> She's a remote contractor who lives in a country where the banking industry imposes really unreasonable fees on international transfers.
And she most likely converts her bitcoins into whatever local currency she needs to pay for her goods.
And she most likely converts her bitcoins into whatever local currency she needs to pay for her goods.
Bitcoin seems quite promising for foreign currency transactions.
Yes, it also points to the utility of bitcoin, but this specific example also points to it's use as a commodity, IMO. As it gains in popularity, I think it will gain more utility as a currency, but until then it's a currency of limited use (limited in that there are limited venues that accept it) except as a commodity.
What people miss is that commodity and currency are not exclusive. And the difference between them does not really matter all that much.
Yes. It is a commodity. People trade in it every day.
> I could not get anything with USD, so it is not a currency?
For your use at that location, apparently not.
> What people miss is that commodity and currency are not exclusive.
Yes, and I said as much in a separate reply.
> And the difference between them does not really matter all that much.
Except for when they are classified as one and not the other and taxed differently.
(I work for Coinbase)
It only lists 4 countries.
(I also work at Coinbase)
She probably takes 10-20% more with BTC than with bank wire.
I'm not privy to her financial transactions, but I believe she holds some BTC for online purchases and transferring money between her and her husband. Clearly the bulk of her money is converted to a fiat currency because that is the most useful at the moment (though I'm willing to bet dollars to doughnuts that the fiat currency she most often chooses is not that of her home country).
The benefits of bitcoin are out there, its up to stores to offer it as an option. There should be a strong pressure to eliminate credit card processing fees though, since most companies are paying ~10% of revenue just to credit card companies, sometimes worse.
Perhaps a small Mom & Pop store that has tiny volume.
Any company of decent size would be paying significantly less than that in practically all circumstances