RE: 4 Video Lesson on: How Bubbles grow and how they burst

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4 Video Lesson on: How Bubbles grow and how they burst

in economics •  7 years ago 

everyone is panicking meanwhile im here celebrating and stuffing my bags with cheap ass cryptos

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if you watched the videos Cryptos are no Assets since they have no inner value, but value is based on speculation.

nothing has value unless it is assigned to it by people and people are doing just that in the crypto space.
So i would argue your point.

There is a difference between price and value. Tomatoes got value because you can sell tell or eat them, if they get too cheap. You cant do it with Asset, if Cryptos drop too much in value you cant do anything with them so they dont have real value.

i get your point. What im trying to say is that if all humans suddenly agreed that tomatoes arent worth eating(or developed an worldwide allergy) and cucumbers are better in every aspect the value of tomatoes as food would vanish hence my point that if people assign cryptos value of some sort( as currency, socialmedia platform or otherwise) they have value to them and not just a price :)
but yeah the price is currently being mostly determined by speculating on future value instead of imediate value.