Post
Topic
Board Economics
Re: If Bitcoins aren't tied to a conventional currency how did they get so valuable?
by
Virtual miner
on 31/07/2018, 09:05:49 UTC
If Bitcoins aren't tied to a conventional currency, how did they get so valuable?
Everything in this world has a perceived value. Bitcoin is so valuable because the people like you are me accept that it has this much value. The same concept applies to the currencies. The value of anything is greatly affected by the demand and supply forces. When Bitcoin was launched, its value was very less but when its demand started increasing, the supply being limited, its value started rising.