dree12



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Why I'm switching to mXBT  and why you should too May 07, 2013, 12:24:45 AM

Last edit: May 07, 2013, 03:17:11 AM by dree12 #1 Bitcoin is known by many but owned by few.



Most of my friends know about Bitcoin. There are few exceptions. News coverage recently has been phenomenal.



But I can't say the same about their opinion of Bitcoin. One pointed out, "who would spend hundreds of dollars on that thing?". Another replied, "yeah, the price is way too high".



For perfectly rational human beings, the price is not an important factor. After all, a single bitcoin can be divided into 100000000 unitsthis is so large a number that the satoshi, worth 0.00000001 BTC , is worth a third that of the lowest physical denomination of currency: the Uzbekistani tiyin.



But rational and human together form an oxymoron. Whereas my friends were easily corrected on the ability to purchase fewer than one bitcoin, the psychological barrier cannot be ignored. People do not consider using something unless they have at least one of them. Nobody buys half a car, or 0.25 houses. We can't eat 0.03 apples, and we would reject a gift of 0.007 trees.



These comparisons obviously do not apply to bitcoins, as they are effectively divisible anywhere. But because Bitcoin is abstract, we tend to compare a bitcoin to something physical. As a result, we balk at not being able to own a single bitcoin.



This also hurts the economy. Most are so accustomed to spending dollars, quarters, etc. that the thought of spending 0.007 BTC is awkward. Even worse, some merchants reject Bitcoin because they feel that 0.05 BTC is unfair compensation for the products they offer.



What if we used m BTC by default? Then merchants would get payed 50 m BTC . The "dollar" store would offer products for 1 m BTC . Et cetera.



For those living in countries with a currency valued at or higher than the US dollar, also recall that most countries have lower-valued currencies. The m BTC , among currencies, would be right in the middle of the pack.



For all these reasons, I will begin to use m BTC . It just makes sense. And I hope we could demonstrate the power of the decentralized system of governance, and band together to do so. I aspire to transact with others only in m BTC by the end of May. And I hope you will too.