Bitcoin as a speculative asset or as currency - page 2.

fullhdpixel

hero member

Activity: 2828

Merit: 611

Quote from: ReiMomo on August 16, 2021, 02:07:28 PM

Since BTC just crossed $60k and everyone is hoping for $100k and more in down the line, everyone started to see it as an asset if they buy something now and hold it.

No, I have been watching topic about whether bitcoin is an asset or not for long time like when it was testing $1k for very time itself. I mean testing $60k did not bring the status of being an asset to bitcoins. It has been treated as a digital asset for very long period of time.

Quote from: ReiMomo on August 16, 2021, 02:07:28 PM

I would say, crypto currency, has a unique feature unlike fiats that holding the currency with us ourself (in our wallets) will yield a good profit. It will be used as currency and as an asset. Both will happen certainly.

Yeah, nothing is going to stop bitcoin being used as currency and asset at a same time. Gold was being used as currency in olden days but now we treat it like an asset as we have something else to transact. Hence, bitcoin may remain as an asset until we find something elses to easier and cheaper transactions.

ReiMomo

sr. member

Activity: 2366

Merit: 305

Duelbits - $100k Bonus/week

Since BTC just crossed $60k and everyone is hoping for $100k and more in down the line, everyone started to see it as an asset if they buy something now and hold it. Being here for a long time, I too would collect or earn as much as I can via any means available here and would love to hold and see great profit in future. In turn, holding the coin for a long term its self says, its an indirect asset to accumulate and get the revenue.

I would say, crypto currency, has a unique feature unlike fiats that holding the currency with us ourself (in our wallets) will yield a good profit. It will be used as currency and as an asset. Both will happen certainly.

Rahman11

sr. member

Activity: 1428

Merit: 250

Bitcoins can be used to purchase goods and services, and traded for dollars on web-based exchanges. ... In this paper, I show that the rapid increase and equally-rapid collapse in Bitcoin's price, valuation, and trade volume can be explained by regarding Bitcoin as a speculative asset.

Assface16678

full member

Activity: 1484

Merit: 136

★Bitvest.io★ Play Plinko or Invest!

Quote from: breathlessz on August 09, 2021, 09:43:19 AM

Quote from: Assface16678 on August 09, 2021, 08:39:00 AM

~

right, time will tell, maybe it is not suitable for use in the current situation and conditions, but the times will continue to advance, so when the time comes, I think it will be suitable to be used as currency. but now it is more suitable for making money because it has the potential to invest in it

Even if it's just a matter of time as to when it becomes suitable or more like generally accepted, we shouldn't be boxed in that one idea that we have to wait when we can use it already like that, what if you contribute to the advocation towards using bitcoin for general transactions since you started early before it was cool/normal? It can be used, didn't Satoshi made bitcoin as a way to pay stuff?

zanezane

full member

Activity: 868

Merit: 150

★Bitvest.io★ Play Plinko or Invest!

Quote from: DU18 on August 02, 2021, 01:40:54 PM

Quote from: zanezane on August 02, 2021, 01:15:47 PM

~

both are functions and benefits that we can get from bitcoin, both as a speculative investment asset and as a digital currency, but as citizens of course we must follow all regulations issued by our country regarding the use of bitcoin, and in my country bitcoin it can only be used as an investment asset and will get punished if you use bitcoin as a currency (a payment/purchase transaction tool), and that's why I personally prefer bitcoin as an investment asset because there are state regulations that I have to follow, but it's different with other people who live in el salvador today, those who live in salvador already have the freedom to use bitcoin both as an investment asset and as a currency because the el salvador government has completely legalized cryptocurrency in their country.

That's a really harsh country that you're living in for them to not allow you to use it as a means to pay for your transaction. In my country though, I don't have to worry too much about it because the laws here are only enforced strictly for about 2 or 3 months and then people forget it and the enforcers don't care so we can use both, that is why I was asking why not both.

