Economical World Of Bitcoin And Its Difficulties

[bitcoinblog]

From many months i am thinking about what if " we remove fiat system , and change things into crypto " .. What are the main difficulties we will face ?

1. Internet every where is not yet done.
2. Awareness with Crypto ( but its not a big thing, as most are aware of how to use currency. )
3. Bitcoin is only 21,000,000 and world population is more. ( This can fix by other altcoins same like USD/RUB/CNY etc )

What other difficulties we can face ?

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[mrcash02]

Older people that don't know how to use computers, cell phones and internet;
Slow transactions and expensive fees;
Volatile price all the time, impossible to have a stable financial life.

(21.000.000 BTCs supply isn't a problem as we have 8 decimal houses and each satoshi counts).

[Panfilov]

Each bitcoin can be separated to small pieces. But transaction fees is the real problem.
I have read somewhere that bitcoin more investment instrument than digital currency.

[bob3772]

From many months i am thinking about what if " we remove fiat system , and change things into crypto " .. What are the main difficulties we will face ?

1. Internet every where is not yet done.
2. Awareness with Crypto ( but its not a big thing, as most are aware of how to use currency. )
3. Bitcoin is only 21,000,000 and world population is more. ( This can fix by other altcoins same like USD/RUB/CNY etc )

What other difficulties we can face ?

The lack of worldwide internet is probably the biggest snagging point, in time that will be resolved but probably not for another generation. Awareness again will come with time and over the next generation, in time crypto will be easy for future generations. The limited supply is not an issue, Satoshi was aware of this and that is why bitcoins can be broken down in to many units.

[Kingofbitcoin12345]

The number one problem that we may face is our government officials itself.. They won’t support anything that they can’t control and gain profit of.. It’s a given problem because we tolerate they’re abuses for many decades now.. But still hoping that this will change in the future as i always give them chance to prove they’re worth as a public servant than a private puppet..

[arpon11]

The higher fees of transactions we are witnessing today is a great set back to bitcoin that has been say to have low fees and high speed. I think the mining fee create a great danger for cryptocurrencies development and it might take alot of scalling to be able to break that. Bitcoin will ever be preferable to any fiat because it is decentralized and people seeing as a system that make them be there on bank.

[richardsNY]

Bitcoin's total number of coins will never be a problem. In current times the majority of the people can't even afford to buy 0.1 BTC anymore, and soon they won't be able to afford 0.05 BTC, and so forth. Bitcoin's total coin cap can be looked at from various perspectives.

21,000,000 BTC
21,000,000,000 MBTC
21,000,000,000,000 BITS
2,100,000,000,000,000 Satoshi's

Bitcoin's divisibililty is something that people tend to ignore since they just see Bitcoin's coin cap is fixed at 21 million Bitcoin's, while in reality it's just a GUI based level unit. We should accept that not everyone in the world is interested in using Bitcoin as their daily currency tool, so there will be enough coins, or better said, Satoshi's left for those who do end up using Bitcoin. In easy terms, no need to worry about this aspect.

[kevoh]

Some of the other difficulties that will be faced:

1. Bitcoin will be slow and fraught with double spending by mischievious fellows when retail transactions are being carried out.

2. The identity of a bitcoin user is unknown,if bitcoin is used by evil people like kidnappers to demand for ransom it will be very difficult track the recipients of such ransom to get them arrested.

[yoseph]

The higher fees of transactions we are witnessing today is a great set back to bitcoin that has been say to have low fees and high speed. I think the mining fee create a great danger for cryptocurrencies development and it might take alot of scalling to be able to break that. Bitcoin will ever be preferable to any fiat because it is decentralized and people seeing as a system that make them be there on bank.

I am sure that's why a lot of investors are currently flocking towards BCH, they have very low and reasonable fees compared to bitcoin and i don't know whether its current value is the reason why the fees are so high or not but there should be something done before the fees alone makes it unattractable any more.

[vit05]

Some of the transactions could be changed and only use some kind of crypto. I believe next years if you want to buy something on a foreign online market, it would be easier use a cryptocoin and not use the forex market. Maybe we will not be able to buy a coffee or a coke. But we could use to buy a bag of premium coffee from another country.

[Nellayar]

From many months i am thinking about what if " we remove fiat system , and change things into crypto " .. What are the main difficulties we will face ?

