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The catalyst:
The reason it gets to $250,000 and probably beyond is that it will take a moment when you can buy your food, your clothing and your shelter all in Bitcoin.
And here are the statistics that I know: women control 80% of retail spending. And that’s usually the food, the clothing and the shelter. And women only have, way back it was like one in 14 Bitcoin wallets, and now it’s one in six.
And when women realize that they can get a discount by paying in Bitcoin, when retailers realize they can double their profits by accepting Bitcoin, it’s going to move pretty quickly.”
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I think Draper's point is silly and simplistic, but I hope he's right. I have to admit that when given the opportunity to pay in bitcoin, my gut feeling is why should I spend my bitcoin, when they will also accept my crap fiat?
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Because you're short bitcoin if you own fiat
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True, but Gresham's Law still applies:
"The course our city runs is the same towards men and money.
She has true and worthy sons.
She has fine new gold and ancient silver,
Coins untouched with alloys, gold or silver,
Each well minted, tested each and ringing clear.
Yet we never use them!
Others pass from hand to hand,
… These we spurn for men of brass …”
The Frogs, Aristophane
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Bad money drove out to good because people couldn't use only good money (divisibility, laws) so there was always some bad money in circulation.
With bitcoin this isn't necessary anymore as you can store your full wealth in it and do every transaction in bitcoin. No need to hold bad money anymore, so you can only spend good money.
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