Is the world ready to embrace physical bitcoin?

[Hispo]

Physical Bitcoins have more downsides than advantages in my opinion, using Bitcoin digitally offers all the advantages Bitcoin gives without having to get worried about damaging it physically.

Having said this, it does not mean physical Bitcoins are completely useless, they hace their market among collectible enthusiasts and perhaps some people may find off-chain transaction appealing for the sake of privacy. So I assume it is not the direction Bitcoin should go while becoming mainstream, beyond some niche uses.

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[TimeTeller]

I really do not see any use for a physical representation of digital currency other than as a collector's item. It also seems like the coin would be of questionable value to anyone using it. They would still have to be connected to the blockchain in some way to verify its value. Not to mention that physical representations of bitcoins are much more susceptible to theft.

Up until now, the physical bitcoin is indeed more on collectible items category rather than being used as regular currency.
Because the components are expensive itself as compared to regular coin.
And because transactions are all online. Would be hard to know the tx id if you will use actual bitcoin coin.
So don't know how a physical btc coin will participate in the crypto market if in case it will find its way to trading market.

[Ziskinberg]

Physical Bitcoin can soon exist but not for the purpose of like fiat/paper money but just as a sort of collectible. In fact, Bitcoin isn't designed to be a physical currency but indeed in a form of digital. Perhaps, we moving to digitalization were to see that Bitcoin and cryptocurrencies are fit for that situation.

Fiat money will still be the only legal physical currency adopted by the people and given support from the government, nothing else. If to find our there is, that for sure it will be seized by the authorities and considered illegal.

[Ryker1]

^[snip]
..just as a sort of collectible.

Well for physical bitcoin --this could be the real purpose, it is just a collectible with a small amount of bitcoin inside.
Possible that this physical bitcoin could be used as a payment soon, it seems like every physical coin or Casascius has a fixed amount of bitcoin, for example, 1 bitcoin, 0.5 bitcoin, or any amount that you can use to buy any product but not in online.
However, bitcoin is still good being a digital one, not a physical coin, if that happens, it is very easy to steal.

[owlcatz]

Up until now, the physical bitcoin is indeed more on collectible items category rather than being used as regular currency.
Because the components are expensive itself as compared to regular coin.
And because transactions are all online. Would be hard to know the tx id if you will use actual bitcoin coin.
So don't know how a physical btc coin will participate in the crypto market if in case it will find its way to trading market.

This is mostly true, however, when you say the txid would be hard to know, that is [mostly] wrong - for example, all Casascius coins have the first bits of the public key showing, additionally there are tracing sites that track the fulllist.txt of coins out there - This means you can look up the physical bitcoin on the blockchain using walletexplorer.com. 

There are plenty of demand for physical Bitcoin loaded items, just look here for a bit... 

https://bitcointalk.org/index.php?board=217.0

[Oceat]

^[snip]
..just as a sort of collectible.

Well for physical bitcoin --this could be the real purpose, it is just a collectible with a small amount of bitcoin inside.
Possible that this physical bitcoin could be used as a payment soon, it seems like every physical coin or Casascius has a fixed amount of bitcoin, for example, 1 bitcoin, 0.5 bitcoin, or any amount that you can use to buy any product but not in online.
However, bitcoin is still good being a digital one, not a physical coin, if that happens, it is very easy to steal.

Why would you push or support this kind of idea when Bitcoin supposed to be use in digital only because for an instance I'm thinking how would you send that kind of physical coin across the world? There's an easy way for transaction that's why Bitcoin is in digital form because of the internet and now people are thinking they could just change the idea of a digital into physical which doesn't fit to everything.

I agree that this should be use only as a collectibles because no matter what kind of idea you put into it this is not how Bitcoin supposed to be. Bitcoin is for online transactions only thus having a less interference with the government since it's decentralized.

[owlcatz]

Why would you push or support this kind of idea when Bitcoin supposed to be use in digital only because for an instance I'm thinking how would you send that kind of physical coin across the world? There's an easy way for transaction that's why Bitcoin is in digital form because of the internet and now people are thinking they could just change the idea of a digital into physical which doesn't fit to everything.

I agree that this should be use only as a collectibles because no matter what kind of idea you put into it this is not how Bitcoin supposed to be. Bitcoin is for online transactions only thus having a less interference with the government since it's decentralized.

Just... Stop. Have you ever heard of Lealana? Casascius? BitBills? Coldkeys? CrytpoArt? There are soooo many physical makers of loaded coins/items/artwork out there, some of them will be definitive historical artifacts - Check this - https://auctions.stacksbowers.com/lots/view/3-WWDXU/2011-casascius-1-bitcoin-btc-loaded-firstbits-1b2q7cyc-series-1-casacius-error-brass-285-mm-ms-67-pcgs 

Do you see how much that sold for over face? 

