By the way, he’s wrong af.
He literally said that crypto is a hedge against inflation, while in reality it’s the most speculative and least stable asset, which swings far above and below inflation.
It’s literally the contrary, it just goes to show that he doesn’t understand nothing about economics himself, he is the average dude who is on the top of mount stupid. Literally Dunning Krueger.
As i understand he also implied that the price can go up basically infinitely, and i’m like, how do i even react to such a level of utter lack of knowledge.
Just to be sure people actually understand: Value is subjective, but value is also based on a certain utility that something provides, prices does not just go up because whatever. For example, why does a doctor get paid well? A couple of reasons, 1: It’s highly specialized and not a lot of people can become doctors, because it’s not easy, it’s stressful, and requires high degrees of personal responsibility.
2: It’s a highly valued job because it provides a service that can literally save lives.
Compare that to a low wage job like cashier, it’s low wage because it’s easy to do, does not require any specialization or high degrees of knowledge, and that’s why it’s low wage.
Now, if you take crypto into consideration, how does it make sense that some are valued up to 60k, other a few cents, when they provide basically the same service, companies generally make their own as opposed to using bitcoin or other… and no one really accepts crypto, and instead wants you to first convert it into something else, how does it make sense that some of these coins have such high value? It doesn’t, because it’s an effin bubble.
End of story. But i guess it hasn’t popped yet, look it’s going up! I guess it’s not a bubble, said everyone in every bubble ever.
And in the end you are investing in something that does not actually generate value for the world, it doesn’t create new jobs, it doesn’t do anything, aside using a lot of energy. But blockchain and digital money, and fungibility!
It doesn’t matter, the fundamentals are that it’s a worthless token attached to a ledger, has no intrinsic value, pretty much anyone can do it with a few thousand dollars, it cannot be used for anything aside speculation, and conversion into something actually usable, if the government were ever to make their own all others would be outlawed, and you would be left with 'money" that you cannot use, as converting it would make the transaction trackable, it’s like saying i have a million dollars in gold, but i cannot use them because the government will seize it, so i have to hide it underground.
Those are the fundamentals.
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