Theoretically companies like Mindgeek who have been kicked off of the VISA/Mastercard duopoly, would be able to use Bitcoin as a censorship-resistant way to accept online payment. There's additional benefits as mentioned earlier like not needing to comply with KYC laws.

Of course, as Bitcoin currently stands, it's difficult for this to come to fruition because most holders are speculators rather than people interested in using it as currency.

Exactly. And barring an unlikely collapse, cash/dollar isn't going to fluctuate much at all in value. So... a feature.

At this point, bitcoin is a competitor to gold as an asset store. Maybe it will be more like a currency at some point. But there's a long way to go and a lot of forces against it for that to occur.

With cash you can hand it to another person in payment. With conventional digital payments you request a trusted intermediary (your bank) to transfer that value to them. What if you don't trust banks but still want to be able to pay people?

Bitcoin was born in the Global Financial Crisis when the world was discovering the massive scam which the financial services industry had perpetrated, causing the whole problem. People wanted a way to do transactions without having to trust institutions which demonstrably couldn't be trusted. Hence Bitcoin which acts like digital cash with no trusted intermediary.

Well, take the upsides of cash (e.g. don't need to open a bank, prove residence, etc.) and now add the ability to exchange it digitally without the pointless gatekeeping of large corporations like Paypal.