Topic: Is there any disadvantages or advantages of receiving BTC as a payment? - page 3. (Read 1128 times)

Have been a merchant who accepts BTC for years now.  The downside is that not many people use it still.  Downside for them is that they can't do a chargeback.   But I am always honest with my customers so that's not a risk for them. 

-B-

I guess maybe if the value goes down after the trade, but then again another trade might go up in value afterwards ?
I can't really see any disadvantages which is a really good thing since I use and love bitcoin.

Sure man, and it all hinges on how and where you spend your money. Can you spend your bitcoin for everything you need? Or do you have to exchange your bitcoin to a fiat currency to buy what you need?

The fluctuating spending power of bitcoin is the only risk. Some months it's more valuable tomorrow than it was today, in other months (like this month of September) it's less valuable today than it was yesterday.

Fiat is always less valuable today that it was yesterday, but the swings just aren't as great.

I'd rather focus on the value of BTC. The advantage lies in the increase of Bitcoin's value. If the value of Bitcoin is going high, what you have received as payment of what you sold is considerably multiplied. But if the price goes down, then there is the disadvantage. You will end up losing.

Yes, there are advantages and disadvantages. I'll just give one reason for each. The advantage of paying or buying in bitcoin is that it is more convenient and for easier transactions. You can pay just having their wallet address unlike in fiat that you need to know who to send and where to send. However, its' disadvantage is that, you'll never know the real price of it, since bitcoin's price is not stable, you may buy it in a smaller price now, but you'll regret tomorrow if the price becomes higher.

Its the fluctuations that affects the value I guess so whatever direction the current movements goes that's can be a pro or con if value jumped up you will earn aside from getting it as payments but if the value falls your service will be devalueted since the price will also go down same with the value of the coin, its your good judgement though if you love holding then you can always wait for your gains.

Well, as always these are complicated questions with very different answers, most of which can be valid for different people.

If you want to run a business as a retailer (or in general if you want to sell regularly) receiving payment in bitcoin, you can do it (though usually I'd suggest relying on a trusted intermediary platform if you don't have the skill required to maintain your own system--which you do not).

What you have to be careful about is how you manage your business, in particular your cashflow and capital. Considering Bitcoin is highly volatile and (in general) useless for purchasing stock, you need to make sure you are selling with a larger than minimal margin (compared to a regular seller), and you have to be diligent in liquidating incoming bitcoin as soon as they are earned. Now, you don't have to convert 100% of your revenue if your goal is to gamble on bitcoin's future growth, but you absolutely must convert right away whatever amount you need to cover your operating and stocking costs, plus whatever salary you need to survive.

Not easy, can be done. As with all business, it's up to you to make it succeed.

You never really know who's on the other side of a BTC transaction. There's a ton of trust that must be involved when using BTC. Unless you're experienced with Crypto you shouldn't be executing large transactions. If you send it to the wrong address, use the wrong coin, get scammed, etc. there is no third party who can help you.

There are numbers of advantages of both receiving bitcoin as a payment and using bitcoin as a mode of payment for either products or services. When you receive bitcoin as a payment and maybe its market value rise, let say from $3000 to $5000, in this case the receiver has end up making profit because bitcoin serve as a store of value. And if you receive bitcoin as a payment for products or services and its market value depreciate drastically, then you will be at lost at the end of the day.

Both may be an advantage or this advantage when it comes to the inflation and deflation of prices. It's either prices are sinking but they paid for something worth more. Or an advantage when they paid you and prices soared higher making you profit from it.
Another thing is we don't have a sure prediction. There are chances of higher prices. But we did not predicted about China banning ICOs. That was a shock for everyone

In the very beginning, everything has its cons and pros. I'll be honest to you: bitcoin as a payment is sometimes not good, especially at this point. Why? Here are some reasons:

First, bitcoin is known for its volatility, which means that its value might change from time to time. If you receive bitcoin (or satoshis) as payment, one  possibility is that you might receive lesser money (since bitcoin value changes from time to time - almost every minute). The tendency, you'll not earn profit, instead, you'll lose some (although it wouldn't be that much).

Second, online transactions are not always reliable compared to peer to peer transaction. You can't just give your trust to someone you talk with through social media. If you are going to sell (or buy) a thing, it's still better if you meet the one who you're transacting with.

Another one, if you're not well knowledgeable about bitcoin (its features, wallets, etc), then you shouldn't transact through bitcoin. You should always put this in your mind: bitcoin transactions are non-reversable, meaning once you click DONE (or SEND), you can not take back your money. If you've entered the wrong amount (or wrong wallet address), you're the only one liable to it.

Despite those disadvantages, bitcoin is still one of the best invention of the new era especially in the world of economics. It gives ease on people's daily transactions, making it fast and hustle-free.

As I scan and read forums I got curious here.

Is there any disadvantages or advantages of receiving BTC as a payment from the object that you are selling or from the object you are buying by a BTC? I hope someone would be nice to to answer it kindly.