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Gold's value is other people's belief in it being worth something, so they will trade other things for it. Same with other rare metals. Property has something
by shanusmagnus 4y ago
Gold's value is other people's belief in it being worth something, so they will trade other things for it. Same with other rare metals. Property has something close to intrinsic value in that it provides shelter, but the value of property is only realizable if the social context allows it to be realized -- your claim to a house is only as good as the government's willingness to recognize that claim, and to protect it for you when it is challenged by others.
Point is, the devastating attacks people think they're lobbing at bitcoin when they say that it's not 'backed' by anything are neither devastating, nor unique to bitcoin: unless you're talking about a commodity that people are consuming directly, nothing is backed by anything other than socially held belief.
That's all money is, when you unwind it all the way. The important question is what is the relevant society, and what beliefs do they hold?
- effingwewt 4y agoYou are talking about a break down of society. In which values would indeed change drastically. Women of child bearing age, seeds, potable water, would instantly become precious. I'm talking about normal ass society. These may fluctuate, but there is a reason that since the beginning of human civilization we have currencies. Crypro is too volatile as a way to store wealth, that's why to this day the rich are hoarding gems and gold and property. I think all of it is ridiculous personally, even the dollar is no longer backed by gold. Point being you cant compare volatile, scammy, etc crypto to pretty much any normal value store. IMO.