4 ms·

Because it needs to have value everyone agrees on.

• mulmen 9y ago
  But we don't all agree on the price of bitcoin and I don't see why we would just because it's rare.
  • westoque 9y ago
    I don’t think it’s just the rarity. It’s also trustless, secure and easy to transfer. For ex, with gold, you’d have to carry blocks of it to move it around. And even then, you’d still don’t exactly trust it’s source 100% unlike bitcoin, where everything is in the ledger.
    • mulmen 9y ago
      Pretty sure gold scales better than bitcoin as far as transactions over time.
      • chii 9y ago
        you'd be hard-pressed to try and transport gold across borders in any significant amount.
        • brucephillips 9y ago
          The vast majority of people own derivatives, not physical gold.