Quote from: Upgrade00 on August 12, 2020, 09:56:56 PM

Quote from: JayJuanGee on August 12, 2020, 06:02:53 PM

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Very aptly put. The versatility of Bitcoin is one of the factors that gives it value as it appeals to several classes of people. This coupled with its other advantages may actually limit its use in the long term as a means of making daily payments. Why spend my $100 worth of bitcoin on a bicycle when those bitcoins could be worth $121 by the next day? People still ask if the 10,000BTC for 2 pizzas guy still regrets it, well spending 0.002BTC for 2 pizzas would likely be ridiculous a decade from now.
Merchants may eventually switch from payment processors when they recognize this huge value potential as you said, but would more people be willing to give away bitcoins.

Of course, the calculation regarding whether to spend your bitcoins will be different for people in differing places and whether they have other options available to them.

My recollection of the Lazlo pizzas example is that Lazlo was one of the earliest of GPU miners, and perhaps he felt a bit guilty regarding the mining advantage that he had in terms of generating so many bitcoins while they hardly had any actual monetary value at the time, so I am NOT very tied into the sob stories regarding folks who spent too many bitcoins too soon because they could have been worth 1,000x more valuable down the road.

In that regard, we choose our payment mechanism based on what kinds of payments we have available to us, and if we can easily replace whatever bitcoins that we spend, then we might have a greater incentive to spend the bitcoins because it is not really much of a difference regarding what payment form that we choose.

However, the longer that bitcoin has had a monetary value, and even the fact that some companies might even be placing extra KYC/AML costs on people to acquire bitcoins, and governments might be becoming more stringent in terms of requiring an accounting for tax purposes or whatever, then greater disincentives will also be created for spending, and why not just spend my credit card and earn bonus points, or spend one of my other cryptos that are not as likely to retain value... which are Gresham Law type incentives.

We also cannot really know exactly whether bitcoin is going to compete some other payment processors out of existence - or what payment processor options that we might have available, including if some of the payment processors might attempt to attract customers by gaining credibility by linking themselves to bitcoin in one way or another.. .but there is likely a lot of development and passage of time that needs to take place before speculating too much about if we might be more inclined to spend our bitcoins based on whether we have other spending options and if we were to assume that there are no other spending options, except bitcoin because bitcoin has competed away all of the other lesser forms of money, we still could consider how we would spend our bitcoin for some seemingly basic needs like housing, utilities, food, transportation because if we only have bitcoin as a payment option, we still would likely choose to spend our bitcoin on those basic living needs, but we might become a bit more selective whether we might want to consume right away or to delay gratification if we were faced with decisions about whether to consume some luxury/more discretionary items, such as hookers, lambos and blow, depending on how many bitcoins that we have and where we are at in our lives in terms of earning power (or bitcoin cashflow), too.