I did a short post on why Bitcoin has value previously.
Doesn’t mean I don’t think it’s a bubble. It has value cos people think it should have value. Just lika diamonds or gold. They don’t serve any real purpose but people just use them as a medium of exchange.
So why do I think Bitcoin is a bubble?
Well. Firstly, there is limited use for it currently. You can buy it, trade with others, but besides that, there’s no real use for it. You can hardly use it to buy something. If you bring a block of gold to the coffee shop, assuming that the merchant can identify it is real gold, there’s actually a high chance that they would accept gold as payment. Well I would.
Most people are just hoarding Bitcoin cos of the profits that they hear they could make. There’s a whole load of traders, speculators and hoarders. Basically …