Why crypto currency have so much value? Even its statless and we cannot get any

magneto

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Quote from: seebu4u on December 03, 2018, 11:58:08 AM

Why crypto currency have so much value? Even its statless and we cannot get any physical commodity or asset ?

What makes you think that an asset needs to have a country backing it for it to be considered valuable?

Also, there is absolutely no one who says that an asset needs to be physical in order to be valuable. There are plenty of funds in the world that are in virtual fiat currencies, stocks, etc.

Bitcoin's valuable not from a legal standpoint, but rather from the fact that people trust in its decentralisation, and the fact that the supply can't be tampered with by any central entity. The fact that you can transact with it on a global scale without middlemen is what makes it valuable, not because laws state that BTC is the national currency of a country. That's the distinction between bitcoin and fiat currencies.

jhongzjhong

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Quote from: KorakPawon on December 08, 2018, 11:31:44 AM

Quote from: seebu4u on December 03, 2018, 11:58:08 AM

Why crypto currency have so much value? Even its statless and we cannot get any physical commodity or asset ?

Why it has so much value is of course because crypto especially bitcoin is because it takes cost, especially when the price high, it becomes costly. If it doesn't or in other words free, then it won't be valued, right? Does it has to be physical? Bitcoin is as valued as gold, it's indeed an asset for those who know what bitcoin is.

It is not a good practice that Bitcoin used as an asset, instead, use them to circulate like trading or paying bills at least it will help the market price grow. Bitcoin design to be an expensive digital product, and of course followed by altcoins and that's what we called cryptocurrency. Start with nothing to become an expensive digital product, because time to time the supply become less that makes the price expensive due to massive demand and swinging the price in other crypto bases on Bitcoin price.

KorakPawon

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Quote from: seebu4u on December 03, 2018, 11:58:08 AM

Why crypto currency have so much value? Even its statless and we cannot get any physical commodity or asset ?

Why it has so much value is of course because crypto especially bitcoin is because it takes cost, especially when the price high, it becomes costly. If it doesn't or in other words free, then it won't be valued, right? Does it has to be physical? Bitcoin is as valued as gold, it's indeed an asset for those who know what bitcoin is.

timerland

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Quote from: seebu4u on December 03, 2018, 11:58:08 AM

Why crypto currency have so much value? Even its statless and we cannot get any physical commodity or asset ?

Because bitcoin's value isn't derived from the fact that it is legal tender.

It is sort of like gold. It's a universally accepted currency that people use, because it can't be gamed by central bankers or devalued simply by printing more of it off. That property of gold is translated onto bitcoin as the capped supply which is enforced by code.

Also, its utility as a decentralized currency online makes it valuable. This doesn't mean that the prices of BTC is always at par with what is fair at that particular time, though, as we saw with last year's price bubble. But bitcoin does have value, albeit not from a legal sense.

avikz

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Quote from: seebu4u on December 03, 2018, 11:58:08 AM

Why crypto currency have so much value? Even its statless and we cannot get any physical commodity or asset ?

Don't you think that digital products can have a value??

Bitcoin has a cost for production and that's the main reason behind its value. If bitcoin was available for free to the mass, it wouldn't have any value. As simple as that!!

If you visit Singapore or Japan, you can even fund your tour using bitcoin. Don't you think it is bringing a value? Don't judge cryptos as per the ongoing economical quotients, it's a new thing and not yet properly incorporated!

buwaytress

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Quote from: seebu4u on December 04, 2018, 11:47:56 AM

Quote from: buwaytress on December 04, 2018, 05:33:23 AM

Not sure what you mean by can't get physical commodities. Lots of cases where Bitcoin's been used to exchange for exactly that: real estate's a prime example where even cash isn't preferable for single-payment buys.

Worse come to worse, Bitcoin is exchangeable almost anywhere in the world for almost any currency - and that's not decided by any country or bank, there's just simply millions of people and businesses that will readily accept your Bitcoin.

Name 1 other currency that you can use anywhere in the world to exchange for the country's currency. Don't say USD either, some countries prohibit those, and you'd need to find a moneychanger in 90% of the world. Bitcoin? Go p2p and there's plenty of people ready to take your bitcoin.

It being stateless isn't a shortfall, it's one of the very things creating value for it.

I got your point. i am really thankful for this much detailed and helpful answer but dont you think this could help people to launder their black money so easily and this is also tax free. it could be beneficiary for the rich individuals but it world hurt poor people in poor countries.

Contrary to what you may have been reading, Bitcoin's current architecture does anything but help people launder money. Just need to look back on recent examples of how launderers using Bitcoin were easily caught because of how easy it can be to track money on a public ledger. Obfuscation might make tracking more difficult but all these analytics software developed for law enforcement is getting better daily.

The last form of money you want to use to launder is one where your records can't be changed, can't be erased and can't be hidden.

seebu4u

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Quote from: buwaytress on December 04, 2018, 05:33:23 AM

Not sure what you mean by can't get physical commodities. Lots of cases where Bitcoin's been used to exchange for exactly that: real estate's a prime example where even cash isn't preferable for single-payment buys.

Worse come to worse, Bitcoin is exchangeable almost anywhere in the world for almost any currency - and that's not decided by any country or bank, there's just simply millions of people and businesses that will readily accept your Bitcoin.

