Bitcoin: will it win over retail?

A virtual currency free from any government regulation is making some headway, but it is too early to judge its staying power

US online retailer Overstock's decision to accept payment in Bitcoin has sparked a debate about alternative payment methods. On the first day alone the company raked in 830 orders and over $130,000 (£80,000) – but is this a sign of the future success of virtual currencies or was Overstock caught in a bubble of consumer excitement?

Either way, there are a number of factors that will define whether cryptocurrencies like Bitcoin (or Namecoin, Litecoin and even Dogecoin) will see mainstream success among retailers.