I have a website which enables users to trade information for a price. The price is calculated based on an algorithm within the website. The website charges a percentage per transaction for the service.
I would like to know how to go about enabling the users to perform the transaction using bitcoins as an alternative to credit card transactions.
The website is coded in Ruby on Rails, I am currently investigating bitcoind, and the bitcoin-ruby library but I'm feeling a little overwhelmed with new technology.
Could someone please explain how I might go this? I'm looking for an overview of the process.
For example: The website connects to a bitcoind server, and creates a unique wallet per user, then to provide transactions the users will need to transfer coins from somewhere to their personal website wallet. When the user wishes to purchase information from another user, the website then connects to the bitcoind and creates a transaction between the two wallets, and creates a second transaction to cover the website commision.
I've made up this example from my basic understanding of the system - but what security issues are involved in this. Will this approach work, or is there a better way?