Post
Topic
Board Bitcoin Discussion
Re: How could bitcoins survive further
by
Wesley Gardner
on 17/07/2018, 11:42:37 UTC
For Bitcoin to become a currency, it needs to crash

The three key features of a currency, and Bitcoin’s behavior on each are:

Medium of Exchange: Bitcoin can be exchanged
Reliable Store of Value: Bitcoin is too volatile to be a reliable store of value
Well Circulated: Bitcoin is presently being hoarded due to which its value has increased so dramatically
As you can see, Bitcoin doesn’t do well as both a reliable store of value or being well circulated. This is primarily because its value is so incredibly high (and volatile) that people are holding it like an asset rather than exchanging it like currency.

If Bitcoin doesn’t crash, it will never be a currency.