Re: Wall Observer BTC/USD - Bitcoin price movement tracking & discussion
I have a problem with this price rise:
As many people know, I fix people's bitcoin miners for bitcoin payments. Thus I have to account for my time, skills, experience, and material costs (damn FPGAs are expensive when they blow up). I price my work in bitcoin because I want this currency to have a reason to exist other than as a speculation thingie.
Problem is the fluctuations: If I charge .3btc for a service and bitcoin drops from 600 to 300 I don't want to raise my bitcoin prices so I kept them constant. Likewise if it goes from 600-1200 I don't want to change my prices for the same basic reason (I'm doing work for a certain amount of bitcoin). But if it keeps going haywire, what do I do? What's fair? And at what point am I simply doing work for dollars instead of Bitcoin?
It's complex.
GM! 1100.00 anyone? As many people know, I fix people's bitcoin miners for bitcoin payments. Thus I have to account for my time, skills, experience, and material costs (damn FPGAs are expensive when they blow up). I price my work in bitcoin because I want this currency to have a reason to exist other than as a speculation thingie.
Problem is the fluctuations: If I charge .3btc for a service and bitcoin drops from 600 to 300 I don't want to raise my bitcoin prices so I kept them constant. Likewise if it goes from 600-1200 I don't want to change my prices for the same basic reason (I'm doing work for a certain amount of bitcoin). But if it keeps going haywire, what do I do? What's fair? And at what point am I simply doing work for dollars instead of Bitcoin?
It's complex.
Ya if you keep your fixed BTC rate your customers will go pay cash somewhere else.... cheaper than the fixed rate in BTC. Somewhere along the line you do need to compensate for your rates when BTC was low and you took the hit. I would reward myself a little extra for as long as you can, after all, the miners you maintain would not benefit the owners if they were not running
He could charge in dollars though bitpay, and keep the Bitcoin as long as the price keeps rising. If the price starts falling he could receive in dollars and buy back Bitcoins during the dips. Or he could choose what percentage to receive in Bitcoin, and what percentage to receive in dollars.
There is the risk Bitpay could get hacked again though.
https://help.bitpay.com/getting-paid/bitcoin-settlement
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Enter your bitcoin address name and the bitcoin address, then select your settlement percentage (how much of your settlements you would like to receive in form of bitcoin). Then click "Save."