Even if they immediately cash out it still has a lot of upsides. They see that people who support them think it is a good way to transfer value, maybe they will be more inclined to accept bitcoin as payment for other things they sell, maybe they will find something that is good to buy with bitcoins like a server and now they will buy or earn more coins to keep buying the thing.
Donating and spending don't add value to bitcoin, accepting them for goods and services does. If no one or very few people accept them, then your donation will be literally worthless to whoever you donate to.
Topic: Doesn't donating Bitcoins hurt its value? (Read 1543 times)
If people are willing to give out there hard-earned Bitcoins so easily, won't that hurt its value when the beneficiaries go to cash it in for practically anything? I am willing to argue that we shouldn't be using BTC for charity. It's harmful in the long run.
I think if donating 0.06 USD worth of anything will get me back > 0.06 USD in return, then its good for me. Say I own 10,000 btc, but get 20 more people into bitcoins because I donate 10 bitcoins to each. If the value of the bitcoins increases by more than .00122, then I should do it. I think I have been pretty generous with my coins, trying to get new people into them.
I see your point that if donating just meant they convert back to USD and cash out, thats bad. But if 1 of the 20 sees value in them, it doesn't take much for me to benefit.
If the members of this forum are the only ones who see value in these, then we're fighting a losing battle.
If people are willing to give out there hard-earned Bitcoins so easily, won't that hurt its value when the beneficiaries go to cash it in for practically anything? I am willing to argue that we shouldn't be using BTC for charity. It's harmful in the long run.
Jump to: