Topic: How can something that doesnt exist in the material world have a value? Like BTC - page 2. (Read 258 times)
February 27, 2018, 03:52:20 AM
It has value because we give it value, digital or otherwise. That's how fiat works too though.
February 27, 2018, 03:42:54 AM
That's a very crucial question. How on earth can bitcoin have a value which is not even tangible? That is the reason why conventional investors like Warren Buffet always spoke negatively about bitcoin. Because they failed to understand this very concept. Bitcoin is seen a bubble to many investors since its inception. So let me explain how an intangible thing can have a value and it can even grow stronger.
In our life, we all have known about a human value, Trust! We can't see trust, it is just a psychological/emotional quotient. But in our daily life, this particular psychological quotient plays a big role in our decision making. Lets take an example of general stores. There may be several general stores in your area, but most of the people have a preferred one. Because these people trust that particular general store owner will not cheat on the quality and quantity and will deliver your goods on the right time. You probably won't go to any other store unless there is an emergency or if the preferred one is not available. So you can see how trust is affecting your purchase decisions. Same thing is happening with bitcoin and crypto currency market as well.
Crypto currency is backed up by public trust. Because people around the world believe that blockchain technology can bring huge change in our daily lives and as a pioneer of blockchain technology, bitcoin will become huge in near future. So they are ready to pay a price for that. This is how bitcoin is seeing a value far more superior than any other crypto currency. A thing that doesn't exist in real-world and represents just a number in your wallet, still have a value and people around the world are ready to buy it as per the market price. This is how bitcoin exists and thrives.
There are definitely other factors as well. But this is the basic factor on which bitcoin exists. Many see it as a bubble and they usually stay out of this market, but others see it as an asset so they buy as their pocket permits because they see it as a value representation/store of value. Hope this helps!
In our life, we all have known about a human value, Trust! We can't see trust, it is just a psychological/emotional quotient. But in our daily life, this particular psychological quotient plays a big role in our decision making. Lets take an example of general stores. There may be several general stores in your area, but most of the people have a preferred one. Because these people trust that particular general store owner will not cheat on the quality and quantity and will deliver your goods on the right time. You probably won't go to any other store unless there is an emergency or if the preferred one is not available. So you can see how trust is affecting your purchase decisions. Same thing is happening with bitcoin and crypto currency market as well.
Crypto currency is backed up by public trust. Because people around the world believe that blockchain technology can bring huge change in our daily lives and as a pioneer of blockchain technology, bitcoin will become huge in near future. So they are ready to pay a price for that. This is how bitcoin is seeing a value far more superior than any other crypto currency. A thing that doesn't exist in real-world and represents just a number in your wallet, still have a value and people around the world are ready to buy it as per the market price. This is how bitcoin exists and thrives.
There are definitely other factors as well. But this is the basic factor on which bitcoin exists. Many see it as a bubble and they usually stay out of this market, but others see it as an asset so they buy as their pocket permits because they see it as a value representation/store of value. Hope this helps!
February 27, 2018, 03:36:29 AM
The fact you're posting this tells me that you're a materialistic person. To have value, it's not necessary that it should be sold in the market or have a physical appearance. It should just fulfil the needs of the people.
Love, the most important thing in the world, does not exists as a material. You can't buy, sell, throw, play or as a matter of fact, take it inside you. It still exists. Doesn't it?
Love, the most important thing in the world, does not exists as a material. You can't buy, sell, throw, play or as a matter of fact, take it inside you. It still exists. Doesn't it?
February 27, 2018, 03:35:13 AM
In my opinion and because bitcoin technology has been a medium of exchange towards transaction and as a store of value. and my assumption is it should be stated that bitcoin's utility as a store of value is dependent on its utility as a medium of exchange, And because it is a store of value it needs to have a value, And if bitcoin doesn't achieve that specific utility of exchange then it can never have a value because it doesn't have a particular utility to be used, Or it gains legitimacy, larger scale investors, and more adoption, its volatility will decrease to the point that volatility is not a concern that would discourage adoption.
February 27, 2018, 03:08:27 AM
Theres something out of my mind triggered on asking why something that is not tangeable but valuable in the near end like Bitcoins, Ethereums and othet cryptocurrency? Is there anybody can explain about it.
Thank you so much 😄
Thank you so much 😄
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