Technicals Suggest Bitcoin Is Still Less Than Ideal for Everyday Payments

Even with the rise of Layer 2 solutions, many experts believe Bitcoin may have missed the mark as a currency for overnight remittances go.
Analysis
It's no secret that a vast majority of investors in both traditional and crypto finance view Bitcoin (BTC) as a long-term store of value akin to "digital gold". And, while this may be the dominant narrative surrounding the asset, it should be noted that in recent years the use of flagship crypto as a medium of exchange has increased.

At this point, recently, El Salvador's central bank revealed that its citizens living abroad had sent over $50 million in remittances to friends and family. To elaborate, Douglas Rodríguez, president of the Central Reserve Bank of El Salvador, announced that $52 million in BTC remittances were processed through the country's national digital wallet service, Chivo, in the first five years. months of the year alone, marking an increase of 3.9%, 118 million. increase in value compared to the same period in 2021.

Bitcoin as a means of payment is on the rise, as evidenced by the notable increase in the adoption of Layer 2 payment protocols such as the Lightning Network. At this point, BTC transaction volumes have currently increased by 400% over the past twelve months.

Therefore, it is worth considering whether Bitcoin's usefulness as a daily transaction medium is actually achievable, especially from a long-term perspective, because compared to other networks like Ethereum, Solana or Cardano, Bitcoin is still lagging behind. in key areas such as scalability and transaction throughput.
Is Bitcoin's usefulness as a payment method overrated?
According to Corbin Fraser, Head of Financial Services for Bitcoin Exchange and developer of Bitcoin.com cryptocurrency wallets, Bitcoin has lost its prime mover advantage as peer-to-peer (P2P) cash. This is because since 2016 the Bitcoin community has been doing everything possible to explain to its users that they absolutely should not use Bitcoin for payments or payments related to remittances.

Crypto Jul 19, 2022 0 116 Add to Reading List

Technicals Suggest Bitcoin Is Still Less Than Ideal for Everyday Payments

Even with the rise of Layer 2 solutions, many experts believe Bitcoin may have missed the mark as a currency for overnight remittances go.

Technicals suggest Bitcoin is still far from ideal for daily payments

Analysis

It's no secret that a vast majority of investors in both traditional and crypto finance view Bitcoin (BTC) as a long-term store of value akin to "digital gold". And, while this may be the dominant narrative surrounding the asset, it should be noted that in recent years the use of flagship crypto as a medium of exchange has increased.

At this point, recently, El Salvador's central bank revealed that its citizens living abroad had sent over $50 million in remittances to friends and family. To elaborate, Douglas Rodríguez, president of the Central Reserve Bank of El Salvador, announced that $52 million in BTC remittances were processed through the country's national digital wallet service, Chivo, in the first five years. months of the year alone, marking an increase of 3.9%, 118 million. increase in value compared to the same period in 2021.

Bitcoin as a means of payment is on the rise, as evidenced by the notable increase in the adoption of Layer 2 payment protocols such as the Lightning Network. At this point, BTC transaction volumes have currently increased by 400% over the past twelve months.

Therefore, it is worth considering whether Bitcoin's usefulness as a daily transaction medium is actually achievable, especially from a long-term perspective, because compared to other networks like Ethereum, Solana or Cardano, Bitcoin is still lagging behind. in key areas such as scalability and transaction throughput.

Is Bitcoin's usefulness as a payment method overrated?

According to Corbin Fraser, Head of Financial Services for Bitcoin Exchange and developer of Bitcoin.com cryptocurrency wallets, Bitcoin has lost its prime mover advantage as peer-to-peer (P2P) cash. This is because since 2016 the Bitcoin community has been doing everything possible to explain to its users that they absolutely should not use Bitcoin for payments or payments related to remittances.