Is Bitcoin Alive? — Overstock says YES!

Overstock has already surpassed $1 million in total sales since the internet giant started accepting bitcoin. Overstock’s CEO, Patrick Byrne spoke with CoinDesk, the world leader in news on bitcoin and other digital currencies, about its $1 million milestone and the steady growth in bitcoin payments:

In the first day there was an enormous surge of bitcoin sales, but we’ve also seen a gradual building of bitcoin sales in a week-by-week basis.

The initial projections for sales processed with bitcoin on Overstock.com this year was set at $3 to $5 million, but this number has since increased dramatically, according to Byrne. Overstock’s CEO now predicts that Overstock will see a total of $10-$15 million in bitcoin sales for 2014. He even suggested this figure could reach as high as $20 million if bitcoins maintain their current growth rate. The findings show that clients who use bitcoin as a payment method spend on average $58 (34%) more on their orders than credit card users.

Byrne says Overstock has reaped the benefits of accepting bitcoins as a payment method, most notably in eliminating chargeback fraud from credit card payments and reducing payment processing fees:

Bitcoin payments have helped us avoid fraud in the form of chargebacks with credit cards, and we’re also able to get paid faster than when payments are processed with credit cards. It takes three days for payments to finalize with credit cards, and with bitcoin we can get paid immediately.

Byrne hopes the news of Overstock surpassing $1 million in payments will continue to build the currency’s credibility and adoption rates. He thinks bitcoin payments will account for several percent of all online transactions in the next year or two, and when this happens,Amazon (NASDAQ: AMZN  ) will be forced to start accepting bitcoin transactions on its website.