[WHATDOESIT]

So you're buying into trust of that government. With BTC you're buying into trust of the technology and other network participants. Is it really so different? I don't trust governments so much - my local currency is currently facing 25% YoY inflation. I bought Bitcoin.

[benj111]

I wouldn't say trust. But an entire nation is required to accept it so there is a market for it. Plus with interest rates nations are paying you to hold it.

I don't do Forex trading so I'm not particularly defending it. The currency I hold is the one that has utility to me. It's the one I'm paid in, the one I pay taxes in. I don't particularly want it jumping up or down 100s of %. I want it to be stable.

If bitcoin is more stable than your local currency go for it, (although if inflation is 'only' 25% it still doesn't seem to meet that bar). But that says more about your currency than the bitcoin and it still doesn't make it an investment. Your case would seem to be better served by holding USD though.

My first post pointed out it wasn't a very good investment. You seem to be buying it as a store of value, but it isn't very good at that either. So all were left with is a distrust of government. But the cure is worse than the disease.

[cuteboy19]

It's much simpler. People want $ for £ for education tourism etc. Successful forex traders are just middlemen for these txns. The make sure that you can always sell $ even if there is no one to buy them at that exact moment.

[WHATDOESIT]

Well, and isn't it the same for BTC then? In the city where I live, there's tons of Bitcoin ATMs everywhere - and people using them, pretty clearly to go around their everyday business, as if it was a bank ATM.

[cuteboy19]

Differences:

1. No one needs btc for education tourism etc. So there is no underlying demand that the general btc holder can middleman onto

2. You aren't supposed to hodl any kind of forex pair hoping it goes up forever.

Also I forgot to stress that forex is trading and not investment

[WHATDOESIT]

These people I see around here need to go to a BTC ATM to have cash for the coffee stand right next to it. What's so different? The scale, OK, but anything else? Actually, people are buying land/houses and cars with BTC here, also the largest local web shop (a large EU seller too) - the local Amazon let's say - accepts it, and they claim it's used for a small but not insignificant chunk of the sales.

[cuteboy19]

So most of those places instantly convert the btc into usd. Prices themselves are listed in USD and you have to pay some markup for USD conversion too. It's sell pressure on btc so bad in any case

[WHATDOESIT]

That's a great point, yeah I guess this is generating sell pressure on BTC.