Value Is Subjective: Neither Gold Nor Crypto Have "Real Value"

One could attempt to argue that bitcoin or other cryptocurrencies are simply commodities that are traded as such and valued subjectively and that they are potentially on their way to achieving a monetary status. Or this might not be the case. But this doesn't illustrate one way or the other that gold has “real value” while crypto supposedly does not. George Selgin has argued that these cryptocurrencies are actually a new kind of money altogether, which he refers to as “synthetic commodity money.” But whatever it is that cryptocurrency really is, one can say with great confidence that because it has no special legal qualification and because there is no such thing as “real value,” bitcoin and other cryptocurrencies are not fiat money.

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