Topic: Has Bitcoin Failed as Money? - page 4. (Read 1029 times)
this is why i spend my btc wisely whenever i spend it so that i can get the most of it and not to end up in regrets because i pay more for the fees than to the service that i am going to purchase but if i urgently feel the need of buying small service i dont use my btc but i always have my altcoins prepared with me and you should too op but it will only be a problem if the service that your going to use dont support an altcoins at the moment but your not doomed , you can request for support of other cryptos or find other simillar service that accept coins other than btc .
Unless it's regulated properly and gets the governments to support it. I don't think that it will be considered money. Many governments have banned bitcoin so it is difficult in those countries to deal with bitcoin. As it will be considered an illegal transaction and the law enforcement agencies will go after you. It will be impossible to consider it as money without getting the government's acceptance. But, the good news is bitcoin is gradually getting more and more acceptance, so who knows many governments will be forced to accept it in the future.
You are a legendary member registered in 2013, so why are you asking the question that was asked hundreds of times already, I'm sure you saw and maybe even participated in some of the scaling debate threads.
High fees isn't exactly new thing, a quick confirmation fee over $1 has been a thing from time to time since 2017.
High fees isn't exactly new thing, a quick confirmation fee over $1 has been a thing from time to time since 2017.
Well, I have described the current state, but that does not mean that there is still hope. So far, Bitcoin has always been described as a fiat-money alternative. My intention was whether this is still the claim at all or whether it is already going in the direction of asset alternative a la gold.
Bitcoin has one of the strongest teams in the space, which are able sustain and improve the techicallties of use and security. Since the security is assured the next concern which is tokenomics had been taken care of, as SOV with stronger support and acquisition, the price pump so well that everyone is having huge profit from miners to daily traders. It has assumed an asset class that can't be contested when it cross the 1 trillion dollar marketcap, the question now is no more the currency use but the safety as an asset.
It depends your definition of failure. As far as I am concerned bitcoin has not failed in anyway. It has changed the faces of the world economy.
Besides it is way too early to declare that bitcoin has failed, bitcoin is not a project that is not updated anymore and that will remain in its current state forever, bitcoin is still being improved by the developers and it is to be expected they keep working on it and finding new solutions to old problems, the problem with scaling is not new and in fact it was brought up as soon as the software was published, so the developers have been working on this problem for that long and this problem will eventually be solved leading to an explosion on the use of bitcoin as a currency.
It depends your definition of failure. As far as I am concerned bitcoin has not failed in anyway. It has changed the faces of the world economy.
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As a long-time Bitcoin hodler, I welcome the current development of Bitcoin and find the increasing acceptance great. But the question arises as to whether Bitcoin can still be considered as money for everyday transactions or whether the idea is outdated and Bitcoin is more of a store of value option like gold than a means of payment.
Generally yes it has failed as the assets side of the technology is been priorities over the currency side which is why it seems the fees aspect of the currency isn't been worked on as much as our features that new development are been deployed often. The true is, the institutional investors and whale moving millions of dollars with just few cents or dollar won't care much about what the fees are, the fees has already been covered in their profits.
But then when you consider the lifespan of bitcoin, you'll understand why it's currently in the state it is, give it time as we're just a century into the existence of bitcoin. There's every certainty that this won't be the story in other centuries to come. The fiats system had thousands of years to it side, just give bitcoin some years and it'll catch up to the fiat system and even be a better money than the fiat system in regards to their utility.
Well, the latter part of your statement already answered your question. Which is, it's hard to use Bitcoin for smaller payments or transactions.
Even if we hate to hear it, its still the truth: we have shifted from using Bitcoin as an online means of transactions to assets. When one wants to spend Bitcoin for simple or small online purchase, the pizza guy event always come to mind.
I think that what is happening is that we are kind of delayed when it comes to the scaling issue, some issues were addressed but it is still not enough, many people are still using legacy addresses when segwit addresses produce smaller transactions and you can fit more of them on the same block, obviously that is not going to be enough but it could help now and it also does not seem like there are many exchanges or businesses that had adopted the lightning network either which is causing that bitcoin cannot be used at the moment for small transactions. Even if we hate to hear it, its still the truth: we have shifted from using Bitcoin as an online means of transactions to assets. When one wants to spend Bitcoin for simple or small online purchase, the pizza guy event always come to mind.
I think Bitcoin is still in the process of improving and it is very early to say that it failed as money. The problem had been known and developers are doing their best to solve this. Unless the development of Bitcoin stop, we can never conclude that Bitcoin failed as money because once the transaction fee is trimmed down to its minimum (solved) then the belief of Bitcoin being a failed money will be completely debunked.
I think you already have your answer from your experiences.
It is impractical to use BTC for small and immediate payments. You can still use it as a currency for larger transaction where $5 transaction fees can be considered as minimal. Fees over the weekend are still cheaper so it can also be used for advanced payments [your payment is due next Tuesday? send on Saturday] or in situations where the merchant is willing to accept late confirmations.
