Post
Topic
Board Speculation (Altcoins)
Re: ETH will go back to $1 this year here is why..
by
Naughtid
on 24/05/2018, 19:31:45 UTC
The problem with comparing cryptocurrencies to profit-seeking companies is a fundamental one.

Ethereum does not have any income, does not have any expenditures - except the mining rewards, which are created out of nowhere (nothing to back - not even a single minted coin). To understand how the system works - https://www.ethereum.org/ether

However, a corporate has an income structure, outstanding debt to companies and banks, salaries to be paid to employees. There are assets and liabilities in the balance sheet. How will you compare two entities, if one has a balance sheet and the other is a tool for creating a balance sheet?

BTW, let's hope Yahoo will never ever create a cryptocurrency or buy one, as they are terrible in buying stuff.

The ETH is mineable. The cost of electricity backs the ETH network.