Topic: If bitcoin according to Satoshi is digital money then why call it investment. - page 2. (Read 610 times)

depending on what people think bitcoin is, according to their needs and intentions to keep bitcoin itself
because with progress and development there are many functions of bitcoin, not only as digital money, but even more as a digital money investment
so it's legal for all to give meaning and purpose why they have bitcoin
the whitepaper is only the main reference for making bitcoin with the fact that everything is developing

Because Bitcoin is considered a digital currency that has the potential to provide benefits if people start investing in it as soon as possible, and people who invest in Bitcoin never use it as a digital means of payment, only delay it and will use it when the value of Bitcoin increases by providing large profits to people who are patient enough to keep saving, more than that its use is not too massive where it can be used in all sectors of life so it is natural that many Bitcoin owners prefer to save or make it an investment asset rather than a means of payment.

I also really do not understand about this, but I will speak in my opinion.

bitcoin has a fluctuating price because many people use btc like someone selling btc and someone buying btc, so that way the price of btc fluctuates.
in my opinion, even though btc is used for investment, of course are not wrong because bitcoin is still a digital currency, even though we use it for Investment and btc is still btc.

why is bitcoin called the currency of the future because you are free to classify bitcoin according to your needs, if you want to make bitcoin an investment then you just have to buy it now and then hold it for the next few years or until you reach the price you want or if you want being bitcoin as a legal means of payment, you just have to find the seller of the goods you need then negotiate payment via bitcoin with that person, bitcoin is really extraordinary, easy or difficult to understand it depends on each individual.

It is the same as gold. When it is found the first time, it is used for ornamental. But as time goes by, people used gold for a payment tool and then used it for an investment, too. That's because gold value is increasing, people know they can take advantage from the growth of the value. However, is this wrong? No, it is not the wrong decision made by people, the function of gold can be varied due to the improvement of its adoption. It is something that happened in Bitcoin as well. Since the value is increasing, it can be also used for an investment. People adopt it for their digital asset because they know the benefits. Sure, Satoshi never said "investment" as Bitcoin function on the white paper because it is not the main function. It can be a digital asset (investment) due to its additional function on its adoption.

As long as there is a significant increase in its value, it deserves to call as an investment. The price fluctuation indicates a potential price increase. So, it is very a clear sign that price is never stable. Bitcoin price is volatile, that's why people prefer to use it as a digital investment than to use it as a payment tool.

I believe there will be no reappearance of Satoshi.
Satoshi wants crypto be decentralized, it means to have no someone or an institution as the regulator. Even if he is still alive, I assume he will remain hide his real identity forever.

---

https://onlygold.com/facts-statistics/history-of-gold/

IMO/CMIIW

I believe at the earliest stage of bitcoin inception there were lots of fud going about the space that bitcoin is this bitcoin is that do you not think it was such as a manipulative situation to cast doubt on holders making Dem sell at give away prices. Do you not think there were some people who saw the future ahead strategically positioned and comfortably controlling it with their orchestrated plans just as it is happening with fuds of lately as regards bitcoin price speculations and others which is affecting the market as a result of the rumor mongers. Have you not asked yourself why is it that when so so person talks or an institution does something, it positively or negatively affects the bitcoin market.

I  myself had a thought of all these questions and still arrived at the same answer. These whales control the market and does what ever they feel is ok by them to make more profits.

Bitcoin is an asset that allows its holders to earn huge returns due to the very high market demand. Its price volatility allows you to make multiple profits instead of using it as a means of payment. Of course it's fine if you don't make bitcoins as an investment asset, but you may miss the opportunity to get a return from its price volatility.

Bitcoin is traded around the clock and it would definitely be a great value added asset to have. While some users consider it digital gold, it's because of how the market works just like any other investment asset.

I’ll immediately answer the question posed in the title: because instead of using bitcoin for its intended purpose (as electronic money), people began to use it as an investment (after they saw what you can buy for 1$, conditionally, and after a while sell it for 10$). In theory, it can even be called price speculation.

The change bitcoin from electronic money to an investment instrument is, in a sense, an bitcoin evolution that even the creator didn't imagine, because, as you rightly noted, there is not a word about this in the whitepaper.

I don't think that in the early stages there were evil uncle-whales who bought bitcoin on purpose for manipulation. Most likely, everything happened chaotically and according to market relations between the owners / holders of bitcoin. Someone bought, someone sold, and so on in a circle. People who saw the potential of btc and believed in future opportunities bought it, and those who didn't understand it sold. This is how bitcoin moved from one pocket to another. Some accumulated, others lost. The same thing is happening now. No one is stopping you from becoming the BTC-whale, with the only caveat that now this requires huge amounts of investment.

Your right Bitcoin is a digital money/currency, something like that and that is actually how Satoshi made it, and its supposed to be a digital currency but it just doesnt work like that since Bitcoin in my opinion is not suitable to be a digital currency at this moment, at some point in the future it might be possible. I mean it's already a digital currency that everyone around the world can use, you could pretty much make transactions everywhere and send it to someone if you have Bitcoin. But as a currency that everyone can use to buy or use everywhere it just wouldn't work this time, what you need to do is to convert your Bitcoin first into fiat or sell your Bitcoin to get fiat money, and then you could use the fiat money on your transactions.