1. Internet every where is not yet done.
2. Awareness with Crypto ( but its not a big thing, as most are aware of how to use currency. )
3. Bitcoin is only 21,000,000 and world population is more. ( This can fix by other altcoins same like USD/RUB/CNY etc )

What other difficulties we can face ?

In my country, most of the people specially the older people didn't believe and trust internet currency. They always say that these are scams. I don't know how they concluded. Internet also been hard to establish since some of our province have not yet current. That's why many people are not aware in this economic trend. There are lots of difficulties that the government will encounter if they will change instantly from fiat to crypto. I think it takes time to move from virtual currency. Research must be done first.

[budz0425]

From many months i am thinking about what if " we remove fiat system , and change things into crypto " .. What are the main difficulties we will face ?

1. Internet every where is not yet done.
2. Awareness with Crypto ( but its not a big thing, as most are aware of how to use currency. )
3. Bitcoin is only 21,000,000 and world population is more. ( This can fix by other altcoins same like USD/RUB/CNY etc )

What other difficulties we can face ?

In my country, most of the people specially the older people didn't believe and trust internet currency. They always say that these are scams. I don't know how they concluded. Internet also been hard to establish since some of our province have not yet current. That's why many people are not aware in this economic trend. There are lots of difficulties that the government will encounter if they will change instantly from fiat to crypto. I think it takes time to move from virtual currency. Research must be done first.

That is the reason why some other countries don't success of have much economic growth because of that kind of mentality, they are stable with what they have now, they don't even bother to go out outside their comfort zone, they don't realize this first without making any actions what advantage this could be in their life.

[Hydrogen]

I hate to be overly dramatic about things but I think fiat will never be replaced by crypto for one simple reason: control.

No nation on earth would cede control over its monetary supply to a small group of bitcoin core developers. 

Crypto currency that adopted by a government will likely be fiat implemented utilizing a blockchain. Government issued crypto likely would not utilize algorithmically regulated inflation nor limited supply. Also deregulated crypto which benefitted from low taxes, low fees, low bar to entry all of those features which contributed towards bitcoin being a more efficient, cheaper and user friendly currency likely would not be implemented by a state.

Also the low cost of using bitcoin, would probably be abandoned. Wheras it might cost less than $50,000 for a small group of developers to create an altcoin today. If a government tried to create its own altcoin, it could easily cost billions or trillions of dollars. Governments aren't structured to accomplish goals in a cost effective or efficient manner.

So there could be issues with governments attempting to implement crypto with a high probability it would turn into a profiteering enterprise invoking wealth redistribution where taxpayer funds collected from the poor to middle class were redistributed to a group of board executives through poorly structured & wasteful state run programs.

[bitcoinblog]

Volatile price all the time, impossible to have a stable financial life.

Volatile price is due to comparison of Crypto to Fiat , As subject said. Economical World of Bitcoin , where concept to buy things are of Crypto only.

Transaction issue almost 80% raised. My question is : Is Staking concept helps in making chain easier for transaction as all small units are somewhere calculating chain and helping to build a smooth network ? Sorry i am not very much technical so like to understand if i am thinking right ?

What are the ways to make transaction more easier ? Because already we saw so many Forks but almost all coins are taking time to reach one person to another.

[audaciousbeing]

From many months i am thinking about what if " we remove fiat system , and change things into crypto " .. What are the main difficulties we will face ?

1. Internet every where is not yet done.
2. Awareness with Crypto ( but its not a big thing, as most are aware of how to use currency. )
3. Bitcoin is only 21,000,000 and world population is more. ( This can fix by other altcoins same like USD/RUB/CNY etc )

What other difficulties we can face ?

The first 2 problems are the ones I see that would create a big problem for the complete transition to the digital world because in the case of number one, even if there is internet everywhere, there are still some people who will not use it no matter the explanation due to either cultural inclinations or religious connotations. Today in some parts of the world, some people don't still wear cloths or shoes despite the amount of years civilization have occurred. Going to number 2, the awareness will be something that will take forever to be done because it will mean the complete reorientation of people about the financial system right from the time that children know that there is money not living behind the senior citizens whose way of life has been about the normal way we have been doing things.

The irony of the matter is that, this set of people cannot be left behind because some of them are our grandparents, parents, kinsmen, etc whose population is significant in age distribution census of the country.

