What if bitcoin become soooo successful that people stop spending it?

[Dr.Bitcoin_Strange]

Bitcoin is already successful and as some people would say that Bitcoin has "mature" The price has already become some big considering where it started from, so a lot of people are not even interested in using Bitcoin for daily p2p transaction but when they are all targeting is to make a big profit in the future when price has increased more than the amount they bought it. However, not matter how investors hold without selling, there are still other investors that will be selling, not everyone can hold for a long term due to so many factors and do you also forget that there are so many traders who are trading Bitcoin daily for short term profit, can that stop happening? The answer is nope.

[Marvelockg]

Is it a sign of success that people keep holding bitcoins as a store of value rather than spending it or a failure at becoming widely use currency?
I want to here different opinions especially from people who actually used bitcoins for payments rather than simply holding it.

different investors bought bitcoin at different times and they will be in profit at different times also. if bitcoin gets to $300k for instance in the next 5 years, we will still have people that will sell at that price seeing that they at a good profit relative to when they started investing in bitcoin. no matter how successful bitcoin becomes, an investors buy or sell decision will be dependent on wether he has attained in investment goal or not.

if bitcoin gets really successful, it will attract more investors that will start their accumulation phase at that time and as long as we have more buyers of bitcoin, we will still have sellers in their numbers.

[Luzin]

So my question is
Is it a sign of success that people keep holding bitcoins as a store of value rather than spending it or a failure at becoming widely use currency?
I want to here different opinions especially from people who actually used bitcoins for payments rather than simply holding it.

No. Actually that was Satoshi's vision, to make Bitcoin a transaction tool. But with the development of the industry, today Bitcoin is often used as a store of value because its price can always return to an all-time high. There will always be people who need it, so keeping Bitcoin forever is impossible. Those who hold it still have targets to sell. So it will never happen that there are no Bitcoin transactions in one day. There will always be transactions occurring.

[Merit.s]

Bitcoin is already successful whether it's used as a long-term store of value or everyday use. There are different reasons why people adopted bitcoin and they have the right to do what they like with their bitcoin.

However, it's both trading and long-term investors that keeps the network going. Everyone cannot holdi bitcoin without selling it because if you do, your heir to your bitcoin investment will spend it because bitcoin will continue changing ownership from one person to another.

[Dreadboost]

We are gradually going into that phase of low spending. No one wants to spend their money for unnecessary reasons. Following up on most of the discussion in the forum, it seems many forum members want to be long term holder.

On a general scale, it is the same intention of holding the bitcoin for long. If this continues, we might go into an age where long term investment is the only sustainable way to maintain wealth. This will require less interest in business and more investment interest.

[Felicity_Tide]

Is it a sign of success that people keep holding bitcoins as a store of value rather than spending it or a failure at becoming widely use currency?

It's neither a success nor failure... Bitcoin, making a name for itself, is already a success.
We keep going back and forth with this very discussion, and from the look of things, it doesn't seem like we're ever coming to a conclusion about it. I don't know why we keep assuming that people don't spend Bitcoin. Of course, it might not necessarily be compared to how they hold it for long or short term, but we definitely have a decent number of people who actually spend their Bitcoin, which means the both of them have been coexisting.

And, another important thing to understand is that Bitcoin was never meant to replace the fiat system... In fact, I don't think it will ever replace the system. It has been coexisting in such a way that people could easily trade their Bitcoin for fiat and fiat for Bitcoin. But when it comes to direct P2P transactions, that's what people are still trying to adopt, although we already have a pretty good number of platforms, businesses and individuals that uses that medium.

[Hatchy]

Is it a sign of success that people keep holding bitcoins as a store of value rather than spending it or a failure at becoming widely use currency?
I want to here different opinions especially from people who actually used bitcoins for payments rather than simply holding it.

