Bitcoin is a revolutionary currency but a fairly inefficient payment network

[RocketSingh]

As the original statement was made by GMaxwell, I'd expect him to take part in the conversation...

[eternalgloom]

According to Blockchain.info the estimated transaction volume over the last 24 hours was about 343,500 BTC, and the total mining revenue was 2000 BTC.  The cost of the Bitcoin payment system is about 0.6% of transaction volume.

Visa's yearly transaction volume is about $3300 billion, while its revenue is about $14 billion. The cost of the Visa network is about 0.4% of transaction volume.

Visa is currently more efficient than Bitcoin, but I expect that to change in the future.

This is one of the most interesting points made in this thread.

We should expect transaction volume to go up and mining volume to go down the next couple of years. Even if this weren't the case, I'd say that Bitcoin is still pretty efficient as a payment network since it's currently just 0.2% more costly than Visa, one of the biggest payment networks out there.

I'd also like to see the numbers for Mastercard, I'm guessing they're processing even more than Visa, but I could be mistaken.

Anyway, aside from the comparison with Visa, if you compare Bitcoin to the regular banking system, I'd say it's more efficient for the end-user. Transactions go through almost instantly, if you add enough fees, compared to waiting a couple of days for bank transfers.

[Vaskiy]

Bitcoin evolved as a payment gateway and over the short it got acceptance from people as a currency and a high valued investment. But as quoted by the OP it hasn't got much acceptance in stores and other online markets similar to local fiat and other cards available. This makes it a bit ineffective as a currency comparatively. This scenario will change soon.

[Tanic]

Bit coin is truly revolutionary currency. I think all the world will never be the same after bitcoin appearance. I am not saying that bitcoin is going to be top currency. I suppose all financial operations will go on the crypto level and all the fiat that we know today will go in the past.

[Dite1989]

In my view it's better than the payment network in most countries. In most countries, banks aren't executing transactions for days (for instance when it's weekend) and take a hilarious amount of fee for everything as SMS security. I can use the Bitcoin network with very good security and not having to pay more than what'll be used on keeping the network running which network's working 24/7.

[WhiteSkinnedFREAK]

Yeah I mean it's pretty true dude

How often can you just get payment right away? Unless yu know of an ATM close by

[Shenzou]

Bitcoin has made a huge progress form being an easy safe way to exchange money on the internet to being a way of life, because if how the bitcoin price is constantly going up makes it a very good and profitable way of getting payed , signature campaigns on this forum are a really good example for that

[RocketSingh]

As the original statement was made by GMaxwell, I'd expect him to take part in the conversation...

GMaxwell never joined in. But, even after two long years, the statement is still valid IMHO.

[raymond013]

The units and total bitcoin in the network are 21million bitcoin so that the price of each coin will increase as more people join the network. Once the news starts to realize how easy it is to carry out online spam attacks, larger whales can abuse the network by sending spam and slowing their network size. fast You will notice that a lot of sidechain tools are proposed to be out soon after segwit especially the lightning network which can really help with block size issues and validation concerns. Just think about it, you need a decentralized currency that you can be your own bank and something of higher value and be accepted by many.

[Boris_sahnevich]

I believe that bitcoin is not a revolution, but an evolutionary stage of the financial system. In the future, it is unlikely to be a generally accepted means of payment, but will greatly affect the development of the system.

[Dmitry.Vastov]

Bitcoin is a revolution currency but bitcoin is a fairly inefficient payment network. The latter is a perfectly fine consequence of the former. If people turn this on its head and try to market bitcoin as a payment rail where the currency is an unfortunate requirement, it would be immediately out competed in the market by better payment systems which are fundamentally more scalable than the decentralized Bitcoin system or which don't require costly and unpredictable currency conversion.

Source: https://www.reddit.com/r/btc/comments/57zhd2/another_ridiculous_claim_from_lukejr_in_the/d8wb4hl

No doubt bitcoin is very revolutionary crypto currency and it has made a tremendous progress and made its unique position in the world of investment and now there are millions of people around the world who are investing into bitcoin but as we all know that bitcoin is still not centralised all over the world therefore it is now used as a kind of investment but no one has ever seen the the potential of bitcoin as when it will get centralised all over the world, then it would be the best payment method.

[stayeduptolate]

Bitcoin is a revolution currency but bitcoin is a fairly inefficient payment network. The latter is a perfectly fine consequence of the former. If people turn this on its head and try to market bitcoin as a payment rail where the currency is an unfortunate requirement, it would be immediately out competed in the market by better payment systems which are fundamentally more scalable than the decentralized Bitcoin system or which don't require costly and unpredictable currency conversion.

Source: https://www.reddit.com/r/btc/comments/57zhd2/another_ridiculous_claim_from_lukejr_in_the/d8wb4hl

When bitcoin was introduced a decade ago, there was no one who was ready to believe on it and they even started calling it a Ponzi scheme or a bubble that would burst soon but the very few who believed on it are now the bitcoin billionaires and after that bitcoin started believing in bitcoin and now there are approximately millions of people around the world who are investing into bitcoin so bitcoin has made revolutionary change in the economic world and has provided employment to millions of people and opend many job opportunities.

