In my opinion, it is a waste to use Bitcoin for payment now. I think the value of Bitcoin will become higher and higher, so it will not be used for payment in daily life. If it is a transnational large payment, I will choose bitcoin, because this is the advantage of bitcoin.
So when the volatility of Bitcoin is stable and more and more people hold bitcoin, they will choose bitcoin for their daily payments.
Topic: Why would people ever use bitcoin if its expected to always go up? - page 8. (Read 1246 times)
August 09, 2021, 04:41:41 AM
August 08, 2021, 10:15:10 PM
I am hearing about this argument for so long. A lot of people claim that no one will use Bitcoin as a currency, if it's value goes up almost constantly. I don't think that is the case and in fact I would say it is one of the plus points of Bitcoin. Let's take an example, where you need to do some shopping and pay utility bills. You need $300 in total to do this. Now this expenses are spread out over several weeks.
If you want to pay using fiat currency, then you need to store this much amount in the bank account and make the payment when they are due. The exchange rates will remain constant. On the other hand, if you store this money in the form of Bitcoin, then there is a good chance that by the time you make the payment, your initial $300 might have grown to $330 or even $360. So overall, it is beneficial for the user.
If you want to pay using fiat currency, then you need to store this much amount in the bank account and make the payment when they are due. The exchange rates will remain constant. On the other hand, if you store this money in the form of Bitcoin, then there is a good chance that by the time you make the payment, your initial $300 might have grown to $330 or even $360. So overall, it is beneficial for the user.
August 08, 2021, 10:10:53 PM
I couldn't put the full title in the subject line due to character restrictions, but here is the full question:
If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
The question is really good and after reading the answers here I don't see a direct answer at all. This is what characterizes the current situation with bitcoin. Indeed, it is now very little used as a means of payment and more as a means of accumulating value. This is partly due to the fact that the infrastructure for this has not yet been created and in many states there is still legal uncertainty, bitcoin still does not have a clear legal status.If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
However, the main role here is played by precisely the expectation of the price growth of bitcoin in the foreseeable future. I personally think that someday bitcoin will stop in price anyway, but let's see how it will be in practice.
August 08, 2021, 09:01:45 PM
I couldn't put the full title in the subject line due to character restrictions, but here is the full question:
If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
Bitcoin is a digital currency, thus on spending btc it just serves the real purpose on why it was created. Its a currency that can be use to transact online so its quite normal for some of us to spend because of the convenience. Like for me its a convenient way to send money, an alternative to remittance without the need to go outside and fall in line. Yes many of us believe that in the long run the price will going to increase hence saving while the price is not expensive is a wise thing to do. However there are situation where we cant just "hold" even if we wanted to do like if we are really in need of money and taking profit on our bitcoin is the solution. Its one of the reason why holding is not easy specially for an average investors who only counts on his crypto profit. If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
August 08, 2021, 07:25:29 PM
I couldn't put the full title in the subject line due to character restrictions, but here is the full question:
If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
well its like why you invest your money into bitcoin in the first place?. im sure because you believe bitcoin could give you bigger return from other investments which you can use to fullfil your needs or buy something that you dreamed. Also bitcoin is made for transaction that are trustable and easy and many people start to accept it which no wonder why people shoping using their bitcoin. If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
August 08, 2021, 06:59:03 PM
Situation. That's the main reason why people are using it for things that they need. If the person who holds bitcoin is in good situation and doesn't have to think of spending and selling his bitcoin, he'll be ending up holding it for long and there's no doubt with it.
But even if a person holds bitcoin, time will come that he has to sell it for such serious situation that he has no choice but to sell it at any price just because the situation permits.
But even if a person holds bitcoin, time will come that he has to sell it for such serious situation that he has no choice but to sell it at any price just because the situation permits.
That's actually true. Every person here has their own needs and reasons why they are into crypto. Also, at some point even long time holders will sell if they see that the price is quite attractive for them. And a lot of us here are also waiting for the good timing in the market to sell some of our stash. Not many people can afford to hold long term as a lot of us here has needs to address especially during this pandemic. And besides, if everyone here is expected to hold long term, the supply and demand in the market will not be good.
