http://www.coinometrics.com/bitcoin/btix
if you go to bottom of page you can see the historical graph of bitcoin volume transactions in $. It bubbled and declining
Topic: Why would sales in Bitcoins decline on Overstock? (Read 2745 times)
legendary
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I assume there was a big bounce of people excited to spend Bitcoins at overstock. Then the novelty wore off and people would rather use cash. Or maybe people are just saving their BTC and don't want to spend as price goes up.
That makes sense as volume would likely be more consistent when the price is trading sideways
Less so when the Bitcoin price is moving in an upward trend.
That said in general if the volume is increasing that is a good sign people are aware and still using it.
I assume there was a big bounce of people excited to spend Bitcoins at overstock. Then the novelty wore off and people would rather use cash. Or maybe people are just saving their BTC and don't want to spend as price goes up.
I mentioned Apple's new app rules regarding bitcoin to a friend... his reply was "Didn't [bitcoin] go bankrupt?"
We need good news to get bitcoin freshly back in front of their eyes. When we cross back over gold parity/ATH... we're going to be in for a ride.
We need good news to get bitcoin freshly back in front of their eyes. When we cross back over gold parity/ATH... we're going to be in for a ride.
Everyone have been looking for big retail companies to come on board, with digital currency.
Thing is, the Bitcoin community is not supporting this.
It was reported that on the 9th January 2014, when Overstock became the first major retailer in the world to start accepting Bitcoin, they made sales worth US$126,000 in Bitcoin.
As of 13 March 2014, Overstock Bitcoin income had shrunk to under 1% of their normal daily cash intake.
Source "http://en.wikipedia.org/wiki/Overstock.com"
My question is this. Why not support these ground breaking companies?, to proof to the rest of the retailers, that bitcoin has huge potential income.
Or are we hoarding coins for potential investment returns?
Thing is, the Bitcoin community is not supporting this.
It was reported that on the 9th January 2014, when Overstock became the first major retailer in the world to start accepting Bitcoin, they made sales worth US$126,000 in Bitcoin.
As of 13 March 2014, Overstock Bitcoin income had shrunk to under 1% of their normal daily cash intake.
Source "http://en.wikipedia.org/wiki/Overstock.com"
My question is this. Why not support these ground breaking companies?, to proof to the rest of the retailers, that bitcoin has huge potential income.
Or are we hoarding coins for potential investment returns?
Usually companies are going to see a surge in bitcoin sales when they start to offer it as a payment option. In order for that number to keep growing bitcoin is going to have to be adopted as an alternative payment system by more and more average people who would otherwise use PayPal or their credit cards to purchase things online.
Maybe bitcoin is growing in that regard but the price isn't a great indicator of consumer adoption. I would like to see some good evidence showing that more and more people are starting to choose bitcoin over other alternative payment systems. I guess keeping an eye on bitpay is one good way to watch that.
Bitcoin won't shine as a currency until the algorithm taps out the last coin, the market corrects for this, and then stabilizes (way up).
Until then, it's a commodity...and very exotic investment vehicle.
Until then, it's a commodity...and very exotic investment vehicle.
No, right now bitcoin inflation is relatively high, only half of what it was initially. This is because bitcoin is still in the early stages, and bitcoins are still generated at a rapid pace to keep bitcoin cheap to the general public who is interested in bitcoin.
Next halving the inflation will be much lower already and I'd say by 2020 it would be 'late adopters' stage. As the rate of new bitcoins would than be pretty slow and with that few new coins coming on the market, people who have never bought bitcoin before would struggle to buy even a fraction of a bitcoin because the price would be astronomical by then.
We don't need to wait for 100 years for bitcoin to become valuable. As the amount of new bitcoins reduces gradually. And the demand increase exponentially. At least until we hit an acceptance of around 35% of world population (assuming we will eventually end up with a 95% market penetration)
Part of the reason bitcoins started a bit stronger on overstock imo is when they started they had amd graphics cards and the scrypt mining was red hot prices was very high roi was fast.
So people seen it as a win win support overstock.com for taking bitcoins And get a hold of graphics cards psu and other equipment to build up new mining rigs
Steve
So people seen it as a win win support overstock.com for taking bitcoins And get a hold of graphics cards psu and other equipment to build up new mining rigs
Steve
Just not enough new consumer adoption in the last few months
The slowing of new adoption needs to be reversed and accelerated
Merchant acceptance just one part of the whole picture
The slowing of new adoption needs to be reversed and accelerated
Merchant acceptance just one part of the whole picture
Afaik the sales are even rising. The first week showed a massive amount of extra sales but after the inital storm cooled down, the sales are now rising again.
legendary
Activity: 2758
Merit: 1115
Leading Crypto Sports Betting & Casino Platform
Patrick M. Byrne, the CEO of Overstock has never said that the Bitcoin-based sales has declined in the site.
