Haha, so now the trolls are in an uproar because of the thought that Bitcoin maximalists won't even bother to hold altcoins because they know that such can be traded for as needed for day-to-day transactions?
Well they should be. Because Bitcoin is digital gold, that only has value that continues to increase because people to choose to hold it long term and not spend it.
Altcoins, not so much.
Trading BTC to altcoins "as needed for day-to-day transactions" is pointless. You will incur in more fees (exchanging, txs, etc) instead of avoiding them. At least until Bitcoin deploys LN and/or increase blocksize... but then it wouldn't be needed to use any altcoin.
So, in some way, this situation is forcing us to hold a higher percentage of altcoins than what we would be initially willing/comfortable to. Maybe that is even good for some people, or they think so because of the shorter term higher gains we have involuntarily experienced... but I don't think that is sustainable in the longer run.
When I first heard about Bitcoin, I fully bought in to the whole "digital currency is better in every way to fiat for online purchases" line. Only problem though, is that unless you are trying to buy something illegal, it really isn't better than fiat.
In the past 4 years, I've never come across a single scenario where going through the hassle of buying Bitcoin, getting charged the fee, waiting 3-4 days for it, then spending it online for something, transaction fee, waiting for confirmation, was in any way better or faster than just using a credit card or online bank account. The fee for purchasing the bitcoin + the waiting + the fee for the spending transaction + the time for confirmation just never outweighed just spending my fiat directly in the first place.
Truly, something like Lightning Network is the ONLY way Bitcoin is ever going to have a chance to compete with worldwide fiat transaction systems by giving people an INCENTIVE to buy bitcoin for that purpose. Meaning that it actually HAS TO BE better and faster than using fiat systems online for spending. Even then, I just don't see most people buying bitcoin for the purpose of turning around and immediately spending it online. I just don't.
I do agree with most you have said there, but I do have some minor discrepancies:
- LN is the real scaling solution. The only way to compete with other payment systems like paypal (great for online purchses), credit/debit cards (great for in person purchases and also online in some way), or cash. All three are inmediate and the cost is reasonable or even 0.
But.... LN is not ready YET. I think many of us overestimated its development status when -almost half a year ago- thought it be the final push into mainstream readiness for Bitcoin. At the same time, maybe also underestimated the rate of new users/investors that were to come in the following months.
I won't blame the multiple attacks Bitcoin has and keeps receiving because that was something more than expected. Bitcoin has to be resilient to those attacks, to the FUD, to the growth... We can't expect attackers wait till we are ready to fight nor users/adopters to just hold on... not if there are alternative choices that could be taken.
I have always said that whilst LN is the only SCALABLE solution it will also need a *minimal* increase in blocksize of the underlaying blockchain more sooner than later.
IF we can agree with that (maybe some people don't agree, it seems) AND unless LN is already around the corner (which it seems it is not).... why not do that small blocksize increase now as a temporary fix for the current network congestion (a fact... whatever the multiple causes including intentional spam) in the meantime?
No, the fees don't impact me that much.... at least not directly since I am mostly a hodler. But I have run out of arguments to advise people why they should buy Bitcoin instead of some other altcoin UNLESS they plan to buy in big chunks (like at least one full BTC). I can't give anyone some small BTC gift and show them how great and easy it is to USE it. No, if I want someone to show the tech I need to resort to something like LTC or whatever shit so I can show them the process of having a wallet, transfering and controlling their own coins etc...
That's sad. Maybe that is how it need to be. And I can't complain about the gains I have been having even recently... we are doing great yeah... But... is this really sustainable in the long run?
I am worried it isn't.
That said, I will hodl! Because I have hope the current situation will get addressed before its too late.