You Say Bitcoin Has No Intrinsic Value? Twenty-two Reasons to Think Again.
by MARK REES
Intrinsic Value Defined:
Let’s agree what the term “Intrinsic Value” means. For this article we will use the common Wikipedia entry for the intrinsic theory of value. This is found at: http://en.wikipedia.org/wiki/Intrinsic_theory_of_value
An intrinsic theory of value (also called theory of objective value) is any theory of value in economics which holds that the value of an object, good or service, is intrinsic or contained in the item itself. Most such theories look to the process of producing an item, and the costs involved in that process, as a measure of the item’s intrinsic value.
What are some properties contained in the bitcoin itself? What are the properties that make it valuable? Some pundits like Warren Buffett seem to remain stuck in the belief that only things you can touch, feel, and see can be intrinsically valuable. One might wonder how these pundits would explain unseen forces of DNA, radio spectrum, viruses, bacteria, or even recent…
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