Bitcoin Purpose

[meta1930]

According to Bitcoin's purpose on the doc written by Satoshi, it stated the purpose of Bitcoin as a P2P medium of exchange. But I see some companies using it for the purchase of Goods and Services which makes some governments interested in its regulations because the economy is involved.

Is this purpose going to take a turnaround?
Because I see Bitcoin being accepted by some governments and regulated.

[NeuroticFish]

According to Bitcoin's purpose on the doc written by Satoshi, it stated the purpose of Bitcoin as a P2P medium of exchange. But I see some companies using it for the purchase of Goods and Services which makes some governments interested in its regulations because the economy is involved.

Is this purpose going to take a turnaround?
Because I see Bitcoin being accepted by some governments and regulated.

The problems is a little bit more complicated. Imho the goal would be to get Bitcoin useful for paying (everywhere) for goods and services.

The problem is not that companies would use it for that. The problem is that the merchants pay for the goods, for the employees and also the taxes in fiat.
Also - sooner or later - a lot of people or companies want to buy and sell bitcoin (miners have to pay for electricity and others, traders want to buy and sell, companies and individuals want to invest and hold, maybe sell some now and then....).

And unfortunately the contact with "fiat world" goes through regulations. Without regulation Bitcoin use could remain somewhat limited (i.e. as a P2P coin, especially between individuals, who don't care much about KYC).
This is how I see it. Not as a turnaround, more like "comply so you can grow further".

[Upgrade00]

According to Bitcoin's purpose on the doc written by Satoshi, it stated the purpose of Bitcoin as a P2P medium of exchange.

This in my opinion described what bitcoin is in essence; it is P2P system which does not need a third party, the purpose of this transaction is not defined. There definitely has to a reason behind a transaction.

But I see some companies using it for the purchase of Goods and Services which makes some governments interested in its regulations because the economy is involved.

Bitcoin is a free system and essentially everyone is allowed to use it he way they want, this sometimes means that some users actually allow a third party to mediate transaction.
However, companies using bitcoin to purchase goods and services is still in line with how bitcoin was designed. Peer-to-Peer could involve Individual-to-Individual, Business-to-Business, Business-to-Individual, et al.Governments attempting to regulate bitcoin is a secondary effect of its adoption and usage, and not necessarily caused by businesses.

[jackg]

Regulations will come to bitcoin if it sees mass adoption but they probably can't be added on chain and would have to be done in a centralised manner (so might be ignorable).

If bitcoin doesn't take over from fiat then we'll likely see conversions happening quite a bit of selling pressure may be added to the crypto market. Conversions themselves are inherintlu how the current currency systems work, many international businesses require the ability to convert money and a lot of governments and banks make it easy and cheap (or free) to do.

[amishmanish]

But I see some companies using it for the purchase of Goods and Services which makes some governments interested in its regulations because the economy is involved.

Is this purpose going to take a turnaround?
Because I see Bitcoin being accepted by some governments and regulated.

The purpose of Bitcoin as a trustless medium of exchange (thus P2P without needing a trusted third party) can never be changed.

Bitcoin is a lot of things to a lot of people. The people and institutions that are seeing it as an asset class they can actively trade, speculate on and benefit from are the ones who are lobbying for regulations. To be more accurate, lobbying for clarification of the regulatory stance.

That does not change the basic purpose. More so when there isn't really any accepted definition on the basic purpose. It is open source software which is evolving over time and finding its own use cases.

[Flexystar]

It is not the purpose which is taking round but it’s the utilisation of blockchain in other sense. Satoshi did invest bitcoin which runs on the bankend algo of blockchain. However, what you referring to is utilisation of the coin that is bitcoin which is the only thing that can be accessed in reality over blockchain for various purpose such as p2p exchanges.

What other companies are doing is, making use of blockchain for their internal work while making bitcoin as forefront barrier to showcase the use of same. You know it’s like you show the world what they are interested in by looking at what world really wants.

This is what I am understanding from the OP.

[Bitcoin_Arena]

According to Bitcoin's purpose on the doc written by Satoshi, it stated the purpose of Bitcoin as a P2P medium of exchange.

...And that's still the purpose to this date.

But I see some companies using it for the purchase of Goods and Services which makes some governments interested in its regulations because the economy is involved.

Now that's entirely upon the companies and the people. They still have a choice on whether to go fully p2p or go under Government's control

Is this purpose going to take a turnaround?