It is impractical to use BTC for small and immediate payments. You can still use it as a currency for larger transaction where $5 transaction fees can be considered as minimal. Fees over the weekend are still cheaper so it can also be used for advanced payments [your payment is due next Tuesday? send on Saturday] or in situations where the merchant is willing to accept late confirmations.
I would say that answer is a "for now." With lightning, taproot etc, small, immediate payments are (or will be) possible.
Likewise, as bitcoin appreciates in fiat terms, at some point it will hit equilibrium. Whether that is one or two orders of magnitude (or more) from now is an open question. At that point, it will be much more stable, and will be more cost effective to use.
You know that it can be used for large transactions and of course to the merchants and companies who accept it as a payment. We are practically in the beginning of a long journey of bitcoin; we should understand that it is still unaccessible for countries who ban the use of it, and also those people who merely just can't access it due to their status. We can't conclude to the statement that it failed as a money.
To make it as money will take a long journey since the lightning network is not yet fully develop. But certain things like local exchanges are beginning to make it possible because if you trade some BTC using their platforms, the payment you made is automatic than if the receiver is also using the same exchanges. Now if some crypto exchange will be used around the world as a universal crypto exchange then Bitcoin as money will likely become possible. I think what Paypal wants is to create such universal crypto payment as well.
Disclaimer: "This is my opinion and not financial advice"
That's a really good question, is it a failed implementation of a alternative currency, in comparison to fiat monetary instruments? Sure, Bitcoin isn't pegged to overtake fiat anytime soon. In fact, it might be the exact opposite to be honest. If Fiat weren't a conversion vehicle for crypto, I strongly believe crypto would probably deflate. Now, has Bitcoin failed as money, absolutely not. We are at the Fulcrum of a brand new financial industry, one that challenges the traditional systems currently in place. I think that the adoption will continue to be slow until the governments play ball and go all in, within the regulatory space.
Just my two cents though
That's a really good question, is it a failed implementation of a alternative currency, in comparison to fiat monetary instruments? Sure, Bitcoin isn't pegged to overtake fiat anytime soon. In fact, it might be the exact opposite to be honest. If Fiat weren't a conversion vehicle for crypto, I strongly believe crypto would probably deflate. Now, has Bitcoin failed as money, absolutely not. We are at the Fulcrum of a brand new financial industry, one that challenges the traditional systems currently in place. I think that the adoption will continue to be slow until the governments play ball and go all in, within the regulatory space.
Just my two cents though
You know that it can be used for large transactions and of course to the merchants and companies who accept it as a payment. We are practically in the beginning of a long journey of bitcoin; we should understand that it is still unaccessible for countries who ban the use of it, and also those people who merely just can't access it due to their status. We can't conclude to the statement that it failed as a money.
It's too early to tell. The crypto revolution hasn't even started yet.
Bitcoin was created around 12 years ago, and that's a very long time for anything tech related, the only solution to the fee problem for anyone that wants lower fees is using lightning network and sending your Bitcoins to one of the wallets that do have lightning network support like BlueWallet, bitcoin lightning network transactions could have really low fees and even if bitcoin price rises to above $100k or so it still would be considered cheap in today's standard.
So you just either use lightning network or just move to some altcoin with lower fees for small payments like for subscriptions and such, since many online services that accept Bitcoin as payment also support payment with Litecoin or other lower fee coins as well.
So you just either use lightning network or just move to some altcoin with lower fees for small payments like for subscriptions and such, since many online services that accept Bitcoin as payment also support payment with Litecoin or other lower fee coins as well.
I think, Bitcoin is now being widely being perceived as a good investment option rather than being used as payment for everyday transactions. We can argue that many would prefer buying Bitcoin and then just hold it until they can sell it back for a profit, but many people also using it for payment for a certain product or service. It really is depending on the person how he tries to utilize Bitcoin, but frankly less and less are considering it as payment for now. Because a product worth 10000 satoshi then might not be 10000 satoshi now.
In my own experience bitcoin never been failed as money or digital currency since I use it as other form of money, I pay my bill and cellphone load using it, and I never experience any problem using it.
As of now, many establishment accept bitcoin as way of payment so, in my opinion there's no possibilities that bitcoin will failed as money.
As of now, many establishment accept bitcoin as way of payment so, in my opinion there's no possibilities that bitcoin will failed as money.
That is also one of the factors that restrict bitcoin from being the standard currency in a country and bitcoin would never replace fiat currency because of such things like that, before you have confirmed the transaction, you have to wait first for some hour before it was finished unlike on paying in fiat currency in a convenience store wherein when you pay fiat currency then transaction completed has finished.
Well, the latter part of your statement already answered your question. Which is, it's hard to use Bitcoin for smaller payments or transactions.
Even if we hate to hear it, its still the truth: we have shifted from using Bitcoin as an online means of transactions to assets. When one wants to spend Bitcoin for simple or small online purchase, the pizza guy event always come to mind.
Even if we hate to hear it, its still the truth: we have shifted from using Bitcoin as an online means of transactions to assets. When one wants to spend Bitcoin for simple or small online purchase, the pizza guy event always come to mind.
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