A cryptocurrency with volatility can't be used as money

[icoprofits]

cryptocurrency is more or else asset rather than money. due to the volatility in nature more of the users and merchants are treating it as asset rather than day to day currency

[no0dlepunk]

You might be correct for now, but as soon as the global populace starts using it religiously - you will see the pumps and dumps vanish, and market trades (pairing with fiat) will vanish too. That will solve your problem, hijo.

[Mikejones64]

What you have read was not true.. It is impossible to control cryptocurrency. There is really volatility among them. Even real money currency has volatility. If what you read was true, very few will invest in bitcoin.

[Lexurdania]

If we know forex trading, volatility on forex happen every day and no one complain. I am believe that bitcoin can be a currency because right now peoples knowing about bitcoin and trade it and accept it.
Fiat money always have high volatile in forex market and the result is high inflation because money always printed. Different with bitcoin, bitcoin have limited supply and no one control the supply

[ngefek berat]

Such an argument explains how the impact of bitcoin currency if used as a means of payment for the future so the purchase price can go down when the bitcoin value is in bad condition and the trader becomes anxious when such problems occur continuously.

[MiXxe]

Actually I just thought of it and  think this is quite reasonable. Since there is no country which uses cryptocurrency as their main currency this means that if cryptocurrency will be used as mode of payment and such. There will be great difference to the amount. I think businesses will either gain or loss.

[Marcsymon]

Such an argument explains how the impact of bitcoin currency if used as a means of payment for the future so the purchase price can go down when the bitcoin value is in bad condition and the trader becomes anxious when such problems occur continuously.

Volatility behavior of bitcoin is not a hindrance to really become as direct currency because it is now started to be accepted in some merchant as payment for obligations. But the value will exactly calculated in a currrent price during transaction payments. Perhaps volatile behavior cant be controlled its either pumping or dumping in the future. So in this case it is on traders strategy and experience how to anticipate volatile which results to gain more profits rather than feeling anxious.

[Sled]

Such an argument explains how the impact of bitcoin currency if used as a means of payment for the future so the purchase price can go down when the bitcoin value is in bad condition and the trader becomes anxious when such problems occur continuously.

Volatility behavior of bitcoin is not a hindrance to really become as direct currency because it is now started to be accepted in some merchant as payment for obligations. But the value will exactly calculated in a currrent price during transaction payments. Perhaps volatile behavior cant be controlled its either pumping or dumping in the future. So in this case it is on traders strategy and experience how to anticipate volatile which results to gain more profits rather than feeling anxious.

It is a sad truth but we need to accept it. Bitcoin and most of the cryptocurrencies that are so volatile cannot be accepted as a permanent mode of payment or to used as a money because it is not a good way to be a basis for the price of the items or services that you have because the rate changes so fast and that is the reason why it is not a good way to be used as a basis and a money.

[Twentyonepaylots]

Cryptocurrency market suffers from volatility for the only reason, the market is still too young and the market cap is really low compared to other virtual assets, so the volatility level is pretty much fair for this market cap level.
Until the price of bitcoin will stabilize around a price range, it's going to be volatility as it is being used by only a short amount of people.

Market is VOLATILE, we should accept this reality, if the government financial institution would take this on how they will regulate crypto transaction, i think, this would affect the status of Bitcoin in the business and financial market, the nature of investment on Bitcoin mainly on buying and selling in the trading market, yet, if the investors with the help of the government and financial institution would come up to a more favorable regulation or liberal transaction regulation, somehow it would be more favorable in the crypto investors. it is only the issue of acceptance for Bitcoin as main currency in the digital trading.

[taiwww]

I'm just reading an article in the newspaper. Klaus W. Wellershoff (a last chief in UBS Bank) says that's impossible to use a currency with volatility as money. If the value of the money decrease, that means the value of the merchandise decrease. For example : if you buy a flat with bitcoin and few years later the bitcoin value decrease... Your flat lose his value as well.

What do you think about this argument?

