Bitcoin operates in many ways like a ponzi scheme (the value of investment depending on future investors for value) and is mainly operating as money laundering tools.
Until this has some real world use, like walking to a store and given the choice of cash, credit or crypto I don't see it as much more than a gamble of an investment.
For that it would have to have zero intrinsic value, which in reality is lower bounded by the cost of mining (e.g. hardware, electricity, real estate, utilities, security etc.).
The costs of securing the network (e.g. mining) are what gives Bitcoin inherent value. The limited number of Bitcoins available then correlates the velocity of money (e.g. how much capital flows through the network) with the number of circulating Bitcoins and the mining costs.
Requiring a resource to produce does not give something intrinsic value. Intrinsic value is value that something has all by itself.
For example, if silver was used as a currency (as it was for almost all of human history) it has a value all by itself completely separate from its value as a currency. Silver (the element Ag) has thermal and electrical conductive properties that are unmatched. It is one of our most important tools in modern technology. It has also been used for adornment throughout all of history because it is pretty all by itself.
Bitcoin requires energy to create, but after creation it can't be used for anything, not even in the digital space. It is useless outside of its convenience as an intermediary for barter (currency).
Even that is fraught with problems, one of which is, it is completely trackable through all of its purchase history. It is an AMAZING tracking tool (its frightening how amazing it is). It puts Facebook to shame in its potential to track human activity.
but after creation it can't be used for anything, not even in the digital space. It is useless outside of its convenience as an intermediary for barter (currency).
this is actually a good thing. Right now Silver is in all of our electronics. In our phones, computers and everything.
Well, a lot of people think Silver is too low in price. It should be much higher. Know what that means? The price of silver goes up, so the manufacturer has to raise prices to cover the cost of buying silver. So the cost of all products with silver goes up. And Silver isnt just in electronics. Its in medical stuff too.
Sorry, but the economy will NOT be held hostage by silver hoarders. Do you really want to get rich in silver if that means people can't afford medical care?
The fact that Bitcoin cant be used for anything Except money makes it super attractive. Its the purest form of money we have ever created so far.
Bitcoin operates in many ways like a ponzi scheme (the value of investment depending on future investors for value) and is mainly operating as money laundering tools.
Until this has some real world use, like walking to a store and given the choice of cash, credit or crypto I don't see it as much more than a gamble of an investment.
No, Bitcoin does not operate like a ponzi scheme.
For that it would have to have zero intrinsic value, which in reality is lower bounded by the cost of mining (e.g. hardware, electricity, real estate, utilities, security etc.).
The costs of securing the network (e.g. mining) are what gives Bitcoin inherent value. The limited number of Bitcoins available then correlates the velocity of money (e.g. how much capital flows through the network) with the number of circulating Bitcoins and the mining costs.
Requiring a resource to produce does not give something intrinsic value. Intrinsic value is value that something has all by itself.
For example, if silver was used as a currency (as it was for almost all of human history) it has a value all by itself completely separate from its value as a currency. Silver (the element Ag) has thermal and electrical conductive properties that are unmatched. It is one of our most important tools in modern technology. It has also been used for adornment throughout all of history because it is pretty all by itself.
Bitcoin requires energy to create, but after creation it can't be used for anything, not even in the digital space. It is useless outside of its convenience as an intermediary for barter (currency).
Even that is fraught with problems, one of which is, it is completely trackable through all of its purchase history. It is an AMAZING tracking tool (its frightening how amazing it is). It puts Facebook to shame in its potential to track human activity.
this is actually a good thing. Right now Silver is in all of our electronics. In our phones, computers and everything.
Well, a lot of people think Silver is too low in price. It should be much higher. Know what that means? The price of silver goes up, so the manufacturer has to raise prices to cover the cost of buying silver. So the cost of all products with silver goes up. And Silver isnt just in electronics. Its in medical stuff too.
Sorry, but the economy will NOT be held hostage by silver hoarders. Do you really want to get rich in silver if that means people can't afford medical care?
The fact that Bitcoin cant be used for anything Except money makes it super attractive. Its the purest form of money we have ever created so far.