Will the 'Bitcoin have no Intrinsic Value' debate be consequential for prices?
Often, you'll hear critics shouting from rooftops that Bitcoin has no intrinsic value and is fundamentally worth zero.
Zero, like nada!
Do their arguments hold any water? Indeed, many Bitcoin and crypto supporters agree that any of the 21 million coins in total supply can't be used for, say, forging jewelry and what not—and they are okay with it.
After all, they argue, Bitcoin is backed by a globally distributed 'army' of miners who have sunk billions into purchasing resources and paying electricity bills—a utility.
Meanwhile, in their defense, crypto supporters layout quite clearly that fiat is paper money and backed by a country's sovereignty and military.
Aiming their missiles, crypto critics add that besides lack of inherent value, Bitcoin is highly speculative. Their pricing, they explain, is fixed depending on the forces of supply and demand. Accordingly, due to this, crypto prices can fluctuate depending on the trader's situation and plans.
Nonetheless, Bitcoin operates from a transparent base layer, and its monetary policy is determined by mathematics. Unlike fiat, people in a conference room can't tweak to change emissions to fit an arising circumstance or avert a meltdown.
Additionally, Bitcoin has a fixed supply and is deflationary.
Combined with the support from thousands—if not millions—from around the globe, unparalleled level of transparency, and increasing utility (acceptance), Bitcoin is worth something and is immensely valuable.