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RE: Where does the money come from - Investors

in #steem7 years ago

I get asked this all the time too. It kind of surprises me that people can't figure it out. How does anything have a value? The most basic supply and demand princable that applies to everything lol

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What confuses people is that other things have real value. You can actually eat an apple. You can drive a car. So, they expect cryptos to have such a basis for their value.

Except that currencies, in general (not only cryptos), don't have such a root value. To explain that to people, I usually use the $ Dollar example. I ask them where does the dollar get its value. Suddenly, they realize that not every thing needs a root value.

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I am always surprised that most people do not understand supply and demand at all.

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