Because of the value of Bitcoin, people will hoard it,
Take me as an example. I will invest 20% of my salary in Bitcoin because I think Bitcoin is very valuable and I believe in Bitcoin, so I think Bitcoin is worth investing in.
But if you let me buy something with bitcoin, I will hesitate and pay with fiat currency first.
Although people can pay in any way, will Bitcoin be your first choice?
Now the difference between fiat currency and Bitcoin is that one is inflation currency and contraction currency. Inflated currency (fiat currency) means that if it inflates, you want to get rid of it as soon as possible. For example, we use fiat currency to buy things, invest in real estate, cryptocurrency, stocks. And to shrink the currency (Bitcoin) you buy goods or services, or hoard it. This has no effect on the economy, except to reduce the monetary base and make the currency more scarce, so deflation is faster.
In my opinion, Bitcoin is a store of value, not a currency. There may be cryptocurrencies becoming legal tender, but not now, volatility and supply and demand need to be considered.
Basic things that you should know when you do tend to jump in into crypto industry.Know the basics and of course you would be starting with Bitcoin. Usage and possible adoption? You had already mentioned out and its
undeniable about that store of value thing and come to think off that becoming mainstream is somewhat a dream to come true. Fiat would remain and it would exist as long government do exist.
We cant really deny that Bitcoin does have the potential and its up to someones choice and liking if he wanted to hoard bitcoin which is understandable and majority of people who are engaging on it is really seeing it
as an investment rather than a currency which it isnt surprising due to the opportunity that it do gives when it comes on making profits.