Vaskiy

legendary

Activity: 2646

Merit: 1106

DGbet.fun - Crypto Sportsbook

Quote from: freedomgo on August 16, 2021, 11:26:52 AM

I would go with the current reality, it has become a speculative asset rather than a currency. Why? you can obviously see the high price volatility, and that is because people are speculating and they love to trade, we cannot deny that, and the more people will hold, the more the price will be volatile.

I can understand that investors just trying to benefit from the big future success of bitcoin, which is "adoption", but as a result, it makes bitcoin more volatile and unpredictable.

As said above, bitcoin is truly speculative asset than a currency for different reasons. The market is more reactive to speculation made by the influencers. This we can't see with the currency. The markets won't react that easy on someone's words. This makes big money being poured in and taken out as very big money. Here the importance and the core for which the innovation is made gets hidden.

freedomgo

legendary

Activity: 3248

Merit: 1160

Playbet.io - Crypto Casino and Sportsbook

I would go with the current reality, it has become a speculative asset rather than a currency. Why? you can obviously see the high price volatility, and that is because people are speculating and they love to trade, we cannot deny that, and the more people will hold, the more the price will be volatile.

I can understand that investors just trying to benefit from the big future success of bitcoin, which is "adoption", but as a result, it makes bitcoin more volatile and unpredictable.

Irenerty

newbie

Activity: 24

Merit: 5

Bitcoin was originally used as a means of payment, but with the development of time, its price fluctuates greatly and it is more inclined to store assets in value. More than a decade of development of Bitcoin has made its technology more perfect and safer, and many investors in the crypto market choose to invest in Bitcoin. Long-term investment and holding of Bitcoin can obtain higher returns as its price rises.
With increasing awareness of it, bitcoin is now accepted and used as a payment method by many institutions and companies. Some countries even use it as legal tender for daily payments.

sapnu

sr. member

Activity: 1050

Merit: 286

In our own observations, we can see that bitcoin plays as speculative asset and as a store of value at the same time. Its difference between fiat and CBDCs makes it more likely to be chosen by many people. We usually seek financial freedom and we don't want the government keep on watching the transactions we make and they would take advantage of it. It would be best if we'll encourage others to patronize bitcoin and other crypto more for the offers and the features it has. Also, let us use our crypto responsibly and avoid doing things that will give it a bad impression and reputation.

Cindella

jr. member

Activity: 54

Merit: 6

Bitcoin has the characteristics of both, which can be both a currency and a speculative asset.
With the use of Bitcoin and the enhancement of its consensus, more and more countries now accept Bitcoin as payment and play the currency function of Bitcoin.
The high price volatility of Bitcoin makes it a high-yield investment product. Bitcoin investors can obtain more benefits when the price rises by holding Bitcoin for a long time.

romero121

legendary

Activity: 3234

Merit: 1214

Vave.com - Crypto Casino

Bitcoin is more of a speculative asset than a currency. The speculative feature had provided value to it and caused multiple usage access. One among that is the usage as currency. Bitcoin in simple is the freedom to own your asset without depending on a third party services. It is also true that the market have reached such a level high through the speculative process. Now this has turned to from speculative growth to influential growth.

shogun47

hero member

Activity: 1708

Merit: 553

Play Bitcoin PVP Prediction Game

Quote from: Rruchi man on August 08, 2021, 11:23:11 AM

This topic has been up for debate for a while since as to whether the original purpose for the creation of bitcoin is for it to be a currency or an asset as many see it to be today. But truth is the original creator of bitcoin, never intended for it to become a speculative asset as many see it today.

In my opinion, because of the decentralised nature of bitcoin, it was created as an alternative mode or currency that offers its users freedom from the centralised nature of the governments fiat. But as a result of its ever fluctuating value, folks have now turned it to a speculative asset.

As of now, people prefer to HODL their bitcoins rather than use it as a medium of exchange (currency).

