Bitcoin As a Payment Method Against Other Payment Network

[apur688]

Tesla announced Monday it has bought $1.5 billion worth of bitcoin. Tesla also said it will start accepting payments in bitcoin in exchange for its products "subject to applicable laws and initially on a limited basis." That would make Tesla the first major automaker to do so. The $1.5 billion worth of bitcoin will give Tesla liquidity in the cryptocurrency once it starts accepting it for payments. Tesla's move into bitcoin represents an investment of a significant percentage of its cash in the investment. The company had more than $19 billion in cash and cash equivalents on hand at the end of 2020, according to its most recent filing.
Source :  https://www.cnbc.com/2021/02/08/tesla-buys-1point5-billion-in-bitcoin.html

From that statement we can know that Bitcoin can be used as a payment method in all business. It can compared with another payment network like Paypal, Visa (Mastercard), etc. Musk showed us cryptocurrency is really The Future of Business.

Seeing the performance against the other, there is a Thesis abous business Administration from Jonkoping University. it compared all payment network with Bitcoin especially as payment in retail Industries.




In europe from Statista, Bitcoin used almost everyday in some business as payment method. see the picture below




Source : Bachelor Thesis in Business Administration Jonkoping University : Cryptocurrency as a Payment Method in the Retail Industr

[LeGaulois]

Tesla announced Monday
Source :

This is a 3 months old news you posted. Things have changed since  
You just woke up after a 3 month night?
As far as I know, Tesla doesn't want to accept Bitcoin for a Tesla anymore. And the company is already thinking to sell some of its BTC.

From that statement we can know that Bitcoin can be used as a payment method in all business.

Even if I consider myself pro-Bitcoin, I can say that this statement isn't true. Bitcoin is not suitable for micropayments. Hence excluding a lot of businesses. For example, I don't think anyone is willing to spend $10 with the mining fees, just to pay 1€ for some bread at the bakery.

In Europe from Statista...see the picture below

Seriously? A graph 5 years old from 2016?

This is irrelevant today and looking at my country, I'm sure it's totally inaccurate because I doubt 4% of the persons use it as a payment method. Because 90% here only use cryptos to speculate, and in 2016 there was hardly any place to pay in BTC online (and maybe zero IRL in France)

[paxmao]

LOL my friend! Tesla has long moved from that position to exactly the opposite. All over the forum are messages discussing how Musk has obviously manipulated the market and used a really stupid excuse to start "not accepting" bitcoin for a Tesla vehicle because "bitcoin is not green" and consumes too much energy.

All this is just another of Musk stupid jokes, but, as I said multiple time, you can burn your reputation on the crypto community only once. Well... unless you are McAfee in which case you can do it a few more times.

[buietaw]

When I read the article, I thought that the elon changed his mind again. And I believed it could happen.Because elon is such an unstable person. Maybe he wanted to pump again. 

[snipie]

When I read the article, I thought that the elon changed his mind again. And I believed it could happen.Because elon is such an unstable person. Maybe he wanted to pump again. 

I was like wait a minute this is an old news then thought maybe unstable Musk changed his mind again and decided to buy the same amount? Reference date was enough to disappoint.
If we switch our discussion to the title and forgot about the old Tesla news then bitcoin is more useful than all these methods since it can be a debit/credit card, an online transfer method like WU, a bank... Can't compare the incomparable..

[just_Alice]

I guess this is an outdated Bachelor thesis, in such a case
I don't know how is it possible that you're so much out of step since all the world talks about what Musk is doing, it's all over the news. Simply go through the threads here for the past month and you'll see how much things have changed.

[davis196]

From that statement we can know that Bitcoin can be used as a payment method in all business. It can compared with another payment network like Paypal, Visa (Mastercard), etc. Musk showed us cryptocurrency is really The Future of Business.

You are wrong:
1.We already know that Bitcoin can be used as a payment method,with or without the Tesla statement.
2.Tesla didn't accept BTC payments,so please don't quote old news.
Unfortunately Bitcoin cannot compete with VISA and Mastercard.Bitcoin is more like a financial asset,rather than a payment method.

[Lucius]

All this is just another of Musk stupid jokes, but, as I said multiple time, you can burn your reputation on the crypto community only once. Well... unless you are McAfee in which case you can do it a few more times.

I wouldn't call it stupid jokes, because let's remember how much those jokes have damaged the crypto market. If we assume that EM is not a person with a serious mental disorder, then this whole show is his plan to try to manipulate the crypto market in which he eventually succeeded. It would be nice if the crypto community learned something from this, but I'm afraid most people have a short-term memory and might forget what happened in a few months.

