[2020-08-20] Restaurant Converts Entire Cash Reserve to BTC following Cov19

[Karartma1]

Canada based Middle Eastern Restaurant Converts Entire Cash Reserves to Bitcoin (BTC) following COVID-19 Outbreak and Resulting Challenges

Ontario, Canada’s Tahinis Restaurants, which claims to be the world’s best Middle Eastern restaurant, revealed that it has converted its entire cash reserves into Bitcoin (BTC), the flagship cryptocurrency.

Read it here https://www.crowdfundinsider.com/2020/08/165512-canada-based-middle-eastern-restaurant-converts-entire-cash-reserves-to-bitcoin-btc-following-covid-19-outbreak-and-resulting-challenges/

[Slow death]

I went to the site to read the article and my eyes couldn't stop looking at it:



it looks like drawing Putin

I found it a very brave attitude but it was a better choice because physical money became a big problem

[Harlot]

It's all because of the restaurant's owner being involved in investment and seeing crypto assets as an opportunity for their cash reserves. Their owner being an investor have seen all the markets fall in the start of the spread of pandemic now that they are recovering it's actually smart for him to stay away from traditional markets and move to otger markets like the crypto market where it had showed that it can quickly recover into a a crash cause by yhe pandemic and panic. But I'm not surprised that abusiness owner who has extra cash will do this kind of move.

[bbc.reporter]

The restaurant's entire cash reserves? I reckon the most ardent of maximalists will not go to that extreme hehehe. How will he pay the restaurant's suppliers, the monthly bills and also, what would he do if a bad wallet sent a transaction to his address and the government labeled it as also bad?

[gentlemand]

I think this is one trend that could do with dying off before it starts. It all depends on when you do it of course, anyone doing it now is likely to not regret it but they're extreme outliers, but like everything this will peak at a similar time to the price and we all know what happens after a peak.

I really hope anyone considering this has read up on their price history and stress tested accordingly.

[Harlot]

I think this is one trend that could do with dying off before it starts. It all depends on when you do it of course, anyone doing it now is likely to not regret it but they're extreme outliers, but like everything this will peak at a similar time to the price and we all know what happens after a peak.

I really hope anyone considering this has read up on their price history and stress tested accordingly.

Yeah this is the sad one, I'm surprised that there are a lot of businessmen considering buying Bitcoin at this point where it has rallied up already. I think last week a big tech giant named MicroStrategy has invest majority of their cash reserves in Bitcoin which I think is a very risky move. If we say what happened last 2017 where Bitcoin gone up to 19k is happening now again 11k might look attractive for new comers but it's really not a good price you want to be in considering you have entered the market without any margin of safety.

[gentlemand]

If we say what happened last 2017 where Bitcoin gone up to 19k is happening now again 11k might look attractive for new comers but it's really not a good price you want to be in considering you have entered the market without any margin of safety.

Though there've certainly been better times in recent history, around about now will likely turn out to be a considerably better time than in a year or a bit more if things heat up. That's when we're going to see the highest number of companies doing it and it might become some sort of miniature bubble all of its own with stocks rising every time a company declares they have a position. Then it all goes tits up and takes them with it a very short time afterwards.

[Harlot]

~snip

Though there've certainly been better times in recent history, around about now will likely turn out to be a considerably better time than in a year or a bit more if things heat up. That's when we're going to see the highest number of companies doing it and it might become some sort of miniature bubble all of its own with stocks rising every time a company declares they have a position. Then it all goes tits up and takes them with it a very short time afterwards.

But we don't know how these companies will react to these kinds of price movement. Let say on one of these days BTC suddenly drop at 10%, there is a chance for these companies who have their cash reserves invested in Bitcoin will suddenly bail out of their position they will obviously be contributing to the price drop more. We are talking about companies who wants profits and I know that they aren't really sitting on their positions for too long in order for them to make a profit. Either way companies who are investing big in crypto will always be a double-edged sword as their capital can definitely affect the price movement of Bitcoin.

[gentlemand]

But we don't know how these companies will react to these kinds of price movement.

I expect them to be whiny, frightened bitches just like every other newcomer. They'll either run at the first sign of a crash, or they'll sit there and do nothing and eventually go mad and sell at the bottom.

It should be no more than play money for anyone new to this, but they'll likely go overboard and pay the price eventually.

[dansus021]

This is good news right a restaurant start to choose crypto as payment but with 1 MB block high fees will be a problem

Only thing that converting everything is the big concern at times because if at this point if market just say happens to fall then they end up in a loss. If its otherwise then it is fine and also I would have expected say 50% for now and rest in coming time can increase and make it bitcoin friendly or say 100% btc accepted and accordingly payment would also be done in btc to respective vendors.

There's some company like bitpay to convert instantly amount of bitcoin to fiat money

There's also stable coin like USDT to be reconsidering and yes right now the Gas Price of eth high too but as far as i know usdt have different chain from tron and omni right. correct me if i wrong.

[gentlemand]

This is good news right a restaurant start to choose crypto as payment but with 1 MB block high fees will be a problem

It's not payment. There are tons of places doing that or have done that in the past. It's their cash reserves they're putting into BTC.

