What problem does Bitcoin solve?

[Yatsan]

There are so much problem the bitcoin has solved and keeps solving. The government spend huge amount of money printing paper money and same government will have to mop up cash when they start decaying and not too fit for public health, they burn it up thereby incurring huge financial losses. Bitcoin doesn't transmit diseases unlike the fiat that was a means of transferring Covid-19 and other dangerous disease, with bitcoin, traditional banks need not fleece me of transaction fees within and across borders regardless of the amount am transacting. 

These are issues present for decades. Keep in mind that online payments are still having problems at the present because of connectivity issues. Also, not all people are 'tech savvy', perhaps how about older people? teaching this technology would still be a problem right now. Bitcoin and other cryptos, indeed, has many advantages but allow things to continue developing. It should be supported by now to counteies around the globe if there would be no potential problems. This technology has a high tendency to be on 'that' phase so for now, be patient.

[_BlackStar]

OP, there are 12 basic points ^[Innovation] you need to know when you want to learn about some of the things bitcoin can solve as a currency versus fiat. I don't want to go into details, but you can invest a little time learning it yourself, here it is: Innovation in Payment Systems

• Control against fraud
• Global accessibility
• Cost efficiency
• Tips and donations
• Crowdfunding
• Micro payments
• Dispute mediation
• Multi-signature accounts
• Trust and integrity
• Resilience and decentralization
• Flexible transparency
• Automated solutions

You will probably know that bitcoin is a different payment system from fiat, so some of the problems that bitcoin solves through its innovations have become something of an advantage over bitcoin that users prefer.

[hatshepsut93]

1) Problem of divisibility: you can divide Bitcoin up to 8 decimal point like 0.00000001 bitcoin

How many times in your life did you regret not being able to pay someone $0.0000001?

2) The government cannot reach up it's bum and pull because is a decentralized currency.

3) Bitcoin as a decentralized currency solve the problem of the need for a corruptible third party from the central bank.

Bitcoin doesn't actually solve those problems. Bitcoin is a radically different system with its own pros and cons. Saying that Bitcoin solves problems of fiat is like saying that an airplane solved the problems of a car.

It's very common in Bitcoin community to compare certain aspects of Bitcoin with fiat and ignore the full picture.

[GideonGono]

For me financial freedom, letting us earn comfortable with whatever device we are using as long as it have an internet connection.
And I know some people who use crypto as their savings we trust it more than Banks and believe that it would be more profitable than letting our money sit on our Bank accounts.

[Despairo]

I have heard and seen how Bitcoin has helped people to became rich by building estates all over the country, establishing businesses all over the country, driving good cars in the community, sending their children to the most expensive school in the country with the help of Bitcoin.

It's not correct to say Bitcoin solving poverty problem because Bitcoin isn't a free money which anyone can get and trade for high amount money, if Bitcoin is free money, Bitcoin price would either worthless or zero. The early adopter who have Bitcoin when it's still cheap, that's a gift for holding Bitcoin.

3) Bitcoin as a decentralized currency solve the problem of the need for a corruptible third party from the central bank.

Now are you really not touch fiat at all? are you only use Bitcoin to spend your daily expenses and you didn't use fiat anymore?

Bitcoin isn't created to replace fiat, it's just an alternative currency for people that prefer to use Bitcoin than fiat (if the country make Bitcoin as legal tender).

[nullama]

~snip~
Yes the freedom that bitcoin offers is one that got me interested in bitcoin. I can access it whenever and wherever I want. This is not like the central bank which often makes it difficult for users, especially if they need a large amount. It's completely different here without even the slightest pressure. Something that can't be found in the central bank, we can feel here. Freedom is one of the needs that everyone wants, and we can get it here. Another important thing is that bitcoin is transparent which makes me even more convinced of the existence of bitcoin.

Yes.

And it's also an asset. Just like a real estate for example.

The great thing about Bitcoin though is that you can buy a fraction of it, which you cannot do with real estate.

Also you can easily move around with it, even leave the country, which of course you can't do with real estate.

You can even pay for goods and services with it. It's great.

[$anounimus$]

HERE ARE SOME PROBLEMS BITCOIN SOLVE FOR THE USERS:

2) The government cannot reach up it's bum and pull because is a decentralized currency.

The government doesn't really care about BTC. In fact, they absolutely hate decentralized currencies and I tend to agree with this statement that governments will eventually crack down on Bitcoin in the future because of the simple law of supply and demand. I am looking forward to the possibilities of innovative new payment systems such as Bitcoin and other cryptocurrencies.

