BitStraat, a Dutch bitcoin POS technology company, has struck a deal with BitPay, the bitcoin payment service provider, to provide 100 tablets free of charge to retailers in Amsterdam, enabling them to accept bitcoin. The goal, says BitStraat, is "to make Amsterdam the bitcoin capital."

To date, 22 merchants have signed up, Bitstraat reports, including cafes and restaurants, home-furnishing retailers, barbers, hostels, and others.

"We saw how bitcoin slowly got foothold as a method of payment within the U.S. retail industry. With BitStraat … we want to start a similar movement on the Dutch market, with as little risk as possible for the merchants, so both merchant and customer can profit optimally from this innovative method of payment," the company reports on its website.

In addition to providing the tablet with installed software (the unit is integrated into a custom-made stand for placement on the retailer's counter), BitStraat is waiving the transaction costs. The terminals, their installation and BitPay's payments plan are all free for the first 100 merchants to enroll – up to a monthly revenue of €900; after that, merchants have the option to either pay €10 a month for the complete service, or they can purchase the terminal outright for €120.

BitStraat is also enabling consumers to nominate Amsterdam-based brick-and-mortar merchants to accept bitcoin. Consumers who nominate retailers will be placed into a drawing to receive a bitcoin, states the company.