[nadam]

The vision of the BTC community is that on-chain scalability for payment has no chance anyway (1MByte is capable of 5 orders of magniutde less tx/sec than VISA), so using second layer methods (like lighting network) to do payment is absolutely inevitable anyway. So they keep blocksize small enough that a regular guy with a regular PC can realistically sync-up the network and become a full node, because they think this is needed to be truly decentralized and secure. This possible lighting network future, and also that BTC is the most battle tested, and most forked coin, and has by far the biggest network effect are all included in its price.

My portfolio contains other coins from the top ten so I hedge it with other solutions for scaling, but BTC's share in my portfolio is close to its share in the crypto market cap (a bit less, admittedly).

[brucephillips]

You've described how BTC can scale as a currency, but haven't addressed ardit33's first point, which is that not many people seem to want to use it as a currency in the first place.

[nadam]

I speculate that at first people want to use it as a store of value, but after a critical amount of holders, and having a lighting network, users and merchants could also adopt it as a currency.

A conservative scenario is that cryptocurrencies will not really become adopted other than store of value: I think even in this case BTC value can go up tremendously. It has benefits over gold: like easy and fast transport accross countries.

[brucephillips]

> I speculate that at first people want to use it as a store of value, but after a critical amount of holders, and having a lighting network, users and merchants could also adopt it as a currency.

Why would they? Why should I buy things with BTC instead of USD? The fact that I've yet to hear a convincing answer to this most fundamental question is the strongest indicator that BTC is a bubble.

I do agree that BTC could become gold, though.

[nadam]

If you already adopt it as a store of value it can be convenient to use it also for payment if:

- it is convenient

- has low transaction fees

- fast

But I agree, store of value is the most realistic mainstream usecase of cryptos.

[brucephillips]

USD beats BTC in all of those features.