Why people price things in fiat but want BTC - choose one or the other - page 3.

alwinlinzee

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Quote from: MoonRise on August 26, 2014, 09:59:42 AM

Com'n bitcoin will never replace fiat moreover bitcoin is an asset just like Gold but it's virtual.This is a huge misconception that bitcoin will replace fiat.That is never gonna happen

You nailed it men.Its the basic truth bitcoin can't replace fiat.

MoonRise

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Com'n bitcoin will never replace fiat moreover bitcoin is an asset just like Gold but it's virtual.This is a huge misconception that bitcoin will replace fiat.That is never gonna happen

montello

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Isn't it obvious people that are familiar with the trend of things in the btc world know that the price of bitcoin is not stable so it is easy to make their demands in fiat which has a fixed price value.

Jesu

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It's a silly argument for many reasons. We need to tie the price to something so we can understand it better. It's no different than prices for different currencies at your local currency exchange where you go to get your holiday money.

Anna Chan

newbie

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I seldom use foreign currencies and also was careless to the exchange rates. Holding BTC/LTC make me very care about the exchange rate swings. I like the decentralized currency, but I hate to keep my eyes on the screen board to watch the exchange rate. It looks like I'm holding some kind of securities instead of currency.

lihuajkl

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Merchants are paying all the raw material or suppliers with fiat. If they accept btc payment, they will need to change to fiat to pay off. They are afraid the btc price goes against them and want to get back specific amount of fiat to cover the cost and make profit. The reason that they accept btc payment is that they want to attract the customers who hold btc.

itsAj

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Quote from: R2D221 on August 25, 2014, 07:40:14 PM

Quote from: itsAj on August 25, 2014, 07:11:05 PM

Quote from: qwerty555 on August 25, 2014, 11:28:25 AM

Here is one already existing solution to that.

http://pesobang.com/

I don't see how that website is a solution to that problem. All that website does is price their products in terms of bitcoin, but if the exchange rate moves then either the merchant or the buyer will end up getting a worse deal then they should because the exchange rate moved against their favor.

Somebody has to take the risk first. Eventually more people will start to price things in BTC, and that will help the exchange rate to stabilize (maybe, I'm no expert).

I think it will need to be the opposite. Once the price starts to become much more stable then things will start to be quoted in terms of bitcoin.

I think another reason things would be priced in bitcoin would be because it would cost a merchant bitcoin (instead of fiat) to produce and sell a certain product. If it always costs someone .2 BTC to produce something regardless of the exchange rate, then the merchant will likely want to sell it for something above .2 BTC.

R2D221

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Quote from: itsAj on August 25, 2014, 07:11:05 PM

Quote from: qwerty555 on August 25, 2014, 11:28:25 AM

Here is one already existing solution to that.

http://pesobang.com/

I don't see how that website is a solution to that problem. All that website does is price their products in terms of bitcoin, but if the exchange rate moves then either the merchant or the buyer will end up getting a worse deal then they should because the exchange rate moved against their favor.

Somebody has to take the risk first. Eventually more people will start to price things in BTC, and that will help the exchange rate to stabilize (maybe, I'm no expert).

itsAj

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Quote from: qwerty555 on August 25, 2014, 11:28:25 AM

Quote from: Mobius on August 11, 2014, 12:27:30 AM

Quote from: galbros on August 09, 2014, 07:09:51 PM

You should price your goods in whatever helps your potential customers. Bitcoin is not a crusade, it is a means for commerce. As someone else pointed out, the USD and other national currencies are much better (presently) at being units of account. Bitcoin is a great potential medium of exchange, and maybe store of value, and so people are using it exactly as they should be.

This is very true. If you were to price your products in terms of BTC then you would likely get a lot of questions about how much your products actually cost. If the public is familiar with a certain denomination then you should price it that way and when you accept bitcoin you should make adjustments for exchange rate changes.

Here is one already existing solution to that.

http://pesobang.com/

I don't see how that website is a solution to that problem. All that website does is price their products in terms of bitcoin, but if the exchange rate moves then either the merchant or the buyer will end up getting a worse deal then they should because the exchange rate moved against their favor.

Harvey Specter

newbie

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It's just easier for the time being until Bitcoin becomes more popular then I should think people will use just BTC as a label for price and not fiat.

qwerty555

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Quote from: Mobius on August 11, 2014, 12:27:30 AM

Quote from: galbros on August 09, 2014, 07:09:51 PM

You should price your goods in whatever helps your potential customers. Bitcoin is not a crusade, it is a means for commerce. As someone else pointed out, the USD and other national currencies are much better (presently) at being units of account. Bitcoin is a great potential medium of exchange, and maybe store of value, and so people are using it exactly as they should be.

