You are describing the most convoluted way of using Bitcoin. You just don't do USD->USD transfers with BTC. Instead you hold an amount of BTC and you pay with BTC for services that accept BTC. Conversion USD->BTC and BTC->USD is hard simply because banking system is trying to make it hard.
> If I send $10 to my Dad in bitcoin
Have you tried to use BTC to do business with Amish? Or any other made-up situations where you force BTC on people who don't know how it works or have no business using it?
But that's primarily what I use PayPal for: sending money to family and friends. Paying for my share of dinner, or concert tickets in a group buy, that kind of thing. I will occasionally buy things using PayPal (usually eBay stuff), but mostly, it's simply a money transfer mechanism.
For that, PayPal is perfect and BTC is overkill. Parent said "You obviously have never used Bitcoin." I have. For this, it's a pain whereas PayPal is flawless ever time.
> Conversion USD->BTC and BTC->USD is hard simply because banking system is trying to make it hard.
But is it really that much harder than any other currency exchange? Off the top of my head, I don't even know how I would buy, sell or change Euro to USD without physically going to the bank.
> Have you tried to use BTC to do business with Amish? Or any other made-up situations where you force BTC on people who don't know how it works or have no business using it?
See, it's this type of attitude that makes people groan when talking to bitcoin advocates. You're calling a situation that I have personally encountered and provided a detailed accounting of to back up my assertion "made-up" and comparing me and my family to Amish?
> You're calling a situation that I have personally encountered and provided a detailed accounting of to back up my assertion "made-up" and comparing me and my family to Amish?
You've exposed your father to losses without explaining to him that BTC is in fact not USD and USD/BTC is a floating exchange rate. I don't see how this is problem of BTC and not your own personal screw up.
> You've exposed your father to losses without explaining to him that BTC is in fact not USD and USD/BTC is a floating exchange rate.
You are assuming that both of us were not aware of that. We both were and were interested in trying something new. But it is still a reality of using Bitcoin when the entire transaction is not in bitcoin.
Anyway, the larger point remains: there are some transaction that bitcoin is ill suited for and PayPal is great for. Sending money to people is one of the core features of PayPal that works like a breeze whereas buying and selling a different currency just to send money makes little sense.
"Situation is real, but the problem is made up". You did made up that point, after all.
Once again - if you are using other currency, being it BTC, CHF, EUR, RUB or CNY, you are exposing yourself and counterparty to exchange rate fluctuations. Difference is - with BTC you have some extra possibilities.
As for PayPal - yeah, it's a breeze until it's not. I.e. until they've blocked your account because reasons. With BTC I own my money. With PayPal, PayPal owns me.
> If I send $10 to my Dad in bitcoin
Have you tried to use BTC to do business with Amish? Or any other made-up situations where you force BTC on people who don't know how it works or have no business using it?