[khaled0111]

Using cryptocurrency worldwide would be a revolutionary thing. One day it will be a fact thanks to technology evolving so fast.
However, it may not happen soon because of many factors:
- Infrastructure: Internet is not available in some countries.
- Regulation: cryptocurrency has to be regulated before it can be used worldwide.
- Volaility: can be considered as a disadvantage.
- Ignorance: many people don't know how to use new technologies.
....

[webtricks]

From many months i am thinking about what if " we remove fiat system , and change things into crypto " .. What are the main difficulties we will face ?

1. Internet every where is not yet done.
2. Awareness with Crypto ( but its not a big thing, as most are aware of how to use currency. )
3. Bitcoin is only 21,000,000 and world population is more. ( This can fix by other altcoins same like USD/RUB/CNY etc )

What other difficulties we can face ?

Awareness and internet aren't the big enough comcerns to limit Bitcoin or Crypto Future as mode of payment. In countries like India, using internet is cheaper than packet of bread due to massive tech revolution.
But where actually problem lies is within the structure of these cryptocurrencies itself. Before thinking to use them as mode of payment, can we ensure that transactions will work out within seconds and at negligible fees? If cryptocurrencies can't cater such basic requirement of currency then it won't possible even if every human on face of Earth knows how to use Bitcoin and cryptos.

Bitcoin's total number of coins will never be a problem. In current times the majority of the people can't even afford to buy 0.1 BTC anymore, and soon they won't be able to afford 0.05 BTC, and so forth. Bitcoin's total coin cap can be looked at from various perspectives.

21,000,000 BTC
21,000,000,000 MBTC
21,000,000,000,000 BITS
2,100,000,000,000,000 Satoshi's

Bitcoin's divisibililty is something that people tend to ignore since they just see Bitcoin's coin cap is fixed at 21 million Bitcoin's, while in reality it's just a GUI based level unit. We should accept that not everyone in the world is interested in using Bitcoin as their daily currency tool, so there will be enough coins, or better said, Satoshi's left for those who do end up using Bitcoin. In easy terms, no need to worry about this aspect.

This may look fancy theoretically on piece of paper but practically this isn't feasible. I wrote about this in my last post, have a look:

No doubt, Bitcoin has huge future potential but there is a big obstacle in this way, 'Scalability'. People argue that Bitcoin can be fragmented upto 100 millions units and if large number of people adopt Bitcoin there won't be any problem as people would start using Satoshis. But is that possible? Absolutely not! Scalability issue has limited Bitcoin diversification to the maximum of 4 decimal points. If we send lower than that, fees will supersede amount and transaction will become unfeasible to conduct.
So, we shouldn't expect anything above $100K for Bitcoin if current version i.e. Bitcoin Core continues to dominate Bitcoin in coming years. On the same side, I don't advocate fork or flippening rather there should be some consensus among miners to solve scalability issue.

[brontosaurus]

From many months i am thinking about what if " we remove fiat system , and change things into crypto " .. What are the main difficulties we will face ?

1. Internet every where is not yet done.
2. Awareness with Crypto ( but its not a big thing, as most are aware of how to use currency. )
3. Bitcoin is only 21,000,000 and world population is more. ( This can fix by other altcoins same like USD/RUB/CNY etc )

What other difficulties we can face ?

the biggest difficulty we would face is to create as well as implement a proper system of taxation where people using BTC could be taxed. Another major problem is regarding controlling the money supply in the economy. I don't know if you know it or not the central authorities regulate the supply of money in the economy to ensure that inflation doesn't magically upsurges this is impossible with bitcoin.

[godzillarekt007]

I hate to be overly dramatic about things but I think fiat will never be replaced by crypto for one simple reason: control.

As much as I love crypto and as much as I dislike governments I must sadly agree with this notion here. I don't think governments and states will relinquish their control and probably will use their threat of violence to prevent this from happening. When you break it down it is basically like what terrorists do except in a more controlled and organized manner. That mashed together with propaganda and voila you have a mindless working class that has no problem being in debt their whole life. I hope that I am completely wrong however and crypto does one day takeover as international currency

[hardhardy]

Honestly I think the biggest problem we'll face are dirty plays by banks. And since you can prevent any dirty trick by anticipating it, expect the unexpected