Bitcoin, like the dollar, divorces value from utility
I was doing the dishes today and thought about how valuable stainless steel was in the application of a sink. And then I thought about how little value carpet would be in that same application. The value of my sink was derived directly from the properties of stainless steel. It was easy to clean, resisted rusting and didn’t hold onto odors. If the properties had changed to those of a carpet, you can imagine how hard it would be to clean the sink after doing the dishes!! The problem society has increasingly faced with money is that we have divorced value from utility. We think that money can be digital and conceptual instead of a physical asset like gold. Bitcoin is just a new version of this divorce. People describe it as “digital gold” but digital gold is no better than digital copper or digital apples. Such advocates for digitalization do not even really believe this. They do not fill their cars up with “digital gas” or drive their “digital vehicles” to the “digital store” to bu...