Canadian mining company pays wages in bitcoin and plans new cryptocurrency exchange

Mining company Alix Resources is paying contractors with bitcoin and plans to open a cryptocurrency exchange in early 2014.

Nov 14, 2013 at 12:20 p.m. UTC
Updated Sep 14, 2021 at 2:10 p.m. UTC

Mining company Alix Resources has decided to start paying contractors with bitcoin for services in Canada.

The company plans to pay a contractor called Ridge Resources Ltd in bitcoins for exploratory services.

"The growth of popularity in the bitcoin space as an alternate method of payment has led Alix to step into this very exciting market. This transaction is the first of its kind within the Canadian junior mining sector and positions Alix as a participant at an early stage in the global bitcoin marketplace," said Alix Resources CEO Michael England.

Canada's government has taken a wait-and-see approach in regards to regulation of distributed virtual currencies, which is enabling them to flourish in the country.

Interest in bitcoin is currently at an all time high, as the currency's price has hit record levels - it is now, at the time of writing, $405 per bitcoin.

Ironically enough, the process to create bitcoins is called "mining". This is a where a distributed network of computers connected to the internet solve mathematical problems known as proof of work to confirm bitcoin network transactions.

Alix Resources, based in Vancouver, British Columbia, is also planning to get into the bitcoin exchange business. The company has entered into an agreement with a private software vendor to license a bitcoin exchange, which will be administered by Alix. The firm's management anticipates the exchange will launch in early January.

Bitcoin exchanges are marketplaces where investors can buy bitcoins. Bitcoin exchanges have been under heavy scrutiny as of late following a number of problems.

A Czech Republic-based exchange was recently hacked, a Hong Kong-based exchange completely disappeared along with $4.1m and a Dutch exchange was used by identity thieves to launder money.

CoinDesk - Unknown

Canada, and Vancouver in particular, has seen a high level of interest in virtual currencies such as bitcoin.

, a Vancouver based bitcoin business that operates an in-person storefront exchange for bitcoin has formed a partnership with Robocoin to bring the world's first bitcoin ATM to a coffee shop in downtown Vancouver.

“In Canada, bitcoin is more of a commodity. The government’s thinking is: Let’s get a good understanding of what’s going on before making any decisions,” Jordan Kelley, the CEO of Robocoin, told CoinDesk at the ATM's launch last month.

The Festival for the Decentralized World
Thursday - Sunday, June 9-12, 2022
Austin, Texas
Save a Seat Now

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Trending

1
CoinDesk - Unknown
Crypto News Roundup for May 24, 2022

With bitcoin and ether trading down as Tron’s TRX trades in the green, plus a look at what to expect in crypto with rising interest rates, CoinDesk’s "Markets Daily" is back with the latest news roundup.

With bitcoin and ether trading down as Tron’s TRX trades in the green, plus a look at what to expect in crypto with rising interest rates, CoinDesk’s "Markets Daily" is back with the latest news roundup.

CoinDesk - Unknown
2
CoinDesk - Unknown
Miladys NFT Prices Tumble After Creator Doxxes Self as Person Behind Controversial 'Miya'

The collection amassed huge popularity in crypto circles but its creator has now acknowledged being the person behind a pseudonymous account allegedly linked to an online cult.

The collection amassed huge popularity in crypto circles but its creator has now acknowledged being the person behind a pseudonymous account allegedly linked to an online cult.

CoinDesk - Unknown
3
CoinDesk - Unknown
How to Transfer NFTs Between Wallets

As an NFT collector or investor, you'll want to learn how to transfer your collectibles in and out of crypto wallets.

As an NFT collector or investor, you'll want to learn how to transfer your collectibles in and out of crypto wallets.

CoinDesk - Unknown
4
CoinDesk - Unknown
South Korean Authorities Look to More Closely Scrutinize Exchanges Following Terra Meltdown: Report

Around 280,000 South Koreans are believed to have been victims of the abrupt plunge in UST and LUNA.

Around 280,000 South Koreans are believed to have been victims of the abrupt plunge in UST and LUNA.

CoinDesk - Unknown