Post
Topic
Board Bitcoin Discussion
Re: Bitcoin can you stand alone?
by
DannyHamilton
on 05/12/2016, 22:16:31 UTC
Can you stop pricing yourself in fiat?

Bitcoin does not price itself in fiat.

Services offer a place where people who have fiat and want bitcoin can find people who have bitcoin and want fiat.  These individuals establish an exchange rate that they are able to agree on and then they exchange what they have for what they want.

Others then report this exchange rate so everyone knows what the value of bitcoin is relative to anything they want to acquire or get rid of.  For example, I now know that 1 BTC is worth approximately 188 McDonald's Big Macs.

I would say it is with almost 100% certainty that you cannot.

EVERYTHING that can be priced can ALWAYS be priced in terms of fiat for so long as fiat exists.  Just like EVERYTHING that can be priced can ALWAYS be priced in terms of ketchup packets for so long as ketchup packets exist.  Pricing something simply means establishing an exchange rate between two items (or services).

I'm wondering just how long you will use the fiat banking system as your crutch.

It will be a very long time for the entire world to give up on a fiat money system.  This is true regardless of how successful bitcoin becomes.  However, if bitcoin becomes successful enough, many will have an option to leave the fiat system behind if they want to.