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There is no such thing as “fundamental value”, because the value of anything is decided at the moment it’s placed into a market.
by hnarn 5y ago
There is no such thing as “fundamental value”, because the value of anything is decided at the moment it’s placed into a market.
- morpheos137 5y agoSure there is fundamental value of an asset. It is at least the present value of the expected income stream generated for the asset over its lifetime. Cryptocurrencies do not have an income stream so they can not have a fundamental value.
- hnarn 5y agoThe value of any asset is zero if nobody is buying it. If that asset happens to be shares in a company making a profit for example, that means that the risk of nobody wanting to buy it (at any price) is practically non-existent in a real world scenario, sure, but that doesn't mean it has some magical, inherent value disconnected from the market. By your definition no currency in the world has any fundamental value, so what is then the point of even talking about it when discussing crypto currencies?