People should always remember those old sayings "Fool me once, shame on you; fool me twice, shame on me"


As for Bitcoin as a payment method compared to other methods, we all know that there are advantages and disadvantages of such payment. Microtransactions are mainly a problem due to fees that can be quite high, and I think this is perhaps the biggest problem of competition with other payment methods - and the main reason why many do not consider Bitcoin as a currency.

[Wexnident]

Man I thought this was an old post or something and was checking why was this above here. Turns out OP was outdated, like really hard, Did you just come out of your cave or something? Tesla already turned away from Bitcoin payments pretty much, and Bitcoin was designed as payment already in the first place, I don't see a reason for using Tesla adoption to even be used as an argument to support it. Bitcoin as a payment came first before Tesla accepted Bitcoin as payment.

[Ultegra134]

It's surprising to see that Bitcoin is standing over Western Union, which is solely a payment processor or a mean to send money abroad, unsure of how accurate this data is though. On the other hand, I can't see Bitcoin being used as a mean of paying for goods and services, at least for myself. It would feel like I'm using golden nuggets to pay.

I've never stumbled upon a business here that accepts Bitcoin though.

[jaysabi]

Tesla announced Monday
Source :

This is a 3 months old news you posted. Things have changed since  
You just woke up after a 3 month night?
As far as I know, Tesla doesn't want to accept Bitcoin for a Tesla anymore. And the company is already thinking to sell some of its BTC.

This is correct, Tesla already sold 10% of its bitcoin holdings and announced they would not be accepting bitcoin as a payment method.

Also, Bitcoin will never scale in its current iteration to compete with centralized exchanges. It doesn't have the capacity to compete in transactions with any of the centralized payment systems listed in the OP graph.

[Fortify]

Tesla announced Monday it has bought $1.5 billion worth of bitcoin. Tesla also said it will start accepting payments in bitcoin in exchange for its products "subject to applicable laws and initially on a limited basis." That would make Tesla the first major automaker to do so. The $1.5 billion worth of bitcoin will give Tesla liquidity in the cryptocurrency once it starts accepting it for payments. Tesla's move into bitcoin represents an investment of a significant percentage of its cash in the investment. The company had more than $19 billion in cash and cash equivalents on hand at the end of 2020, according to its most recent filing.
Source :  https://www.cnbc.com/2021/02/08/tesla-buys-1point5-billion-in-bitcoin.html

From that statement we can know that Bitcoin can be used as a payment method in all business. It can compared with another payment network like Paypal, Visa (Mastercard), etc. Musk showed us cryptocurrency is really The Future of Business.

While it's very interesting to see the infographics and how Bitcoin relates to other payment networks, this information is already heavily out of date. Presumably the calculated value of transactions is based on the Bitcoin value hovering somewhere near $50k that it shot towards after the Tesla announcement, so it may very well be further back on par with the Western Union level of trade. It would be useful to see the amount of power and percentage of fees included, because I think these two will actually show a huge negative side for Bitcoin in comparison to the others. Maybe you should ignore any reference to Tesla in future because they have since rescinded their offer to accept payments in cryptocurrency and it seems they will dump their holding at an opportune time to them.

[fiulpro]

As a payment method Bitcoins is still not recognized world wide. There are certain limitations like :
Volatility
Usage difficulty for elderly, young people and the poor
Need of internet
Waiting time / inefficient lightning network
Centralized control
Ease in payments with fiat
Increased prices when you buy with Bitcoins
Etc.
But at the same time I do think that the only time I could accept Bitcoin as a payment method would be when you are paying for something online which is international and therefore at that time Bitcoins would be a wonderful option to pay with. You can make transactions much easier and efficient.

[Ultegra134]

Tesla announced Monday
Source :

This is a 3 months old news you posted. Things have changed since  
You just woke up after a 3 month night?
As far as I know, Tesla doesn't want to accept Bitcoin for a Tesla anymore. And the company is already thinking to sell some of its BTC.

This is correct, Tesla already sold 10% of its bitcoin holdings and announced they would not be accepting bitcoin as a payment method.

Also, Bitcoin will never scale in its current iteration to compete with centralized exchanges. It doesn't have the capacity to compete in transactions with any of the centralized payment systems listed in the OP graph.

I'm not in the least bit surprised that they sold Bitcoin, I strongly believe that they sold even more than a mere 10%, before announcing that Tesla will no longer accept BTC as a payment method. I also expect that they are currently buying Bitcoin to take advantage of the lower prices. Soon enough, they'll start promoting crypto again.

[Bitstar_coin]

From that statement we can know that Bitcoin can be used as a payment method in all business. It can compared with another payment network like Paypal, Visa (Mastercard), etc. Musk showed us cryptocurrency is really The Future of Business.

You are wrong:
1.We already know that Bitcoin can be used as a payment method,with or without the Tesla statement.
2.Tesla didn't accept BTC payments,so please don't quote old news.
Unfortunately Bitcoin cannot compete with VISA and Mastercard.Bitcoin is more like a financial asset,rather than a payment method.

