Bitcoin's Core Purpose: Store of Value, Not Payments, Says John Haar Amidst $112,000 Price Point

John Haar, a Managing Director at Swan Bitcoin and former Wall Street portfolio manager, recently asserted that Bitcoin's primary function is as a store of value, not a payment mechanism. In a tweet on August 29, 2025, Haar contended that viewing Bitcoin mainly for payments misunderstands fundamental economic realities. His statement comes as Bitcoin's price hovers around $112,000, having recently touched $123,000, and with his prediction of reaching $200,000 by year-end.

Haar highlighted that nearly the entire planet faces a significant "store-of-value problem" due to inflation. This perspective aligns with broader economic concerns, as the International Monetary Fund (IMF) noted in April 2024 that while global inflation is slowing, it remains a persistent challenge for many countries into 2025. The need for a reliable hedge against monetary debasement is therefore critical for individuals worldwide.

He further elaborated on the differing needs of developed and developing nations regarding payment systems. Developed countries generally do not suffer from significant payment issues, either from a technological standpoint or due to censorship. Conversely, developing countries, despite often having payment problems, frequently hesitate to adopt Bitcoin for transactions because of its perceived volatility and unfamiliarity to populations living paycheck to paycheck. This sentiment was echoed in a September 2023 Reuters report on El Salvador's Bitcoin experiment, which revealed that 88% of Salvadorans did not use Bitcoin for transactions, citing volatility and usability challenges.

Haar underscored that the store-of-value attribute is a critical function of money, asserting it is needed far more than payments or a medium of exchange. He posits that payments are, at this point, merely a "neat byproduct" of Bitcoin's core utility. His views emphasize a long-term investment and wealth preservation thesis for the digital asset.

"To believe Bitcoin's primary purpose is for payments is to misunderstand the following realities: Nearly the entire planet faces a store-of-value problem (an inflation problem)... Store-of-value is a critical function of MONEY, and it is needed far more than payments/MoE. At this point in time, payments/MoE is Bitcoin's neat byproduct."

This perspective reinforces the ongoing debate about Bitcoin's evolving role in the global financial landscape, positioning it as a fundamental solution to inflationary pressures rather than a direct competitor to traditional payment networks.