> It's pretty dumb to actually spend bitcoins if you could just hold onto them and sell a week or two later at twice the price
Similarly it's pretty dumb to hold on to dollars if you know you could double them in a week by buying bitcoin. The ideal solution is to spend bitcoin and immediately replenish them by exchanging USD to bitcoin. That way, you still have the same amount of bitcoin and simultaneously more bitcoins are going into the economy.
> The volatility is valuable for speculators, but could be ruinous if you were trying to run a business based on it.
Immediately converting to fiat removes the risk. The beauty is you get to decide what you want to do with them.
Similarly it's pretty dumb to hold on to dollars if you know you could double them in a week by buying bitcoin. The ideal solution is to spend bitcoin and immediately replenish them by exchanging USD to bitcoin. That way, you still have the same amount of bitcoin and simultaneously more bitcoins are going into the economy.
> The volatility is valuable for speculators, but could be ruinous if you were trying to run a business based on it.
Immediately converting to fiat removes the risk. The beauty is you get to decide what you want to do with them.