According to him, thus is what happened.
1. On the first day, a record-breaking $126,000 worth of merchandise was sold for Bitcoin.
2. It gradually declined to about $4,000-5,000 per day after a month.
3. By mid-April, there was an upswing, and the sales increased to $8,000-10,000 per day, where they are staying right now.
So the Bitcoin sales in Overstock are gradually climbing upwards, not the opposite.
According to him, thus is what happened.
1. On the first day, a record-breaking $126,000 worth of merchandise was sold for Bitcoin.
2. It gradually declined to about $4,000-5,000 per day after a month.
3. By mid-April, there was an upswing, and the sales increased to $8,000-10,000 per day, where they are staying right now.
So the Bitcoin sales in Overstock are gradually climbing upwards, not the opposite.
Thanks for clarifying that point I was starting to get curious as well
That said I think the market is growing and the daily transaction volume as well, that said it will still take some time for the sales to increase significantly but raking in 10,000 dollars a day is not bad. But its more like 20-30 K Bryant so was wondering where your newer numbers came from
According to Overstock.com CEO Patrick Byrne, Bitcoin has settled in the “$20k to $30k” range, and is “gradually increasing from there.”
The article said it is growing though
http://techcrunch.com/2014/03/12/overstocks-bitcoin-purchases-account-for-less-than-1-of-revenue-but-its-growing/
Price stability will bring more spending. Right now everyone is holding their breath for the big run up and feel like whatever they spend will be worth more if they hold.
Just buy your bitcoins with that cash, then buy your goods on wherever.
Bitcoin won't shine as a currency until the algorithm taps out the last coin, the market corrects for this, and then stabilizes (way up).
Until then, it's a commodity...and very exotic investment vehicle.
Until then, it's a commodity...and very exotic investment vehicle.
I don't think at all that it will take so much time. Specially because coins will be produced increasingly slower.
(In fact, I have the felling that if bitcoin doesn't reach at least a partial importance as a currency in five years, I doubt it ever will.)
Bitcoin will not ever succeed because it is used solely as a currency. How many people do you see using (for example) gold to buy groceries, gas, or other goods? I've never seen anyone pay gold to get their car fixed, house built, or a service performed. Don't be fooled - Bitcoin at the moment is seen (shallowly) as nothing more than an exotic investment vehicle. Once it taps out, and the value stabilizes way up..then we will see the currency application side start shining. Unfortunately, that won't be for another 20 years or so.
However, the silver lining in all of this is that Bitcoin will succeed even in the short run (and so much more in the long run) because of the underlying blockchain technology and its middle-man-busting applications in the associated market sectors it is capable of disrupting/revolutionizing. Important people in high places are seeing the writing on the wall even now.
All in all, it's a win-win to be involved in Bitcoin.
Don't you think it's possible that bitcoin becomes something between fiat and gold? Because fiat isn't useful as a store of value because it's value depends on third-party decisions. And gold isn't useful as a currency because it is unpractical. Maybe bitcoin has the necessary characteristics to become both.
I am not entirely sure that this type of vehicle would even work in the mode as a "daily driver" currency due to the populance's fears over price instability. The mere fact that the Fiat / bitcoin ratio could change may be enough to scare away mass market adoption as a daily-use currency. In my mind, bitcoins' price history has already (unfortunately) sealed its fate as a currency.
That being said and regarding what you described, bitcoins as the ultimate exotic commodity/investment vehicle all wrapped into one?
It would be awesome if it becomes an all-in-one kind of thing
Actually, just a few centuries ago you had gold and silver coins, which had value on their own. Guess they could be considered a mixed hybrid too
(Without the exotic part
) I believe most people would rather hold onto their bitcoins and just purchase goods with cash simply due to the fact that the bitcoin value can skyrocket at any time and that $1,000 tv you just purchased for 2 BTC would be $2,000 worth of BTC or more in a short period of time. Cash doesn't fluctuate in value like bitcoin does.
This. This is the real, sensible answer.Add to the fact that the coins are typicially just immediately dumped, and it's a no-brainer.
Bitcoin won't shine as a currency until the algorithm taps out the last coin, the market corrects for this, and then stabilizes (way up).
Until then, it's a commodity...and very exotic investment vehicle.
Until then, it's a commodity...and very exotic investment vehicle.
I don't think at all that it will take so much time. Specially because coins will be produced increasingly slower.
(In fact, I have the felling that if bitcoin doesn't reach at least a partial importance as a currency in five years, I doubt it ever will.)
Bitcoin will not ever succeed because it is used solely as a currency. How many people do you see using (for example) gold to buy groceries, gas, or other goods? I've never seen anyone pay gold to get their car fixed, house built, or a service performed. Don't be fooled - Bitcoin at the moment is seen (shallowly) as nothing more than an exotic investment vehicle. Once it taps out, and the value stabilizes way up..then we will see the currency application side start shining. Unfortunately, that won't be for another 20 years or so.
