Re:Web3 is going just great
by not2b on Tuesday December 14, 2021 @03:49PM
(#29557468)
It cost compute power to produce the tokens, but that's sunk cost, not intrinsic. All that matters afterward is whether people want the tokens and will exchange things of value for them.
[ Parent
| on HN ]
I mean the use of those to power arbitrary computation on the network. Itβs not dissimilar to AWS tokens.
I think the intrinsic value is coming from the fact that you need to spend eth to run smart contracts on the Ethereum blockchain.
Re:Web3 is going just great
by colejohnson66 on Tuesday December 14, 2021 @03:59PM
(#29557627)
Is fiat currency any different? My coins and bills don't have any intrinsic value either, but they are still currency.
If your debts and bills are denominated in the currency of your country, the bills and coins have value because you know how many of them you need to pay what you owe. So yes, if we ever got to the stage where your rent is priced in some coin, that coin would correspond to a currency. But until then, it's more like a volatile stock and "currency" is a misnomer.