5 ms·

> Modern currencies like USD, EUR, JPY etc. don't have intrinsic value either. Arguably, they are like ownership into the country's GDP and military influence

• super256 4y ago
  > Arguably, they are like ownership into the country's GDP and military influence no? Well, yes, but that doesn't give you intrinsic value. If you are long a currency, you make a bet that other people have confidence in the government's ability to enforce the currency and keep economic output high enough to keep the value stable. However, if the government collapses, the money becomes completely worthless. There is no commodity, product, or service backing it up.