Microsoft Resumes 'Bitcoin' Payment Option After Brief Halt

Microsoft Bitcoin 011018

Microsoft corporation has resumed accepting Bitcoin as payment option for Microsoft Store after temporarily halting transactions in the unstable cryptocurrency from its active payment instruments.

"We've restored bitcoin as a payment option in our store after working with our provider to ensure lower bitcoin amounts would be redeemable by customers," the software giant said Wednesday.

Earlier this week, Microsoft had opted out of receiving payments through bitcoin apparently due to volatility of the cryptocurrency and the related risks. The announcement, through chats with customer service representatives, had in no uncertain terms disappointed Bitcoin enthusiasts.

The news took bitcoin's price down briefly. From $15147 Tuesday, the value of bitcoin slumped to $13691 Wednesday morning. However, it has been recovering slowly from then.

It was the third time since 2014 that Microsoft temporarily stopped supporting bitcoin.

Popular gaming company Steam had discontinued receiving Bitcoin payments in December citing high fees and volatility.

Skyrocketing fees and long transaction wait times have made it increasingly difficult to carry out day-to-day commerce using the bitcoin network.

For companies like Microsoft and Steam, sudden and unforeseeable Bitcoin price drops could cause huge losses.

Microsoft does not allow its customers to buy products with Bitcoin directly, but asks them to add a predetermined amount of dollars to their account balance, for which they can pay with Bitcoin.

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