Topic: Bitcoin is just a speculative asset, not money? (Read 437 times)

If for bitcoin you can buy the product you are interested in, then bicoin is money. If you have a bitcoin and at any time you can sell it, then this is an asset. But at the moment, this is an extremely unstable asset due to the fact that its speculators do it constantly buying and selling on the stock exchange, but the same happens with other assets, such as oil, metals, grain, etc. But I'm sure that the constant distribution and popularization of bitcoin will soon make it a full-fledged money and its volatility will decrease due to an increase in capitalization to about $3 trillion.

Often times,  I confuse money with currency but with your explanation, I realized that they are two major things.

Since people trade bitcoin,  then definitely it is a currency but bitcoin can be a money because it is not decentralized and is not restricted to use within a company.

However,  bitcoin is an asset currency in that it has value which increases over time and can be used occasionally as a medium of exchange.

So Yes,  bitcoin is an asset currency and not a money currency.

I think the measure of a thing is not money, the deciding factor is whether it can be used as a medium of dealing somewhere, and adopted the consent of the majority. Bitcoin can be used as a medium of exchange, but not sure if most people agree. Now Bitcoin is now only an investment currency. It has its own space for appreciation and it is also a Technology, a market-promising technology, so I tend to be more of an asset currency.

Bitcoin certainly lacks certain features to be able to be called money between them, the variability of its price, limits its ability to serve as a store of value although its upward trend has made it a very profitable investment, limiting the increased use of bitcoin thanks to the public ignorance of its operation, as well as its liquidity limitations. In short, bitcoin faces a long way to become fully global money. However, its innovative technology allows to foresee possible advances in its acceptance, as well as new applications.

Do read this:
https://pastebin.com/ZUxTmR99

Yeah its no really a money don't take it literally when you read a currency that does mean a real money but a speculative thing. The higher the demand the higher the price will be and if the demand goes down the price will do so. It's  more on speculative asset than a currency, we not use it as currency literally but a means of payment and exchange.

Until now bitcoin is only used as a Cryptocurrency asset for the future that can be exchanged and traded with currency. What everyone hopes is bitcoin can be used as a tool for transactions in all countries.

Well, if you think of bitcoin to be a national currency or local currency like dollar euro which is got a physical substance then you r right. But you are wrong in sense by evaluating btc as the form of paper currency. Its an financial asset which got the quality of higher rate of liquidation.
And please make your self understand that its a virtual currency not the local or national or wont be ever.
BTC IS A CURRENCY BUT ITS VIRTUAL AND YES EVERY CURRENCY IS A FINANCIAL ASSETS BUT EVERY FINANCIAL ASSETS ARENT THE CURRENCY.

Because of the high volatility Bitcoin is better used as an investment asset. This high volatility makes it perfect for trading. Using it as a payment system, like money, is not perfect yet, but will be soon when lightning network is up and working.

At the current moment, sadly it is a speculative asset and couldn't be considered a currency because ig it's unstable value brought aboutby bitcoin's high volatility rate. However, we do hope that time will come when a solution would be made in order for the unstable value of bitcoin to be banished. I am hopeful with that.

You probably read a lot of news in the newspapers and love watching TV?) And there is no speculation in the stock exchanges, there is no sport in sports?) This is a young prospective asset, it is the currency of the future.

Each person uses Bitcoin as it better fits their needs. There are people using it like a currency, doesn't matter the volatility and transactions costs. Others use it as investment only. I think these statements about Bitcoin can't be this or that is a bit contradictory, because the main concern of many governments about Bitcoin is the "anonymous currency" question, being used by criminals...

So even those who don't like Bitcoin say it's a currency.

Bitcoin can be considered as speculative asset due to its fluctuating value that changes from time to time. No one knows exactly on how high or low it fall. Only the supply and demand can affect the price of it. But I don't consider it as money  it is a value that can be exchanged into money.

Not all at once, give it time to stronger and introduce new technologies. The cost is not stable because it is not controlled by anyone and now the price of bitcoin is very much depends on the news, but the time will come and everything is different, everyone wants to own bitcoin.

Well that further states that btc currently can't be a certified currency but more of an asset. Whether it goes up to be profitable or drops, it only shows how volatile it is and that kind of instability can't be applied to be used as a currency. Perhaps in time, when btc has exhausted its up and down movements, it will become a bit more stable and then it can be seen as a currency

Dot-Con bubble was like that as was tulips but one day the party stopped but my reason for getting out was
not about the crashing price but because I looked at the Lightning Network and came to the conclusion that
the hubs are just small banks so if/when things get much worse then remember to send my love to the bankers.

Please let not also forget that fees can reach as high as $50 per transaction and I would giver you a merit but I don't have any
because unless you are reading from the bitcoin koran around here then nothing you say will receive any points.

Have you read about the $5bn scam that's just making the news today ?
https://www.rt.com/business/419901-satoshi-sued-cryptocurrency-theft/

Us none believers have fee merits to give away because when we do collect a few we end up being banned
because the game is loaded, magnets under the table my friends.

You are right that the value is unstable but it is always increasing if you compare in large time periods like 6  months. If a seller can afford to wait for such periods to clear the payments, he will be in profit by accepting bitcoins.

a commodity is a raw material used to create other produce..

this is where people get confused.. because of the 'gold comparison'

gold sits in more than 1 currency sub-category
commodity:- the market for buying and selling gold to use in industry for jewellery and electronics creation
asset:- gold investments (holding in a vault)

just because gold asset has been compared to bitcoin. does not mean bitcoin has the same attributes/utility/function/tangibility as gold commodity.

bitcoin is nothing like wheat, beef, oil, cocoa, potato (commodity)
bitcoin is an ASSET not a commodity

anything can be a currency (its an umbrella term)
legal tender/fiat/money are the same sub category as each other

asset is a different category from money
commodity is a different category from money

currencies can be used even in places where its not accepted as 'money'
EG
in america retailers and tax agents do not consider the euro as acceptable 'money'/legal tender. they only want to and are legally obliged to accept the dollar as money..

yet to hundreds of millions of people across the ocean away from america, europeans accept the euro as money. but not the dollar.

that said..
the local bitcoin traders getting fined/imprisoned for running a illegal money business has nothing to do with bitcoin. but to do with the other 50% of a trade.. the fiat they handle.

yes when they buy/sell bitcoin they swap it for fiat. and its the handling of fiat that gets them in trouble.
EG
if they swapped bitcoin for a tin of baked beans they would not be a money business, but instead a retailer

Bitcoin is a virtual and speculative asset as it's value changes often which is caused by several factors. Being inconsistent or volatile is one of it's main characteristics that's why it is also called bubble investment. It's not considered as money because money is tangible and has a specific value over time.