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

[leonair]

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.

People work hard to earn money and invest to solve their financial problems. No matter how expensive Bitcoin is, if it is needed to solve their problems, then of course people will spend Bitcoin. However, it does not seem that anyone will sell or spend their Bitcoin unnecessarily. People do not want to spend or sell the valuable assets in the world easily. Because everyone knows that holding valuable assets makes them more valuable in the future and that supports them as a big partner in their danger. Bitcoin is also a digital asset like that. Just as people do not want to sell or spend Bitcoin easily today, its amount will increase in the future.

[Agbamoni]

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.

This makes more sense to me. A lot of people are not considering Bitcoin for daily payment and for the exchange of goods and services because of how valuable it has become over the years. Most people will rather hold Bitcoin for years, but since humans are limited by unforeseen circumstances, we will eventually see more people willing to sell their Bitcoin to solve problems. The rich with financial power will most likely not sell their Bitcoin when they have enough to solve those problems, so they may require someone to sell some Bitcoin.

[Don Saga]

Bitcoin's price volatility would be a major barrier to it's usage as day-to-day transaction means but would remain the best store of value for the longest. Like the OP mentioned, "what if bitcoin becomes so successful that people stop spending it", I think that's the phase bitcoin is currently because it's more of a store of value over a monetary standard.

Bitcoin would eventually be spent no matter how long holdings is involved, amidst its volatility. There's a reason that one of its feature is volatility and that is caused by buying and selling pressure. Bitcoin cannot become a stable coin no matter how much you look at it.

[lionheart78]

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, it is not a sign of success that people keep on holding Bitcoins as a store of value, Bitcoin is created as an electronic cash for alternative payment.  If Bitcoin is not used for transaction, then it failed the vision of Satoshi.

Bitcoin can be considered a success if it is able to reward miners more than the initial block reward (50 BTC per block) after its block reward goes zero.  The number of Bitcoin purchase transaction determines its succes because it is the real case use of Bitcoin.

[Youngrebel]

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.

This makes more sense to me. A lot of people are not considering Bitcoin for daily payment and for the exchange of goods and services because of how valuable it has become over the years. Most people will rather hold Bitcoin for years, but since humans are limited by unforeseen circumstances, we will eventually see more people willing to sell their Bitcoin to solve problems. The rich with financial power will most likely not sell their Bitcoin when they have enough to solve those problems, so they may require someone to sell some Bitcoin.

I can relate to what you just said and so many people now see Bitcoin more as a long term investment than something that should be used for everyday payments because we all have this believe or rather mentality that its value will sholly increase over time, but not everyone has the financial capability to hold their Bitcoin through every situation and when there is an emergency they will be no choice but to sell and this is also why having a saving where you have emergency fund before going into bitcoin is very very important because it will give you that privilege to hold your Bitcoin without being forced to sell at the wrong time just if at all the market rises.

[Joy- maker]

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.

It is not wrong for people wants to hold bitcoin for the long term, beside everybody has the freedom to decide what they want to do with their Bitcoin's. Spending Bitcoin it's a choice not a must, but I don't think the fact that people prefer to hold it than spend it necessarily mean it has failed as a currency. Bitcoin can actually serve both purposes, a store of value and a medium of exchange. Problem starts when people expect Bitcoin price to increase significantly in the future because they may become reluctant to spend it on everyday purchases.

[Hazink]

It's a sign that people believe in it and that's not even going to affect bitcoin's success or reduce its relevance. In anyway, the question which you ask is already what most whales are doing they treasure their bitcoin, and we still have a few people who are transacting with, and besides bitcoin, I don't see any benefit for bitcoin to become a generally accepted currency which is also what you might mean by widely use, as long as we have those who knows the value and are sending to one another without any disruption everything should be considered okay.

[tabas]

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.

It is a success and I think bitcoin has nowhere to go with all of these situational questions about its what ifs. Because satoshi didn't limit us for the use of spending it. He has made it for that objective but it has grown vastly and the usage of it has upgraded too. With the feature of having a limited supply, everyone sees the importance of owning it and not everyone will have it. In the past years, I've used bitcoins for payments but, you get the idea that if you have just held it for so long, you've got more value in it right now.

[Ever-young]

The idea of bitcoin increasing and becoming more successful than it already is, is possible. But every bitcoin owners holding without selling or utilizing it is impossible.
Holding will be continuous and so will usage also be.

I believe everyone has their reasons for settling for bitcoin, those who use it for transactional purposes will still continue while it’s adding value to their purchasing power, while holders will keep holding as wealth is accumulating.
So we can never get to that point where people will stop spending it.

bitcoin is never a failure, while it is accumulating wealth for holders, it is also increasing purchasing power for daily users.
But personally, it’s holding or nothing, holding will bring more success as it increases scarcity and value.

[moneystery]

Expecting that no one will spend it anymore is pretty unreasonable. Bitcoin will still be used for transactions, regardless of more people treating it like a store of value; there will still be people making on-chain transactions, whether it's paying for services, transferring funds to others, selling for profit, or for other purposes, the need for that will always be there.
Bitcoin users aren't just individuals focused on holding it as a long-term investment. There are also individuals who use Bitcoin as a tool for their transactions, and that will continue to exist. Bitcoin was developed as P2P money not without reason

[Ucy]

Well, the nice thing about a currency like Bitcoin that appreciates in price is that holders would rather hold than use it to exchange for things that do not have similar benefits. For example, rather than buy a bag of food that can last for 4 months with Bitcoin, you let the bitcoins appreciate in price in that four months. But what if the food will increase in price in the four months? I believe a thoughtful person will be more compelled to spend his Bitcoin on the food, so that when the food increases in price he would've spent less amount of bitcoins.

