It is a good question. We are set up to accept btc but haven't had a client yet who has paid us in it
On the one hand I do not see bitcoin's value as being determined by it's worth in USD but on the other hand I'm not yet sure how to price services without making the USD equivelant price the primary metric to consider. Curious how others have thought through this.
It seems to me than accepting USD as payment is accepting a wasting asset. And accepting BTC is accepting a generational asset. (Which, if the business were to hodl, cash flow problems would arise.)
But how would business owners account for inflation, future value, etc? Is current exchange rate the only way? I suppose we do that with other currencies every day.
I'm inclined to offer customers a discount for BTC to account for the longer-term sacrifice they're making and zero processing fees and better privacy, etc.
If nothing else, giving a 3% discount, due to not having to pay CC processing fees, seems very reasonable. You could argue a bigger discount is better if you want to encourage getting paid in BTC more, but giving the 3% discount would be reasonable even if you were going to instantly convert to fiat.
Good default/ place to start!
Right but the rest of the average person's or business's expenses are in fiat. I agree with your statement but accepting USD or exchanging earned BTC for USD at some point to pay other businesses, taxes, etc is still going to be the reality for most.
Seems to me that each business owner needs experiment with bitcoin strategies that make sense for them given industry, their market, and their clientele.
