There's a whole thread on bitcointalk about how people spend their bitcoin and the near unanimous answer was, they don't. Most bitcoin is being held or speculatively traded. It doesn't interface much with traditional marketplaces and very few commercial entities accept bitcoin directly (without going through bitpay or some other provider that converts it to fiat). This doesn't mean it's dead, but it seems quite unlikely that bitcoin (in its current, anonymous incarnation) will be adopted into the financial industry. Many bitcoin supporters don't want that to happen anyway, they'd prefer for bitcoin to subsume traditional fiat. Not gonna happen. But it could continue to exist as a parallel currency used by a minority of individuals with other digital assets taking the place of the lapdog of banks and FIs.