I can still trade with paper currency, so there is still a manner in which the value is not stored on someone's computer somewhere.
Bitcoin is simply an accounting system not controlled by the Fed.
I don't believe that condition will persist. At some point I see the Fed and the Federals moving to gain control over it, and if they can't, I expect them to ban it.
Call me a cynic, but that's what I expect to happen.
I took our Cub Scout pack to the Minneapolis Federal Reserve last fall and each and every Bill that banks trade goes right into an machine that catalogs the serial number, determines condition, and tracks where it has been in the banking system. I don't think someone using cash today is pulling anything over on a serious investigator. We watched the money go through the machines.
I don't believe that condition will persist. At some point I see the Fed and the Federals moving to gain control over it, and if they can't, I expect them to ban it.
You might be right. I don't it will hold its value either.