An interesting read there, but, one thing you should understand is that the principle of supply and demand will always apply, no matter how valuable an asset is. Take gold, for example. It is a precious metal with an estimated market value of about $29 trillion. that doesn't mean people don't sell their gold. People will always sell their assets when they need money or want to take profits. Even governments and central banks, which hold large amounts of gold, can sell some of their reserves when necessary.

This shows that Bitcoin can be valuable and still be sold. Even if a large number of Bitcoin investors choose to hold their coins, there will always be others willing to sell and take profits from the market. An asset's value doesn't mean everyone will hold it forever.

[Alpha1999]

Yesterday i was reading a book The Bitcoin standard by Saifedeans Ammous and an interesting question raised in my mind that What if bitcoin become so successful as a store of value that people stop using it.

Did you read that book or read this thread GameKyuubi's "HODL", the effect on Bitcoin, and the broader philosophy and the post of d5000.

So my question is
Is it a sign of success that people keep holding bitcoins as a store of value rather than spending it or a failure at becoming widely use currency?
I want to here different opinions especially from people who actually used bitcoins for payments rather than simply holding it.

The d5000's post is a very excellent reply, and I don't think I need to answer your question by my own. You can read it and absorb the meaningful reply. Generally people are always different with each other while Bitcoin has many use cases so you don't have to worry about any future when all people globally stop using bitcoin.

You seem to love reading book, so there is another book The bullish case for Bitcoin which will give you more insights about Bitcoin and its bullish future.

Thanks for recommending these resources.I have not read d5000's post yet.I was genuinely curious about Bitcoin's role as a store of value in comparison with its use as a currency for everyday payments and you are right that people use it for different reasons which makes this topic valuable for community as well and thanks for recommending The Bullish case of bitcoin as well.I will give it a read soon.

[Findingnemo]

Yesterday i was reading a book The Bitcoin standard by Saifedeans Ammous and an interesting question raised in my mind that What if bitcoin become so successful as a store of value that people stop using it.Suppose if i people believes that bitcoin could be worth much more in the future they would prefer to to hold it rather than using it for everyday purchases.Even if sellers or venders accepts bitcoin they will still choose to pay in their local currency while keeping bitcoins untouchable.So an interesting situation will happen mostly holders will treat it as a long term investment so its everyday use would be extremely slow.In my opinion i dont think that holding or keeping bitcoin would be bad thing like its a good decision to save for future but their is a difference between an asset that people wants to own and a currency that feel comfortable spending.May be easier access to Bitcoin payment,lower transaction costs and better payment infrastructure may help solve this.
So my question is
Is it a sign of success that people keep holding bitcoins as a store of value rather than spending it or a failure at becoming widely use currency?
I want to here different opinions especially from people who actually used bitcoins for payments rather than simply holding it.

Everyone knows that if they hold an asset for more time rather than selling now then the profit will be higher but still there are people selling their assets everyday so it builds its own ecosystem when it becomes so successful.

And by that time people will be known as bitcoin users and bitcoin holders means different set of people using for bitcoin for different purpose just like how people save money (fiat) at present and most of the people are just spending it on useless things to feel rich.

[Big Dirams]

We are gradually going into that phase of low spending. No one wants to spend their money for unnecessary reasons. Following up on most of the discussion in the forum, it seems many forum members want to be long term holder.

On a general scale, it is the same intention of holding the bitcoin for long. If this continues, we might go into an age where long term investment is the only sustainable way to maintain wealth. This will require less interest in business and more investment interest.

Honestly, if we look around now we will understand why people are prioritizing long term holding for bitcoin than the short term holding of it. Bitcoin price increases over time and it value keeps increasing even despite the lows and challenges it normally faces but still a lot of people still buy it and keep holding it for future because they are aware of what bitcoin holds in the future.
Everybody just want to hold bitcoin for a long term and don’t want to spend it on unnecessary things when in the future we can make more of what we are already holding. Even if the profits isn’t something we can rely on because it isn’t guaranteed but there are high possibilities of success in long term holding.

[m2017]

What if bitcoin become so successful as a store of value that people stop using it Suppose if i people believes that bitcoin could be worth much more in the future they would prefer to to hold it rather than using it for everyday purchases

It has practically already happened.

