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maybe it's not "good" money. Bitcoin is a store of value and it's volatile, much like e.g. the stock of tesla. Conventional money is protected from speculation
by cblconfederate 6y ago
maybe it's not "good" money. Bitcoin is a store of value and it's volatile, much like e.g. the stock of tesla. Conventional money is protected from speculation and swings by guns. Bitcoin is not going to have such protection, but it doesn't seem people who invest in it mind very much. Maybe the concept of what is "good money" has shifted.
- SpicyLemonZest 6y agoMaybe. But the alternative hypothesis we have to evaluate against is that people don't expect Bitcoin to be good money in the first place, and their investments are driven by a desire to be part of the movement or a hope that they'll be able to get rich off of it. A sudden spike and then fall in Dogecoin, which was never intended to be taken seriously, is a pretty strong pointer in that direction.
- sanp 6y agoAgreed. Store of value with as much "intrinsic" value (i.e., no one knows and determined by supply / demand) as any other asset.
- robjan 6y agoTesla is a company which produces goods and services in return for money. When you own stock in Tesla you own part of the company so it's not something that would be classified as a store of value since it's economically productive.