You realize Overstock announced that it would accept Bitcoin months in advance right?
For months, people were waiting for that first day to make their purchase whether they needed the item or not - just to show support. They're excited. The Bitcoin numbers for Overstock aren't as big on a daily basis now but they are constant. Kinda reminds me of how a movie always has a big first weekend then steadily declining numbers until it is released on DVD and Cable for residual moneys.
They should receive another boost when O.co begins accepting BTC internationally. (They only take payments via the US-based Coinbase at the moment)
Topic: Why would sales in Bitcoins decline on Overstock? - page 2. (Read 2745 times)
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?
When companies first accept bitcoin, it will trigger a temporarily bitcoin rally, where many bitcoin enthusiasts buy something just for the sake of buying, even if they don't really need or want anything.
Later on, the sales stop a little, because out of all the people in the world not even close to 1% of the people owns bitcoin. So it would be unreasonable to expect more than 1% of the sales to come from bitcoin. It would be much more reasonable to expect 0.05% for now or so.
You should not accept bitcoin and expect 10% increase in sales volume right away. You should accept bitcoin because you believe in the added value of the payment system itself, and possibly in a couple of years your company sales revenue could increase by meaningful amounts.
Until then i'd advice companies to just hoard their bitcoins, since bitcoins will only make up a small amount of their total sales they could most likely easily survive without having to sell the bitcoins. And they would be worth much more in the future.
People hoarding bitcoins will drive the price up. Bitcoin is not value, it's a store of value. You have to produce something of value to hold that value. The whole idea of inflationary currencies driving value is idiotic. Inflationary currencies drive debt. Deflationary currencies drive savings. Debt creates bubbles, savings create stable markets. People are not going to stop wanting things just because bitcoin is going to become more valuable in time.
It would be a big mistake to take something as a store of value, that's value is almost purely built on speculation.
Don't ever go long-term on goods that's deficit is artificially created and therefor extremely fragile and unstable.
It's funny how the "bitcoin freedom fighters" are against banks earning with interest, but they see it as totally ok, if you earn with deflation. The bitcoin community has the biggest amount of hypocrites that I have ever seen.
It is simple, basic, austrian economy.
People have schedules of wants and needs.
Food, housing, clothings, saving, more other stuff, other savings, more stuff, savings.
When the price decline, we have people savings because they prioritize saving over "other stuff".
When they have enough saving, they start buying some more.
I just discovered this service purse.io allowing to spend bitcoin over Amazon.
One person with bitcoin want something from Amazon, someone with a credit card want some bitcoin.
The guy with the credit card pay for the goods and the service transfer the bitcoins when the goods are received.
Just another service allowing to buy bitcoin and buying from Amazon.
People have schedules of wants and needs.
Food, housing, clothings, saving, more other stuff, other savings, more stuff, savings.
When the price decline, we have people savings because they prioritize saving over "other stuff".
When they have enough saving, they start buying some more.
I just discovered this service purse.io allowing to spend bitcoin over Amazon.
One person with bitcoin want something from Amazon, someone with a credit card want some bitcoin.
The guy with the credit card pay for the goods and the service transfer the bitcoins when the goods are received.
Just another service allowing to buy bitcoin and buying from Amazon.
People hoarding bitcoins will drive the price up. Bitcoin is not value, it's a store of value. You have to produce something of value to hold that value. The whole idea of inflationary currencies driving value is idiotic. Inflationary currencies drive debt. Deflationary currencies drive savings. Debt creates bubbles, savings create stable markets. People are not going to stop wanting things just because bitcoin is going to become more valuable in time.
Well this is not helping the currency.
If everyone just hoard Bitcoins, hoping the price for Bitcoin will rise, less retailers will enter the market for Bitcoins.
Supply and demand principle is actually distorted.
So when the BTC price reach $1000 everyone will flush Bitcoins from their paper wallets and that will push, the price down again.
If everyone just hoard Bitcoins, hoping the price for Bitcoin will rise, less retailers will enter the market for Bitcoins.
Supply and demand principle is actually distorted.
So when the BTC price reach $1000 everyone will flush Bitcoins from their paper wallets and that will push, the price down again.
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.
Is the transaction fee lower on higher using bitcoin?
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 $8,000-10,000 per day, where they are staying right now.