However, the silver lining in all of this is that Bitcoin will succeed even in the short run (and so much more in the long run) because of the underlying blockchain technology and its middle-man-busting applications in the associated market sectors it is capable of disrupting/revolutionizing. Important people in high places are seeing the writing on the wall even now.
All in all, it's a win-win to be involved in Bitcoin.
Don't you think it's possible that bitcoin becomes something between fiat and gold? Because fiat isn't useful as a store of value because it's value depends on third-party decisions. And gold isn't useful as a currency because it is unpractical. Maybe bitcoin has the necessary characteristics to become both.
I am not entirely sure that this type of vehicle would even work in the mode as a "daily driver" currency due to the populance's fears over price instability. The mere fact that the Fiat / bitcoin ratio could change may be enough to scare away mass market adoption as a daily-use currency. In my mind, bitcoins' price history has already (unfortunately) sealed its fate as a currency.
That being said and regarding what you described, bitcoins as the ultimate exotic commodity/investment vehicle all wrapped into one?
Bitcoin won't shine as a currency until the algorithm taps out the last coin, the market corrects for this, and then stabilizes (way up).
Until then, it's a commodity...and very exotic investment vehicle.
Until then, it's a commodity...and very exotic investment vehicle.
I don't think at all that it will take so much time. Specially because coins will be produced increasingly slower.
(In fact, I have the felling that if bitcoin doesn't reach at least a partial importance as a currency in five years, I doubt it ever will.)
Bitcoin will not ever succeed because it is used solely as a currency. How many people do you see using (for example) gold to buy groceries, gas, or other goods? I've never seen anyone pay gold to get their car fixed, house built, or a service performed. Don't be fooled - Bitcoin at the moment is seen (shallowly) as nothing more than an exotic investment vehicle. Once it taps out, and the value stabilizes way up..then we will see the currency application side start shining. Unfortunately, that won't be for another 20 years or so.
However, the silver lining in all of this is that Bitcoin will succeed even in the short run (and so much more in the long run) because of the underlying blockchain technology and its middle-man-busting applications in the associated market sectors it is capable of disrupting/revolutionizing. Important people in high places are seeing the writing on the wall even now.
All in all, it's a win-win to be involved in Bitcoin.
Don't you think it's possible that bitcoin becomes something between fiat and gold? Because fiat isn't useful as a store of value because it's value depends on third-party decisions. And gold isn't useful as a currency because it is unpractical. Maybe bitcoin has the necessary characteristics to become both.
Bitcoin won't shine as a currency until the algorithm taps out the last coin, the market corrects for this, and then stabilizes (way up).
Until then, it's a commodity...and very exotic investment vehicle.
Until then, it's a commodity...and very exotic investment vehicle.
I don't think at all that it will take so much time. Specially because coins will be produced increasingly slower.
(In fact, I have the felling that if bitcoin doesn't reach at least a partial importance as a currency in five years, I doubt it ever will.)
Bitcoin will not ever succeed because it is used solely as a currency. How many people do you see using (for example) gold to buy groceries, gas, or other goods? I've never seen anyone pay gold to get their car fixed, house built, or a service performed. Don't be fooled - Bitcoin at the moment is seen by your average consumer as nothing more than an exotic investment vehicle. Once it taps out, and the value stabilizes way up..then we may will see the currency application side start shining. Unfortunately, that won't be for another 20 years or so.
However, the silver lining in all of this is that Bitcoin will succeed even in the short run (and so much more in the long run) because of the underlying blockchain technology and its middle-man-busting applications in the associated market sectors it is capable of disrupting/revolutionizing. Important people in high places are seeing the writing on the wall even now.
All in all, it's a win-win to be involved in Bitcoin.
Bitcoin won't shine as a currency until the algorithm taps out the last coin, the market corrects for this, and then stabilizes (way up).
Until then, it's a commodity...and very exotic investment vehicle.
Until then, it's a commodity...and very exotic investment vehicle.
I don't think at all that it will take so much time. Specially because coins will be produced increasingly slower.
(In fact, I have the felling that if bitcoin doesn't reach at least a partial importance as a currency in five years, I doubt it ever will.)
Bitcoin won't shine as a currency until the algorithm taps out the last coin, the market corrects for this, and then stabilizes (way up).
Until then, it's a commodity...and very exotic investment vehicle.
Until then, it's a commodity...and very exotic investment vehicle.
Of course there was an explosion and then things calmed down, novelty doesn't last forever.
Still, I think even around 1% is a huge amount, comparing the ratio of non-bitcoin/bitcoin buyers.
Still, I think even around 1% is a huge amount, comparing the ratio of non-bitcoin/bitcoin buyers.
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