Even if sellers or venders accepts bitcoin they will still choose to pay in their local currency while keeping bitcoins untouchable.

Not just individuals, but entire companies and even countries.

So an interesting situation will happen mostly holders will treat it as a long term investment so its everyday use would be extremely slow.

Buyers (and sellers) will prefer to make payments using stablecoins.

In my opinion i dont think that holding or keeping bitcoin would be bad thing like its a good decision to save for future but their is a difference between an asset that people wants to own and a currency that feel comfortable spending.

However, "accumulation" gets in the way of "use as a means of payment".

An "asset" and a "currency" are two completely different things, and they currently don't sit well together - the balance has shifted significantly away from "currency" and toward "financial asset".

May be easier access to Bitcoin payment,lower transaction costs and better payment infrastructure may help solve this.

It won’t solve it. That’s my take. There’s no turning back now when it comes to "electronic digital payment instruments". To be honest, bitcoin never quite managed to fully establish itself as such (on a mass scale).

So my question is
Is it a sign of success that people keep holding bitcoins as a store of value rather than spending it or a failure at becoming widely use currency?

If bitcoin didn't end up being used for the purpose for which it was planned and created by Satoshi, then that clearly signifies a failure (in that regard).
 

By the way, it is standard practice to place a "space" after the symbol ".".

Why do newcomers write in one continuous block of text, effectively turning their post into a jumbled mess of symbol?

[Decimetre]

There's no way bitcoin will not be spent on a daily basis but there can be a reduction in the rate of spending if it gets to that stage. Bitcoin as a store of value is already a sign of success for bitcoin which means that it's value may even make it possible for investors to use it more wisely. Bitcoin success is the reason why it's increasingly used for transactions lately. So saying that any bitcoin success would make it not to be spent may not be possible because it can be used in high level transactions to buy estates or heavy duty products. Such success too will also make it to be demanded by evil players as a payment medium or as a ransom. Buying of properties will gradually drift to bitcoin because other investors will set bitcoin as their medium of exchange and that makes its usage very easy making some people to be spending while others are accumulating.

[Bigjoe33]

Yesterday i was reading a book The Bitcoin standard by Saifedeans Ammous and an interesting question raised in my mind that What if bitcoin become so successful as a store of value that people stop using it.Suppose if i people believes that bitcoin could be worth much more in the future they would prefer to to hold it rather than using it for everyday purchases.Even if sellers or venders accepts bitcoin they will still choose to pay in their local currency while keeping bitcoins untouchable.So an interesting situation will happen mostly holders will treat it as a long term investment so its everyday use would be extremely slow.In my opinion i dont think that holding or keeping bitcoin would be bad thing like its a good decision to save for future but their is a difference between an asset that people wants to own and a currency that feel comfortable spending.May be easier access to Bitcoin payment,lower transaction costs and better payment infrastructure may help solve this.
So my question is
Is it a sign of success that people keep holding bitcoins as a store of value rather than spending it or a failure at becoming widely use currency?
I want to here different opinions especially from people who actually used bitcoins for payments rather than simply holding it.

Firstly, I want to advise that when next you are making a post, try to re-read and exact possible corrections in use of punctuation marks and a proper spacing of your words to ensure proper readability and understanding..

However, about your question, I don't think a situation where people wouldn't want to spend there Bitcoin will ever exist, because every day, people spend money, so there is every possible that there would expenses daily.
Whole some are buying and HODLing, some are also taping from there portfolio and spending, and by so doing, it keeps rotating. There is always the force of demand and supply, and so, the possibility of just everyone HODLing and not spending will be too difficult. People are HODLing because of the value it carries, and they intend building there future financially. To some level, those who have saved up so much is also Fred to tap into there portfolio sometimes to solve some financial problems or meet up a target, so there will always be spenders.

