Fwd: basic thought exercise (bitcoin commerce supply/demand)
Ok so this morning I'm doing a basic thought exercise which is: "Why =o people would want to use bitcoins? and Why would businesses use =itcoins"? So this like very basic stuff for actual commerce
Let's call people "demand" and companies "supply".
Demand:
- Tax evasion
- Accumulated wealth through mining (only applies to early adopters) => 3) No banks? --> I think this only makes sense for non-western =ountries, people with certain ideologies, criminals and poor people
- Somewhat increased anonymity? --> People clearly don't give a fuck =bout privacy, so this would only be for porn, drugs and maybe betting
- Reduced costs for international trades --> I don't think most =eople understand that they are charged an FX fee on top of a rigged =xchange rate whenever they are paying in a foreign currency, so really ='m not sure that's a concern. And if it is it probably means you are =ell informed and off enough to afford an amex platinum or similar =lternatives
Supply:
- Reduced costs --> for now, this is going to change both because of =he dynamics of bitcoin but also for fraud prevention etc etc
- Tax evasion?
- Bigger userbase --> getting easier access to markets like china or =ussia? I don't actually buy this. For instance the problem in shipping =tuff to Russia is that you need to bribe the custom agent that gets =our package, so it ends up costing *a lot' to you and it has nothing to =o with CC
- Analytics on consumers --> use transactions on the blockchain to =nderstand what your customers buy
What am I missing here?
I think what I'm trying to get at is that of the above half of them =on't apply to the US/western countries and the other half can be =rushed in a second by tax authorities/LEO
Begin forwarded message:
From: Vincenzo lozzo
Subject: basic thought exercise (bitcoin commerce supply/demand)
Date: 24 settembre 2014 09:33:29 GMT-4
To: Joichi Ito
Ok so this morning I'm doing a basic thought exercise which is: "Why =o people would want to use bitcoins? and Why would businesses use =itcoins"? So this like very basic stuff for actual commerce
Let's call people "demand" and companies "supply".
Demand:
- Tax evasion
- Accumulated wealth through mining (only applies to early adopters) => 3) No banks? --> I think this only makes sense for non-western =ountries, people with certain ideologies, criminals and poor people
- Somewhat increased anonymity? --> People clearly don't give a fuck =bout privacy, so this would only be for porn, drugs and maybe betting
- Reduced costs for international trades --> I don't think most =eople understand that they are charged an FX fee on top of a rigged =xchange rate whenever they are paying in a foreign currency, so really ='m not sure that's a concern. And if it is it probably means you are =ell informed and off enough to afford an amex platinum or similar =lternatives
Supply:
- Reduced costs --> for now, this is going to change both because of =he dynamics of bitcoin but also for fraud prevention etc etc
- Tax evasion?
- Bigger userbase --> getting easier access to markets like china or =ussia? I don't actually buy this. For instance the problem in shipping =tuff to Russia is that you need to bribe the custom agent that gets =our package, so it ends up costing *a lot' to you and it has nothing to =o with CC
- Analytics on consumers --> use transactions on the blockchain to =nderstand what your customers buy >
What am I missing here?
I think what I'm trying to get at is that of the above half of them =on't apply to the US/western countries and the other half can be =rushed in a second by tax authorities/LEO