Bitcoin Forum

I want to know how people see bitcoin,you bought it as an investment or you bought it so you can using to buy stuff/services?
IRS says that bitcoin is an property/investment,and they are wright in a way,because most people who have bitcoins they just keep it to see what happens with the value,mostly sell it if it has a high value or buy more if it has a low value.Bitcoin wasn\t made to be an investment,bitcoin is a currency, and as any currency it must flow,we  have to start using as we use the dollar,to buy products,services.
Why to pay my dinner in a restaurant with dollar when i can pay it with bitcoins!

It depends on why you bought it and if you use it to pay for stuff.

maybe you want to see this : https://www.youtube.com/watch?v=fvqkQvOWgeo

What does it have to do with his post?

That is a good question. Imo its currency meant to pay for goods and services. Its not a comodity, there is no uses of bitcoin as other convencianal comodity.
All this " investment idea" came after huge price increase after bitcoin become known to the world and price rose lead to pump price up. Imo, bitcoin should be used primary as currency and eventual profit from positive price change should be something aside and to be speculative nature and not taxed.

Its designed to be a currency, but with it being new and the state of it (deflationary making it harder to mine and no way to make more as time progresses) I think that it will go up, so some people may consider it an investment. Its really just a mix of a currency, investment, and a commodity.

I am just trying to say that if we use bitcoin in stand of any other currency to buy stuff/products/food/services;restaurants,stores,company etc will kinda be forced to adopt bitcoin.

It is multipurpose :). It can be investment and also for buying services/goods/other stuff.

Well yeah. Like how in an election, if people write in a person they "will kinda" be forced to adopt that said person. The trouble is getting enough people to do it.

It's versatile and works equally well for both :)
Just like gold used to, before it became irrelevant to the digital age.

Yes.

There is a big difference between gold and digital currency. Gold is used by industry and in wide variaty of products. It will always have a value. Digital currency do not have any use as ordinary comodity and it will worth depended on people interess and what they are willing to pay for.

If your optics are limited to this false dilemma, then it's your choice which to believe. Most people choose an argument from authority to decide for them. Or you can choose to accept the new paradigm.

For me, it is both.

At least during the initial phase, the Bitcoin will be used more as an investment. And don't get me wrong. People even stockpile bundles of USD or EUR, hoping that their exchange rate will improve in the near future. Same with BTC.

As time progresses, the use as a currency will gain momentum.

the 42% quantum hash 50% attack is real folks (and it's happenining   ;D)

Who cares what it is, as long as it has the desired effect.

You're delusional. The recent spike in hashpower is from the release of the Antminer S2 in China, and all the other clones that are produced there at the moment.


That seems quite silly, considering inflation. Hopefully a good number of them will see Bitcoin's potential :)

Bitcoin is a currency.
If you do not agree, perhaps you are allowing the Gov to create your reality.
Bitcoin is an investment if you want it to be.

It is both.

Bitcoin by definition is a currency. You can use it for payment of goods and services. However, it is not sovereign currency because it is not a currency of any nation. It is obviously also an investment, people speculate on its value and expects return form it.

Loosing purchasing power does not prove it is not a currency. What you described happens to global currencies all the time, through inflation and devaluation.

Buying bitcoin for very people will be best way just to make easy internet transaction.

What's wrong in that? We are the early adapters. So we should gain from it, right?

depending how you use it
if you buy BTC and holding it for period of time, it becomes investment
if you buy BTC and spend it for goods/services, it becomes currency
so, answering your question : bitcoin is currency and investment.

so sad my f̶u̶c̶k̶*n̶g̶ central bank banned BTC as currency in my country :(
but many ppl don't care with that, and still accept BTC payment for goods or services

It doesn't depend on how you use it. Regular currency if you held, would just lose purchase power. As BTC has a hard limit of 21 mill and is of a deflationary nature, BTC prices tend to go up. I could troll you and say BTC is a property, but I digress :) I think the most correct answer IMO is a digital commodity. It can be used as a storage of wealth ( pretty volatile right now, but I imagine will stabilize as more business and people adopt), divisible by multiple units so can be used as a convenient payment system unlike gold. In other words, Bitcoin is like a digital gold or any other precious metal, allowing the user to preserve wealth but is not burdensome and heavy like BTC physical counterpart.

There is no reason for these two things to be mutually exclusive. People invest in currencys every day. :o

Investing in currency is a new paradigm. It's something nobody of this generation has done. It's called saving.

dont limit yourself to categories of government that can only tax FIAT. you only have to pay FIAT taxes. bitcoin is not taxable, only the excess income you get from fiat when you finally sell bitcoin is taxable.

so do not let governments categorise bitcoin uses.

bitcoin is a store of wealth (investment/asset)
bitcoin is a payment processor (wallets)
bitcoin is a means of trading/bartering
bitcoin is a currency exchanger
bitcoin is a international money transfer system
bitcoin is a method to pay salaries
bitcoin is a scarce item
bitcoin is anything you want it to be

just dont let governments confine it to any definition. and lastly be greatful that bitcoin is not the government term of being a currency, because the only term governments understand for currency, is the ones they and other governments, own, control, and print endless supplies of.
we definitely dont want bitcoin to be a government currency. lets leave it be as a barter currency/peoples currency.

i have nothing big against IRS definition that they class bitcoin as an asset. as long as they confine their taxes to only be a requirement at the point that people sell their assets for FIAT.

you don't understand capital gains tax

Yup. It's like asking whether JPY is an investment or a currency. For someone who is trading the forex markets, it would be an investment. For someone who exchanges it at an airport because he wants to travel to Japan and use it to get a hotel room, it would be a currency.

Its both... Just like any currency. Its value fluctuates... maybe bitcoins more than say the USD but still.

Yes, BTC is often a good investment.
Speculation is legit: Without speculators BTC would probably still be under 25 or 50 cents each

How about both a currency & commodity?

You can't shove it in to one box, it's never existed before. There will have to be some clever thinking and new guidelines from the government to cover all aspects of Bitcoin

Yeah I believe that bitcoin can be anything we want it to be, from a currency, product and a investment.