Do You Think That Bitcoin's Volatility Has An Effect On Bitcoin As A Payment Method?

[Good-Person]

Bitcoin has been used to receive and send payments to many people. This is why many people use it in order to make payments and receive payments. This was the basic function of bitcoin to begin with. However, by the passage of time bitcoin became more volatile. So, do you think that its volatility could have an impact on bitcoin as a payment method as a whole?

 

[Heatman]

I don't really think it is the volatility nature of Bitcoin that makes it to have a high transaction fee because the same thing is equally applicable in every other crypto-currency just like litecoin but its transaction fee is not the same thing with BTC. The volatile nature of Bitcoin is still the same thing with litecoin because anything that happens in Bitcoin affects Litecoin directly.

 

[Riberet19]

I think that as a means of payment, yes, but as a value exchange, no. In addition, the fact that it has such volatility has made it a very desirable and highly speculative investment for many, which can affect its vision as a payment method, but I think that every day Bitcoin is consolidating as the currency of the internet, despite its volatility.

 

[Kevovo]

Well most people that accept Bitcoin as payment irrespective of it's volatility do so because they see it as what it is, a digital asset.

Like every asset, the value of Bitcoin can rise and fall. Tesla share value can drop by 50% in the next year, it can also increase.

So people that accept Bitcoin as means of payment today, do so believing that the value can double by the end of this year.

 

[Billy]

Sure thing. The increasing volatility of Bitcoin can impact its effectiveness as a payment method. The fluctuating value makes it challenging for merchants and consumers to rely on it for everyday transactions. Both parties may hesitate due to uncertainty about its value. Merchants might be reluctant to accept Bitcoin as payment, fearing its value could plummet before they convert it. Stablecoins and other cryptocurrencies have emerged to address these concerns and may play a more significant role in the future of digital payments.

 

[Nomad]

Not just bitcoin, all cryptos are volatile in nature. Even the fiat currency is volatile, however, the volatility is barely noticeable with fiat currencies. Bitcoin transaction fee is expensive and also takes time compared to other cryptos, therefore Bitcoin is not a great payment system. Instead, it is a valuable asset for investment

 

[James]

As Bitcoin's volatility continues to rise, its suitability as a payment method could be impacted. The frequent fluctuations in its value pose challenges for both merchants and consumers, making it difficult to rely on for day-to-day transactions. The uncertainty surrounding its value may lead to hesitancy from both parties.

 

[Godswill1]

Bitcoin's fluctuations can make it hard to use. I mean it changes so fast that stores don't know how much they'll actually get paid if they accept it. Businesses need a stable currency to set prices that make sense. If they accept Bitcoin today worth, say, $10,000 and tomorrow it drops to $5,000, they just lost a lot of money by accepting it. So while the idea of cryptocurrency is cool, the volatility can be an issue for mainstream adoption by companies as a payment option. It'll take that stability and predictability to really catch on in a big way I think. Until then, people will remain wary of its unstable value swings from day to day.

 

[stan358]

Bitcoin is a digital currency and it is quite different from the fiat current. Though I do not see the volatility of it affecting it's acceptability across the globe. It could still be used for business transactions...

 

[Grant]

There's too much risk and there's no stability with bitcoin or cryptocurrency in general. You don't don't if what you have is going to be worth what you need. One day you could have $200 worth, and then the next day the market could crash leaving you with $5. Do you want that to be your spending money or how you pay for things? I would rather something that is consent and doesn't drop at any moment. The USD may be rough these days, it still has stability.

 

[Henrywrites]

It does have an impact. I think that what most of the companies that accept crypto coins as a means of payment do is to have an automated settings that convert Bitcoin to other stable coins such as USDT once payment is done.

 

[Ja Sa Bong]

You can't accept Bitcoin as a means of payment and hope for the price not to go up and down based on the market price volatility. This is why most businesses don't accept any cryptocurrency payment. Amazon and Walmart as big as they are doesn't accept cryptocurrency payments. Elon Musk company used to accept Bitcoin but later cancelled it in May 2021.

 

[Heatman]

It does have an impact. I think that what most of the companies that accept crypto coins as a means of payment do is to have an automated settings that convert Bitcoin to other stable coins such as USDT once payment is done.

Even me as well, whenever I get any kind of cryptocurrency as payment for any work that I'm hired to do, I convert it immediately to USDT because that's the only way to prevent the coin from being affected by the volatility of cryptocurrency. Unless I want to add the coin to the one's I'm holding, I move everything to USDT.