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Unlike gold, Bitcoin has zero intrinsic value and hasn't been used by as currency by civilisations throughout human history. Central banks would be crazy to ho
by kypro 6y ago
Unlike gold, Bitcoin has zero intrinsic value and hasn't been used by as currency by civilisations throughout human history.
Central banks would be crazy to hold Bitcoin. If a better technology came along which had mass adoption Bitcoin could be made worthless overnight. Many people predicted this could happen in 2017 during the rise of Ethereum.
Personally I can't ever see bitcoin surpassing the the market cap. of gold.
- ur-whale 6y agoThere is no such thing as "intrinsic value". There is only the law of supply and demand. Econ 101. Even the argument that something has intrinsic value because you have a use for it is flawed: how much is a gallon of breathable air worth? A gallon of air is tremendously useful. How much does it cost ? Infinite Supply = Zero Value. There is no such thing as "Intrinsic Value".
- acdha 6y agoYou might want to read this: https://en.m.wikipedia.org/wiki/Intrinsic_value_(numismatics) https://en.m.wikipedia.org/wiki/Intrinsic_value_(numismatics... Gold has intrinsic value based on the industrial and jewelry uses: you could lose a lot more over the industrial demand point but it won’t go below that point because people use it for things other than speculation. In contrast, random hashes have no value outside of a particular community consensus. You can’t do anything with them and the ones in the Bitcoin blockchain have no more inherent value than those in any other network.