Nope. Like I said, it's a choice. Bitcoin will still remain around with it's intended purpose

Because I see Bitcoin being accepted by some governments and regulated.

Bitcoin as a network cannot be regulated or controlled by government, and I don't think it will ever be.

[TravelMug]

According to Bitcoin's purpose on the doc written by Satoshi, it stated the purpose of Bitcoin as a P2P medium of exchange. But I see some companies using it for the purchase of Goods and Services which makes some governments interested in its regulations because the economy is involved.

Main purpose is for micro-payment scheme.

Is this purpose going to take a turnaround?
Because I see Bitcoin being accepted by some governments and regulated.

But as soon as bitcoin started to have a price, then obviously, we have the Mt. Gox exchange, pushing it to become a commodity to be traded. And moving 10 years later, it has evolved so much, being compared to gold, companies putting their assets into bitcoin as hedge and have it in their balance sheet. And countries like El Salvador accepting it as legal tender.

[Jawhead999]

Yep, the purpose of Bitcoin is become a medium of exchanges without third party involved (e.g. government) but since government is being accepted and regulated Bitcoin, this defeat the Bitcoin purpose. Take a look with centralized exchanges and centralized wallet (El Salvador) they can have control over your coins. They also can track your address what do you doing with your coins.

To make Bitcoin doesn't have third party involved is shutting down all centralized exchanges and wallet, use DEX instead.

[hd49728]

According to Bitcoin's purpose on the doc written by Satoshi, it stated the purpose of Bitcoin as a P2P medium of exchange. But I see some companies using it for the purchase of Goods and Services which makes some governments interested in its regulations because the economy is involved.

Those companies usually provide centralized platforms and services. What they provide to you and other customers are not decentralized, peer-to-peer platform for trading. Because they are centralized, they are not matched with the core idea of Bitcoin protocol for peer-to-peer trade.

Some platforms claim to be peer-to-peer platforms but they are not actually decentralized and on their platforms, you are only given custodial wallets. It means that without access to non-custodial wallets, you don't own private key and don't have your own banks.

Such platforms are similar to central banks and they can seize your money, restrict your account whenever they want.

[bitzizzix]

Bitcoin as a currency based on trust that no one can control especially banks and governments, and distrust with centralized system finance methods, where the center can control everything and the lack of transparency of transactions in a central system allows data manipulation to occur, because bitcoin is very transparent and will not there is data manipulation because anyone can see transactions through bitcoin explorer.
and a decentralized system makes the cost of sending money very cheap and very fast regardless of distance and time, in contrast to a centralized system the cost of sending money is very expensive and speed depends on the distance to the recipient and the process is relatively long even hours.
bitcoin makes everything more secure, convenient and perfect because everything is completely controlled by the user.

[dezoel]

You see companies that are accepting Bitcoin as a payment for goods and services, then what’s the difference between that and using as P2P?

I know that you fear that the government will come in to regulate Bitcoin, but what the companies are doing is no different from the purpose that Bitcoin was created, the only thing is that since they are big institutions and companies, they will tend to draw more attention from the government than when ordinary people are using Bitcoin for transactions.

Even these days most people are seeing Bitcoin as investment and not even a P2P method of transaction.

[YOSHIE]

Is this purpose going to take a turnaround?
Because I see Bitcoin being accepted by some governments and regulated.

Have you ever seen multifunctional furniture, a sofa can be a bed and a bookshelf, if you understand about that, surely you also understand about Bitcoin.

Even though what you see and what Satoshi (P2P) says with a peer to peer system, it doesn't mean that Bitcoin can't be used in other ways or things, Bitcoin is a digital currency that is multifunctional apart from what you know, that's the advantage of Botcoin.

If you already understand how Bitcoin works and use it legally, you no longer think Bitcoin is only used through P2P, Bitcoin can be used to fund, borrow, buy goods, transactions in any form with instructions in the form of currency in their respective countries, great not Bitcoin.

[pooya87]

Main purpose is for micro-payment scheme.

Wrong. The main purpose is to be a payment system, the size of the payments (micro or massive) is not a defining factor. We also have always had both, from millions of dollars being transferred in a single transaction to a fraction of a dollar.

And moving 10 years later, it has evolved so much, being compared to gold,

Just want to point out that the day the word "mining" was used, people started comparing bitcoin with gold. And that term is used from day one in bitcoin paper.