[PrivacyG]

For some body to purchase Bitcoin, there has to be some body else who sells theirs.  Bitcoin not being spent at all any more means there would either be extremely low liquidity on the Markets or that the Bitcoin economy stops completely.

Eventually, after you hold on to your Bitcoin for 30 years and finally want to purchase a house, a car or go to a nice vacation using it, you will have to sell it too.  Which keeps the circulation going, so that scenario of a full stop never really happens.

[snowpega]

OP, before saying anything else, I have a little question for you.
What is the common thing in all investments, or why does one invest in any asset? The common thing in all kinds of investments is to make a profit and to sell one day when we reach our desired target, right? In my point of view, it is very possible that everyone will sell even some portion of their holdings at some point to book a profit rather than holding the same amount all the time. This all varies from plan to plan.

And, so, the answer to your question is that bitcoin can play its role fairly as a currecny and a store of value at the same time.
And it is already playing its both role this time also. CMIIW!

[Z_MBFM]

The reason why people are focusing more on holding Bitcoin rather than selling it is because the adoption of Bitcoin is not yet very high worldwide, due to which the more people's interest in Bitcoin is increasing day by day, the price of Bitcoin is also increasing rapidly, so the longer it is possible to hold Bitcoin, the more profit is being made from it. So it is natural to think of Bitcoin as an asset, but in the future, when the adoption of Bitcoin increases a lot and payments start being accepted everywhere through Bitcoin, then people can transact through them. However, since the supply of Bitcoin is fixed, it is natural that the price of Bitcoin will increase more as time goes by, so people do not want to lose these assets easily, just like gold and land, they will think the same way about Bitcoin.

[MisFoxie]

-snip-

Although this is impossible, still, let's assume that everyone decides to hold Bitcoin. Then the Bitcoin price will keep increasing slowly until it reaches a point where everyone wants to sell.. But people need money or after buying Bitcoin they have a goal that they will sell Bitcoin when it reaches a certain price. In that situation they will sell Bitcoin.

On the other hand big institutions will want to manipulate people. For example they can sell a huge amount of Bitcoin all at once to create fear among people, and people may start selling because of that fear. So not everyone will want to hold Bitcoin many will also want to sell so the market will continue to operate just like it does now.

[Mr_Brilliant$]

Even as Gold is very valuable, people still spend it. Eventually, people will sell their Bitcoin. It's like you want to store it forever, can you? It's one of the main reasons why we can't be the same.

People talk about Bitcoin use as a medium of exchange, but how does one navigate the use of Bitcoin and it's volatility. I am pretty that's the reason why not so many people are using Bitcoin as a medium of exchange. Today the price of Bitcoin is up, tomorrow is down. That fluctuation can cause dissatisfaction between buyers and sellers.

And with the occasional hacks happening, people might not want to accept it quickly as a medium of exchange.

[abel1337]

It depends on how you perceive bitcoin. Bitcoin is successful for me regardless if it is treated as a store of value asset or a currency that you can use on real life. On the earlier days of my bitcoin journey, I regularly bought some game top ups using bitcoin and some gift cards since fees before aren't that much and it is quite convenient for me at that time but today is different, I'm hodling it and treating it as an asset equivalent to traditional assets which I'm expecting to profit on, in short I'm treating it as an investment at this time.

On the other hand, bitcoin transactions won't stop even if people are storing it as buy and sell still happens and people need to do a transaction to acquire one. Of course buying and selling on an exchange won't generate a onchain transaction but transferring it out would.

In short, bitcoin wouldn't see a flat line zero onchain transaction even if the majority is holding it, unless the internet in the whole world is cut.

[sunsilk]

This has been discussed sometime in the past. I think that the role will not change for the supply and demand.

As the supply into circulation gets less due to everyone holding it. There will be sellers that will see the opportunity and are satisfied with how much they can make.

So, despite that the majority will want to hold it for better price appreciation. The exchanges and miners will do their part on this one.

This situation can happen in real life but, there's the balance of the economy. When people want to hold, it's very likely that some will take it as an advantage of selling it at a premium.