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Author Topic: Storing of Bitcoins is against Bitcoin.  (Read 41821 times)
asuryan180
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February 28, 2017, 07:47:17 AM
 #861

While I agree that the circulation of BTC is really important and that is what keeps BTC alive,I'm not concerned whether people store their BTC or not-it's a personal choice and there will always be people who make transactions so it's not a thing to stress over.And as the price increases people are selling and buying BTC constantly so we are in a good position right now,let's hope this continues

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February 28, 2017, 03:40:12 PM
 #862

Because of the great current bitcoin price anyone who has biger amount of coins probably feels rich and having these coins gives him a feeling of beeing secured so it's not easy to give them away and spend them. On the other hand for security reasons those people are probably worried for their bitcoins. So it's cruical to find some balance among storing and spending bitcoins.
Nothing to worry with storing and spending of bitcoin, because the wallets were good and much secure with high security features. So saving is not a big deal and when it comes to spending just direct spending or a cyclic process of bitcoin circulation makes the path towards a mainstream usage.
Spending bitcoin can sometimes be against bitcoin, because if there is a demand on the bitcoin in the market and that demand is constantly satisfied the prices of the bitcoin will fo down, but if there is a demand and not much people selling bitcoin or spending it then the prices will go up which makes saving bitcoin is a good thing

It is not a good thing overall

By saving bitcoins you basically increase volatility because less coins enter the market and, consequently, less coins are required to move the price (hence higher volatility). On the other hand, if you used Bitcoin for buying and selling goods (if you don't, that's obviously not your fault but still). You could potentially argue that bitcoins which are used for the exchange of goods and services would be still leaving financial markets and therefore could also contribute to higher volatility, but in fact it works in the reverse order, i.e. real trade would have a stabilizing effect on prices since the price of goods will be used as a measure for gauging Bitcoin value (though I agree that this is a bit counterintuitive)

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