"No, it doesn't make any sense, because you'd have to pay 3x as much to replace that Bitcoin."
No I wouldn't.
I walk up to the merchant. "Oh, you'll accept my $20 payment in Bitcoin? Ok, I'll pay with that." As I walk away, I tap four times on my phone to convert $20 worth of USD to Bitcoin. My loss is the 1% charge to convert, plus the bid-ask spread, not the 200% gain from tomorrow. I still get that.
I consider 1% a reasonable price to pay to promote Bitcoin. I don't think it'll be necessary for much longer.
assuming there are lots of bitcoin retail options (only one in my town and that is me), there are definitely scenarios where using bitcoin is preferable to dollars even if btc is to rise rapidly. some are futuristic: 1. merchant discount (from, say, no chargebacks) 2. merchant slight discount where the cost of not using credit payment processor savings is passed onto consumer 3. ease of use (I would like to touch my smartphone screen to pay for something) 4. more bitcoin exchanges make procurement freeish and immediate (possibly through an app) 5. quasi anonymity (buying something no one else has to know about). 6. ?
> I consider 1% a reasonable price to pay to promote Bitcoin.
Yes, that's why I say you are following policies of your own choosing. ;)
In a way though you're both "right"... you're still spending your dollars after all, only via an intermediate form in pursuit of your desired currency goals.
No I wouldn't.
I walk up to the merchant. "Oh, you'll accept my $20 payment in Bitcoin? Ok, I'll pay with that." As I walk away, I tap four times on my phone to convert $20 worth of USD to Bitcoin. My loss is the 1% charge to convert, plus the bid-ask spread, not the 200% gain from tomorrow. I still get that.
I consider 1% a reasonable price to pay to promote Bitcoin. I don't think it'll be necessary for much longer.