage, lack of payee providing wireless Internet, and/or financial constraints of the payer prohibiting them from maintaining a cellular Internet service plan.”

Bitcoin payments over bluetooth would essentially allow a customer to make a purchase without the need for an Internet connection. The process works in a manner similar to that of making a payment with a TREZOR. Although the transaction is signed on the customer’s smartphone, the transaction message is not broadcast to the Bitcoin network until it reaches the merchant’s Internet-connected point of sale system….. Read more

http://insidebitcoins.com/news/bitcoins-bluetooth-answer-to-apple-pay/25581

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