Bitcoins Can Now Be Used To Buy Cars
You can buy all kinds of things with Bitcoin now, including a new car.
Well, it will be new to you anyway.
Beepi, a two-month-old company that operates an online market for used-car sales, will start accepting bitcoin as a form of payment, CEO Ale Resnik told Re/code in a recent interview.
The company is working with Bitcoin payment processor Bitpay to make the transactions possible, according to Jason Del Rey at Re/code.
Other sites reportedly accept bitcoins for used vehicles, but Beepi says it's the first peer-to-peer car marketplace to accept the virtual currency.
"We're making buying a car fast, fun and easy, and what's more fun than paying for a car with bitcoin?" Resnik told Re/code.
Neither Beepi or the car seller will ever be in contact with the digital currency since Bitpay will be converting the purchases to U.S. dollars.
The startup company's business model is unique and Del Rey does a nice job explaining how it's going to bring in a gross revenue of $6 million in it's first year if things continue a the current pace.
Car sellers go to Beepi.com and enter in the basics about their car, and Beepi provides the person with a quote that the company says will always be $1,000 higher than a dealer will pay. Beepi sends out its own inspector to make sure the car is in good condition before listing it on the site. If the car doesn't sell in 30 days, Beepi buys it and re-lists it on the marketplace. Buyers in California get the car delivered to them free, wrapped in a bow and all. Out-of-state buyers currently pay between $600 and $999 for delivery.
Beepi takes a 9 percent cut of every car sale and in April, announced a $5 million investment by Redpoint Ventures.
Below is a Bloomberg video of the co-founders and a deeper explanation of the how the company started.