And you did not address the point that the masses don't like the properties of Bitcoin:
- Mixes traceable illegal activity with their funds
- No protection against theft
- No refundable protection
- No consumer protection
- Very volatile price
- Must convert to and from fiat which is a hassle
- Very slow transactions, and confusing
- No government guaranteed deposit insurance
- Can't obtain a loan or credit card in bitcoins
- There is no cash version to use offline.
Fiat doesn't have those weaknesses. Fiat has other weaknesses which we are concerned about, but the masses don't care about those weaknesses that bother us. Later the masses will fall into the abyss, then some of them will learn to appreciate our ideals but most of them won't learn.
Duh. I wonder if you guys even have a brain stem.
Whether or not we "have a brain stem" you certainly don't understand much about how the mechanics of present money system, nor the difference between what banks do and what payment processors do.
The Bitcoin blockchain is no substitute for a payment processor services (i.e. the handle supermarket transactions for example). But then it was never intended to be. The services you cite above such as refundability, payments insurance, consumer protections etc are not provided by the bank clearing system per-se. They are all 2nd third and fourth tier services, largely serviced by 3rd parties.
Those services would be provided in a bitcoin economy just the same. The only difference would be that you'd "reacharge" your Visa account via the blockchain just as you do at any of the Cryptocurrency exchanges today.
If the transactions will not be on the block chain, then you have unregulated fractional reserves, just like we did during the wild 1800s in the USA where the private banks were creating "receipts for gold on deposit" out of thin air.
Just like the Mt.Gox and numerous other failures past and to come, you've essentially just recreated the mess that the public wanted to end and why we have central banking now to regulate that mess.
The key innovation of Bitcoin is to regulate the mess with decentralized proof-of-work, so nobody can cheat. When I see my transaction on the block chain, I know there were no fractional reserves created.
Once you enable the fractional reserves, you've enabled the government regulatory powers, and then you are essentially back to fiat again.
And for what gain for the masses? None. Just woe and trouble for them.
If you really want to crack this nut, you need to improve the technology more. You need strong anonymity. You need instant transactions. Etc.
All of this can be done. But you all don't want it done.You'd rather fight for the status quo so you can keep your trap.