So guys, in a world where the 10% of total transaction are with BTC, what is the advantages for a normal family? What this kind of money can solve? In particular, if some rich don't spend BTC to increase the value and less BTC are spent, how can deflating happen?
Particular, which CONCRETE advantages can the people get from BTC?
Thank you.
The value of $ depends more on politics than industry. And, as some said, USA debt is quite big.
Now, the history shows already how strong was the $ decades ago and if you read the correct papers you'll see quite interesting graphs about how $ value is getting smaller and smaller each year.
Bitcoin is not tied to government politics and it
should be more stable.
Also Bitcoin supply is rather small and mining Bitcoin is harder and harder (you should read about halving too) meaning that economically the Bitcoin price
should rise.
The problem is that Bitcoin is not actually needed for anything. You need $ to pay your taxes in USA. You can't actually live in USA without $. (Replace USA with any country and $ with that countrys money and you get the same). While money is, in theory, not needed for anything, just try to live for a year without it and you'll see that this is utopia. The government and the current way of economics enforce you to use money. The days when you worked directly for food are over.
But Bitcoin, instead, well.. you can live very well without it. So the only value is now given by the price dictated by a free speculative market.
But again, this happens with gold too!
So, while the gold value is ~ the same over the years, Bitcoin value is expected to rise. Hence the expectations towards Bitcoin.
But for a normal family that goes to work, gets some money at the end of the month and that money barely keeps the family running until next paycheck, I see no advantage from Bitcoin.
I actually see disadvantages, since buying bitcoin gets through fees and buying things with bitcoin is (from my feeling) a little more expensive than using USD.
But if that family has some money to put away, Bitcoin is an asset to think about (though it's a
high risk investment!)
