No disagreement, except there, is no underlying value with bitcoin.
“Smith’s theory of value was very similar to the later utility theories in that Smith proclaimed that a commodity was worth whatever labor it would command in others (value in trade) or whatever labor it would “save” the self (value in use), or both. However, this “value” is subject to supply and demand at a particular time”
No diamond mine with dwarfs laboring to pick out the diamonds? The labor theory of value!
What is the intrinsic value of a crypto coin?
Some computer humming day and night creating heat?
While BTC has taken a LOT of hits this week, from Musk’s dumping it, denegrating it, central banks dissing unregulated cryptos, “hidden” ransoms paid to the tune of $5M to $90M, and lots of smaller stories, it is defying gravity hovering in the low $40k range.
It’s like the DOW this year - there is no real good news in the economy under BidAn/Caballa, yet it hovers well above $33K, also defying gravity.
Not sure what to make of that... it’s kinda baffling.
Paper money has no value underlying it but the Fed Reserve, so. But you are right about it not being an asset like a product. Its an encrypted currency.
I’d say the only way for us to avoid inflation is for productivity to rise, and for that stocks are a better recourse. But if the Market crashes then the money supply disappears too, so.
If only that heat could be converted to electricity, we’d have the makings of perpetual motion... and perpetual energy.