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76 sats \ 1 reply \ @SpaceHodler 8 Apr \ on: Time preference - Mises Wiki econ
The Bitcoin adoption curve also drives a form of a high time preference.
When waiting for a fiat payment (e.g. from a customer, for a product you sold or service your provided), you want it to arrive ASAP; it's better to get it now than in, say, a month. And Bitcoin makes this preference more pronounced, because while in a month from now it may not buy you much less food, it's likely to buy you much fewer sats. Or in other words, because you expect bitcoin to rise in purchasing power.
It may seem at first that this is because the payment is denominated in fiat, but it has nothing to do with fiat. If the payment was in cows, it would be the same, because cows, too, are going to zero against bitcoin. Fiat < cows < bitcoin.
You wouldn't care as much how soon you got paid if you were paid in bitcoin itself, but people prefer to pay in (= dispose of) weaker things first.
💯 percent
Spend weak money first before tapping into your bitcoin reserves
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