I saw this article on a different site, the guy did drop some really interesting points some were a little hard for me to understand though so I decided to bring it to this forum. A link to the article will be provided at the end of this thread.
Myth 1: Crypto is trying to replace fiat money:
Personally I don't see this as a myth, crypto isn't trying to replace fiat money there's a high chance it will. For those that don't know, fiat money are national currencies that are controlled by the government and backed up by a commodity like gold. In other words, fiat money are just physical currencies. I feel there will come a time where fiat money won't be needed it's just 2022 and the need for fiat money have already began to reduce, most transactions are now done through cashless transfers.
Myth 2: Crypto is just for speculation:
I didn't really understand this point. Is he talking about crypto being based on speculative investments? I'm hoping someone here would explain this better.
Myth 3: Crypto is one big scam and ponzi scheme:Honestly I found this funny, do people still think crypto is scam? If it we were still in 2010 then no problem you're right to be skeptical about it. I don't think crypto can even be classified as a Ponzi scheme because, unlike most Ponzi schemes it doesn't depend on the number of new investors to maintain its Value. Yes they are alot of crypto related scams like; fake links especially on Facebook, fake crypto exchanges etc. The guy also mentioned some others in the article.
Myth #4: Crypto has no intrinsic value:
I'm actually very interested in this particular point. Is this a myth?, Does crypto actually have an intrinsic value. First of all Intrinsic value is the measure of an investment based on its cash flows. For crypto to have an intrinsic value doesn't it have to be backed by a commodity? ( E.g: Gold) like how most fiat currencies are.
I'll be quoting his last line here. "if you really think crypto doesnt have any intrinsic value, then youll have to believe that fiat currencies dont either.".
Like I said earlier, I'd love to here your opinion on this especially the last line.
https://mikewchan.medium.com/crypto-for-beginners-dont-believe-these-four-myths-when-learning-about-crypto-1a9e1aa0e936That's the link to the article above.