Where does the value of Crypto come from? Why do people buy?
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The only difference between a $1 baseball card and a $5000 card is how much people will pay for it. Crypto works the same way, the fact that you’re willing to pay $1500 for a coin of some sort is because you expect it to hold, or exceed value.
The dollar isn’t worth anything, we simply accept it will buy $1 of goods. When too many dollars are made, they lose value and that’s how $7T of fake paper money dumped in the economy over two years caused inflation.
Bitcoins are finite, there’s only a certain number of them so they can’t be watered down to be made less valuable, but the whole system itself can lose value, thus the drop in bitcoin this year.
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