If you look at the Bitcoin market, for now, it is very volatile with assuming the Bitcoin price goes up and down too often and too fast. But, although Bitcoin's decline in value worries me, I'm sure it will bounce back.

[Falconer]

There are so many uses for bitcoin that it's a shame if we miss it and don't have it, although there are still many who are against the existence of this bitcoin. But that's not a problem because I believe that bitcoin will soon be accepted in all circles although it takes time. and it's proven that now a lot of big investors are starting to look at the potential of bitcoin.
Assets like this are what we need today, that don't burden the user in every way. This is the advantage of bitcoin that we can't doubt anymore.

Of course it's true, bitcoin has many uses but bitcoin tends to be used more for trading and investing assets than its use case as a currency in my opinion. I don't want to talk about other countries, but Indonesia (my country) every bitcoin user is not allowed to use it as a legal tender. This does not rule out the possibility of getting sanctions if violated, and that is what makes bitcoin only used as an investment and trading asset.

Regulation is still the most discussed issue as to why bitcoin has not been adopted as legal tender on a wider scale. I don't think this regulation will change quickly especially if most countries are desperate to own their own crypto through CBDC.

[The Cryptovator]

You are ignoring the most important solution which is Decentralized payment solutions. We are making a borderless transaction without any third-party involvement. Bitcoin makes our life easier to receive and send payments worldwide within seconds. Of course, there is a lot of solution but this is the major. It doesn't matter many become millionaires, because this isn't any investment scheme with ROI. We just take advantage of the volatility.

[davis196]

The problem of divisibility isn't an actual problem. Who cares about BTC being divided into tiny satoshis that cost 0.0001916 USD?
Having extreme divisibility doesn't bring any utility and I don't think that divisibility is a unique feature. Some developers could possibly create a shitcoin, that can be divided into a billion small pieces. Does this make the particular shitcoin more useful than Bitcoin? Nope.
The second and third problems can be solved only if the people are using and storing their BTC in cold wallets.
Storing BTC in centralized crypto exchanges platforms is like storing fiat money in a bank. No difference.

[BinarySumo]

It is designed to do peer-to-peer transactions. Bitcoins are safe and encrypted. So, you don’t have to trust another party.

[kryptqnick]

It's true that there's no need for a bank with Bitcoin, but some other things that are worth mentioning is that Bitcoin's price can't be regulated by any authorities and that the currency itself is resistant to inflation in a way that fiat never is. As for what people buy and can afford, that depends both on what they used to have and some luck with investing and being patient to wait for profits. I am sure that Bitcoin also brought many people lots of pain, such as forgetting or accidentally throwing away the passphrase and being forever locked out of the wallet, crypto exchange exit scams, selling at a big loss. I wouldn't say that Bitcoin solves financial problems because it can also bring them. But it allows a person to truly be an owner of one's own money, to send this money online directly to another person, to use a currency that isn't affiliated with any state. Oh, and Bitcoin can't be faked like fiat money can be.

[Findingnemo]

It makes the cross border transactions more convenient than before, we don't have to wait for the bank approval, no paper works or anything to keep our money since we are keeping it on our own.

And I don't expect it to solve the problem of world or fight with corruption since its just money and don't expect something to happen when people are not taking any efforts, to evacuate the corruption the society should fight together.

[Falconer]

This goes back to policy, indeed, when things like this are still illegal, there is no need to force the will to spend bitcoin because as long as it can still be traded or become an investment asset, why should it be anything else.
It's a different story if the country you live in has made a policy on bitcoin, it can be a legal payment instrument.

But as time progresses and more and more about the adoption of bitcoin, it is possible for something like this to happen in your country, the most important thing is to wait.

Of course there is a chance to expect that adoption to happen in the future, but I don't think it will happen anytime soon.
For a time, it was hard for me to expect the government to legalize bitcoin or any other cryptocurrency as a means of payment. In fact I very much doubt they will change the rules in the next 10-15 years even though there are many countries that are starting to soften the rules.

Ultimately regulation is a problem that makes bitcoin unusable as a legal tender and even the government is eager to centralize bitcoin users with its new rules. In the last few months I started paying taxes for every buying and selling transaction on the local exchange, it benefit the government even though they have managed to prevent use cases as a means of payment.

[Asiska02]

1) Problem of divisibility: you can divide Bitcoin up to 8 decimal point like 0.00000001 bitcoin

Divisibility issue is not something relevant now in today’s world. Division can be done equally and sent since money can still be sent digitally without having issues with the decimals too.

2) The government cannot reach up it's bum and pull because is a decentralized currency.