I would say that this topic will stay up for debate for a very long time. The reason for that is that Bitcoin changes over time. On the one hand because of development, on the other hand because of adoption. Both might go hand in hand of course. When Bitcoin was cents and even low in transaction fees, it wasn't really a way to transfer significant value over the internet as it lacked liquidity. It was a real speculative asset back then you could say unless you were willing to only transfer very tiny amounts, like paying a pizza! Tongue

When Bitcoin increased in price, gained adoption and gained liquidity, it could also be used as a means to transfer value, even huge amounts of value as we know about a couple of transactions of hundreds of millions of dollars for a zero fee I think. Still it was too volatile to act as a currency, but it is getting closer although we are far away from that and nobody knows whether we'll ever get there. It is more likely that another coin will likely fill that function. A coin that is a stable coin but also decentralized, which is possible but much harder to achieve in a reliable and secure way than with centralized stable coins.

laredo7mm

hero member

Activity: 1498

Merit: 537

Quote from: dezoel on August 09, 2021, 08:32:07 AM

I don’t really think that bitcoin having a high transaction fees has anything to do with it not becoming a currency. It’s not every time that you will see that the fees for the transactions are high. Although a lot of people do think that, because whenever the fees are high people tend to avoid it and make use of other cryptocurrencies with lower fees for transactions.

But, if that was to be the case here, then I believe that a lot of people would have moved on to choose those other cryptocurrencies and start using them for transactions and even start investing in them and put bitcoin out of the number one position but that never happened. We really can’t tell. But there are still lots of people who use bitcoin more than there are those that use altcoins.

Actually, it's the speculative nature of bitcoin that prevents it from being an ideal currency. Those who are accepting bitcoin as payments must have a long-term vision for it or they sell it right after they got it. Otherwise, in any case, they will take losses. People buy bitcoin as an investment, not for daily transactions. That's the reason high transaction fees didn't lower the popularity of bitcoin.

bryant.coleman

legendary

Activity: 3766

Merit: 1217

Quote from: breathlessz on August 09, 2021, 09:43:19 AM

right, time will tell, maybe it is not suitable for use in the current situation and conditions, but the times will continue to advance, so when the time comes, I think it will be suitable to be used as currency. but now it is more suitable for making money because it has the potential to invest in it

Just because the exchange rates are going up every year, we can't assume that Bitcoin is not suitable for usage as a currency. Gold is a perfect example of some asset that has been used as a currency for long. A few decades ago, fiat currency used to be backed up by either gold or silver. And even now, in some cases, gold coins are being used in payments. I am not saying that Bitcoin will rise to that level anytime soon, but it shows that being a speculative asset is not a barrier to being used in payments.

breathlessz

member

Activity: 770

Merit: 12

Trphy.io

Quote from: Assface16678 on August 09, 2021, 08:39:00 AM

Quote from: inoes on August 08, 2021, 06:14:59 PM

if the choice is a speculative tool or currency, then honestly I feel that bitcoin is just a speculation tool for me. I feel how he greatly influences the cryptocurrency market price. besides that I also don't have enough bitcoins if used for payments, apart from the high fees, the transaction speed is also volatile in price. it all comes back to us as users who feel it

It depends on the person, remember that Mr. Lazslo Hanyecz used it as a currency, I think right now it's hard to see that it's a currency because a lot of us are speculating in prices and the prices are far too high to be used as a currency to buy products and sometimes services. When the time comes, we will see to it that bitcoin's going to be on the used for both, just a matter of time.

right, time will tell, maybe it is not suitable for use in the current situation and conditions, but the times will continue to advance, so when the time comes, I think it will be suitable to be used as currency. but now it is more suitable for making money because it has the potential to invest in it

nightxglow

sr. member

Activity: 700

Merit: 251

Quote from: dezoel on August 09, 2021, 08:32:07 AM

I don’t really think that bitcoin having a high transaction fees has anything to do with it not becoming a currency. It’s not every time that you will see that the fees for the transactions are high. Although a lot of people do think that, because whenever the fees are high people tend to avoid it and make use of other cryptocurrencies with lower fees for transactions.