Much better things that can move people to spend a currency that increase in price are things that  increase in price/value aswell, and can be sold for more bitcoins. Other things are those that make people productive enough to possibly earn more bitcoins.


This in essence means that a currency that increase in price/value is better spent on things that also increase in  price than on worthless things. This is what will push people to spend part of their bitcoins on goods and services.

[oll]

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.

Bitcoin will still be a means of transferring money to anyone anonymously. Stop viewing Bitcoin solely as an investment; it has many positive aspects. It's also a good means of transferring funds. The banking system can't do anything about it; they can tax individuals, impose sanctions, and threaten to do so, but if you decide to buy and spend Bitcoin, they'll never know. Digital gold can't be controlled or stopped.
And these are not just words; for some time I lived in a country under sanctions, and Bitcoin really helped me out with its anonymity and free circulation.

[danadc]

At some point they will use it, because we are all consumers, we all need things, to eat, to buy, and it has a strong impact on the economy, but even so it would have to be spent, what would happen is that its value would be much higher each time, then with very little BTC one could live comfortably always, buying and eating in restaurants
even every day, that's what could happen, only very minimal amounts of BTC would be spent.

[Youngrebel]

Bitcoin is already successful but i think where the problem lies is if people only see Bitcoin as an asset to hold and never consider using it as a method of payments and we are humans definitely we will prefer to hold something we believe will increase in value, most especially when they have other currencies they can spend and I don’t also think Bitcoin needs to be used for every daily purchase to be successful because they will definitely be people who use it mainly to preserve their wealth, while others use it to send money to different states or use it to make payments and the uses have their own value.

[Franctoshi]

Isn't that what is going on, people are hodling Bitcoin rather than spending because to a big part of the world population Bitcoin is already successful and many investors believes Bitcoin will carry this success into the future.

That’s what I was going to say – it’s already happening. The main use of Bitcoin today is as an investment, not as a currency for directly purchasing goods or services. In any case, the first part of the title’s statement is becoming less and less true these days. Bitcoin has had a very steep return curve since its inception, which has been levelling off in recent years, as is to be expected. Therefore, perhaps in a future with less volatility and lower returns, people might also tend to spend it more. But given that much of the bitcoin is being bought by centralised entities such as ETFs and companies, I don’t think so. P2P will remain a minority activity.

Yes It's happening gradually, but I doubt or don't believe If there's a point where people would completely not use their Bitcoin, but rather the percentage number of people that would prefer to store Bitcoin would oughtweigh the number of people that would want to spend it when more and more people must have realised the importance of holding Bitcoin in the future.

[Oasisman]

Bitcoin is already a success. What you can see today and how people treated it is the main reason why it has become a success.
A lot of people already stacking Bitcoin and treated it as a store of value, but, there are always a lot of reasons some people sell, and it is not a bad thing.
Daily Bitcoin usage is not only a determining factor whether it is a success or not, but it is also an indicator of a healthy a improving market.

If all people stop using Bitcoin because they are holding it, then the price would gradually fall, and so this gives us one of the reason people would sell.

[Itz-prisigold]

If all people stop using Bitcoin because they are holding it, then the price would gradually fall, and so this gives us one of the reason people would sell.

I do understand your point but I think we should look at this from a different angle. Just because people hold Bitcoins, doesn't mean that the market price will automatically drop.  We all know that the price varies according to several factors such as demand and willingness of the buyer and seller. So even if investor refuse to sell out and just want to hold, new buyers will be able to generate demand for bitcoin in the market.

However I'm in agreement that spending is also important as money must be useful to people and their daily lives.  If people only think of Bitcoin as a thing to buy and hold, they may miss out on the usefulness of Bitcoin as a payment method.

[Ojima-ojo]

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.

When a large number of people hold their Bitcoin without spending, that means that Bitcoin is gaining widespread as a monetary assets just like shares and other assets.


This will bring more scarcity and price increase, market will become less volatile and at that time tradersay have to drive other means to keep up with profits. Bitcoin will become the real digital gold, take gold for example it's held as a monetary assets but not for everyday spending.

[danieldavidd]

Sicily this is  a nice topic to talk about because they're alot of different investors that invest on bitcoin with different target some are not going to sell anytime soon while others are holding in the meantime then sell some are using to make transactions without any traditional bank, each one of the investors have different target Ahead.

[Localhostspeed]

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.

Is this not what many people are doing? They holding and don't spend because they see it as store of value. The transaction are between trader, and shift of liquidity which what the community is trying to encourage. There is large percentage of Bitcoin that have not been move for some years now, staying idle doesn't improve adoption, the aim is to see Bitcoin move from one place to another, it will show that Bitcoin is use for payments than use for holding.

For me, adoption or not, you can't force people to do what they want. Bitcoin will have adoption if it's allow to have adoption and by that I mean allow to be used without restrictions. The government are the only people in that position make it work else holding wi precede payment adoption.