Asklemmy

It had the same value a stock without a dividend has.

the only tangible value I personally see in Bitcoin, because it's not really being used as legitimate currency, is for criminals.

Please, factual answers only.

In 2021, 0.15% of known cryptocurrency transactions conducted were involved in illicit activities like cybercrime, money laundering and terrorism financing

Just like anything else, it's worth what people are willing to pay for it vs what people are willing to buy it for.

Currently bitcoin is just a digital commodity with a finite supply which makes it a good store of value if people continue to use it.

The thing is, there's nothing preventing bitcoin from tanking and becoming essentially worthless besides people buying it because the price is low.

If in a hypothetical future the bitcoin price becomes stable then it will become a valuable commodity. It's value is wholly derived from it's users and nothing else.

It's not very convinent for governments or large institutions to hold it in it's current form since it's too easy to steal without leaving a trace. For government use there is going to be needed some development to allow for government or Central banks to have complete control over the currency without giving that control away which I think might be possible. In that case settling international transactions in bitcoin as opposed to the dollar for BRICS countries might be an option which doesn't use the US dollar.

All the other uses IMO are pretty much fluff such as paying in bitcoin.

Bitcoin doesn't even attract criminals as it's traceable. You can easily tell who bought what and traded what. Since all the exchanges are KYC, no criminal worth their salt would use Bitcoin. Instead, they would rather use Monero. The only people buying and selling Bitcoin are people who want to gamble on it getting higher

In the same way that MLM and Ponzi schemes are worth something.

How profitable it is is directly proportional to how willing you are to fuck over everyone around you. To how much of an asshole you are.

Bitcoin specifically? No. It's a janky prototype that should have been superseded a long time ago.

Crypto in general? Probably something. It's good for buying and selling illegal things.

not even fiat (heh) is worth anything if we don't accept it as store of value, let alone an electronic register on a digital ledger.

So you know how fiat currency is backed by nothing more than the fact the government says it's valuable and we all agree to that? Crypto is sort of like that except without the government bit

Cryptocurrencies don't rely on a central entity and is the Lemmy equivalent to Reddit compared to the fiat currency. I like it and I like the technology but

• Good luck at having a proper stable economy using only crypto. Cryptobros hate central banks but their policies ensure that a loaf of bread doesn't cost 3 times as much the next day. I'd rather have a central trusted authority than not having one
• Bitcoin by itself sucks. It was the first crypto so it's the most common but it's slow, heavy and costly to operate and to transact on

TL;DR: It's worth whatever a greater fool is willing to pay for it.

Bitcoin is a cult, therefore it's invaluable to the cult members. In reality they're all multi-level marketing pyramid schemes which is what the stock market has degenerated into as well. The former just has more overtly obnoxious shady unethical proponents. It's easier to succumb to greed, selfishness, and seclude oneself from the rest of society by simply buying something that confirms one's fallacy riddled beliefs than it is to question oneself and actively improving society with all of Earths inhabitants, ecosystems, and posterity in mind. Technologically humankind has made great strides, but mentally the majority still thinks like cavemen.

Crypto Cult Science

“Money corrupts; bitcoin corrupts absolutely. Disregarding all of bitcoin's shortcomings, a financial instrument that brings out the worst in people—greed—won't change the world for the better.” —https://www.arscyni.cc/file/crypto_cult_science.html

At its core, it represents an irreversible proof of digital existance. Blockchain is the only technology that can do this, and it makes it more valuable than you’d think.

Bitcoin itself has first mover advantage, and that keeps it on top. It’s hard to point to any particular feature of bitcoin that warrants this first place position, aside from pure decentralization of holdings.

The irreversibility of blockchain transactions is very underrated to most of us, but think about it… no bank or government, even with military involvement, can reverse a transaction or seize assets. For most of us in nations with sophisticated financial infrastructure and govt, this doesn’t sound like a big deal, but for the majority of the world, this is a huge deal.

It also represents freedom from fiat. Since the beginning of currency govts have used it as a means to extract wealth from the populace. Printing, confiscating, and controlling as it pleases them. We’ve historically used gold to hedge against this, and there’s even instances in history where govts have devalued and confiscated gold as a means of supporting itself. Bitcoin brings all the freedom of gold, with all the benefits of the digital world.

Bitcoin has massive value as a tool to transfer money, anonymously, and through borders effortlessly. Its extremely valuable for money laundering, scamming, stealing, and dodging tariffs or raising money (see how much crypto is stolen by north Korea)

The US dollar actually is tied to something of value: it's the format the us government will take their taxes in or else they will increasingly use their powers as a monopoly on fhe legitimate use of force until you give them what you owe

Crypto is only worth what others will pay for it. Which is why I don't own it

The real answer is: It depends how you define value.

