Post
Topic
Board Bitcoin Discussion
Re: Why people price things in fiat but want BTC - choose one or the other
by
itsAj
on 26/08/2014, 23:15:02 UTC
I've seen loads of topics of people trying to sell things and saying I want x amount of dollars worth of BTC. Surely if someone is so keen on the idea of Bitcoin fiat shouldn't even be mentioned.

They should be prepared in certain instances to take a fiat loss for their beliefs.

it's not as simple as you think. bitcoin's price is always rising, so .02 btc is not the same today as it is tomorrow. plus, fiat is our point of reference, since bitcoins are denominated into decimals. it's hard to scale them.
That's true, but you should only reference to FIAT, not use it as primary value denominator.
So for instance, this laptop costs 1 BTC, equal to xxxUSD at time of writing, not the other way arround.

I'm really iritated by the fact that coindesk writes articles about companies and merchants accepting bitcoins and selling an item X for xxxUSD in bitcoin equivalent.
They should write it the other way arround. Only the fact that I don't have anything to do with USD and live in a EUR area.

Since the merchants have to pay expenses in terms of fiat, they will need to price their goods in terms of fiat. If they did it the other way around they would be vulnerable to exchange rate risk.