eBay UK launches virtual currency channel to support Bitcoin transactions

It’s a small step for Bitcoin, but a big leap for eBay.

Starting from February 10, the UK branch of eBay, an online trading platform, will open a "virtual currency" product category. In its classified ads, Bitcoin has been included in this category, of course, it also includes other virtual currencies, such as Coinye, dogecoin, etc.

On eBay, consumers can trade virtual currencies like other goods, but to purchase virtual currencies through eBay, they still need to use government-issued currency.

"To promote a trustworthy marketplace and ensure compliance with applicable laws and regulations, eBay is currently updating its policy," an eBay spokesperson said in an email. "The updated policy will clarify that virtual currencies such as Bitcoin and other similar virtual currencies must be listed in classified ads under the Virtual Currency category."

The spokesperson added that the virtual currency category is expected to be available on eBay UK on February 10.

eBay has been trading virtual currencies for physical items (like USBs or external hard drives) for a while now, and the addition of this category provides some legitimacy and has created an informal virtual currency market, albeit a very inefficient one.

The spokesperson also said that eBay only allows related transactions to be conducted in the form of classified advertisements, which means that actual transactions will not be conducted on eBay.

Classifieds on eBay are, in effect, "a way to list goods, services, or items that is great because it eliminates the need to create an auction or fixed-price shopping list."

As cryptocurrencies, especially Bitcoin, are creeping in, eBay's move is a completely different approach to mainstream online markets.

The Sacramento Kings in the NBA now accept Bitcoin, and e-commerce company Overstock.com also accepts Bitcoin. As acceptance continues to increase, the value of Bitcoin has also increased. So far, Bitcoin is the most widely accepted and valuable virtual currency.