But, if that was to be the case here, then I believe that a lot of people would have moved on to choose those other cryptocurrencies and start using them for transactions and even start investing in them and put bitcoin out of the number one position but that never happened. We really can’t tell. But there are still lots of people who use bitcoin more than there are those that use altcoins.

Yes i agree. Actually transaction fee is not really a problem, however it is one of the problem. Not most of the time that the transaction fee is high, however if the fee is high, of course people will prevent themselves to transact with bitcoin, avoid using it like you say.

And I guess, other reason why people prefer altcoin to bitcoin while using for transaction it might be because altcoin doesn't have high value as bitcoin. It's such a waste if we use bitcoin for transaction, while we can hold it and the price might increase highly later on. Unlike altcoin, that might not have that high value so we can use it freely without having to worry the price might go up and up.

Assface16678

full member

Activity: 1484

Merit: 136

★Bitvest.io★ Play Plinko or Invest!

Quote from: inoes on August 08, 2021, 06:14:59 PM

if the choice is a speculative tool or currency, then honestly I feel that bitcoin is just a speculation tool for me. I feel how he greatly influences the cryptocurrency market price. besides that I also don't have enough bitcoins if used for payments, apart from the high fees, the transaction speed is also volatile in price. it all comes back to us as users who feel it

It depends on the person, remember that Mr. Lazslo Hanyecz used it as a currency, I think right now it's hard to see that it's a currency because a lot of us are speculating in prices and the prices are far too high to be used as a currency to buy products and sometimes services. When the time comes, we will see to it that bitcoin's going to be on the used for both, just a matter of time.

dezoel

legendary

Activity: 2044

Merit: 1075

Leading Crypto Sports Betting & Casino Platform

I don’t really think that bitcoin having a high transaction fees has anything to do with it not becoming a currency. It’s not every time that you will see that the fees for the transactions are high. Although a lot of people do think that, because whenever the fees are high people tend to avoid it and make use of other cryptocurrencies with lower fees for transactions.

But, if that was to be the case here, then I believe that a lot of people would have moved on to choose those other cryptocurrencies and start using them for transactions and even start investing in them and put bitcoin out of the number one position but that never happened. We really can’t tell. But there are still lots of people who use bitcoin more than there are those that use altcoins.

King Khaizan

member

Activity: 285

Merit: 12

in some official institutions and central banks of many other countries, view cryptocurrencies as speculation.

This digital currency cannot be used as a legal tender, so it is not recognized as an asset. As a currency, crypto clearly has no fundamental value if it cannot be accepted as an official medium of exchange.

As an instrument of speculation, the price can soar indefinitely, but it can also fall freely. This happens because the price is completely dependent on supply and demand in the market. Some well-known investors also provoked them to reap big profits.

but on the contrary, there are also some countries that legalize the use of bitcoin as a legal tender, such as several other countries in South America.

Victorycoin

hero member

Activity: 1134

Merit: 517

Quote from: Rasa nanas on August 08, 2021, 10:36:32 PM

Quote from: Pokapoka124 on August 08, 2021, 02:38:36 PM

Bitcoin is a digital currency, that's a fact. Whether it is popularly used and recognised for that purpose is a question that is everyone's mind. Businesses are beginning to accept bitcoin as a means of payment. But here is the challenge most people that hodl bitcoin do not really buy bitcoin to use as a currency but rather they bought as an investment.

well that's true, most people buy bitcoin for investment because many people believe bitcoin price will keep increasing. only a handful of people buy bitcoin as a currency because few places accept bitcoin as a means of payment. although they find a place to shop that accepts bitcoin I'm sure they will prefer to pay with cash rather than pay with bitcoin.

I can say most of domain and hosting service sell with bitcoin think that it is fontline "namecheap.com" accepted bitcoin payment and others many site can domain hosting reseller used bitcoin only for the payment, but i hope bitcoin is most investable section invest proper waye in bitcoin so not losses. Investing in Bitcoin is much more risky if not analyzed. So I think if you want to make a profit you need to do analysis if it is for a long time.

Topic: Bitcoin as a speculative asset or as currency - page 2. (Read 743 times)