Sold $50,400

Lot Is Closed Live Bidding began Jun 15, 2022 @ 10:00 AM PDT

Do more browsing, there is a market for everything. Ever heard of the Austrian crypto stamp for example?

[Stalker22]

Just... Stop. Have you ever heard of Lealana? Casascius? BitBills? Coldkeys? CrytpoArt? There are soooo many physical makers of loaded coins/items/artwork out there, some of them will be definitive historical artifacts - Check this - https://auctions.stacksbowers.com/lots/view/3-WWDXU/2011-casascius-1-bitcoin-btc-loaded-firstbits-1b2q7cyc-series-1-casacius-error-brass-285-mm-ms-67-pcgs 

Do you see how much that sold for over face? 
~

That's exactly why Oceat said physical bitcoins have value as collectibles. The coin from your example is so rare that its market value is therefore significantly higher than the nominal value.

[Asiska02]

One quality that sets bitcoin apart from other currencies and contributes to its widespread acceptance is its digital form. People won't adopt the use of it because carrying around an actual coin to make purchases will be burdensome.

[popeye95]

Just... Stop. Have you ever heard of Lealana? Casascius? BitBills? Coldkeys? CrytpoArt? There are soooo many physical makers of loaded coins/items/artwork out there, some of them will be definitive historical artifacts - Check this - https://auctions.stacksbowers.com/lots/view/3-WWDXU/2011-casascius-1-bitcoin-btc-loaded-firstbits-1b2q7cyc-series-1-casacius-error-brass-285-mm-ms-67-pcgs  

Do you see how much that sold for over face?  
~

That's exactly why Oceat said physical bitcoins have value as collectibles. The coin from your example is so rare that its market value is therefore significantly higher than the nominal value.

So they would be an extent of 'NTF' but at the physical level. Usually, after it was sold and the owner peels off the sticker to reveal the pvt key, what value can it have past that? Cool art? Only one are made or rare cause in a limited number? Yup, just another collectible.

[owlcatz]

So they would be an extent of 'NTF' but at the physical level. Usually, after it is sold and the owner peels off the sticker to reveal the pvt key, what value it have? Yup, just another collectible.

Not really - You see, the Bitcoin on Casascius coins is actually quite "virgin" bitcoin. It has no large history or taint. In fact, some like to use BTC from historic coins like these to fund other items, for example OpenDimes and such...

Ofc, 1 BTC always = 1 BTC, but there is a difference to some people!

Also, peeled coins are valuable as well, and there is a large market for those in the collectible section as well..

One quality that sets bitcoin apart from other currencies and contributes to its widespread acceptance is its digital form. People won't adopt the use of it because carrying around an actual coin to make purchases will be burdensome.

Of course not, that's not why they were ever made - they were made to be cold storage wallets, but as you can see here, MANY have already been peeled, thus making the other non-peeled coins more valuable in the end.

[kryptqnick]

I think that physical Bitcoin is backward thinking. Humans have had physical money for many centuries, but the digital world and the level of interaction in it is so high that it's no longer enough to only use physical money. So Bitcoin is actually a step forward, as it's a coin that has no physical realm because it's not needed anymore. Sure, there are places and conditions in which there's no stable internet access, electricity or the level of digital literacy is too low, but these people won't be interested in physical Bitcoin probably either. I don't mind projects that suggest physical BTC as a thing of art, a collectible of something like that. But otherwise, it's a waste of resources and space.

[Vaskiy]

People are getting adopted to technology. As a result now people are much into scan and pay, tap to pay. There is no need for physical bitcoin, maybe for users who prefer to collect some coins might prefer this. Even the people who haven't got much of education have started using mobile wallets as things were developed in a much user friendly manner.

[buwaytress]

Do more browsing, there is a market for everything. Ever heard of the Austrian crypto stamp for example?

Ah man, these little things!

Back then they weren't even called NFTs as I recall.

Actually got myself some of them from the first edition, coughed up more than I wanted, had no idea it'd go for so much more later as when I wanted to complete sets found out they cost way more than I thought I'd have to pay -- not that I intend to sell what I have, just keeping them.

Can't say a x10 price tag in BTC wouldn't tempt me, though.

[|MINER|]

Snip

I don't think Bitcoin is ever possible as physically. However, it may be that a coin will have the private key of a bitcoin wallet on it and it will have to be imported and then run for which you must use the internet.  And at the end I have to come to that crypto.
And I don't think there's any need for its physical assets where people can use Bitcoin via mobile phones in a secure way without having to carry anything.