Yeah we dont even need the opinion from someone to think about this as it is logical that volatility is worst enemy of the real currency. If fiat would have been like this then I am pretty sure that economy of the whole world could have collapsed in matte of seconds. I mean fluctuations can cause the prices of stuff around us go crazy, we would have never put a price tag on the candy bar as we would not know whats the value of same currency next day with which we gonna buy it. Dont you think that this is the case. Thats why its bad idea to have crypto currencies on board in the real world replacing the fiat.

[biuifyus]

Since crypto-currencies entered mainstream investment markets, what has cemented their popularity is volatility in their prices.

But the nature of encrypted volatility is not suitable for use as money, and more people see it as a way to invest.

[developer4z]

I'm just reading an article in the newspaper. Klaus W. Wellershoff (a last chief in UBS Bank) says that's impossible to use a currency with volatility as money. If the value of the money decrease, that means the value of the merchandise decrease. For example : if you buy a flat with bitcoin and few years later the bitcoin value decrease... Your flat lose his value as well.

What do you think about this argument?

I agree with Klaus. The market is too volatile. I can see usdT do better job at being crypto than bitcoin for day to day transactions. Most cryptocoins are risky assets rather than currency.

[5ensei]

I'm just reading an article in the newspaper. Klaus W. Wellershoff (a last chief in UBS Bank) says that's impossible to use a currency with volatility as money. If the value of the money decrease, that means the value of the merchandise decrease. For example : if you buy a flat with bitcoin and few years later the bitcoin value decrease... Your flat lose his value as well.

What do you think about this argument?

He is correct, and this is why there should be no rush to get bitcoin back up to $20,000. At the moment there is a steady rise with a few blips inbetween. This will help to make it a mainstream currency in all countries and on all platforms.

[mybtcasset]

the positive factor for cryptocurrency is merchants are used with volatility and accepting cryptocurrency and untapped remittance market is widely using cryptocurrency

[BartS]

Perhaps if the cryptocurrency is used ubiquitously and Bitcoin will have and use everything, then it will cease to be tied to the dollar and no one will evaluate its price in dollars. After all, it does not matter how the price of Bitcoin has changed in an hour, if a cup of coffee now costs 1000 satoshi and in an hour the same cup of coffee costs the same 1000 satoshi.

We still need something more than adoption for that to happen bitcoin will have to destroy fiat currencies for something like what you are describing to happen, after all you want bitcoin to be the point of reference when it comes to pricing things but we know that is not what it is happening now when the point of reference is the US dollar, after all everything is priced in dollars and until that changes bitcoin will continue to being valued in dollars as well.

[MISERICORDAE PROJECT]

In an ongoing poll, https://bitcointalk.org/index.php?topic=4394710.msg39139333#msg39139333, some people advocate for price-volatility because it is the driving interest for traders in a cryptocurrency. This is true, but what should be the level of volatility that will ensure a balance with price-stability so that ordinary users could use a currency for routine/regular transactions without fear of losing so much value in one swing/fluctuation??

[AbyssLagiaz]

In order for this rule to be denied, it should be a general currency because it doesn't have anymore value in other currency as it is the only entity used. However it doesn't have that much of a higher possibility for now to be a sole currency because of the lack of technological adaptation at some countries, they still don't have that good of a knowledge to get to know the value of cryptocurrency and it usage in the blockchain technology.

[LeGaulois]

@OP

Gold is volatile, Silver and co are too. The USD/EUR pair is volatile but it's used daily. Ok you can say it's not the same volatility volume but still.
And what about if people stop to use the dollar or a bank run movement?

[fiomcorka]

Actually I just thought of it and  think this is quite reasonable. Since there is no country which uses cryptocurrency as their main currency this means that if cryptocurrency will be used as mode of payment and such. There will be great difference to the amount. I think businesses will either gain or loss.

Do some comparative analysis and see your country’s currency is also volatile in terms of USD is not it? Besides, I do not think the value of the asset you buy with Bitcoin decrease if the value of Bitcoin decreases. Think you buy a house with 50000 AED and after a year the value of AED falls, the value of the house will not and just the depreciation in the values will make the currently product of Dubai cheaper for the Americans and not the old produced products.

[@alaji]

Well, is not only Bitcoin or crypto currency that is volatile but faith currency are all volatile as they all react to the fources of demand and supply and equally other fundamental issues around the world.