Bitoin is flawed for the following reason.
1. The Bitcoin exchange is unregulated.
2 It's generally not accepted by retailers as a digital currency and when it is accepted,
the value is only recognized for trading purposes. There is no benefit of holding Bitcoin due to the volatility. The exchange loss could create a financial loss on any commercial transaction made with Bitcoin due to the volatility.
3 The holding risk compounds the instability of bitcoins market value. If retailer accept bitcoin they have to immediately convert it to currency to avoid financial losses.
The consequence is a market flooded with bitcoin sales which makes Bitcoin too volatile to be a credible trading currency.
