Consumer Apathy is a Risk
The previous posts have focused on powerful centralized entities such as governments and stakeholders in the ecosystem such as developers. There is another group that is paramount to the development and adoption of Bitcoin. At the end of the day end users are what make Bitcoin so valuable. It is the network effect of having so many people using the same protocol that increases value over time.
One risk with this group is that people may not care enough about how money works to move the needle on mass adoption. Fiat money has been flawed since we unpegged from the gold standard yet the discussion on how money should work has not entered the mainstream lexicon just yet. Most people are used to an inflationary environment, and since that is all that they know, they have little incentive to learn more about Bitcoin. This consumer apathy towards Bitcoin is a risk because without more and more people choosing to invest in and store their wealth in Bitcoin, mass adoption will not occur.
It is a Small Risk Based off Historical Precedent
We consider this a small risk because of what has happened in the short history of Bitcoin so far. Each time the price appreciates exponentially, there is a new group of users and investors that join the ecosystem to speculate on the price. Some get indoctrinated in the ideologies and views and stay for the long term. This increases the power of the network effects and reduces the chances of Bitcoin becoming a passing fad. The pattern continues every cycle from peak to trough.
Our Role at The Coin Shack
We here at The Coin Shack are trying to do our part every day to reduce this risk. Along with trying to provide the best price to buy and sell Bitcoin, we really emphasize education. We love answering questions about Bitcoin and helping our clients navigate some of the more technical aspects of buying, holding and securing Bitcoin. Come pay us a visit to learn more!