Topic: A cryptocurrency with volatility can't be used as money - page 22. (Read 34045 times)
for my opinion it is scam, if you buy something right now you are the owner, and it is no matter what will be price for Bitcoin
Real state,Gold and other assets price also fluctuate,If you buy a flate and you using it at least 2 year you already recover your money and till now it is seemed Bitcoin price increased and as a rational investor you will sell it when Bitcoin price will high rather you buy it.
This is in my opinion correct. With such constant fluctuations, it can not be regarded as a real currency. All I know is that bitcoin is just a market for investment.
Real state,Gold and other assets price also fluctuate,If you buy a flate and you using it at least 2 year you already recover your money and till now it is seemed Bitcoin price increased and as a rational investor you will sell it when Bitcoin price will high rather you buy it.
I'm just reading an article in the newspaper. Klaus W. Wellershoff (a last chief in UBS Bank) says that's impossible to use a currency with volatility as money. If the value of the money decrease, that means the value of the merchandise decrease. For example : if you buy a flat with bitcoin and few years later the bitcoin value decrease... Your flat lose his value as well.
What do you think about this argument?
This is in any side is correct. In my opinion though. Well in order to use a certain currency it must be in stable form as much as possible because who uses a currency that is changing over time in different ranges. Bitcoin is just pretty much an investment nothing more nothing less, in the moment. But soon once BTC catches too much attwntion it might be used as a currency. What do you think about this argument?
this discussion is there for a very long time but they are many years passed bitcoin is gaining more and more momentum and adding up more merchants in returns so people acceptance and trust towards technology made them to accept the coin as currency
With the last financial crack, people trusted the system... but we know what happened. I hope we are not in a similar case.
I mean the blockchain technology is the future, but how we use cryptos now, will maybe change.
this discussion is there for a very long time but they are many years passed bitcoin is gaining more and more momentum and adding up more merchants in returns so people acceptance and trust towards technology made them to accept the coin as currency
@OP
Gold is volatile, Silver and co are too. The USD/EUR pair is volatile but it's used daily. Ok you can say it's not the same volatility volume but still.
And what about if people stop to use the dollar or a bank run movement?
What it happens is that people see the market of cryptocurrencies and see the volatility, but they do not take the time to look at the volatility of other markets, for example gold has a tendency to reevaluate itself very rapidly against fiat and this happens when the economy is in a terrible shape and it has passed many years since it did it, so it is possible we are going to see it soon and fiat can lose value very fast as well, you just need to look at some counties with difficulties to see rampant inflation. Gold is volatile, Silver and co are too. The USD/EUR pair is volatile but it's used daily. Ok you can say it's not the same volatility volume but still.
And what about if people stop to use the dollar or a bank run movement?
The currency must be stable because other commodities are valued on it, and the cryptocurrencies fluctuate too much.
Another reason that cryptocurrency cannot be used as a currency is that the transfer rate is too slow and the transfer fee is high!
Another reason that cryptocurrency cannot be used as a currency is that the transfer rate is too slow and the transfer fee is high!
I'm just reading an article in the newspaper. Klaus W. Wellershoff (a last chief in UBS Bank) says that's impossible to use a currency with volatility as money. If the value of the money decrease, that means the value of the merchandise decrease. For example : if you buy a flat with bitcoin and few years later the bitcoin value decrease... Your flat lose his value as well.
What do you think about this argument?
So let’s assume that we all stopped making use of the regular currencies we are using now just like dollars, euros and the rest of them and starts making use of cryptocurrencies, do you think that Bitcoin will still be volatile? Well, I’m not even sure of that… But one thing for sure is that making use of Bitcoin as a currency is a real bad idea and won’t favor any country… sounds like a stupid idea to me. What do you think about this argument?
I think if we cannot use as money, we still can withdraw the crypto to money so we can use that money to buy something. but I am sure that in the future, cryptocurrency can be used as money and maybe there is a new coin that is not too volatile so we can use it to buy anything and it could be a new thing for the payment system.
