Read an article, found here , this morning that reminded me that Bitcoin is in fact a thing and that apparently internationally it is gaining traction due to high banking fees.
Per the article
Banks are charging a lot of money for their services. Despite incredibly large net interest margins (10+%), Nigerian banks charge a central bank mandated 0.1% fee on current accounts called “Commission of Turnover” and a Naira50 fee for all non-current account transactions. These are good for bankers, but not for savers. Bitcoin does not charge these fees.
Transferring money can cost up to USD100 in Nigeria. Bitcoin charges 0-2% of the transaction from what I’ve read.
What does everyone here think of Bitcoin? Think it'll ever become so popular that restaurants and shops accept it? Anyone hold bitcoin as a form of investment?
Not commenting on if it will gain universal popularity in the U.S., but Japan recently accepted it as a viable currency with the expectation that retailers will begin adopting it this summer. I've found it's an easy way to make a few bucks if you know how to time it.
Love the username. That being said why won't you comment on the growing popularity in the United States?
I guess if I put a timeline on it, I wouldn't expect it to be mainstream in the U.S. within the next 5 years. While the U.S. is forward thinking, the following behind bitcoin is small, as others mentioned, limited to gambling sites and Silk Road (while it was up). There are numerous hurdles it would have to clear before being accepted and I would expect somebody or some entity to lobby for increased regulations that limit its acceptance.
Yes. For illegal stuff.
Yes, big fan of BTC and a regular user. Bought my first BTC at approx. $100 a few years back. Tend to spend most of it but sometimes hold it as a casual investment.
I am divided on whether or not it will catch on as a currency (too much of a negative stigma surrounding it) but the technology behind it - blockchain, has massive massive potential in a wide range of industries. That is where I believe the real growth will be, and the right sort of cryptocurrency built on top of a blockchain could really gain some traction.
Would be happy to chat to anyone interested in this market just to share ideas etc.
Used it to buy my fake ID. However, in a recent informational interview a financial adviser told me that bitcoin and block-chain could be major disruptors come 3-5 years time.
Have never actually used it myself, but plenty of friends have used large amounts for less-than-legitimate transactions on websites only accessible from a certain browser.
I think there are a couple barriers to widespread adoption: 1) Volatility - no one wants to lose 15% of their spending cash overnight, and it's much more of an investment right now than something to hold/spend. 2) Security - if money gets stolen from your account, it can generally be tracked very closely, but with bitcoin, it's nearly untraceable nature makes it much less secure for the computer illiterate. Do you know a mom/dad/uncle/etc that has 5 fucking task bars, adware, and still uses internet explorer? Yes? They'd eventually lose every penny they held in bitcoin in a untraceable fashion. 3) A clear advantage over currency - don't get me wrong. I completely understand and see the value of having a currency that has a clear, logical method through which it's mined and limited, so it can't be easily devalued. The enormous benefit to blockchain technology, but to the average joe, does any of that shit matter enough for them to switch? No. In the future, there might be more catalysts (government over-stepping on control/etc) that drive this switch, but right now, I don't see enough of an advantage to drive average joes to switch.
It takes approximately 17 years for a new technology to become accepted by the mainstream public. That being said it was created in '08-'09 if I recall. I like it, but I don't think we will know either way until about 8 years from now. I'd rather hold onto a small amount that way I catch the rise and don't miss out on the potential upside, just be aware of the risk either way.
Blockchain itself will revolutionize the industry.
That's an oddly specific number for an awfully broad category.
On a similar note - has anything here heard of Ethereum and have any thoughts about that? It's had a really nice run in the last couple months
I think Ethereum has a lot more potential than Bitcoin. While Bitcoin uses blockchain technology and applies it to a "currency/store of value/whatever you want to call it" Ethereum is Turning complete meaning you can build applications on top of it. Some huge names (IBM, Dell, Microsoft, Santander, ING, JP Morgan etc.) have publicly supported Ethereum and are building out their own blockchain applications. It's still early in the development phase and there is a lot of risk in emerging tech, but Ethereum has the potential to serious disrupt a number of different industries if it catches on. There will be a big switch in how the Ehtereum blockchain is powered over the next 12 - 18 months (Proof of work -> proof of stake). That transition will be a huge if Ethereum wants to continue to gain mainstream acceptance.
Thank you that helps +1
I agree with a lot of your thoughts on the process, I saw Ethereum as an iteration/evolution from Bitcoin, but I'm not sure whether it will be THE platform to take off.
The fraudulent transactions and the rollback dented confidence somewhat (one of the major selling points was how robust it was meant to be) - I think the concept is where blockchain needs to go (apps built on top of the chain, smart contracts etc) but it may need another iteration or so.
For anyone interested in the market and a potential application take a look at this:
https://www2.deloitte.com/uk/en/pages/energy-and-resources/articles/blo…
I've personally used bitcoin myself, not for anything good or proper though. The issue with bitcoin is that most people see it as an investment because of the volatile/fluctuating rate of it. Good for some, bad for others.
If you have $200 in BTC and forgot about it, opened your wallet 2 years later and it's worth $1,500, you're like "shit, awesome, time to buy a few ties and a suit." Now imagine you're a restaurant owner and the amount you've made isn't exactly constant, and your $70,000 income that your place took in dropped 40% because BTC crashed. Do you keep, do you hold, do you cash it out? Etc etc etc. Too many issues with it being incredibly volatile.
I definitely think blockchain is incredible and has a serious place in the future though.
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