Re:Bitcoin Blows Past $9,000
by anonymous5133 on Sunday November 26, 2017 @07:16PM
(#15783882)
and clearly as you've just proved, a good store of value does NOT require an intrinsic value. All that is important is that people place trust in the asset. Bitcoin and cryptocurrencies have attributes that make it easy for people to place trust in it.
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The fact that people trust in something doesn't automatically mean that thing is good, remember that many people (even the same as those who put their trust in *coins) also trust in sky wizards and celebrities. I realise you may just be stating that that's how the world is.
Trust here is in the context of assets used in trade, not in literally anything people can have "trust" in.
They're stating that "intrinsic value", e.g. gold being usable for things other than trade, is not necessary for a tradable thing to have value. It is only necessary for people to be able to trust that the thing has value and having "intrinsic value" is one way for that trust to be gained.
With cryptocurrency, it's gained with a bunch o math.