Yes it solves this problem. As government can not regulate it or make some kind of silly rules and regulations about its operations. This is amongst reasons why its mass adoption globally is yet to be effected by many countries, especially the corrupt ones.

3) Bitcoin as a decentralized currency solve the problem of the need for a corruptible third party from the central bank.

These still lies in the hands of the government as the former. Embezzlement will be reduced drastically in such a way that the workers won’t have a means of stealing and also covering up for the government’s illegal activities in the central bank.

[gabbie2010]

Bitcoin as a store of value apart from it's P2P payment system is another feature which I admired very well, I prefers hodling my Bitcoin in my wallet rather than exchanging it to fiat and saving it a bank were the officials will have access to my account balance and other personal confidencial information relating to the account via KYC, hodling my coins in a wallet will guaranteed my anonymous management of my own account without any third party interference due to it decentralized feature, I can as well use it as a means of payment directly to the seller of a goods and services that accept bitcoin.

[Rockstarguy]

Bitcoin as a store of value apart from it's P2P payment system is another feature which I admired very well, I prefers hodling my Bitcoin in my wallet rather than exchanging it to fiat and saving it a bank were the officials will have access to my account balance and other personal confidencial information relating to the account via KYC, hodling my coins in a wallet will guaranteed my anonymous management of my own account without any third party interference due to it decentralized feature, I can as well use it as a means of payment directly to the seller of a goods and services that accept bitcoin.

Several times I tried to make transactions on my bank and I was debited but the transaction didn't get to the beneficiary , bank never reverse since it was a failed transaction.  Saving money in the bank is terrible and stressful. Hodling Bitcoin is the best savings one can think of. Saving money in the bank is loss of value for money because it is common for money to depreciate, hodling Bitcoin is an advantage to financial growth. Bitcoin is a good form of money.

[lixer]

Which problem you are facing right now, BTC is able to fix it ... That's obvious there is no known asset more devisable then BTC if there is then I am not aware of it.  In my view BTC is nothing more then financial freedom and that what matter as if my funds are in my control then what is better then that. So I think BTC don't need us but we need BTC as Satoshi knows everything he might be a genius in Economics.

Let say I have a problem with my wife, can btc be able to fix it? No. What problem btc can solve are only limited or mostly money related since it was a currency. Btc is better than fiat money because they are not tied in the banks or governments therefore we can attain a financial freedom this way but keep in mind that there are now regulations that are popping out in cryptos.

Usually they can be found on the platforms that we are using like centralized exchanges. I think this interferes the true purpose of btc but there is always a way to avoid them. Btc needs us so that btc can become strong and we also need btc to help us solve our issues in terms of finances.

[South Park]

Bitcoin as a store of value apart from it's P2P payment system is another feature which I admired very well, I prefers hodling my Bitcoin in my wallet rather than exchanging it to fiat and saving it a bank were the officials will have access to my account balance and other personal confidencial information relating to the account via KYC, hodling my coins in a wallet will guaranteed my anonymous management of my own account without any third party interference due to it decentralized feature, I can as well use it as a means of payment directly to the seller of a goods and services that accept bitcoin.

And this is really important now, for years some governments have tried to go against the savings people have in bank accounts as it drives them crazy that all of that money is there doing nothing and they want some of it, but they have been unable to get that money due to the natural opposition of people, but once the crisis is big enough they will be able to do something like that and only those which have their wealth outside of the banking system will save themselves from moves like those.

[suzanne5223]

Which problem you are facing right now, BTC is able to fix it ... That's obvious there is no known asset more devisable then BTC if there is then I am not aware of it.  In my view BTC is nothing more then financial freedom and that what matter as if my funds are in my control then what is better then that. So I think BTC don't need us but we need BTC as Satoshi knows everything he might be a genius in Economics.

Let say I have a problem with my wife, can btc be able to fix it? No. What problem btc can solve are only limited or mostly money related since it was a currency. Btc is better than fiat money because they are not tied in the banks or governments therefore we can attain a financial freedom this way but keep in mind that there are now regulations that are popping out in cryptos.

Usually they can be found on the platforms that we are using like centralized exchanges. I think this interferes the true purpose of btc but there is always a way to avoid them. Btc needs us so that btc can become strong and we also need btc to help us solve our issues in terms of finances.

We will all have different opinion about the problem Bitcoin solve because our definition of the problem Bitcoin solved will be based on personal experience and understanding but the problem Bitcoin solves does not have to do with money-related issue.
Yes, you hear me right and if you look carefully you'll see that Bitcoin actually solves the ethnicity problem. The government was trying to break us through their political naiveness but BTC brought people of different languages, races, families, and educational backgrounds together.