So the Bitcoin sales in Overstock are gradually climbing upwards, not the opposite.
correct.
and also: bitcoin is tiny, lets be realistic. a company which accepts BTC should also give a little discount.
Yes it's hard to spend bitcoins and then maybe knowing in a few years you payed like way to much because bitcoin has risen in price so much.
Just like the 10k bitcoin for pizza, I dont want to spend to much on something.
A few days I bought a 20 dollar steam card with bitcoins, and I couldnt help but think maybe in a few years this 20$ of bitcoins is worth 200 or 2000.
So I think people will wait for bitcoin to be really accepted as a payment where it has shown us his true value.
So we can easily spend or bitcoins without thinking the price can still rise alot.
Just like the 10k bitcoin for pizza, I dont want to spend to much on something.
A few days I bought a 20 dollar steam card with bitcoins, and I couldnt help but think maybe in a few years this 20$ of bitcoins is worth 200 or 2000.
So I think people will wait for bitcoin to be really accepted as a payment where it has shown us his true value.
So we can easily spend or bitcoins without thinking the price can still rise alot.
what will you do, if you have about 1000 BTC, (but not too much fiat )? I have.
- the price is too low now, so i use fiat only
- if the price is 900-1000 again (near ATH), i will sell 10% or/and buy goods/holidays/etc. in BTC
- if the price is 2000-2500, i will sell 10% or/and buy goods/holidays/etc. in BTC
- if the price is 5000-6000, i will sell 10% or/and buy goods/holidays/etc. in BTC
....
- if the price is $100000, i will sell 10% or/and buy goods/holidays/etc. in BTC
.....
so i always will have millions (above 2000USD/BTC) in BTC and millions in fiat or in goods
i think not i am the one who will follow the same strategy , holding, holding and then always selling 10% or X% BTC/buying with BTC
- the price is too low now, so i use fiat only
- if the price is 900-1000 again (near ATH), i will sell 10% or/and buy goods/holidays/etc. in BTC
- if the price is 2000-2500, i will sell 10% or/and buy goods/holidays/etc. in BTC
- if the price is 5000-6000, i will sell 10% or/and buy goods/holidays/etc. in BTC
....
- if the price is $100000, i will sell 10% or/and buy goods/holidays/etc. in BTC
.....
so i always will have millions (above 2000USD/BTC) in BTC and millions in fiat or in goods
i think not i am the one who will follow the same strategy , holding, holding and then always selling 10% or X% BTC/buying with BTC
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.
That is the reason why an highly unstable inflationary currency will be a gimmick and have little practical value as an currency. The majority use it for gambling, not for practical purposes, that an currency should be used.
The currency unit price should be unattractive as an investment. The support services that revolve around the currenc,y should be the only things that are attractive for investments. It messes up the stability if the unit price itself is an lucrative investment oportunity. And no point in telling that growth will bring stability. Growth will only attract new players with deeper pockets and better knowledge to manipulate the markets.
The currency unit price should be unattractive as an investment. The support services that revolve around the currenc,y should be the only things that are attractive for investments. It messes up the stability if the unit price itself is an lucrative investment oportunity. And no point in telling that growth will bring stability. Growth will only attract new players with deeper pockets and better knowledge to manipulate the markets.
Interesting.... people hoard the BTC but know that if people start spending the value will actually increase... catch 22
I still use them, but I did spend more at first because there were some things I had been waiting to buy with bitcoin.
The novelty wore off. Their sales will climb with price. The coming hyperinflation with the USD will also push bit coin spending. This is just the beginning.
Sales were inflated when they first started accepting BTC as many BTC holders likely bought on overstock simply because they were accepting BTC, not because they needed what they were buying. Sales were also inflated because some people also likely bought with BTC on overstock because it was "the new thing" and wanted to test using BTC.
IMO the sales level on overstock are at a more normalized level and will rise and fall with depending on how much BTC is utilized by the general population.
IMO the sales level on overstock are at a more normalized level and will rise and fall with depending on how much BTC is utilized by the general population.
I think it all revolves around the current Bitcoin price. If bitcoin price was still $1000+ people would be more inclined to purchase stuff knowing that they don't have to get rid of as many coins. But with the recent decline in bitcoin price, people are waiting for the supra-1000 dollar/coin again before they continue to spend.
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.
I buy from Amazon. Gyft cards save 3% with bitcoin.
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