To be fair, credit card processors offer significant protections for consumers. I don't think we should discount the issue of fraud, especially given the recent Bitcoin heists.
Yes, but what about point of sale purchases? It's worth it for merchants to let you pay for beer or food using bitcoin.
Not compared to a stable currency like USD. If you did a ton of sales this week when the price is at an all time high, and when it comes to pay payroll next week and the value falls by half -- guess what, you're out of business.