The pioneering cryptocurrency Bitcoin (BTC) remains the most valuable cryptocurrency today as well as being a pioneer. Although Bitcoin has accomplished such great things, it is still criticized by large masses. In a short time, cryptocurrencies gained great adoption and became a trillion-dollar industry. Despite this growth, many people still believe that gold is a better investment tool than Bitcoin, which is defined as digital gold.
While all these discussions continue, the CEO of Binance, one of the world’s leading exchanges, Changpeng Zhao (CZ)shared his views on why Bitcoin is gaining so much value.
In a thread of tweets (TSI) earlier this morning, CZ dismissed the notion that Bitcoin is not paving the way. He pointed out that everything used by people has a value. Comparing Bitcoin with the social media giant Facebook, CZ underlined that this company also gained value without having a physical property.
This came up again: “but bitcoin is not ‘real’ like gold, why does it have value?”
If something is use by people, it has value. Many non-physical tools have value. Google, Facebook (& #bitcoins) don’t have physical stuff, but people use it, so they have value. utility value.
— CZ 🔶 Binance (@cz_binance) April 11, 2022
Often subject to such criticism, Bitcoin has put a lot of effort into dealing with such “threats.”
Of course, every industry has its good and bad sides. Bitcoin’s relationship with illegal activities has created a huge wound. That said, Facebook’s misadventures with user data often remain a detail that continues to be overlooked. Although the social media giant has come under a lot of scrutiny, it has not been ignored as much as BTC.
Further emphasizing the value of Bitcoin, Binance CEO continued his views on how cryptocurrencies are widely used in general:
“The use of bitcoin and crypto is actually used as a tool for some things. International and local transactions, global fundraising events, art and content trading, hedging against inflation, providing liquidity, generating interest income, etc. There are more than 500 million people with a purpose.”
With all these use cases, it remains an open mystery why Bitcoin still lacks any real value. What is your opinion on this matter? Does Bitcoin really deserve to be a store of value with its innovations or is it really something that continues to be part of a trend?
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.