Stablecoins Make Better Daily Tools Than Bitcoin for Now, Says Lyn Alden

Bitcoin may be gaining traction as a long-term store of value, but according to macro analyst Lyn Alden, its day-to-day use as a payment method still has a long way to go. In her latest commentary, Alden explains why BTC is not yet practical for widespread daily spending—and why that might not even matter.

Good to know

• Alden sees Bitcoin more as a store of value than a payment tool.
• Stablecoins currently offer easier short-term payment options.
• Tax laws and volatility make Bitcoin tough to use for everyday purchases.

Some Bitcoin supporters encourage people to spend it more often, hoping it will evolve into a commonly used currency. Alden pushes back on that view. She argues that BTC’s use as a medium of exchange will only grow if it starts solving problems that other payment tools cannot.

“There are some very well-meaning Bitcoin proponents trying to convince Bitcoin holders to spend it more. I don’t particularly view that as a sustainable practice,” Alden says. “Bitcoin is not going to catch on as a charity.”

She points out that for Bitcoin to scale beyond just billions to trillions in annual transaction volume, it needs to be the better choice for spenders or merchants in real-world situations. At the moment, she argues, stablecoins already fill that role for many people dealing with payment blocks, capital controls, or volatility concerns.

Stablecoins, which are tied to fiat currencies, allow users to make low-volatility transactions across borders without needing to worry about Bitcoin’s price swings or the tax implications that come with every BTC transaction in some countries.

BTC as a Global Insurance Policy

Instead of thinking of Bitcoin primarily as a payment tool, Alden highlights its strength as a liquid, portable asset that people can take across borders without needing permission or relying on financial institutions. She refers to Bitcoin’s value as “optionality”—a kind of financial flexibility not found in traditional assets.

“Owning a sound, liquid, fungible, portable store of value that is going through its adoption phase gives the owner some perks, or options, that other assets do not,” she writes.

Those options include the ability to move money privately, even across borders or to recipients who have been blocked from using traditional systems. While most people are not paying their rent or groceries with BTC just yet, they can still convert it when needed—especially in environments where banking systems are fragile or restrictions are in place.