So I've been seeing a lot of talks about how Bitcoin has lost or is losing its identity because it is now regarded as an asset and not as a currency. I used to see the discourse a lot before but recently I've been seeing it more (don't know if it's just me). I have made a couple of replies on posts related to something like this on the forum.
So I really want to understand how Bitcoin has lost its identity.
There is nothing that has stopped bitcoin from being used as a currency. Certain factors make it difficult for businesses to accept bitcoin as a means of payment but I don't think the fact that it's regarded as an asset is one of them
From what I understand, these two features are not mutually exclusive. In the sense that Bitcoin can be an asset and can also be a currency. Just as the dollar is an asset and also a current. The difference, Bitcoin is a better asset than the dollar. I was not opportune or smart enough to be among the early adopters of bitcoin, so I'm going to ask a question to people who were, was there ever a time that people bought bitcoin for the sole purpose of using it just as a currency?
Like when they bought the coin, they had no expectation or hope of bitcoin appreciating so they could make a profit? I doubt that and if they did, then Bitcoin was always an asset from the beginning and also a currency.
So at what point did bitcoin start losing its identity?
So I really want to understand how Bitcoin has lost its identity.
There is nothing that has stopped bitcoin from being used as a currency. Certain factors make it difficult for businesses to accept bitcoin as a means of payment but I don't think the fact that it's regarded as an asset is one of them
From what I understand, these two features are not mutually exclusive. In the sense that Bitcoin can be an asset and can also be a currency. Just as the dollar is an asset and also a current. The difference, Bitcoin is a better asset than the dollar. I was not opportune or smart enough to be among the early adopters of bitcoin, so I'm going to ask a question to people who were, was there ever a time that people bought bitcoin for the sole purpose of using it just as a currency?
Like when they bought the coin, they had no expectation or hope of bitcoin appreciating so they could make a profit? I doubt that and if they did, then Bitcoin was always an asset from the beginning and also a currency.
So at what point did bitcoin start losing its identity?
I'm afraid so. With Bitcoin being marketed by "Wall Street" as a "store of value", people will begin to hoard it like crazy. All with the means of getting rich quick. Who cares about using BTC as currency, anyways? Only tech enthusiasts, believers, libertarians, and academics will do so. The rest will consider it an investment like Gold. With limited transaction capacity, it's likely Bitcoin will stay that way forever. I mean, who would pay high fees to send money abroad? Even paying for simple things such as a cup of coffee becomes unfeasible. And don't think for a second that the Lightning Network is a solution, because it's not. It's a flawed, centralized network with a terrible user experience. On-chain scaling is the way, imo.
So yeah, Bitcoin lost its identity a long time ago. Luckily for us, we have many other coins to choose from (altcoins). Whereas BTC fails as a currency, coins like Litecoin and Dogecoin do a better job. At least, Bitcoin's security and reliability are unmatched. It's often better than Gold as a safe-haven. Am I right?