With your statement, is that mean bitcoin is not suitable as a currency? For me, to be called a currency or not it depends on users. Because the basic functions of bitcoin is for the payment system in order to facilitate every human who wants to transact despite having a long distance with fast transaction and transaction fee is relatively cheap. Each user will be different, some only use bitcoin as payment system only and those who use bitcoin as a source of income, because it can be used as a place of investing and trading and this is the excess bitcoin that cannot be owned by fiat currency, so the bitcoin price volatility is an added value not possessed by fiat currency.
I'm just reading an article in the newspaper. Klaus W. Wellershoff (a last chief in UBS Bank) says that's impossible to use a currency with volatility as money. If the value of the money decrease, that means the value of the merchandise decrease. For example : if you buy a flat with bitcoin and few years later the bitcoin value decrease... Your flat lose his value as well.
What do you think about this argument?
What do you think about this argument?
yes you are right, volatility of the cryptocurrency is the reason why we cannot use it as a money for the entire world but i think that government can do something like stacking the price into highest value so we can use it daily but the down side, bitcoins will not be profitable since the price wont go down anymore.
if you buy a shirt for primary cost and then when it goes down then you have to sell it in low cost, in loss. How can it be reliable then.
And why would you do that? We are talking about the crypto currency that you used to buy the shirt that means even if the price of crypto currency that you used to buy the shirt goes down, the value of that shirt is still the same hence you add the amount of the crypto you want to sell it with the same value of price since it not really change but the price of crypto currency.
Yes . Bitcoin is a market for investment, but some people still accept bitcoin payments because of its convenience. And these people are looking out for the development of bitcoin so they take the risk to make a high profit.
A possible use case is a quick transfer from fiat to the crypto, the purchase of goods, then the seller as quickly translates into fiat and no problems with volatility, subject to low commissions for exchange.
if you buy a shirt for primary cost and then when it goes down then you have to sell it in low cost, in loss. How can it be reliable then.
I think if we cannot use as money, we still can withdraw the crypto to money so we can use that money to buy something. but I am sure that in the future, cryptocurrency can be used as money and maybe there is a new coin that is not too volatile so we can use it to buy anything and it could be a new thing for the payment system.
If we are going to talk about cryptocurrency, volatility is always there and it will not vanish like what you expected. Since the cryptocurrencies are decentralized and there is no closing time for the market of crypto then that makes the cryptocurrency so volatile and that is the reason why it can't be used as money for doing day to day basis activities. 
I think if we cannot use as money, we still can withdraw the crypto to money so we can use that money to buy something. but I am sure that in the future, cryptocurrency can be used as money and maybe there is a new coin that is not too volatile so we can use it to buy anything and it could be a new thing for the payment system.
Perhaps if the cryptocurrency is used ubiquitously and Bitcoin will have and use everything, then it will cease to be tied to the dollar and no one will evaluate its price in dollars. After all, it does not matter how the price of Bitcoin has changed in an hour, if a cup of coffee now costs 1000 satoshi and in an hour the same cup of coffee costs the same 1000 satoshi.
We still need something more than adoption for that to happen bitcoin will have to destroy fiat currencies for something like what you are describing to happen, after all you want bitcoin to be the point of reference when it comes to pricing things but we know that is not what it is happening now when the point of reference is the US dollar, after all everything is priced in dollars and until that changes bitcoin will continue to being valued in dollars as well.Cryptocurrency traders argue strongly in favor of price-volatility, fluctuating market price. Stability kills their interest they argue but everything comes with a moderation, at least for ordinary users to be able to use a cryptocurrency for their daily routine without sporadic changes in value.
Perhaps if the cryptocurrency is used ubiquitously and Bitcoin will have and use everything, then it will cease to be tied to the dollar and no one will evaluate its price in dollars. After all, it does not matter how the price of Bitcoin has changed in an hour, if a cup of coffee now costs 1000 satoshi and in an hour the same cup of coffee costs the same 1000 satoshi.
We still need something more than adoption for that to happen bitcoin will have to destroy fiat currencies for something like what you are describing to happen, after all you want bitcoin to be the point of reference when it comes to pricing things but we know that is not what it is happening now when the point of reference is the US dollar, after all everything is priced in dollars and until that changes bitcoin will continue to being valued in dollars as well.Jump to: