He comes so close to getting it because he starts out talking about digital gold and then the big tech stocks.
What is the difference between a asset like gold which has been around and used for many many thousands of years and a company that was created five years ago and is not proven? While there are many differences between an asset and a stock in a company, one of the biggest differences uncertainty in the lack of knowledge.
I've said many times that one way of thinking about bitcoin is that it is an asset, a digital asset like a digital gold, but that understanding of the utility of the digital asset is still rather limited.
When you compare a company like IBM to a company that has only existed for two years. The company that has only existed for two years has much more upside but also much more risk. Because it is not proven. The bitcoiners don't like to admit that, but to most investors and people on the street, Bitcoin is still unproven.
Price, market price, that is, is an indicator of where the masses are on an asset. And the masses are not convinced of the thesis of Bitcoin as of yet.
It really is that simple. The price does not prove that Bitcoin has no utility or will never have utility. The price is simply a point in time reference to how people value Bitcoin.
He comes so close to getting it because he starts out talking about digital gold and then the big tech stocks.
What is the difference between a asset like gold which has been around and used for many many thousands of years and a company that was created five years ago and is not proven? While there are many differences between an asset and a stock in a company, one of the biggest differences uncertainty in the lack of knowledge.
I've said many times that one way of thinking about bitcoin is that it is an asset, a digital asset like a digital gold, but that understanding of the utility of the digital asset is still rather limited.
When you compare a company like IBM to a company that has only existed for two years. The company that has only existed for two years has much more upside but also much more risk. Because it is not proven. The bitcoiners don't like to admit that, but to most investors and people on the street, Bitcoin is still unproven.
Price, market price, that is, is an indicator of where the masses are on an asset. And the masses are not convinced of the thesis of Bitcoin as of yet.
It really is that simple. The price does not prove that Bitcoin has no utility or will never have utility. The price is simply a point in time reference to how people value Bitcoin.