Topic: I have always wanted to ask this about bitcoin - page 3. (Read 546 times)

What do you want should be the reason why people go for bitcoin if not for the  Volatility and value. Whatever is good for people they have right to go after it and love it. Are you expecting people should just accept bitcoin without a reason.  Anything that doesn't have good reason  for people to stick to it is nothing.
Volatility is one of the features that makes it to a great currency,  people will always run to whatever has value , what do you expect from bitcoin if not for value?

Even at this point, few people only are using Bitcoin as a mode of payment and they are mostly using it for investment purposes. But eitherway is good as long as people are making use of the advantage of this technology. We cannot force people to spend their assets especially if they are more anticipating big returns during bullish market. So if ever the market price would be stable, I doubt that this industry would still be recieving huge amount of interest. More likely, big investors who are voiding taxes would be the ones to use this currency still and small investors might stay away or just ignore Bitcoin. It is a matter of weighing down which would be more preferred; profit or convenience.

I agree with this point of yours, how many people were ready to make bitcoin their utmost irrespective of the price and if the worst come when it's on dip for a longer while, will they still develop that interest in it or it's all because of the tendencies for rising within a particular period, but as for me, i will prefer a decentralized network like this bitcoin even if it maintain low for a longer being dip than depending on the centralized institutionizations with my finances, rise in orice isn't the only benefit we derive with bitcoin, the freedom in finance is far better anticipated for with bitcoin.

I think Bitcoin was designed to be used primarily as a way to make payments without relying on a central authority like a bank. Personally, I believe that Bitcoin's decentralized and secure network is one of its greatest strengths, and I would continue to use it for transactions even if there was no potential for price appreciation.

Bitcoin isn't a stable coin and it will never be one so the question about it one day becoming stable makes no sense. People have already answered that part.

Volatility will keep decreasing and it is decreasing. You can see that in the bear market lows when in 2011 and 2012 you could see 90% corrections but as time went by they became much more shallow. In 10 years if bitcoin keeps growing it's going to be a rare thing to see a 50% correction in the bear market but there still will be one.

Theoretically if bitcoin had very small volatility (10%?) I'd still invest in it. I'd prefer a stable growth of 5% a year to 100% followed by a 70% drop.

Let's bot hope for what is not or think about the impossibilities when it comes to discussions on bitcoin, the reason why people are using bitcoin is because of its decentralization among other benefits that take away any legal right or authorization of a third party influence o er our finances.


Bitcoin from day one had not been stated to be a fix value currency, that it why we study about its volatility whereby it has the frequent tenacity to rise and fall with time and everything we are seing were altogether inline with the protocol the blockchain technology was built upon with bitcoin, if you want a new thing about bitcoin then change the consensus protocol which u believe is impossible to do.

Your question is just like referring to tether, yes people still buying tether but not for investment purposes it can only be for conversion and trading purposes or using it for funding instead of for investment. Why people keeps holding bitcoin is because of the decentralization and the volatility and the ability for investors to have their ROI. So it's true no one would invest but could only be used to store value, but nonetheless you can't just classified bitcoin that way to me is far above what you thought, so it's good to speak out.

I think it's not quite correct to evaluate Bitcoin from this point of view. Volatile or not volatile - many Bitcoiners don't really care. Bitcoin is decentralized, great investment in the long run, it's quite safe and anonymous, it's divisible and portable etc etc etc...  this perspective (volatile or not volatile) is mostly important for traders, just one of the groups of people around Bitcoin. So, if you're a trader, I guess volatility could be a reason to buy Bitcoin. 

Before the volatility stepped in, I can't say for sure if people bought bitcoin but, there were those who still picked interest for the fact that, it was a currency to serve a digital purpose of paying for transactions.

The original intent of Satoshi was to have it serve as a currency and that has not yet been taken completely from bitcoin. Bitcoin still has its currency purpose though impeded but, will come to light some day and its other advantages such as, having payments on transactions sent across the globe and advantages of decentralisation come to lame light.

People won't lose sight if what is important and would see the need to buy or accept for a means of payment.

Volatility isn't a characteristic, it is an effect of the evidence that bitcoin's utility works. Hal Finney was the first bitcoin enthusiast and ofcourse he got some for free from the founder instead of buying. Have you ever thought what attracted him to bother helping satoshi test the network when bitcoin had 0 volatility (worthless).

Volatility is the reason most people buy bitcoin, but that doesn't mean there aren't other reasons. Bitcoin isn't only profitable financially.

Ignoring the flaws of this exercise and answering the question frankly...  I would probably hold about 1/10,000th as much BTC if it were pegged to some specific USD value.  Sure, I'd still want some for trading over the internet, but as an investment, no way.  It would be worthless.  One of the things that initially attracted me to Bitcoin was it's low valuation for the solutions it offered.  If there was no value angle, I likely wouldn't have learned enough about it to know how it could change the world.  I think it's Bitcoin dressed up as a get rich quick scheme that enabled it to be so powerful as a disruptor in the financial space.