Name 1 other currency that you can use anywhere in the world to exchange for the country's currency. Don't say USD either, some countries prohibit those, and you'd need to find a moneychanger in 90% of the world. Bitcoin? Go p2p and there's plenty of people ready to take your bitcoin.

It being stateless isn't a shortfall, it's one of the very things creating value for it.

I got your point. i am really thankful for this much detailed and helpful answer but dont you think this could help people to launder their black money so easily and this is also tax free. it could be beneficiary for the rich individuals but it world hurt poor people in poor countries.

seebu4u

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Quote from: Harlot on December 04, 2018, 09:53:49 AM

Well basically the value of cryptocurrencies all came from its demand and supply, anyone who had learned economics in their school will know how that works. Even without any financial background backing it the value of Bitcoin will always come from its demand and supply. Just take a look on how Gold has its value based on its demand and supply. It doesn't matter if Bitcoin (or any other cryptocurrency in that matter) exist virtually as even though it is, its supply is limited and also is obtainable to anyone who has a wallet in their hands.

P.S.
I don't know why you have posted this in the legal section, you should move this topic to another sections probably in the Economics.

Sorry, if i didn't post in a right section but let me tell you. I do understand the supply-demand concept and how inflation hits the value so bad, but, this is the real question. If its only virtual how people take so much interest in it and believe on it.
I found most of the people who have crypto but are not much informative about it. they just feel its good to invest. So can we say this is just because of the strong marketers with the help of some blockchain developers.

Mhd-Bobbi

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Quote from: seebu4u on December 03, 2018, 11:58:08 AM

Why crypto currency have so much value? Even its statless and we cannot get any physical commodity or asset ?

Of course the crypto currency has a lot of value, if the price goes up it has a lot of value.
Why you say you don't get any physical, it looks like you have to have lots of recreation out there.
I have seen that many of my friends have generated from bitcoin, even though they already have their own assets from bitcoin revenue, that is the result of their search.

Harlot

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Well basically the value of cryptocurrencies all came from its demand and supply, anyone who had learned economics in their school will know how that works. Even without any financial background backing it the value of Bitcoin will always come from its demand and supply. Just take a look on how Gold has its value based on its demand and supply. It doesn't matter if Bitcoin (or any other cryptocurrency in that matter) exist virtually as even though it is, its supply is limited and also is obtainable to anyone who has a wallet in their hands.

P.S.
I don't know why you have posted this in the legal section, you should move this topic to another sections probably in the Economics.

sikandar1@3

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Quote from: Maria13 on December 04, 2018, 05:24:11 AM

Quote from: sikandar1@3 on December 03, 2018, 12:27:47 PM

Quote from: seebu4u on December 03, 2018, 11:58:08 AM

Why crypto currency have so much value? Even its statless and we cannot get any physical commodity or asset ?

because crypto is digital money safe and secure and crypto is peer to peer transaction of money.

Agree
Vdex is one of the fastest growing platform for the next generation along with extensible and customizable which will give priority the financial and data security for its users.

if i am right i think vdx is like as a wallet and it is a platform which provides us vtx tokes

buwaytress

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Not sure what you mean by can't get physical commodities. Lots of cases where Bitcoin's been used to exchange for exactly that: real estate's a prime example where even cash isn't preferable for single-payment buys.

Worse come to worse, Bitcoin is exchangeable almost anywhere in the world for almost any currency - and that's not decided by any country or bank, there's just simply millions of people and businesses that will readily accept your Bitcoin.

Name 1 other currency that you can use anywhere in the world to exchange for the country's currency. Don't say USD either, some countries prohibit those, and you'd need to find a moneychanger in 90% of the world. Bitcoin? Go p2p and there's plenty of people ready to take your bitcoin.

It being stateless isn't a shortfall, it's one of the very things creating value for it.

Maria13

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Quote from: sikandar1@3 on December 03, 2018, 12:27:47 PM

Quote from: seebu4u on December 03, 2018, 11:58:08 AM

Why crypto currency have so much value? Even its statless and we cannot get any physical commodity or asset ?

because crypto is digital money safe and secure and crypto is peer to peer transaction of money.

Agree
Vdex is one of the fastest growing platform for the next generation along with extensible and customizable which will give priority the financial and data security for its users.

Maria13

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And cryptocurrency is a digital asset designed to work as a medium of exchange that uses strong cryptography to secure financial transactions, control the creation of additional units, and verify the transfer of assets.

Maria13

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Lower transaction costs, Attract new customers, Cryptocurrency exchanges do not require transaction fees. Cryptocurrency embraces decentralization.

sikandar1@3

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Quote from: seebu4u on December 03, 2018, 11:58:08 AM

Why crypto currency have so much value? Even its statless and we cannot get any physical commodity or asset ?

because crypto is digital money safe and secure and crypto is peer to peer transaction of money.

DanielSmith

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The reason behind its constant increasing in value is that, it's a digital currency any transaction/purchasing which made through it, is totally secure and hidden, no one knows the identity of transactors/buyers.

seebu4u

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Why crypto currency have so much value? Even its statless and we cannot get any physical commodity or asset ?

Topic: Why crypto currency have so much value? Even its statless and we cannot get any (Read 271 times)