Comment by mgraczyk
4 years ago
The same (incorrect) reasoning applies to literally anything you don't physically use including USD, equities, gold, land, etc.
4 years ago
The same (incorrect) reasoning applies to literally anything you don't physically use including USD, equities, gold, land, etc.
USD is useful because you can pay taxes with it, equities represent an income stream as dividends from a (presumably) successful business, gold can make jewellery etc, land can be rented out.
Even the supposed utility of BTC - as a money transfer mechanism - does not require the price to be anything other that not zero.
If I have all the ice cream in the world and it spoils in a week because I cannot eat all of it then it is not that wrong to say that its utility to me is zero.
By the way his argument is that any absolute value ascribed to a currency is arbitrary or rather that there is no correct number.
more that BTC is of course not a currency, because it is not backed by a state entity. I can't pay taxes with it.