Most disruptive technologies are so because they're primarily used for some purpose. Trains transport cargo and people. Semiconductors conduct electricity. The Internet moves around information. When such things are built, it is because someone will pay to make use of a thing for its primary purpose.
If I buy a train ticket, it's not because trains are such a great investment and I can sell the ticket for more later, it's because I want to get from point A to point B and a train is the best option to do so. If I buy Internet access, it isn't because the Internet is such a great investment and I can sell the Internet for more later, it's because I want to argue with spergs on the Internet. If I buy a device like a computer with semiconductors inside, it isn't because computers are such a great investment and I can sell it for more later, it's because I want something I can play vidya on. In fact, over time the cost of those disruptive technologies went down and the quality went up. That's one of the things that made them disruptive.
By contrast, cryptocurrencies aren't primarily used as currencies. Their primary purpose is being purchased by people using fiat currency so they can be sold at a later date for a larger amount of fiat currency, and then people use the acquired fiat currency to buy goods and services. If people stop thinking it's going to go up, then demand will collapse because virtually nobody is acquiring cryptocurrency to use as a medium of exchange.
It's this fact that makes people think they're a ponzi scheme or a pyramid scheme.
If I buy a train ticket, it's not because trains are such a great investment and I can sell the ticket for more later, it's because I want to get from point A to point B and a train is the best option to do so. If I buy Internet access, it isn't because the Internet is such a great investment and I can sell the Internet for more later, it's because I want to argue with spergs on the Internet. If I buy a device like a computer with semiconductors inside, it isn't because computers are such a great investment and I can sell it for more later, it's because I want something I can play vidya on. In fact, over time the cost of those disruptive technologies went down and the quality went up. That's one of the things that made them disruptive.
By contrast, cryptocurrencies aren't primarily used as currencies. Their primary purpose is being purchased by people using fiat currency so they can be sold at a later date for a larger amount of fiat currency, and then people use the acquired fiat currency to buy goods and services. If people stop thinking it's going to go up, then demand will collapse because virtually nobody is acquiring cryptocurrency to use as a medium of exchange.
It's this fact that makes people think they're a ponzi scheme or a pyramid scheme.
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