Why people price things in fiat but want BTC - choose one or the other - page 4.

Aswan

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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.

The reason is that others do the same and thus the BTC required to buy something from someone else will vary, which in turn makes people charge varying amounts of BTC in order to get the same good for the same good in the end.
Theres only 2 solutions to that:
1) Everyone has to change to only pricing things in BTC at the same time so they don't get left behind when the BTC/USD value drops
2) A slow adoption that will only lead to think being not pegged to fiat once the complete supply chain agrees on it.

That being said, a lot of prices are only shown in BTC and not in fiat already, it's just that the prices keep changing because of the BTC rate, but thats only happening on the backend. You will still only pay what the BTC price you are presented with.

haploid23

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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?

Godye Scaro X9

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There are a couple of things that is priced as BTC and not fiat. For example, altcoins and cloud hashing contracts. That might give us some perspective of what a future BTC-denominated economy might look like.

sergio

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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.

bitcoin is a baby, and it is already killing the dollar.

give it at least 10 years, and things will most likely be priced in bitcoins directly, actually in 10 years it may be more accurate to say things will be priced in satoshis, since a bitcoin could probably buy a brand new car and maybe even a house.

The coolest part of all is that it will make making wars expensive, since bitcoiners do not have to pay the war tax by force unless if they voluntarily pay such tax.

To help the bitcoin economy we should buy in the following order:
1 max priority to vendors that accept bitcoins and keep the coins.
2. vendors that accept bitcoins and sell the coins for fiat.
3. fiat
4. credit cards.

beetcoin

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Quote from: OgNasty on August 07, 2014, 06:02:15 PM

People who have been around for 2+ years know why pricing things in BTC is an exercise in futility.

yeah, i know that .2 bitcoins is equivalent to $120 in today's price.. around there at least. but once bitcoin goes for $1450 per, it'll be harder to calculate a reference point for how much .2 is really worth. if bitcoin overtook the dollar as a currency then it'd be fair game, but we're not even close right now.

OgNasty

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People who have been around for 2+ years know why pricing things in BTC is an exercise in futility.

beetcoin

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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's not as simple as you think. bitcoin's price is always rising, so .02 btc is not the same today as it is tomorrow. plus, fiat is our point of reference, since bitcoins are denominated into decimals. it's hard to scale them.

Omikifuse

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Bitcoin price varies, we need to have some reference.

Also most of commerce is still fiat, and no bills can be paid with bitcoin, so fiat is the reference

TheButterZone

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Ok my violin is no longer pegged to fiat, using the pizza index it is now BTC266,666.667.

jonanon

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Lots of fair points being raised.

Maybe we are still a way away from this ideal - hopefully not too far

I still would like to be able to buy everyday essentials with BTC knowing it costs x BTC not x amount of dollars worth of BTC - but I suppose we need to get to shops actually selling food for BTC first

keithers

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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 because a large percentage of people will be more than likely converting it back to fiat when they need the money. Or it can be so people can see the equivalent price in dollars in case they have never used BTC before

arbitrage001

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Quote from: Razick on August 07, 2014, 11:14:24 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.

Dollars are a more reliable unit of account at this time. Also, when you are selling to a public not yet familiar with BTC it makes the concept easier for them. If I was selling a service such as software with no marginal cost of production only available in Bitcoin most likely I would price it in BTC, otherwise, pricing would be in USD with BTC payment available.

And the merchant has supplier cost which is price in FIAT rather btc. Volatility could prove to be downfall for crypto currency.

Razick

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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.

Dollars are a more reliable unit of account at this time. Also, when you are selling to a public not yet familiar with BTC it makes the concept easier for them. If I was selling a service such as software with no marginal cost of production only available in Bitcoin most likely I would price it in BTC, otherwise, pricing would be in USD with BTC payment available.

elliwilli

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et rich or die tryi

Because it gives people a representation of the price that they are more used to. allowing them to be able to judge the price and therefore if they think it is worth buying almost instantly whereas if it was priced in BTC the person looking would have to go to preev or something similar in order to get a representation of the value that amount of BTC holds.
It is exactly the same as saying "when people use a new language why don't they use exclusively that"

Ron~Popeil

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It is a familiar denomination. Changing the way we think about something takes time. Many of us all ready take losses when we transact business because we pay exchange fees to top off our stash when we spend bit coin.

zhinkk

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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.

Not really a good argument, at least for now. Bitcoin is volatile. I want $50 of value for my item. It's easier to list in USD for now until btc becomes the standard.

bitsmichel

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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.

Because the BTC price fluctuates more fast than fiat, al though it has been very stable in the last months. I think the people are also getting used to all the units, uBTC, mBTC, bits and what not.

hilariousandco

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Pricing things in fiat is easier for everybody. If I want £10 in btc for something the btc at the time I listed it might be worth more or less a few minutes later so you peg it to your currency of choice for convinience and simplicity.

Foxpup

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Quote from: jonanon on August 07, 2014, 06:48:51 AM

Sorry you'll have to forgive me I have no idea what that means.....

Google is your friend.

franky1

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Quote

3 During that process a fiat/$ reference allows them to estimate relative value in the existing economy

correct.

as i know that exchanges show dollar amounts. so its not about bitcoin being fixed to dollars because i in england tell people a POUND value, so its all about heling the person infront of you understand the local value of bitcoins. and nothing to do with a dollar pegged price.

another way of thinking about it. imagine the world which was more used to, which fully understood, and really grasped the 'cost of living index' then we would say bitcoin is 1.5 of COL. even if exchanges were measured in dollars or the person was chinese, russian whatever. its purely about getting bitcoin recognized in a value the other party would accept and understand.

Topic: Why people price things in fiat but want BTC - choose one or the other - page 4. (Read 4911 times)