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> Do you spend dollars today wondering if tomorrow the Euro will be worth more or less? No, so why would you care what the dollar equivalent to a BTC is when ev
by cesarb 9y ago
> Do you spend dollars today wondering if tomorrow the Euro will be worth more or less? No, so why would you care what the dollar equivalent to a BTC is when everything you buy is priced in BTC?
Moving the analogy a bit: everything we buy is priced in Reais. However, we still care if tomorrow the Dollar is worth more or less, since it does impact the price of several kinds of goods. For instance, the Dollar increasing in value will lead to computers getting more expensive.
In the same way, even if everything were to be priced in Bitcoins, the exchange rate between Bitcoin and USD would still be significant, unless and until the USD ceased to exist.
- semi-extrinsic 9y agoBut this is exactly the point - in countries where the local currency versus USD has had volatility comparable to BTC, it's been a big problem. E.g. in South Korea, where the volatility (and general upwards trend) in the Won last year was an order of magnitude less than BTC, the currency fluctuations have caused major losses and uncertainty for exporters. If you walk around Seoul, there are signs everywhere showing the current exchange rate.