Why Bitcoin isn't a legit currency.

[dutchkay]

The first purchase using bitcoins was in 2009 when someone bought 2 pizzas for 10,000 bitcoins. Today, that would be worth $83,746,850. Many people have started to use Bitcoin and it is now the most popular cryptocurrency in the world. Many countries whose currencies have become hyperinflated have thought about switching their national currency to Bitcoin. For something to be classified as money, it needs to be a good unit of account, medium of exchange, and store of value. Since Bitcoin has become extremely popular, I wanted to explain to investors and Bitcoin users that Bitcoin isn't a legit currency. The main three reasons why Bitcoin isn't a legit currency is because it is a poor unit of account, medium of exchange, and store of value.
   One of the big three parts of a currency is that it is a good unit of account. For something to be a unit of account, people have to be able to compare its price to the prices of alternative retail goods. Since the value of a bitcoin changes so much, it would be hard and confusing for both the consumer and the seller to recalculate the prices every day. “Because the value of a bitcoin compared to other currencies changes greatly on a day-to-day basis, retailers that accept the currency have to recalculate prices very frequently, a practice that would be costly to the merchant and confusing to the consumer.” This quote from David Yermack’s article Is Bitcoin a Real Currency? An Economic Appraisal Bitcoin shows why Bitcoin isn't a good unit of account. That is one reason why Bitcoin can't be a form of currency and why Bitcoin isn't a legit currency.
   The second part of something that is classified as a currency is that it is a medium of exchange. A medium of exchange is an intermediary instrument used to facilitate the sale, purchase or trade of goods. Since bitcoin doesn't have any intrinsic value, so its worth is held up by its usefulness as a currency in the consumer economy. The Youtube video “Why Do Banks Fear Bitcoin” by VisionVictory explains that there is a set amount of Bitcoins and by the year 2140, there will be a total of 21 million bitcoins. Miners have already mined 11.9 million of them, and this means that there is only 9.1 million left. Once all of it is mined, there won’t be any more left to be mined. Dollar bills can be printed by the U.S. government if they were needed. Some more reasons why Bitcoins isn't a good medium of exchange are that Bitcoins transactions each take around 10 minutes each, which is very slow compared to using a credit or debit card, which takes a few seconds. Also, Bitcoin transactions can cost around $20, which is extremely expensive. Because of all of these reasons, Bitcoin can't be a good medium of exchange, which is very important if it were to be a legit currency.
   The third and final part of a currency is that it has to be a good store of value. A store of value means that the function of an asset that can be saved, retrieved and exchanged at a later time. In the long podcast on Youtube by Paul Vigna & Michael Casey: ‘The Age of Cryptocurrency’, they explain what a decentralized currency is. Bitcoin is an atrocious store of value and one of the reasons why is because of its constant hacking attacks and other security problems. This is mostly because Bitcoin is decentralized, which means that there is no central authority that can stop any Bitcoin transaction or any hacking attempts. One of the reasons why Bitcoin is so popular is because people can stay anonymous and make transactions without people knowing who they are. The downside of using a decentralized currency is that people can do illegal things anonymously and get away with it. And also, Bitcoin’s exchange rate has no correlation at all with any other big currencies like the Dollar, Euro, and Yen. This makes Bitcoin extremely risky to use because it is tethered to any other currencies so its’ value would change constantly. This shows how terrible of a store of value Bitcoin is and why it cannot be a legit currency.
   Tons of people are jumping on the “Bitcoin Bandwagon” without doing their own research on it, and they’re going to lose a lot of time and money because of this. They need to realize that Bitcoin is not a legit currency because it fails to be a unit of account, medium of exchange, and a store of value.

Wow you really took your time on that your research but some things are left out. You did it purposely if you ask me, you covered the area you wanted and neglected what you don't need. That's pretty normal to make your argument a lot meaningful. Bitcoin whether legit or not legit no one cares besides i don't remember when they were fighting for bitcoin to become a legit currency. You just formed that argument on your own. Bitcoin was developed to give power back to the public. Remember this does not necessary means that it will be fighting fiat system rather the two can exist alongside each other. Having something not dependent or controlled by any entity especially the government is it's aim. Your right, decentralization have it's own downside which some illegal activities are being done with it, but remember that with fiat those have been existing. Besides bitcoin and blockchain are in it's early stages and more improvement are to be made with time.
Now you said something about bitcoin being just 21 million and not enough, do you really know how bitcoin is calculated and fiat too have limited supply. The government don't just print out money to add to the already existing ones.
I think you left out some areas in your research. Go and read more about financial system.

