From what understand, money doesn’t just disappear. When you’re at a poker table playing, the sum of money everyone started with is the same at the end(when someone loses $100, other(s) gain $100). If I sell you a crypto for $100 and it drops to $0, I would still have your $100. In this case, wouldn’t someone/some groups of people get all the money that is currently being lost?
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It was potential money, not real money.
Imagine I have a painting, worth 100 million. Well, expected to. It goes in an auction, and it can get 20mil, 50 mil, 100 or even 150. The price depends on the will of the buyers AT THE MOMENT. Which is why bitcoin’s price is volatile.
But I don’t have the money until I sell it. The money is in somebody else’s wallet, the value is potential until I sell.
Now there’s a fire, its gone. Money is still there, what I had to exchange it with is what is gone.
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