Can you make money with Bitcoin? Yes. Are you likely to make money? No Is the technology useful applicable? Yes Is it being used and applied ethically and for the good of people? No. Is it a 'store of value'? No, it's more like an extremely volatile stock or a lottery ticket. Can you use it like money? Yes Is there any reason to use it like money? Not really, not even among other cryptocurrencies.

Depending on which of these aspects of Bitcoin matter to you it will be more or valuable.

My point is, beyond speculation, what do crypto coins represent?

Nothing.

Beanie babies 2.0.

I don't think bitcoin provides much value in itself. Its basically an asset that is hard to make more of, like money or gold, which are also valuable because of this and that gold and specific currencies are relatively widely used.

bitcoin's supposed added value over money is private digital transactions across the globe in a private way, so that you can send money whoever you want, but it's not practically private, and has so large operating costs (even just the transaction fee) that it's not really better than bank transactions.

so in short: its value is in its scarcity, and that you can speculate on it. the other possible advantages are not realized.

since the value is in speculation, the dollar limit is when investors start selling enough of it so that others will do the same out of fear. which is who knows how much. but it's probably more related to other factors than the dollar value.

I was shooting heroin and reading “The Fountainhead” in the front seat of my privately owned police cruiser when a call came in. I put a quarter in the radio to activate it. It was the chief.

“Bad news, detective. We got a situation.”

“What? Is the mayor trying to ban trans fats again?”

“Worse. Somebody just stole four hundred and forty-seven million dollars’ worth of bitcoins.”

The heroin needle practically fell out of my arm. “What kind of monster would do something like that? Bitcoins are the ultimate currency: virtual, anonymous, stateless. They represent true economic freedom, not subject to arbitrary manipulation by any government. Do we have any leads?”

“Not yet. But mark my words: we’re going to figure out who did this and we’re going to take them down … provided someone pays us a fair market rate to do so.”

“Easy, chief,” I said. “Any rate the market offers is, by definition, fair.” He laughed. “That’s why you’re the best I got, Lisowski. Now you get out there and find those bitcoins.”

“Don’t worry,” I said. “I’m on it.”

I put a quarter in the siren. Ten minutes later, I was on the scene. It was a normal office building, strangled on all sides by public sidewalks. I hopped over them and went inside.

“Home Depot™ Presents the Police!®” I said, flashing my badge and my gun and a small picture of Ron Paul. “Nobody move unless you want to!” They didn’t.

“Now, which one of you punks is going to pay me to investigate this crime?” No one spoke up.

“Come on,” I said. “Don’t you all understand that the protection of private property is the foundation of all personal liberty?”

It didn’t seem like they did.

“Seriously, guys. Without a strong economic motivator, I’m just going to stand here and not solve this case. Cash is fine, but I prefer being paid in gold bullion or autographed Penn Jillette posters.”

Nothing. These people were stonewalling me. It almost seemed like they didn’t care that a fortune in computer money invented to buy drugs was missing.

I figured I could wait them out. I lit several cigarettes indoors. A pregnant lady coughed, and I told her that secondhand smoke is a myth. Just then, a man in glasses made a break for it.

“Subway™ Eat Fresh and Freeze, Scumbag!®” I yelled.

Too late. He was already out the front door. I went after him.

“Stop right there!” I yelled as I ran. He was faster than me because I always try to avoid stepping on public sidewalks. Our country needs a private-sidewalk voucher system, but, thanks to the incestuous interplay between our corrupt federal government and the public-sidewalk lobby, it will never happen.

I was losing him. “Listen, I’ll pay you to stop!” I yelled. “What would you consider an appropriate price point for stopping? I’ll offer you a thirteenth of an ounce of gold and a gently worn ‘Bob Barr ‘08’ extra-large long-sleeved men’s T-shirt!”

He turned. In his hand was a revolver that the Constitution said he had every right to own. He fired at me and missed. I pulled my own gun, put a quarter in it, and fired back. The bullet lodged in a U.S.P.S. mailbox less than a foot from his head. I shot the mailbox again, on purpose.

“All right, all right!” the man yelled, throwing down his weapon. “I give up, cop! I confess: I took the bitcoins.”

“Why’d you do it?” I asked, as I slapped a pair of Oikos™ Greek Yogurt Presents Handcuffs® on the guy.

“Because I was afraid.”

“Afraid?”

“Afraid of an economic future free from the pernicious meddling of central bankers,” he said. “I’m a central banker.”

I wanted to coldcock the guy. Years ago, a central banker killed my partner. Instead, I shook my head.

“Let this be a message to all your central-banker friends out on the street,” I said. “No matter how many bitcoins you steal, you’ll never take away the dream of an open society based on the principles of personal and economic freedom.”

He nodded, because he knew I was right. Then he swiped his credit card to pay me for arresting him.