I have my discipline that I only need to sell whatever is needed by me and then eventually, if I have the opportunity to buy those back, I'll do that instantly as long as the price is quite low and I have ready cash to buy it.
We want to sell at the best prices so we're all waiting for that and as well as accumulate as much as we can and buy at the best price that we want to.
August 08, 2021, 06:10:37 PM
Bitcoin is conceived primarily as a digital currency. These days, for most people, its most tangible use is as an investment tool.
Bitcoin may do well as an investment. Or it may not. We will never know for sure, while the market for bitcoin as an investment vehicle is ramping up, the market for bitcoin as a currency is dwindling. But I think there will always be people willing to spend their coins. To begin with, miners sell bitcoin to cover their mining costs. Investors liquidate their investments for a variety of reasons. And finally, there are users whose salary is paid in bitcoin, who need to pay their daily living expenses.
With all the valid reasons listed above, i do think spending bitcoin will create an issue. After all, we get to invest or mine bitcoin for the sake of our own financial security and becoming stable these days.Bitcoin may do well as an investment. Or it may not. We will never know for sure, while the market for bitcoin as an investment vehicle is ramping up, the market for bitcoin as a currency is dwindling. But I think there will always be people willing to spend their coins. To begin with, miners sell bitcoin to cover their mining costs. Investors liquidate their investments for a variety of reasons. And finally, there are users whose salary is paid in bitcoin, who need to pay their daily living expenses.
It's part of circulation to make the economy healthy so there's noting wrong for someone to sell their bitcoins if they really need it, Maybe this only became an issue to a person who bought at high price and always convince people to hodl so that he can recover back his capital but this will never happen since not all bitcoin users can afford to hold. But maybe once there's a good news we can say a huge price hike since many will keep buy since this is the start of FOMO.
August 08, 2021, 05:11:50 PM
Bitcoin is conceived primarily as a digital currency. These days, for most people, its most tangible use is as an investment tool.
Bitcoin may do well as an investment. Or it may not. We will never know for sure, while the market for bitcoin as an investment vehicle is ramping up, the market for bitcoin as a currency is dwindling. But I think there will always be people willing to spend their coins. To begin with, miners sell bitcoin to cover their mining costs. Investors liquidate their investments for a variety of reasons. And finally, there are users whose salary is paid in bitcoin, who need to pay their daily living expenses.
With all the valid reasons listed above, i do think spending bitcoin will create an issue. After all, we get to invest or mine bitcoin for the sake of our own financial security and becoming stable these days.Bitcoin may do well as an investment. Or it may not. We will never know for sure, while the market for bitcoin as an investment vehicle is ramping up, the market for bitcoin as a currency is dwindling. But I think there will always be people willing to spend their coins. To begin with, miners sell bitcoin to cover their mining costs. Investors liquidate their investments for a variety of reasons. And finally, there are users whose salary is paid in bitcoin, who need to pay their daily living expenses.
And once bitcoin will reach its endpoint having to use it as a legal currency with the government supporting it, more likely its value will be less volatile or might be controlled just like fiat. But still, bitcoin will always have its great advantage over fiat in the form of currency or as an asset or investment.
August 08, 2021, 03:50:58 PM
Bitcoin is conceived primarily as a digital currency. These days, for most people, its most tangible use is as an investment tool.
Bitcoin may do well as an investment. Or it may not. We will never know for sure, while the market for bitcoin as an investment vehicle is ramping up, the market for bitcoin as a currency is dwindling. But I think there will always be people willing to spend their coins. To begin with, miners sell bitcoin to cover their mining costs. Investors liquidate their investments for a variety of reasons. And finally, there are users whose salary is paid in bitcoin, who need to pay their daily living expenses.
