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Would you mind elaborating please? I am not following your point. I understand cash has this same issue. Assets do not - they provide an actual value to the ph
by throwaway413 4y ago
Would you mind elaborating please? I am not following your point.
I understand cash has this same issue. Assets do not - they provide an actual value to the physical world - which is what my point was in the above statement. A crypto t shirt can still provide value as a t shirt, regardless of the value of the coins it holds. I’ll admit it’s a reach, but just to illustrate the point.
- aaaaaaaaata 4y agoBitcoin is the same value-add as cash because you can basically redeem it anywhere now, with few speedbumps if any due diligence is done.
- throwaway413 4y agoThis doesn’t really address the point. As I said above, yes cash and crypto have this same flaw, they are useless without the ability to trade it. What is a dollar good for? Wrapping a stick of gum? That was the point. True utility value.
- mattwilsonn888 4y agoMoney is important, it provides liquidity for trading. It is based on trust, so it makes sense that it can feel arbitrary, but you simply have to compare a world where you must barter assets directly between those who actually want that specific asset to realize how much of an improvement money is; meaning its not so arbitrary. What gives money its value? Well it depends on the money. Fraud, violence, trust, in the case of Bitcoin: cryptography and game theory.