For many who hold bitcoin, it will currently be an investment, because in different countries it is not recognized as a means of payment, but this may change in the future.
Government is only part of the reason because we can use bitcoin for payment without government permission, we just need consensus between seller and buyer. As you said, it is not recognized as currency in many countries. Why are so many people always encouraging others to do the opposite when they themselves use bitcoin to invest?
To me, bitcoin is both, and if I share bitcoin with someone, I support and encourage them to use it as an investment rather than a currency. Because we have a need to make money, others want it too.