[Tryphena5358]

Bitcoin is not an inefficient payment network. I would say this makes Bitcoin slower to process and validate, but it's still worth considering how decentralized it is and you can easily pay from your wallet phone at any Bitcoin-accepting seller. any. It is effective to look at how stable its price is these days and also provide good reliability for those who want to accept Bitcoin as a payment method. It's just beginners! The chain aspect seems to be a real problem for me and there is a way to achieve this that will actually help speed up the transaction and widespread use. will not love anything more than a few ways before certifying my bitcoin for use in everyday transactions with a limited trading size of under 20 dollars. It seems, people are really divided here about what they want from bitcoin. I've found it faster to use than credit union and even bank transfer. As the original statement was made by GMaxwell, I hope he joins the conversation

[MarioV]

Bitcoin is only the currency with value and its network is inefficient in terms of speed but very efficient in terms of security. Lightning Network was born to fill the gap. And now it will fly!

[Kaznachej123]

I believe that bitcoin is not a revolution, but an evolutionary stage of the financial system. In the future, it is unlikely to be a generally accepted means of payment, but will greatly affect the development of the system.

   What are the advantages of BTC? In my opinion it has non, it's slow, not reliable enough nor anonymous and you can't really say it's digital gold. Gold has so much value, you couldn't use your phone without gold in it but you don't need BTC for that. But things can change in the near future - "Lightning Network" 

[Treasurer]

In my view it's better than the payment network in most countries. In most countries, banks aren't executing transactions for days (for instance when it's weekend) and take a hilarious amount of fee for everything as SMS security. I can use the Bitcoin network with very good security and not having to pay more than what'll be used on keeping the network running which network's working 24/7.

Blockchain will be a healthy alternative to the banking system. And if bitcoin transactions are still slow, then another cryptocurrency with greater scalability will become an alternative to fiat payments.

[winstonchurchillwar]

I agree that bitcoin has problems with the speed of transaction processing but do not forget that it is working on a whole team of developers who will solve this problem in the future ! Bitcoin is actually a very convenient way of payment and transfers as it does not require the intervention of third parties.

[stayeduptolate]

Bitcoin is a revolution currency but bitcoin is a fairly inefficient payment network. The latter is a perfectly fine consequence of the former. If people turn this on its head and try to market bitcoin as a payment rail where the currency is an unfortunate requirement, it would be immediately out competed in the market by better payment systems which are fundamentally more scalable than the decentralized Bitcoin system or which don't require costly and unpredictable currency conversion.

Source: https://www.reddit.com/r/btc/comments/57zhd2/another_ridiculous_claim_from_lukejr_in_the/d8wb4hl

No doubt that bitcoin is a revolutionary crypto currency as it has brought many revolutionary changes  in the economic market after its introduction in to the market and itself has made tremendous progress as from having millions of haters to millions of investors bitcoin has gone through a lot and now is on the top of the crypto rankings but for now it is only a kind of investment or as s part time investment for its permanent use or to be used as a payment system it should have to get centralised all over the world.

[VadikZimnyayaRezina]

Bitcoin is a revolution currency but bitcoin is a fairly inefficient payment network. The latter is a perfectly fine consequence of the former. If people turn this on its head and try to market bitcoin as a payment rail where the currency is an unfortunate requirement, it would be immediately out competed in the market by better payment systems which are fundamentally more scalable than the decentralized Bitcoin system or which don't require costly and unpredictable currency conversion.

Source: https://www.reddit.com/r/btc/comments/57zhd2/another_ridiculous_claim_from_lukejr_in_the/d8wb4hl

I will not say that it is not useful, it can successfully become a network currency only if it will be regularly used, which can be very good in the future, because everything goes to this.

[darklus123]

According to Blockchain.info the estimated transaction volume over the last 24 hours was about 343,500 BTC, and the total mining revenue was 2000 BTC.  The cost of the Bitcoin payment system is about 0.6% of transaction volume.

Visa's yearly transaction volume is about $3300 billion, while its revenue is about $14 billion. The cost of the Visa network is about 0.4% of transaction volume.

Visa is currently more efficient than Bitcoin, but I expect that to change in the future.

This is one of the most interesting points made in this thread.

We should expect transaction volume to go up and mining volume to go down the next couple of years. Even if this weren't the case, I'd say that Bitcoin is still pretty efficient as a payment network since it's currently just 0.2% more costly than Visa, one of the biggest payment networks out there.

I'd also like to see the numbers for Mastercard, I'm guessing they're processing even more than Visa, but I could be mistaken.

Anyway, aside from the comparison with Visa, if you compare Bitcoin to the regular banking system, I'd say it's more efficient for the end-user. Transactions go through almost instantly, if you add enough fees, compared to waiting a couple of days for bank transfers.

Based on the statement that was given by odolvlobo Btc transaction per day is $2b and the profit was around $12.4M

If I am going to give an estmation the yearly profit of bitcoin is probably not too far from those digital currencies. The fact that they are just using FIAT scheme and has higher fees. It is just pretty acceptable that BTC profit is currently behind