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Gold has a value because it can also be used for legitimate industrial applications, plus it has the other physical qualities of being attractive to look at and

Gold has a value because it can also be used for legitimate industrial applications, plus it has the other physical qualities of being attractive to look at and doesn't corrode (i.e. useful for making jewellery). So yes, while it does have value because people believes it has value. Even if no person wanted gold for its "imagined" value, it would still have value because it's used by many actual companies in actual products (electronics etc). E.g. Every iPhone contains about 0.0012 ounces of gold. Bitcoin has no value other than imagined by people. I.e. Greater Fool theory.

ilammy 6y ago
Bitcoin can be used for making transactions on the Bitcoin network, and to store information permanently on the Bitcoin blockchain. Here are examples of applications. Industrial applications of gold as imaginary as those applications of Bitcoin are. You can use other metals as conductors, and the whole notion of a specific arrangement of molecules being called “an appliance” or “a jewellery piece” is just human imagination.
- imtringued 6y ago
  > Bitcoin can be used for making transactions on the Bitcoin network, and to store information permanently on the Bitcoin blockchain. Here are examples of applications. Why would I want to do this on Bitcoin specifically? There are thousands of cryptocurrencies that offer this and an entire banking system that specializes in financial transactions. >You can use other metals as conductors, and the whole notion of a specific arrangement of molecules being called “an appliance” or “a jewellery piece” is just human imagination. The difference is that it is a form of human imagination shared by most humans. The golden appearance has a certain appeal to it. If humans want it regardless of its value on the financial markets that is a reason to agree that gold is THE store of value instead of silver or Bitcoin being THE store of value. This is a popularity contest and being able to wear and see your gold gives you a massive head start in the popularity contest.
- not_kurt_godel 6y ago
  > the whole notion of a specific arrangement of molecules being called “an appliance” or “a jewellery piece” is just human imagination. Yes indeed! And you know what they say about too much imagination - VERY dangerous. In light of this, I am making a special one-time offer to you to improve your safety by sending me specific arrangements of molecules you may have that take the form of gold or US "dollars". Act now before it expires!
space_rock 6y ago
So paper money has zero value? Golds value does not equal is industrial use value. It has additional value as it has the properties that make it useful money. Same as USD paper and Bitcoin have value as money
imtringued 6y ago
>and doesn't corrode Actually that is what makes it attractive as a store of value. It's going to last millions of years. Bitcoin is data on HDDs and SSDs and we know that those eventually corrode or simply become obsolete.
loughnane 6y ago
The industrial uses are real, but the lion’s share of the price of gold is driven by our collective belief in its value rather than some utility. And bitcoin is more easy to move around than gold, which is a benefit

ilammy 6y ago

Bitcoin can be used for making transactions on the Bitcoin network, and to store information permanently on the Bitcoin blockchain. Here are examples of applications. Industrial applications of gold as imaginary as those applications of Bitcoin are. You can use other metals as conductors, and the whole notion of a specific arrangement of molecules being called “an appliance” or “a jewellery piece” is just human imagination.

imtringued 6y ago
> Bitcoin can be used for making transactions on the Bitcoin network, and to store information permanently on the Bitcoin blockchain. Here are examples of applications. Why would I want to do this on Bitcoin specifically? There are thousands of cryptocurrencies that offer this and an entire banking system that specializes in financial transactions. >You can use other metals as conductors, and the whole notion of a specific arrangement of molecules being called “an appliance” or “a jewellery piece” is just human imagination. The difference is that it is a form of human imagination shared by most humans. The golden appearance has a certain appeal to it. If humans want it regardless of its value on the financial markets that is a reason to agree that gold is THE store of value instead of silver or Bitcoin being THE store of value. This is a popularity contest and being able to wear and see your gold gives you a massive head start in the popularity contest.
not_kurt_godel 6y ago
> the whole notion of a specific arrangement of molecules being called “an appliance” or “a jewellery piece” is just human imagination. Yes indeed! And you know what they say about too much imagination - VERY dangerous. In light of this, I am making a special one-time offer to you to improve your safety by sending me specific arrangements of molecules you may have that take the form of gold or US "dollars". Act now before it expires!

space_rock 6y ago

So paper money has zero value? Golds value does not equal is industrial use value. It has additional value as it has the properties that make it useful money. Same as USD paper and Bitcoin have value as money

imtringued 6y ago

>and doesn't corrode Actually that is what makes it attractive as a store of value. It's going to last millions of years. Bitcoin is data on HDDs and SSDs and we know that those eventually corrode or simply become obsolete.

loughnane 6y ago

The industrial uses are real, but the lion’s share of the price of gold is driven by our collective belief in its value rather than some utility. And bitcoin is more easy to move around than gold, which is a benefit