Hello good people.
I'm reading about all this cryptocurrency for a little while now (hard not to its all over and everywhere) and I got some questions that I could not find a satisfying answer.
1. There is no question about Fiat money (whatever it is $, £ or euro.) thats its losing it's value, so the question is. If it got no value what value Bitcoin have then ? ( i will use bitcoin for must common crypto but thinking of any). Can't get my head over it.
2.If you imagine in let's say 20 years FIAT goes to CRYPTO all the way. You want to buy a car worth $5000 but paying in Crypto, how much would you pay ? if $ got no value.
Maybe answer is simple for some of you. Please be good samaritan and share some knowlage here.
Thanks for any effort.
This is just an exercise in imagination that FIAT money will lose its value in highly developed countries. Although there are cases in countries such as Venezuela where the value of money is almost 0, due to hyperinflation.
But Bitcoin is dependent on the ratio between supply and demand. If the supply is much higher than the demand, then the price is lower. If the demand is higher than the supply, then the price increases. Related to the car, manufacturers and sellers who accept payment in Bitcoin, so only what price they charge for their products.