[hatshepsut93]

The point of  Bitcoin is that no one decides how it can be used. Perhaps what we have now, the ongoing institutional adoption, is not what Satoshi has envisioned, but Satoshi created something that even they can't control anymore. The fundamentals of Bitcoin haven't changed, it's still decentralized, censorship resistant, peer to peer, accessible to everyone. The fact that insitutions are adopting it faster than general population just means that they were the first to spot its benefits.

[Emitdama]

The problems is a little bit more complicated. Imho the goal would be to get Bitcoin useful for paying (everywhere) for goods and services.

The problem is not that companies would use it for that. The problem is that the merchants pay for the goods, for the employees and also the taxes in fiat.
Also - sooner or later - a lot of people or companies want to buy and sell bitcoin (miners have to pay for electricity and others, traders want to buy and sell, companies and individuals want to invest and hold, maybe sell some now and then....).

And unfortunately the contact with "fiat world" goes through regulations. Without regulation Bitcoin use could remain somewhat limited (i.e. as a P2P coin, especially between individuals, who don't care much about KYC).
This is how I see it. Not as a turnaround, more like "comply so you can grow further".

But this was what people wanted right? Because I know very well that a lot of people were always wishing that big companies and institutions everywhere, and even shops would start accepting Bitcoin and allow them the option to make payments using Bitcoin.

There is no way that these big companies will accept Bitcoin without the government coming in to start their regulation, it was bound to happen. Unless we are just going to continue only with P2P payments and nothing else, but as long as we are going to have big companies , there is no way that you wouldn’t have regulations involved.

If you want to avoid that, then you will have to just stay clear from all that continue with peer to peer transactions. That’s the only way you wouldn’t have any thing to do with regulation.

[NeuroticFish]

But this was what people wanted right?

What people want is not clear. People often don't know and contradict themselves and each other.

Regulation is often seen as bad/evil. And yes, I understand that the requirements for KYC are basically stupid and while it partly covers governments' incompetence, it opens Pandora's box in terms of abuses from all directions.

On the other hand without regulations Bitcoin can't grow. Without regulations some actors can pump and dump, can fake volumes, can use bots to rise the price artificially and such. Without regulations companies may not buy into bitcoin (and lower demand means lower price, and lower price makes some cry). Without regulation the average Joe may not trust Bitcoin to buy. Without proper regulations the banks may not allow you buy or sell Bitcoin (and freeze your fiat if they catch you doing it). And without regulations most merchants can't/won't accept Bitcoin. Without regulations scams can rise easier.

All in all.. yeah, regulation is evil and the tool of evil. It is against the liberties. But without regulations it's also very bad.
So.. what did people want? Both and neither . In the same time

[seoincorporation]

The bitcoin proposal was clear from the start... We only have to read the message on the genesis block to understand what's the purpose:

The Times 03/Jan/2009 Chancellor on brink of second bailout for banks

A decentralized financial system where each user can send money around the world for the same fees.

[fiulpro]

Everything that gets big is going to be regulated by the government since at the end of the day government is an integral component but this might be the first time in centuries that they have been challenged by something like bitcoins, crumbling their power. I do think that the purpose of Bitcoins is:
Providing individual support to the people involved, giving them the authority of their own assets
Proving a medium of exchange that can only be controlled by the owners
Providing asset+ a method of exchange+ currency all at the same time depending upon the user as well
Giving people power, freedom, individuality that cannot be controlled by the rich and the powerful.
We don't know what the purpose of Bitcoins was, what it intended to do but we do know that it's doing a far greater good than that. Therefore you can bend it down to your needs as well, it might be an asset for some and a source of earning for the others. Quite variable.

[dunfida]

According to Bitcoin's purpose on the doc written by Satoshi, it stated the purpose of Bitcoin as a P2P medium of exchange. But I see some companies using it for the purchase of Goods and Services which makes some governments interested in its regulations because the economy is involved.

Is this purpose going to take a turnaround?
Because I see Bitcoin being accepted by some governments and regulated.

Bitcoin is just a tool and someone could make use it no matter what ways or form it would be but speaking on having in control on centralized aspects or technically speaking then it cant be possible.

Government could only make out only involvements but only into those centralized businesses or platforms which they could only touch off but not in directly with Bitcoin.

Speaking of purpose then it do still able to do so on what it is meant to be or its true purpose it is just there are some applications on where it did really go out into its
boundary.