←back to thread

662 points JacobHenner | 5 comments | | HN request time: 0s | source
Show context
mannyv ◴[] No.40214223[source]
One major effect of this is that weed stores will be able to use banks and payment processors legally once the regulators catch up.
replies(17): >>40214302 #>>40214371 #>>40214681 #>>40214723 #>>40214802 #>>40214840 #>>40215087 #>>40215094 #>>40215242 #>>40215259 #>>40215926 #>>40216092 #>>40216174 #>>40217047 #>>40217090 #>>40218919 #>>40227379 #
defiamazing ◴[] No.40214840[source]
I don’t get why they don’t just use Bitcoin or Ethereum.
replies(5): >>40214998 #>>40215676 #>>40216913 #>>40218613 #>>40220353 #
kstrauser ◴[] No.40214998[source]
Mainly because your employees, suppliers, and landlord have no desire to be paid in Bitcoin.
replies(1): >>40216607 #
AnthonyMouse ◴[] No.40216607[source]
What does that matter? You can convert Bitcoin into cash. But then you can do that in an undisclosed location at your leisure instead of keeping a mountain of cash in your publicly advertised storefront location and becoming a huge robbery target.

Also, it doesn't seem like it would be that hard to find someone to accept it as payment, since they can convert it to cash too. And the sort of landlords/suppliers/employees willing to do business with a dispensary seem like exactly the sort who would accept Bitcoin.

replies(4): >>40216982 #>>40216983 #>>40217340 #>>40217503 #
paulddraper ◴[] No.40217340[source]
And for all that convenience, each BTC transaction costs only $7 !
replies(1): >>40217361 #
1. AnthonyMouse ◴[] No.40217361[source]
So use Bitcoin Cash or any of the other alternatives with lower transaction fees.
replies(1): >>40217530 #
2. dghlsakjg ◴[] No.40217530[source]
The transaction fee for a cash transaction is $0 and no time for the consumer.

That is the benchmark you are competing against.

replies(1): >>40217637 #
3. AnthonyMouse ◴[] No.40217637[source]
Cash transactions require you to make change and are a target for theft. This is neither free nor zero time.
replies(1): >>40217951 #
4. dghlsakjg ◴[] No.40217951{3}[source]
> Cash transactions require you to make change and are a target for theft. This is neither free nor zero time.

That's why I specified "for the consumer", who is typically the person that is going to make a purchasing decision.

Using crypto for dispensaries has been tried, and it hasn't gained traction in the many years that its been an option. If you introduce friction (by forcing people to transact using a novel payment form), you are going to lose customers. The fact that the very few dispensaries that accept crypto continue to accept cash and debit should tell you what consumers like.

replies(1): >>40221076 #
5. AnthonyMouse ◴[] No.40221076{4}[source]
> That's why I specified "for the consumer"

It takes the same amount of time to make change for the consumer as the store. Or more, because now you have to wait while they make change for the person in front of you, then for you on top of that.

And nobody wants to be at a store which is more likely to get robbed. Not only do you lose your cash, you could lose your life.

> The fact that the very few dispensaries that accept crypto continue to accept cash and debit should tell you what consumers like.

There are multiple consumers. If you can get half of them to use Bitcoin, you have half as much cash on hand to lose in a robbery, and on top of that half as much incentive for someone to rob you to begin with.