[owlcatz]

I think that physical Bitcoin is backward thinking. Humans have had physical money for many centuries, but the digital world and the level of interaction in it is so high that it's no longer enough to only use physical money. So Bitcoin is actually a step forward, as it's a coin that has no physical realm because it's not needed anymore. Sure, there are places and conditions in which there's no stable internet access, electricity or the level of digital literacy is too low, but these people won't be interested in physical Bitcoin probably either. I don't mind projects that suggest physical BTC as a thing of art, a collectible of something like that. But otherwise, it's a waste of resources and space.

It's also an easy way to introduce people to how bitcoin actually works, in fact it's often easier for people if there is a physical representation (even if it does not really matter) to understand the process of private and public keys as well. I actually find it easier to just pull out a coldkey card and show someone how it works than explain something that is difficult for a lay-person to wrap their heads around.

Everyone is different and adoption is harder in some places than others, obviously.

[Abiky]

The original and most famous physical version of Bitcoins was Casascius Coin, created by a guy in Utah named Mike Caldwell, which made of brass, with gold electroplating. This coin comes in different shapes, designs and forms.

...
A Casascius physical Bitcoin showing an eight-character code (Source: casascius.com)

This physical Bitcoins were pre-loaded or pre-funded with a certain amount of Bitcoin, such as 1, 5, 10, 100 or 1000 BTC. The coin also include both an identification number and a hidden private key.

The main reason for designing these coins was:

• To be used for the purchase of goods or services
• To facilitate the storage and/or management of Bitcoin
• To make them available for market transactions
• To act as an investment vehicle
• To be used for the purchase of goods or services

However, in 2013, Caldwell had to shut it down. The reason for shutting down was because of the intervention of FINCEN due to lack of required licensing to operate.

Certainly, the fact and provenly discussed, Bitcoin is not a thing and will never have a physical form. But what if the world suddenly change and opt to in physical form, are we ready to embrace it?

Sources:
https://phemex.com/academy/what-is-physical-bitcoin
https://www.cnet.com/culture/are-physical-bitcoins-legal/
https://www.analyticssteps.com/blogs/what-casascius-coin

Hate to break it to you, but physical Bitcoins are not really Bitcoin at all. They're just like paper wallets with public and private keypairs. Besides, using Bitcoin physically will defeat its purpose as "Peer to Peer Electronic Cash". It's like going backwards if you ask me. Casascius coins are just collector's items that were made in the very early days of Bitcoin. They're more suitable as a long-term investment than a currency.

With how fast the world is transitioning to the digital era, physical currency will become a thing of the past. Maybe even physical collectibles as NFTs prove to be a complete game changer. Most people think that Bitcoin has no value because it isn't something tangible like Fiat. I'd say Bitcoin has value because it's a decentralized and censorship-resistant cryptocurrency no one can shut down. Someday people will realize this as Bitcoin matures over time. Who knows how the future for the pioneer cryptocurrency will look like? Just my thoughts

[jostorres]

So who is going to be doing the printing of the physical Bitcoin? or is everyone with some Bitcoin be able to make their own physical copy? Is this just going to be for Hodlers with on full Bitcoin or satoshis owners too should be able to make their own satoshi physical copies too? This is not going to work as I see it regardless of what it will solve.

If the qualities of the digital Bitcoin we know is attached to the physical one and someone or an authority/body is given the power to control the printing (power by who if I may ask?), that means we are doomed to face a lot of mischievous occurrences.

One question you asked which I admired was if those who already own Bitcoin will print theirs or convert it..
This is the weirdest thing that can happen, and definitely – Bitcoin will be affected negatively if this pulls through.

[odolvlobo]

To those that insist that "physical" bitcoins have no use, I want to point out the interesting fact that most of the paper USD in the world is used by people outside of the U.S.

Don't forget that many people in the world have limited access to banks and telecommunications. For them, no electronic form of currency is available and they must rely primarily on paper money or perhaps "physical" bitcoins.

[Poker Player]

Don't forget that many people in the world have limited access to banks and telecommunications. For them, no electronic form of currency is available and they must rely primarily on paper money or perhaps "physical" bitcoins.

The banks, fine, but the Internet:

"A total of 5 billion people around the world use the internet today – equivalent to 63 percent of the world’s total population.

Internet users continue to grow too, with the latest data indicating that the world’s connected population grew by almost 200 million in the 12 months to April 2022."

Digital Around the World

People are not going to use physical Bitcoins because of how impractical they are, if they can use digital ones with their mobile. The bad thing is that they will probably do it through centralized companies and custodial exchanges, but that is a different story.