It was just because of the volatile market price of Bitcoin, due to its nature the supply of Bitcoin is just too low to keep up with the demand making the market price of Bitcoin skyrocket, as well as having a lot of movement. With that, it's difficult to make it something that you could use daily as digital money. But most investors use Bitcoin as an investment taking advantage of the cycle of the market and the volatile price making a good amount of profits on it.

One good reason why Bitcoin became an investment is that there is a profit to be made while trading it.  Aside from that, it is proven that holding Bitcoin for a long time and selling it at the right moment can give an enormous profit to the seller.  Investors see these features in the Bitcoin market and decided to allocate their money to buy Bitcoin and hold it until they get a satisfactory price to sell Bitcoin.  It is the volatility of the Bitcoin market makes it as an investment even though it was created as currency.

Aside from that, this is not the first time that investors uses currency for their investment.  Many traders oftern invest money to buy and sell fiat currency cush as USD, Pounds, Yen, etc.  For them as long as there is price fluctuation, there is profit to be made thus, making these currencies as an investment is just a normal thing for them.

By the way, a person cannot acquire Bitcoin if they don't mine and hit a block or buy it from the exchanges or work for it.  In short there is a resources needed to acquire Bitcoin and people often invested to these resources to acquire Bitcoin and they call this as Bitcoin investment.

People in need of money see the potential of it; just imagine the price of it before and compare the price now; it is really a huge jump, and the first thought on this is that it can make you rich if you bought bitcoin in the last decade. Even though it is made for internet money, which is still used by others right now, people are seeing it more as an investment, and that is the way that they want to use Bitcoin, which we can't blame them for, and we should also be thankful for it as we have also benefited from it.

Bitcoin's versatility is impressive. It has changed dramatically from a digital payment system to an investment asset. Power comes with responsibility. We're all hoarding Bitcoins, but are we deviating from its intended purpose?

Bitcoin's whitepaper proposed decentralized peer-to-peer electronic cash. It enabled trustless financial transactions. Are we losing that vision as it becomes more speculative? Allowing it to become an elite's game promotes wealth inequality?

That doesnt diminish its value. Like any asset, its value might change. Great benefits may have drawbacks. Bitcoin, despite its brilliance, isnt immune to market forces.

Do you mean the reason bitcoin became an investment is because it wasn't widely accepted? And if it is widely adopted in the future, will it become a currency? I don't think that is the cause.
How could bitcoin be volatile without human intervention? So the fact that bitcoin becomes an investment is due to our need and no other reason because our need to make money is greater than any other need in life. If bitcoin is stable and unprofitable, will you continue to hold it, or will you find an alternative investment?

I would like to think that one thing can actually serve two or purposes depending on how the users deem it fit for him to use. But its clear that bitcoin was actually intended for financial freedom purpose whether its original plan was as a digital money or decentralized crypto its still doesn't close the fact that bitcoin over the year has gain more and serve more purpose for its consumption and adoption.

The ability for BTC acting as a store of value makes it easy for the mass public to use it as an investment means and also term it majorly on matters concerning investment because everyone wants something that can actually generate them some little profits instead of eating their cash e.g saving money in the bank(value depreciates over time).

Bitcoin is a currency first, then an investment. There's no point trying to separate it. Something can be an investment and a currency.

If I decide to buy a large sum of money in euros today for the price it is now and decide to save it for a long period with the hope that the price would appreciate,  that makes the euros in my account an investment, and at the same time, it's still a currency.
Using the Euro as an investment doesn't make it lose its identity as a currency, so Bitcoin should not be different.

Bitcoin doesn't have to be one and not the other. How can something be a currency if it's not a store of value? Gold and fiat are all seen and used as a store of value, currencies, and also investments, the same should be applied to Bitcoin if we want its adoption to be effective. 

^ That is what we called, (Store of Value)
Many people have seen this potential because when it comes to more adoption the price will grow up due to the limited supply and this potential has been seen by many others to generate returns. However, while considered as an investment, it still functions as a digital currency and each of us can use BTC for transactions, just like traditional money.

Bitcoin is originally designed as a digital currency but since it’s adoption is still far from realization, then people use it as an investment instead because of its highly fluctuated price. And with volatility comes high chances to earn once it’s value reaches an all time high. That’s why as long as it has a volatile and unpredictable price, people will still be seeing it as a good investment.

Bitcoin will always be an investment because of its limitless value. As long as bitcoin price is not fixed, and it creates more chances of price increase, then it will always be an asset or an investment. However, we can always use bitcoin as a digital money once it’s used as a payment mode, or an investment once people prefer to keep it and expect good store of value. Whatever it is, that fact that people are still in profits with bitcoin, bitcoin will always be a forum of business or investment.

We have had this discussion in the past on the forum, I can remember writing on a topic that had similar questions. Bitcoin is both an assets and a currency. Satoshi wanted Bitcoin to become a currency that's used for payment but that haven't been achieved fully globally as it's yet to recognized globally as a currency. We're then left to use Bitcoin as an assets that's used to multiply our money  and that's why many individual are using it as an investment.

Bitcoin is been known globally as an investment that gives investor huge return when they make investment in Bitcoin that's why everyone is now referring to Bitcoin as an investment. This isn't so much of a bad thing because it gives value to Bitcoin and reputation.

Yes,  Bitcoin was created to be a digital currency but surpassed its purpose of creation and become an investment opportunity because of its deflationary nature which made it a store of value or a safe haven for investors as it increases over time hence investors now saw it as an investment asset class due to its various use cases and thus appreciates or adds value as time progresses.