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[kangkilokang]

Bitcoin has not become a legal currency because not all countries, world bodies have accepted or recognized it.
Moreover, it is not centralized and governed by them. Unknown transactions as well as developers. In addition, bitcoins are not created and implemented by the government so they can not be passed. They may not have enough knowledge about bitcoin, either way, word from the community that bitcoin is a scam

[Sonai Moni]

Bitcoin isn't a legit currency because  the common currency is being regulated by any institutions or government.  Not all countries, world bodies have accepted or recognise it, Bitcoins are not a legitimate currency because bitcoins are not protected by the government. It is not under the control of any organization. Bitcoin is not subject to tax. So bitcoin is not legal currency.

[Dudeperfect]

When it comes to the government's point of view, the government says it is not managed by any centre and hence there is no control on it. However, it is the open secret that government is willing to control the whole thing and since the basic philosophy of Bitcoin and blockchain is decentralization, it is an obstacle for the government to regulate and control the Crypto industry. Bitcoin is definitely legit currency, but we still have a long way to go in terms of development. Everything is still in the basic phase of development at this stage.

[abiola4real]

Its because government have not fully supported the use of Crypto currency in their country, when they approved it, it will be legit because its only government that can legalized a currency..

[Naughty Princess]

It is not about what is the regulation or the way that it is seen by the government, it all depends on the way that people use it, and the way that they interact with it.

Sometimes it is because of people why it is not acceptable by the government, using it in illegal activities is against their regulations. Bitcoin is uncontrollable that is why government takes other way to do so. Though we are using it as legitimate payment online because it is acceptable by other shops where currency is easy to transfer everywhere.

[fastestrider]

Who said Bitcoin isn't a legit currency , it's just because of the view of that goverment or bank on it. If they're seeing it as a good currency and applying them into daily then it's good, or not it's totally a bad stuff.

[alejandrosn1998]

Its not a currency due to its volatility its that easy and simple. A normal person outside crypto, for example the elderly can't support -5% +5% swings a day, not saying that its normal, but us young persons who are used to crypto have an understanding of this. Its almost asking for a heart attack, nonetheless if they have that age.

[oegarod]

From my view bitcoin is a legal currency, because it evolved to support the banking system that operates under the governments. Later with its high potential, it reached a value that gained the attention of people and governments around the world. It is not used for anything bad than few exceptions which makes its legitimate.

[BitGunner]

It was interesting to read your post. I think that there are several reasons for btc not being legit. however, this doesn't mean that the situation will be the same forever. In the nearest future, we will see the change

[fastestrider]

From my view bitcoin is a legal currency, because it evolved to support the banking system that operates under the governments. Later with its high potential, it reached a value that gained the attention of people and governments around the world. It is not used for anything bad than few exceptions which makes its legitimate.

It's totally legal with all Bitcoin and cryptocurrency users for sure. The only people who don't think it's legal are people who are supported by the banks and the goverments which were trying to make the crypto market disappear.

[Gummybear67]

It was interesting to read your post. I think that there are several reasons for btc not being legit. however, this doesn't mean that the situation will be the same forever. In the nearest future, we will see the change

The reason is we have the country's so called "regulations".  Governments see it just a digital currency, and governments/politics always depend on the National money. They gained more to it than bitcoin. But we all still hope that someday bitcoin wil be a legit currency.

[TERA]

To become a legitimate currency, our officials need to properly study them and find out what's what, to begin with, the crypto currency will be just an asset, like most shares, and when its volatility comes back to normal and a full legislative basis is written, then only the currencies might become  valuable currencies

[LodisMcguire]

Because there still no global regulation against bitcoin,of course it still can't be considered currency.But,there are already merchant that accept bitcoin as kind of payment,so it based on the trust of community.I think if there's a global regulation,bitcoin will be recognized by everyone.

[suindendoshi]

There is no law that regulates the operation of bitcoin. Bitcoin is anonymous and does not meet the requirements of the banking system, there is no fee for transfers, which could profit from the state or the Bank. A lot of nuances which have been discussed many times

[F.I.L.F]

Bitcoin is not yet a legal currency because not all countries, world bodies have accepted or recognized it.
People will not accept it legally until you get legal recognition. It's a digital currency. The government basically does not recognize its holders because of their complex identity

[Rakesh_alejandro]

because bitcoin has not yet become taxable and the state with it is not considered and until it is perceived seriously, but it will not last long

I think there's a huge and very expensive process of tracing it, making the whole set of laws.
Bitcoin has not become a legal currency because not all countries, world bodies have accepted or recognized it. You write so much and how you fail to understand that this coin can not be controlled by anyone, nobody can manipulate it and most of all governments can not know who owns it or make you pay taxes.

[Huntler1993]

The simple truth is that most governments will like to manipulate  or control their own currency which is actually not so with bitcoin due the technology backing it. This actually why its not legit in more countries.

[danyakotletkin2018]

When countries understand all the advantages of bitcoin, they will change their decision and accept it.

[freetokens]

bitcoin is nt legit currency it is the decentralised currency with no governments involved in the market bitcoin is peer to peer with no central authority involved