4 ms·

Bitcoin.

alloyed 12y ago
Not an effective store of value, too volatile. Plus, somebody has to trade the cash they get for bitcoin, and then they're responsible for the stack of cash they can't do anything with.
- brighton36 12y ago
  It's a bit too soon, but at some point, one of the large banks(probably coinbase or circle) will be issueing USD on the Bitcoin chain. At that time, the pot-shop will accept BTC, which will immediately convert into COINBASEUSD. Problem solved. Junseth articulated this pretty well: http://junseth.com/post/109579766177/the-blockchain-isnt-going-to-enhance-remittance http://junseth.com/post/109579766177/the-blockchain-isnt-goi...
  - GrinningFool 12y ago
    I'm unclear how you got from someone's blog post to "one of the large banks will be issuing..."?
    - brighton36 12y ago
      Bitcoin is an amazing Payment Mechanism. But it's not a good unit of account, and possibly not a great store of value. As such, the solution to the problems posted in the parent will likely involve transmission of USD over the Bitcoin network. Banks will be the ones to do this.
      - narrowrail 12y ago
        When you say, "one of the large banks" I think of Chase, BofA, Wells Fargo, etc. And, my experience with these entities is that it takes 3 days for them to do ACH transfers (well, the originating account is debited ~immediately, but the destination account doesn't see the $ for 3 days). YMMV.
- beaner 12y ago
  There are easy to use solutions on the market for accepting bitcoin payments and converting instantly to USD. Bitpay and Coinbaes both do this. On Bitpay it goes straight to your bank, on Coinbase you can do the same thing or even leave it on the site as USD to be withdrawn later. You can change the bank you're withdrawing to at any time.
hnnewguy 12y ago
Maybe if the early adopters actually spent them into circulation, rather than treating them as an "investment", waiting for the "mainstream" to buy them at higher prices.
- wyager 12y ago
  Most early adopters I know spend their Bitcoin at a reasonable rate (although they may purchase more to keep their reserves up).
infecto 12y ago
Too volatile and does not really solve the problem. You need to establish credit, be able to write checks etc. Bitcoin is not going to fix that.
- nickik 12y ago
  BitShares does solve, or try to solve the volatility problem (with BitUSD) but that Blockchain is not big enougth yet, and credit is also not happening at the moment.
  - brighton36 12y ago
    Bitshares does not solve the volatility problem: http://prestonbyrne.com/2014/08/17/dont-walk-away-run/ http://prestonbyrne.com/2014/08/17/dont-walk-away-run/
    - nickik 12y ago
      I dont really think the arguments in that blogpost are very good. BitUSD will give you a lot of stability compared to any other blockchain.
neckro23 12y ago
At least you have to be physically present to steal or lose cash.
sliverstorm 12y ago
Yes, laundering money through Bitcoin is surely the way to get the Federal Gov't to look on them fondly.
task_queue 12y ago
Because the blockchain is the pinnacle of plausibly deniable liquidity.
- Estragon 12y ago
  Tumbling and trading through other blockchains seems like it should be pretty robust.

Bitcoin.

Not an effective store of value, too volatile. Plus, somebody has to trade the cash they get for bitcoin, and then they're responsible for the stack of cash they can't do anything with.

brighton36 12y ago
It's a bit too soon, but at some point, one of the large banks(probably coinbase or circle) will be issueing USD on the Bitcoin chain. At that time, the pot-shop will accept BTC, which will immediately convert into COINBASEUSD. Problem solved. Junseth articulated this pretty well: http://junseth.com/post/109579766177/the-blockchain-isnt-going-to-enhance-remittance http://junseth.com/post/109579766177/the-blockchain-isnt-goi...
- GrinningFool 12y ago
  I'm unclear how you got from someone's blog post to "one of the large banks will be issuing..."?
  - brighton36 12y ago
    Bitcoin is an amazing Payment Mechanism. But it's not a good unit of account, and possibly not a great store of value. As such, the solution to the problems posted in the parent will likely involve transmission of USD over the Bitcoin network. Banks will be the ones to do this.
    - narrowrail 12y ago
      When you say, "one of the large banks" I think of Chase, BofA, Wells Fargo, etc. And, my experience with these entities is that it takes 3 days for them to do ACH transfers (well, the originating account is debited ~immediately, but the destination account doesn't see the $ for 3 days). YMMV.
beaner 12y ago
There are easy to use solutions on the market for accepting bitcoin payments and converting instantly to USD. Bitpay and Coinbaes both do this. On Bitpay it goes straight to your bank, on Coinbase you can do the same thing or even leave it on the site as USD to be withdrawn later. You can change the bank you're withdrawing to at any time.

hnnewguy 12y ago

Maybe if the early adopters actually spent them into circulation, rather than treating them as an "investment", waiting for the "mainstream" to buy them at higher prices.

wyager 12y ago
Most early adopters I know spend their Bitcoin at a reasonable rate (although they may purchase more to keep their reserves up).

infecto 12y ago

Too volatile and does not really solve the problem. You need to establish credit, be able to write checks etc. Bitcoin is not going to fix that.

nickik 12y ago
BitShares does solve, or try to solve the volatility problem (with BitUSD) but that Blockchain is not big enougth yet, and credit is also not happening at the moment.
- brighton36 12y ago
  Bitshares does not solve the volatility problem: http://prestonbyrne.com/2014/08/17/dont-walk-away-run/ http://prestonbyrne.com/2014/08/17/dont-walk-away-run/
  - nickik 12y ago
    I dont really think the arguments in that blogpost are very good. BitUSD will give you a lot of stability compared to any other blockchain.

neckro23 12y ago

At least you have to be physically present to steal or lose cash.

sliverstorm 12y ago

Yes, laundering money through Bitcoin is surely the way to get the Federal Gov't to look on them fondly.

task_queue 12y ago

Because the blockchain is the pinnacle of plausibly deniable liquidity.

Estragon 12y ago
Tumbling and trading through other blockchains seems like it should be pretty robust.