But then people might not like that and stop using payment processors and just deal directly in Bitcoin.
Once a critical mass is reached, people won't need to convert to fiat as much.
people will stop using payment processors when businesses stop using payment processors.
That will only happen when bitcoin is much much less volatile and much much more liquid.
In other words, that will only happen when the critical mass is reached.
Conclusion, fungibility will be an issue for BTC until critical mass is reached.
=> We need to ask our self the question if a token that isn't fungible has the ability to reach critical mass.