Baker definitely should sell Bitcoin every time someone buys bread, otherwise they would be taking on currency risk, which is insane. Since they paid for flour/

Baker definitely should sell Bitcoin every time someone buys bread, otherwise they would be taking on currency risk, which is insane. Since they paid for flour/labor/amortized capex in fiat, if BTC price moves down they won’t be able to cover their obligation. This means a baker need to sell at least as much BTC as would cover their fiat costs. Since bakery margins are low it means they should sell most of the BTC they get every time someone buy bread from them. Again, in real/practical world merchants are not there to invest in crypto, they are there to produce tangible goods and collect surplus of exchange tokens —- everything that is not profit needs to be de-risked.