This is very true. If you were to price your products in terms of BTC then you would likely get a lot of questions about how much your products actually cost. If the public is familiar with a certain denomination then you should price it that way and when you accept bitcoin you should make adjustments for exchange rate changes.

Here is one already existing solution to that.

http://pesobang.com/

oceans

sr. member

Activity: 406

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I can see why people do state that they would like to be paid in so many dollars but in bitcoin as it's easier then for it to be converted exactly and them know they will be receiving just that in bitcoins rather than losing out and getting paid less for their work.

Mobius

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Quote from: galbros on August 09, 2014, 07:09:51 PM

You should price your goods in whatever helps your potential customers. Bitcoin is not a crusade, it is a means for commerce. As someone else pointed out, the USD and other national currencies are much better (presently) at being units of account. Bitcoin is a great potential medium of exchange, and maybe store of value, and so people are using it exactly as they should be.

This is very true. If you were to price your products in terms of BTC then you would likely get a lot of questions about how much your products actually cost. If the public is familiar with a certain denomination then you should price it that way and when you accept bitcoin you should make adjustments for exchange rate changes.

lyth0s

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World Class Cryptonaire

Honestly I think comparing fiat to the amount of btc desired is a fair way of stating how much purchasing power of bitcoin you want during a point in time (now) where the purchasing power of bitcoin fluctuates.

Beliathon

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https://youtu.be/PZm8TTLR2NU

Quote from: jonanon on August 07, 2014, 06:29:16 AM

They should be prepared in certain instances to take a fiat loss for their beliefs.

Not everyone is so financially privileged as you, first world ignoramus.

galbros

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You should price your goods in whatever helps your potential customers. Bitcoin is not a crusade, it is a means for commerce. As someone else pointed out, the USD and other national currencies are much better (presently) at being units of account. Bitcoin is a great potential medium of exchange, and maybe store of value, and so people are using it exactly as they should be.

harrymmmm

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Quote from: haploid23 on August 08, 2014, 03:15:36 AM

Quote from: jonanon on August 07, 2014, 06:29:16 AM

Surely if someone is so keen on the idea of Bitcoin fiat shouldn't even be mentioned.

That's just silly. Majority of the world still operates in terms of fiat. Until the day where you can pay nearly everything (rent, food, bills, and other misc cost) with btc, the world will still be pegged to fiat until there is a global monetary collapse.

If you bought your car for 100 btc, then price btc price crashes to $7/btc, but you get an offer for that car for 105btc, are you going to take the offer and consider it as profit?

Of course...if the new replacement car is still 100BTC.

BitCoinNutJob

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Fiat is still currently more popular and recognized. Also the exchange rate fluctuations are still wide in ebay vs fiat, if priced in btc you would always have to check an exchange rate before buying a good.

wasserman99

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Quote from: Soros Shorts on August 08, 2014, 06:16:00 AM

Quote from: jonanon on August 07, 2014, 06:29:16 AM

I've seen loads of topics of people trying to sell things and saying I want x amount of dollars worth of BTC. Surely if someone is so keen on the idea of Bitcoin fiat shouldn't even be mentioned.

They should be prepared in certain instances to take a fiat loss for their beliefs.

It is reasonable and prudent to price and value items for sale in terms of something that is relative stable, e.g. USD. That way the seller does not have to change the price on a daily or even hourly basis.

This is true. Another reason is that more people are much more familiar with the "value" of a dollar. They are likely paid in dollars so if they pay $100 for something they know how much work they need to do in order to produce enough currency to pay for the item. This makes it much easier for people to determine if an item has a good price or not.

Soros Shorts

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Quote from: jonanon on August 07, 2014, 06:29:16 AM

I've seen loads of topics of people trying to sell things and saying I want x amount of dollars worth of BTC. Surely if someone is so keen on the idea of Bitcoin fiat shouldn't even be mentioned.

They should be prepared in certain instances to take a fiat loss for their beliefs.

It is reasonable and prudent to price and value items for sale in terms of something that is relative stable, e.g. USD. That way the seller does not have to change the price on a daily or even hourly basis.

Topic: Why people price things in fiat but want BTC - choose one or the other - page 3. (Read 4911 times)