>“It’s more a speculative asset that’s essentially a substitute for gold rather than for the dollar.”
So by extension, Powell is saying that Gold is also 'not a useful store of value.' After all, Gold is not backed by anything either. lol
Gold is a commodity and is priced in dollars at the intrinsic value it has as a commodity. Of course, speculators cause the price to fluctuate more so than what should normally be based on supply and demand.
Yes and similarly, Bitcoin is treated by the government as a commodity or property, priced in dollars. So what's your point? What the hell is 'intrinsic value' anyhow?
intrinsic - a: belonging to the essential nature or constitution of a thing
Don't try to baffle me with bullshit financial buzzwords. All that means to me is that people agree it is worth something as a means of trade, i.e. it's a form of money.
While Bitcoin is a virtual product, its "intrinsic value" is derived from the use of computing power to overcome the difficulty of creating the encrypted blocks. People agree that it is worth something. That is the similarity to gold. Powell admits this in the article.
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