Bitcoin may do well as an investment. Or it may not. We will never know for sure, while the market for bitcoin as an investment vehicle is ramping up, the market for bitcoin as a currency is dwindling. But I think there will always be people willing to spend their coins. To begin with, miners sell bitcoin to cover their mining costs. Investors liquidate their investments for a variety of reasons. And finally, there are users whose salary is paid in bitcoin, who need to pay their daily living expenses.
August 08, 2021, 03:40:10 PM
I couldn't put the full title in the subject line due to character restrictions, but here is the full question:
If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
Do not forget that anything that hoess up must surely comes down, the instance works with the financial markets. Price is meant to go up and come down forming different chat patterns inciting more comprehensive analysis of the market in general. If Bitcoin continues going up without a break, how will it be traded? There will no buyers and sellers pool that will determines the next move of Bitcoin and it's altcoins. Two participants always determine the movement of an asset especially the one with higer force. If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
August 08, 2021, 03:04:17 PM
I couldn't put the full title in the subject line due to character restrictions, but here is the full question:
If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
It's a good question really and leads to the point that Bitcoin is actually a victim of its own success. It has become such a desirable asset to own that people would rather hoard and hold on to it, rather than use it for the original intended purpose - which is a commonly used and functional virtual currency. Sure some people are using it for this purpose, however it seems the vast majority of buyers (as this forum is a perfect example of "HODL" culture) have little intention of spending it without cashing out a vast profit first. This combined with the natural depletion rate due to lost wallets and unused "dust" will ultimately wipe it out as a usable currency - it will become a novelty like gold that few except the super rich will find helpful to acquire when their are lots more altcoins taking its place.
August 08, 2021, 01:53:44 PM
I couldn't put the full title in the subject line due to character restrictions, but here is the full question:
If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
Stability is something that is important when we talk about fiat, when we talk about other traditional currencies. When we are talking about bitcoins and other cryptocurrencies, the major fact is that most people prefer the price to be Volatile and these ups and downs are the ones making the market more acceptable for all classes, people invest here and HODL for a long period of time to see some good gains. I do think now it's not just about the price but about the applications too. Majors companies are accepting Bitcoins now, you are going to have a lot of options available if you are dealing with cryptocurrencies like bitcoins, I do think even if people are late they can still make profits in stuff like : Inter-day trading etc.
August 08, 2021, 01:10:28 PM
I couldn't put the full title in the subject line due to character restrictions, but here is the full question:
If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
This actually is a big paradox even I have talked about this on the forum many times, In fact, this is a problem with every deflationary currency, if price of something is getting higher and higher in longer-term a person would obviously never like to spend it, which means people will keep on holding it leading to scarce supply and ultimately this spiral continuing again. It's actually called deflationary spiral.If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
Here is an image of a deflationary spiral starting with '"lack of demand"
Some people suggest that once there is enough adoption of bitcoin chances are that its price will stabilize but the truth is that it can't happen because of the supply getting more scarce and the natural tendency of economic growth.
August 08, 2021, 11:22:10 AM
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Not all the bitcoiners are spending time to time; only active traders must be selling exact the same amount they do buy.For example, I do earn bitcoin in various methods but to resolve all my monthly expenses my day job income alone is not sufficient which leads me to spend my bitcoin earning as well. Still, I with my all efforts to save at least 50% of my bitcoin earning on month basis. Also, I have cold storage wallet and whatever bitcoin is moved into that addy, I cannot spend for next 10 to 20 years.
I personally believe that bitcoin may have value in millions in next 10 years so saving bitcoins as much as possible will benefit me for sure still I cannot live for next 10 years without consuming food and paying bills.
