[pinarsezer]

> The fact that the few merchants willing to accept bitcoin generally convert to dollars right away suggest an underlying lack of faith in bitcoin—or at least a problem with the volatility.

Few merchants accept gold either. Yet gold reserves in the world amount to US $8.2 trillion in value.

Edit: removed part on volatility

[crististm]

Given the choice I think they will not have a problem in picking gold instead of bitcoins. Gold has some history behind it, and compared to bitcoins is more liquid and less volatile.

(volatile for about 3000 years - do you mean available?)

[fragsworth]

> Gold has some history behind it

"It has history behind it" really seems like a fallacy to me. Many things had histories and were replaced, or changed dramatically, due to new technologies. Horses, swords, aluminum, newspapers...

I see Bitcoin being a very realistic threat to the high price of gold.