Value of Crypto Currency

Then you have sentimental memorabilia that does have some value, like for example you own a baseball autographed by Babe Ruth, it has no practical value but some people will give you a lot of money just for the pleasure of buying it and being able to own it.

This is also the case of gold, there isn’t much practical use for gold, its value lies in the fact that:
*It is almost indestructible
*It is quite scarce
*People desire it
So if you own gold you are sure you can sell it at any time you want, thence its value.

Then we have money, money by itself is worth nothing, but as it is backed by a nation’s government it does have value in that country, you can buy anything with money as long as it is for sale and you have enough money to cover its cost. Of course money has its limits, for example in Honduras the currency is the Lempira, I can buy almost anything in Honduras with it, but if I go to Thailand with a million Lempiras it is the same as if I have nothing. I remember once I obtained 10,000 Japanese Yens, worth about USD100.00, but as there is no place in this country where I can change them they have absolutely no value to me, in fact I lost them somewhere and I feel like I lost nothing.

Now we get to Crypto Currency, which is nothing more than computer generated money, therefore it should actually be worth nothing, but it does have value, because people have decided it should have value. Now this works in a funny way, for example I come into 1 million DufusCoins (just an example, they don’t exist as far as I know) which are nominally worth $1.00 each, so I am a millionaire, but you can’t exchange Dufus anywhere, you can’t buy anything with it so in reality those million coins have zero value.

Now let’s talk about the one that should interest us the most Steem. Steem has real value, I know because I have changed it for fiat money and it works. While Steem lies in your wallet it is like having it in a bank account, but like real money you can withdraw it and use it for whatever you want. How do you do this? Well I have seen people on Discord channels who want to buy Steem directly to convert it into SP, they will pay via Paypal, or companies like Western Union or Moneygram, I guess you can just contact them and agree on this. Or you can use a Crypto exchange, the easiest one I have found is blocktrades.us, you just send your Steem there, and specify what wallet and what crypto you want it changed and sent to, they of course charge a transaction fee and the of course the coin platform also takes a cut, and then whomever you sent it to just pays you in any way you agreed to, I prefer LiteCoin for this as it is fast and transaction fees are lower.

Now I think there will come a time in the near future where you will be able to purchase debit or credit cards which you will be able to recharge with any crypto and you will be able to use them as any other card, to pay in commerce's for stuff you buy, for withdrawing money from an ATM and all other transactions you can currently make with debit or credit cards. I know these are already available in several places but I am talking about this going mainstream and world wide, this will make the power and value of crypto to soar because then it will be a real alternative to government backed fiat.

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With the advent of the fourth industrial revolution and with AI taking over many jobs, I think people will have to move to computer generated currency to be able to survive, which is why I think crypto is right now being attacked by governments, corporations banks etc, they just want to take control of it as they control fiat, because if they don’t control it, you and I will have a lot more to say in how things are run, and they will certainly lose power.