August 08, 2021, 08:17:51 AM
I couldn't put the full title in the subject line due to character restrictions, but here is the full question:
If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
I think one of the most probable reason is whenever someone who is holding bitcoin experiences an emergency that requires financial aid and they have no option left but to spend their holding. Other reason could be they have already reached the certain target amount they are waiting for and it is now their time to cherish their earnings from bitcoin investment. Bitcoin's value is volatile in nature so the price wouldn't go high always although I get your point that no matter what, the only direction of this market is going up but still time is of the essence I guess that's why they want to enjoy life as they spend some of their holdings, maybe they will be dead the next day and they won't even reach the next bull run.If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
That's one of the reason we need to consider on why people choose to use their bitcoin instead to hold it, but one of the reason we can point out on why we see people use bitcoin is because they are not a holder and they only have limited capital so securing their profits is always on their minds. I saw so many people always put their earnings on their bank accounts and they totally making great on saving although its really regretful to sell early but if we think profit still a profit we can relax and cannot be affected on pumps or dumps.
August 08, 2021, 07:59:59 AM
I couldn't put the full title in the subject line due to character restrictions, but here is the full question:
If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
I think one of the most probable reason is whenever someone who is holding bitcoin experiences an emergency that requires financial aid and they have no option left but to spend their holding. Other reason could be they have already reached the certain target amount they are waiting for and it is now their time to cherish their earnings from bitcoin investment. Bitcoin's value is volatile in nature so the price wouldn't go high always although I get your point that no matter what, the only direction of this market is going up but still time is of the essence I guess that's why they want to enjoy life as they spend some of their holdings, maybe they will be dead the next day and they won't even reach the next bull run. If bitcoin was fully adopted into everyday life, why would it ever be used for day-to-day transactions if the general consensus was that the price would always appreciate?
After reading several posts on this forum many people seem to think that Bitcoin will always go up. If this were to be the case, why would people spend Bitcoin at all? In this theoretical time, wouldn't it just be a poor financial decision to do?
Or is it thought that in this future where there is widespread adoption the price would stop being so volatile and for the most part stabilize?
August 08, 2021, 07:22:20 AM
It's the current state yes, but it doesn't mean it would last forever. As others have said, the price of Bitcoin is based on the simple logic of supply and demand, the price was never expected to always go up since the supply is limited. Most people who expect that Bitcoin would go up are thinking of the time frame where its supply would still be increased by a sizeable bit. By then, the only reason Bitcoin would actually increase in price would be if coins were lost permanently, companies hodl a huge amount (and at the same time, would probably incur a huge amount of loss), or there's a financial crisis where they used Bitcoin as a safe asset.
August 08, 2021, 03:49:31 AM
If trading is among the use of bitcoin then it makes sense to use Bitcoin even if you expect it to go up all the time. You will need to trade it for cash and some only for stable coin. If there is wide adoption that we can buy something with BTC, people will be using it too. I think the example of this is in El Salvador where they use BTC to buy in local stores.
August 08, 2021, 03:46:15 AM
Well, that's the thesis of Saylor, Keiser and others. They expect Bitcoin to continue to rise with significant returns for many years to come, as they consider Bitcoin the best financial asset in the world.
From that point of view, it is foolish to spend Bitcoin, at best lend it for yield or borrow against it (and refinance as it rises to continue to get liquidity for practically free).
Another thing is that in the future Bitcoin has acquired the status of a store of value and replaced gold. Then I guess it will be more stable and maybe it won't be so crazy to spend it.
From that point of view, it is foolish to spend Bitcoin, at best lend it for yield or borrow against it (and refinance as it rises to continue to get liquidity for practically free).
Another thing is that in the future Bitcoin has acquired the status of a store of value and replaced gold. Then I guess it will be more stable and maybe it won't be so crazy to spend it.
August 08, 2021, 03:20:00 AM
You need to spend money on the basics of life from things you need to buy daily, newspapers, magazines, electricity, haircuts, and others. You can not stop spending money, but the increase in the value of money will make many people prefer to reduce their spending to increase their money.
Humans, by nature, tend to spend, so do not be afraid of this aspect. The price of 50 thousand dollars is enough for some people to sell and not enough for others.
Humans, by nature, tend to spend, so do not be afraid of this aspect. The price of 50 thousand dollars is enough for some people to sell and not enough for others.
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