And what possible reason would anyone have to use USDT outside of crypto trading? It has all of the dollar's problems and plenty of its own too.

[cr1776]

1. How much?  Was it $1000 or $100 or $100,000?  Kind of relevant whether it was something they could earn in a day or a week or a year.
2. "Bitcoin as it offers a much better alternative to saving cash. " - over the long term yes, most likely, but how long until they need it?
3. Who needs a stable coin unless one is trading?  It is like those centralized cryptos that central banks (and others) are creating.  What the !@#$ is the point?  Who needs centralized crypto, just use a database.

[oleg681010]

This is the best solution. They compensated some of the costs in this way.

[bbc.reporter]

Bitcoin has pumped! The restaurant owner must be feeling he is like an investment expert now hehehe. He might be searching on coinmarketcap.com and beginning to speculate why not put some investment in Defi or ICO hehehehe.

[Harlot]

Bitcoin has pumped! The restaurant owner must be feeling he is like an investment expert now hehehe. He might be searching on coinmarketcap.com and beginning to speculate why not put some investment in Defi or ICO hehehehe.

Bitcoin already pumped before the restaurant owner has bought his position of Bitcoin he said that the resto had undergone a momentary crisis and then their cash reserved has swelled that's why he is looking for investment opportunities even after Bitcoin has pumped. This is the problem I am seeing that he transferred his cash reserve to Bitcoin even if the train already started, now the resto owner is holding his position without any margin of safety and at the same time there is uncertainty of Bitcoin going up. He is actually risking more now and I think he is in a bad position to think of other investment opportunities in the market.

[oprahwindfury]

The world’s best Middle Eastern restaurant, revealed that it has converted its entire cash reserves into Bitcoin and This was a very wise decision took by them.Overall only 2.5 Million of btc will be mined and then the supply will be short.So reserving cash on BTC or holding will be profitable which is actually very good for the hodlers but at the same time it will be effective to the new investors.

[Oilacris]

Bitcoin has pumped! The restaurant owner must be feeling he is like an investment expert now hehehe. He might be searching on coinmarketcap.com and beginning to speculate why not put some investment in Defi or ICO hehehehe.

Bitcoin already pumped before the restaurant owner has bought his position of Bitcoin he said that the resto had undergone a momentary crisis and then their cash reserved has swelled that's why he is looking for investment opportunities even after Bitcoin has pumped. This is the problem I am seeing that he transferred his cash reserve to Bitcoin even if the train already started, now the resto owner is holding his position without any margin of safety and at the same time there is uncertainty of Bitcoin going up. He is actually risking more now and I think he is in a bad position to think of other investment opportunities in the market.

He might already be aware on the possible scenarios that he faced up but he might be looking up too much on the brighter side yet we know that it can really possible give out good profits or returns by just simply holding it.

He is aware on the risk because no business owner would be that dumb on putting their cash reserve into a volatile asset which it isnt even regulation or being accepted/adopted worldwide but still he do have the hopes
that he had done the right thing.

But if he's not aware on the risk then their cash reserve is indeed on the risk of loosing even more money.If they are just jumping in on bitcoin for the sake of safety and recovery then they are really doing
the wrong thing yet Bitcoin doesnt really act as some last resort for financial problems.

[Harlot]

Bitcoin already pumped before the restaurant owner has bought his position of Bitcoin he said that the resto had undergone a momentary crisis and then their cash reserved has swelled that's why he is looking for investment opportunities even after Bitcoin has pumped. This is the problem I am seeing that he transferred his cash reserve to Bitcoin even if the train already started, now the resto owner is holding his position without any margin of safety and at the same time there is uncertainty of Bitcoin going up. He is actually risking more now and I think he is in a bad position to think of other investment opportunities in the market.

He might already be aware on the possible scenarios that he faced up but he might be looking up too much on the brighter side yet we know that it can really possible give out good profits or returns by just simply holding it.

He is aware on the risk because no business owner would be that dumb on putting their cash reserve into a volatile asset which it isnt even regulation or being accepted/adopted worldwide but still he do have the hopes
that he had done the right thing.

But if he's not aware on the risk then their cash reserve is indeed on the risk of loosing even more money.If they are just jumping in on bitcoin for the sake of safety and recovery then they are really doing
the wrong thing yet Bitcoin doesnt really act as some last resort for financial problems.

If there are multi-billion dollar companies declaring bankruptcy yearly I doubt that being a business owner will make you a smart people all of a sudden, business owners even if they are reach makes wrong decisions. However that is not my point here since the business owner recently just recovered from the pandemic I am just saying that he risked his extra cash to a volatile asset that has already pump and is currently consolidating waiting to go down. For a business to take such risk all of a sudden I think that this is a bad move for the business owner since if he cut his losses than they might go on another series of layoffs and downsizing for the company.

[gentlemand]

For a business to take such risk all of a sudden I think that this is a bad move for the business owner since if he cut his losses than they might go on another series of layoffs and downsizing for the company.

If there is a major downturn I guess we'll see how deeply reserved that money actually is as most are saying they're in it for the long haul. Yes, dear. I expect most will shit the bed and dump having lost plenty. And then a few days or weeks later it'll be higher than before.

This is an odd trend.