Bitcoin needs volatility to maintain is relevance hence it is decentralized and no control over it. That is the beauty of the bitcoin. If it should be stable then there would be no more value attached to it. The volatilities makes it unique and different from others. The ups and downs makes it real. Actually, like I have always said and most comments here too says that the initial plans of Satoshi Nakamoto was to make bitcoin equivalent fiat in a digital way but the early adopters sold too early to the whales and they took over bitcoin and started the investment mentality which made this new generation think bitcoin is an investment option. Since then the idea has been bitcoin investment so far and that has been the game but I believe it would get to a time when everyone individual will be in possession of bitcoin and on daily basis, everyone would be trading on bitcoin which means that bitcoin has been globally recognized and adopted as an alternative digital currency then the mentality of bitcoin as an investment would definitely be done with.

The issue you are referring to is the limited availability of places where Bitcoin can be spent. This is due to the current trend of holding onto Bitcoin, which hinders mass adoption. To promote the use of Bitcoin, it is important to encourage its acceptance by merchants and raise awareness among traders. While there are services that enable Bitcoin payments, it would be beneficial to also facilitate the conversion of Bitcoin into fiat currency for merchants.

I know that many people want to make profit from BTC, but it does not change what it was created for, and that is for it to be a second choice currency to fiat, so even if BTC isn't too volatile people would still use it to keep their money safe and away from the government and the banks control. Investment wasn't part of the reason for creating BTC, but it is great we can use it for that and as a currency too.

I feel the reason why more people buy BTC for profit is because they can't find too many places to spend it, if we get to a time were we can buy nearly everything with BTC, i think many people would use BTC very frequently, and the idea that it is only an asset to be invested in would vanish.

If by no volatility you mean no more increase & decrease in price that will probably mean no sign of life. What we should be talking about is moderate volatility that occurs most times (or moderate fluctuation with occasional massive fluctuations) rather than zero volatility/fluctuation because there will always be fluctuations in the price just like there is also fluctuations/volatility in fiat currencies like dollar.

Bitcoin price will always fluctuate, especially upward, and this will help make it a good Store of Value which means your investment would be inflation resistance long-term... and this is one of the main reason Bitcoin is deflationary. Trying to keep it stable (which they can't achieve)  can weaken the security and usefulness of Bitcoin. All the Bitcoin principles combined makes Bitcoin secure and attractive.

I wish Bitcoin reach the point its volatility will become very small. And yes, people will still use it, for both transactions (payments) and as store of value.

Now there's a huge inflation around the world and afaik the banks started offering some interest for the deposits, which pay for their fees and maybe more too. But some years ago, when the inflation was much lower, we've reached the point one person could deposit his money to banks and then pay some more as fees. And inflation was still eroding the value of those money.
So Bitcoin has its very good use even if it doesn't make (many of) its investors rich.

For me? Yes, it would still be my favorite. Bitcoin allows me know that my money is really mine. Bitcoin allows me get paid for this or that side jobs without caring about my employer's identity. Sadly in my area I can't buy much with Bitcoin, but maybe we'll get there too soon enough.

Years ago when I was still new to bitcoin, I've been hearing the keyword, "decentralized/decentralization".

I think that even if that's the only thing to be offered by bitcoin, that's where everyone is going to stick with and not just all about the value of it.

But it has to come out naturally that being a decentralized cryptocurrency, it's value is unstable and that's why the opportunity has been seen about it being an investment.

This is poll based question. You could have used poll feature to get the voting and understand the actual statistic for the same. Nonethless, this is individual choice. Most of the persons are in the crypto because it has to offer the decentralized feature and you can control your holdings without a paperwork and no questions asked.

As far as my concerns, I am here to enjoy all the benefits of this. Since use of bitcoin I have been able to transfer the funds overseas to my family without any problem. I hardly do transfers via bank now. Whenever I used to do it via bank, you had to give justification about it. Plus, depending n the size of transaction I also had to let them know the "Purpose" of my transaction. You know for example, if my transaction is above 1K USD then they would start asking questions.

On the other hand, it may happen they would block some transactions for tele verifications. Very common practice when you send money from USA to Asian countries. Probably the transaction would go on hold for 48-72 business hours. Used to be horrible experience in the emergency cases.

Now imagine how happy I am when sending the same transactions with the bitcoin? Just grab the wallet, put my passcode, clipboard the address and send with low fees. Literally happens with my finger tips and nobody ever knows about it. 

I would care less about the bitcoin volatility if I have this much freedom from it.

You realize that all fiat currencies are used to just do this and are powering up a global trade worth nearly 30 trillion?
You're basically asking a question ignoring why Paypal, WU, or Visa exists in the first place!

Also, another hint, do go through the white paper of Bitcoin and Satoshi's post and find where the investment and profits and returns mentioned!


Please tell me this is some sort of huge auto-correct mistake or it contains so much sarcasm my detector broke!
If it's not this, and there are more thinking of this then god have mercy on us!

There is a difference between use and investment. The currency can be stable and still people use it. An example of this is stablecoins, but no one invests in USDT unless it saves the value of another investment, and so on.

As for the answer to your question, as long as there is interest in something, people will continue to use it, and assuming that the price of bitcoin will be stable, people will probably continue to use it due to the cheap fees compared to other methods.

Volatility is good for those who want to trade, the increase in value in the long term is what distinguishes Bitcoin more than volatility.