No, you’re mistaken. I am not aware of anyone advocating for use of bitcoin for retail transactions; rather, the preferred use case is as a store of value with zero-cost international transfers. Wire transfers of fiat currency are precisely what Bitcoin is competing with.
Correct. BTC would be used to hold a lump sum and protect from inflation and other forms of gov’t control. It could then be transferred for large purchases or transactions from the source wallet. For smaller transactions it would only be used to fill a more traditional payment processor with X weeks or months of money for your $10 McDonalds order.
So it needs to displace wire transfers, 90%+ of which are done by banks and large corporations that have no interest in replacing the current financial model? Doesn’t seem like something that has much of a future.