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It matters. Automatically exchanging large amounts of BTC for USD creates a downward pressure on the BTC exchange rate. Organizations which truly support Bitco
by onestone 12y ago
It matters. Automatically exchanging large amounts of BTC for USD creates a downward pressure on the BTC exchange rate.
Organizations which truly support Bitcoin would choose to keep it.
- MarcusVorenus 12y agoBaby steps. Maybe an employee will ask to be paid partly in BTC which I'm sure they'll be happy to oblige to avoid the conversion fees.
- mrb 12y agoIf what you said was true the exchange rate would have collapsed in the last 2 years (BitPay and Coinbase accumulated 60,000+ merchants who began accepting Bitcoin over the last 2 years and most of them automatically convert BTC to USD). But instead, the exchange rate rose from $10 to $580: http://bitcoincharts.com/charts/bitstampUSD#rg730ztgSzm1g10zm2g25zl http://bitcoincharts.com/charts/bitstampUSD#rg730ztgSzm1g10z... Why? Because as Bitcoin is accepted in more and more places, it increases its subjective value, so more and more people are looking to get some bitcoins, which counterbalances the downward selling pressure.
- onestone 12y agoI'm not sure why you disagree. Of course there are multiple factors and some of them counterbalance. And of course what I mentioned is just one of these factors.
- farmdve 12y agoThe price rose primarily because of the Willy bot, aka Mark Karpeles artificially inflating the price. Read the willy report.
- spikyobjects 12y agoOrganizations which truly support Bitcoin would choose to spend it, not hoard it.
- onestone 12y agoSpend it for products or services - sure. Immediately exchange all of it for a fiat currency - not so much.