You Say Bitcoin Has No Intrinsic Value? Twenty-two Reasons to Think Again.

Bitcoin

cell phone sunrise

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…

View original post 2,656 more words

Advertisements

Posted on May 8, 2014, in Uncategorized. Bookmark the permalink. Leave a comment.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: