Microsoft starts accepting Bitcoin for Windows apps and Xbox games

A tech giant has jumped on the Bitcoin bandwagon.

Microsoft announced today (December 11) that it now accepts what some have referred to as "magic Internet money" for funding Microsoft accounts in the U.S.

The company's blog states:

If you are a person who uses bitcoin you know it’s not always easy to find places where you can use the digital currency. That is about to change when it comes to Microsoft content.

Starting Thursday in the U.S., by using BitPay, the world’s leading bitcoin payment processor, you can trade-in bitcoin – at current market value — and add it to your Microsoft account. Those funds can then be used to purchase content in the Windows Store, or in stores that house Xbox Games, Xbox Music or Xbox Video.

However:

While the virtual currency can be used to put funds into Microsoft accounts, it can’t be used to pay directly for other Microsoft products and services other than the content we highlighted above at this time.

BitPay, a leading Bitcoin payment processor, called the move a "significant step forward for Bitcoin".

“For us, this is about giving people options and helping them do more on their devices and in the cloud,” Eric Lockard, corporate vice president of Universal Store at Microsoft, stated on his company's blog. “The use of digital currencies such as bitcoin, while not yet mainstream, is growing beyond the early enthusiasts. We expect this growth to continue and allowing people to use bitcoin to purchase our products and services now allows us to be at the front edge of that trend.”