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> Bitcoin has a non zero floor price. I think anyone would agree with this. I don't. I don't think it's literally zero - even if it drops to $.01 some people
by ineptech 5y ago
> Bitcoin has a non zero floor price. I think anyone would agree with this.
I don't. I don't think it's literally zero - even if it drops to $.01 some people will still buy it on the theory that it might go up to $.02. But all of its value is speculative, I don't think it has any intrinsic value (which is equivalent to saying I don't think participating in the crypto economy, smart contracts and all that, has value). And the reasons are as explained in the article - beyond avoiding regulators, it doesn't allow us to do much that we couldn't do before, and what it allows us to do isn't all that valuable.
Even if I knew with absolute certainty that I would never be able to sell it for a profit, I might still buy gold, e.g. to make conductive wire. That's the intrinsic value. What's the equivalent for BTC? How many bitcoins would you buy if you knew that you would not be able to sell them for a profit?
- thewarrior 5y agoWhy does gold have a non zero floor price and not Bitcoin ? Is it merely because Gold has industrial uses ? That floor would be far lower than Golds current price.
- worik 5y agoGold has important uses in industry Gold has important uses in jewellery Gold has a natural scarcity, is easy to store, hard to steal. Crypto has no natural scarcity (other than a reluctance to waste energy), is very hard to store and relatedly is very easy to steal.
- ineptech 5y agoYes. Gold has both speculative value (you can sell it for more than you bought it for) and intrinsic value (you can use it for stuff). A bitcoin has speculative value only, as far as I can tell. Whether the same is true of crypto generally (including defi and daos and so forth) is open for discussion and one of the things being argued over in this thread.