Re: How does a merchant / economy use a currency that jumps from 266 to 105 and back
simple answer: it doesnt.
So , you are telling me that bit coin will be more a vehicle for speculation than a normal currency for a long long time ?
Likely, and most definitely until it has large enough user base who can stabilize supply/demand.
And a large user base on limited supply almost always means the price will go up to the stratosphere and keep going up
Meaning economically very difficult to stabilize