The media want to portray Tesla as the reason why some now use btc as payment method, they are lacking in that very vital information, many people already using btc as payment option long before Elon and Tesla ever dreamt of coming into btc, despite this fake news, it wasn't enough to keep that profit hungry Musk from dumping on us, top news of 2021.

[The Sceptical Chymist]

This is a 3 months old news you posted. Things have changed since  
You just woke up after a 3 month night?

LOL, I thought I was missing something here, but nope, guess I didn't. 

When I read the article, I thought that the elon changed his mind again. And I believed it could happen.Because elon is such an unstable person. Maybe he wanted to pump again. 

You thought he'd changed his mind?  Then you knew Tesla stopped accepting bitcoin and Musk had likely dumped his bitcoin holdings.  So the problem is that you didn't see the date on the article?  Didn't you realize what you were reading was the old news and not something new?  Reading is fundamental, my friend.

I'm not in the least bit surprised that they sold Bitcoin, I strongly believe that they sold even more than a mere 10%, before announcing that Tesla will no longer accept BTC as a payment method.

Probably, but who knows with Elon Musk.  He doesn't seem to be thinking things through as far as crypto is concerned and also seems to be acting irrationally.  I'm still wondering how many cars Tesla actually sold for bitcoin when they were accepting it as a payment method.

[Ultegra134]

~snip~

LOL, I thought I was missing something here, but nope, guess I didn't. 

~snip~

I'm not in the least bit surprised that they sold Bitcoin, I strongly believe that they sold even more than a mere 10%, before announcing that Tesla will no longer accept BTC as a payment method.

Probably, but who knows with Elon Musk.  He doesn't seem to be thinking things through as far as crypto is concerned and also seems to be acting irrationally.  I'm still wondering how many cars Tesla actually sold for bitcoin when they were accepting it as a payment method.

I actually searched that and couldn't find much information regarding any Tesla car purchases with Bitcoin. I believe that there would be a hype if a large amount of cars were sold using Bitcoin as a mean of payment. The best scenario would be a few cars sold, and the worst one, no cars sold at all.

[jaysabi]

Tesla announced Monday
Source :

This is a 3 months old news you posted. Things have changed since  
You just woke up after a 3 month night?
As far as I know, Tesla doesn't want to accept Bitcoin for a Tesla anymore. And the company is already thinking to sell some of its BTC.

This is correct, Tesla already sold 10% of its bitcoin holdings and announced they would not be accepting bitcoin as a payment method.

Also, Bitcoin will never scale in its current iteration to compete with centralized exchanges. It doesn't have the capacity to compete in transactions with any of the centralized payment systems listed in the OP graph.

I'm not in the least bit surprised that they sold Bitcoin, I strongly believe that they sold even more than a mere 10%, before announcing that Tesla will no longer accept BTC as a payment method. I also expect that they are currently buying Bitcoin to take advantage of the lower prices. Soon enough, they'll start promoting crypto again.

Doubt they sold more than they said, they wouldn't be able to get away with falsifying an SEC filing where they have to disclose things that are relevant to the business for investors. I also doubt they're buying more; they sold some of it because they need capital to grow the business.  They don't have spare dollars to be locking in to bitcoin.  It was surprising enough they did it once.  I wouldn't be surprised if they sell more in the coming quarters since they're barely profitable and they have heavy capital obligations ramping production and improving the batteries.

[ilovealtcoins]

The news is old but it reflects the fact that Bitcoin is already a means of payment in many countries, it is not as popular as other payment methods like Paypal, Visa...
The first person used Bitcoin to pay for his Pizza. This is the world's first Bitcoin acceptance case. So far many businesses accept Bitcoin payments around the world without our knowledge. It's been quiet, most recently Metromile (an American car insurance company for miles) has accepted insurance policies in Bitcoin.


https://www.forbes.com/advisor/car-insurance/metromile-bitcoin-payments/

[Ultegra134]

The news is old but it reflects the fact that Bitcoin is already a means of payment in many countries, it is not as popular as other payment methods like Paypal, Visa...
The first person used Bitcoin to pay for his Pizza. This is the world's first Bitcoin acceptance case. So far many businesses accept Bitcoin payments around the world without our knowledge. It's been quiet, most recently Metromile (an American car insurance company for miles) has accepted insurance policies in Bitcoin.


https://www.forbes.com/advisor/car-insurance/metromile-bitcoin-payments/

Still, Bitcoin payments are not that efficient in terms of fees (due to higher prices) on top of that, confirmation might take a while. However, I've only stumbled upon a single shop, a bicycle online store, which accepted BTC a few years ago. I'm not sure how renowned it is in the rest of the world thought.