Blockzeit
  • News
    • Business
    • Politics
    • Metaverse
    • NFTs
    • Markets
    • Investing
    • Technology
    • Trends
  • Tools
    • Crypto Charts
    • Crypto Heatmap
  • Education
    • Reviews
    • Guides
    • Bitcoin Price Analysis
  • Crypto Exchanges
No Result
View All Result
  • EnglishEnglish
    • EnglishEnglish
    • DeutschDeutsch
    • PortuguêsPortuguês
Buy Crypto
  • News
    • Business
    • Politics
    • Metaverse
    • NFTs
    • Markets
    • Investing
    • Technology
    • Trends
  • Tools
    • Crypto Charts
    • Crypto Heatmap
  • Education
    • Reviews
    • Guides
    • Bitcoin Price Analysis
  • Crypto Exchanges
No Result
View All Result
Blockzeit
No Result
View All Result
Home Politics
house 1239420 1920

house 1239420 1920

“Crypto Has No Intrinsic Value” Says Crypto Critic Andrew Bailey – Why He’s Wrong

Aaron Moses by Aaron Moses
May 10, 2021
in Politics
Reading Time: 3 mins read
0
Share on FacebookShare on TwitterShare on LinkedinShare via WhatsappShare via Email

In a recent statement, the Bank of England Governor, crypto critic Andrew Bailey said:

“I would only emphasize what I’ve said quite a few times in recent years, [and] I’m afraid they (cryptocurrencies) have no intrinsic value,” 

So, how do we measure the “Intrinsic Value” Of The Company? Well, according to investopedia.com:

“There is no universal standard for calculating the intrinsic value of a company. In the end any such estimation is at least partly subjective.”

So, this statement is something that should be taken with a grain of salt. Sure, there are plenty of crypto currencies with no intrinsic value. Take Dogecoin, for example. If every crypto were like Dogecoin, Bailey would be 100% spot on here. However, he couldn’t be more wrong. There are several dozen minimum unique types of crypto assets with real world value proposition. Of course one has to spend time in the crypto and blockchain world to see where the value comes from.

Why Crypto Critic Andrew Bailey Is Wrong

For example, one new cryptocurrency that launched in April has figured out a way to merge the blockchain and crypto industries. The company is called Melalie. It’s like Uber except without intermediaries link banks being involved with transactions.

$MEL starting to get noticed. Up 50 percent today and still a miniscule market cap. 120m is max supply. Entering the car market. Basically decentralized Uber https://t.co/8BYOIgdCPt

— Johnny THORCash (@JohnnyZcash) May 5, 2021

So, there are many examples of cryptos which you could argue have intrinsic value. Additionally there are many other projects on the market that are working products right now. Take AIOZ, for example, which we wrote an article about last month. AIOZ is a decentralized video streaming service.

For the Governor to Say that there is no intrinsic value to any crypto is an inaccurate and not well thought out statement. Of course one can only see the used cases of crypto if one spends time in the blockchain and crypto world. It is difficult for example to see the value of ETH until you interacted with the Ethereum network. For an outsider this would of course never make sense.

What Else

In further comments, Andrew Bailey said:

“Investing in cryptoassets, or investments and lending linked to them, generally involves taking very high risks with investors’ money,”

Yes, he does have a point. Investing in cryptocurrencies are the riskiest class of investments one can make with how young the crypto industry is, therefore making the assets highly volatile and experimental. But – this does not mean they are meaningless.

Bailey also warned that you should be prepared to lose all of your money. Is this is the institutions way of discouraging people from buying crypto? What if when the demand effects the market, the bank will likely buy up the Bitcoin at a low price while everyday investors panic sell. It’s a possibility to be aware of and something we have seen too often in the financial markets. Whenever institutions warn about cryptocurrency, the price still continues to grow.

Additionally, the UK Revenue has released statements that they will be cracking down on those in the UK who are evading crypto taxes. So, institutions right now are trying to cause fear and doubt to cryptocurrency investors.

Final Thoughts

There is no way of coming to a full objective analysis of a company’s intrinsic values. However, there are many types of crypto which you could argue have high value propositions and utilities to offer. However, in order to see this you have to take a deep interest into the crypto space in the first place. Only then you can see how some cryptocurrencies have an actual use in the blockchain space.

Aaron Moses
Aaron Moses

Aaron is passionate about blockchain and has been an investor in cryptocurrencies for the past years. He enjoys engaging with other people in the cryptocurrency community online, particularly on Telegram, and learning from experts.

Tags: Andrew BaileyCryptocritics
Previous Post

ETH Hits All Time High And So Do Ethereum Gas Fees

Next Post

Gemini Partners With Las Vegas Resort – Listed Dogecoin On Its Exchange

Related Posts

SWIFT Ban to CBPR+

Russia Bans Bank of Russia To Use SWIFT Messaging System

by Vincent Munene
March 23, 2023
0

The Bank of Russia has forbidden Russian financial institutions from using the SWIFT messaging system for transactions. Based on the...

Source: Pixabay

Is Hong Kong Becoming The Crypto Industry’s Financial Center?

by Meryl Sue Mascarinas
March 22, 2023
0

Businesses interested in virtual assets have begun looking to Hong Kong as the city aims to recover its role as...

images 2023 03 08T141151.432

Biden Administration Monitors Silvergate, Seeks Crypto Risk Protection

by Ken Emmanuel
March 10, 2023
0

The Biden Administration is paying close attention to Silvergate Capital, a cryptocurrency bank based in La Jolla, California, which recently...

Load More

Get updates to your inbox!

Subscribe to our mailing list to receive daily updates!

FOLLoW US:

Blockzeit Logo 10 1

Blockzeit was founded in 2021 in Switzerland with the mission of bridging the gap between the complex blockchain technology and the general public. Blockzeit is a news and education platform that aims to make blockchain more accessible and bring more transparency to the scene.

Popular Categories

Categories
  • Bitcoin News
  • Business
  • Education
  • Investing
  • Markets
  • Metaverse
  • NFTs
  • Politics
  • Press Release
  • Switzerland
  • Technology
  • Trends
  • Uncategorized

Important Links

  • Privacy Policy
  • Disclaimer
  • About us
  • Contact us
  • Blockchain Jobs
  • Events

Contact & Social

For guest posts, contact us via info@blockzeit.com

 

Contact: info@blockzeit.com
Press: press@blockzeit.com

Facebook Twitter Linkedin Instagram
  • Home
  • Markets
  • Investing
  • Technology
  • Trends
  • NFTs
  • Education
  • Events
© Copyright by Blockzeit.com. All rights reserved.

Disclaimer

SAVE 20% ON BINANCE FEES

Sign Up Here
No Result
View All Result
  • News
    • Business
    • Politics
    • Metaverse
    • NFTs
    • Markets
    • Investing
    • Technology
    • Trends
  • Tools
    • Crypto Charts
    • Crypto Heatmap
  • Education
    • Reviews
    • Guides
    • Bitcoin Price Analysis
  • Crypto Exchanges
  • DeutschDeutsch
  • PortuguêsPortuguês

© 2021 Blockzeit by Blockzeit.