How is Bitcoin not a "fiat" currency?
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Intrinsic value is not important attribute of bitcoin. Bitcoin value is established by market forces, supply and demand. Voluntary demand - again, no government regulation. It's written in the article.
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why are market forces of supply and demand a good attribute for a currency to have?
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Market forces are general mechanism to spread out and maximize utility between members of one/or many social groups. By taking part in market transaction everyone benefits otherwise it would make no sense to participate. It's essential economics principle, isn't it?
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Is it possible for people to participate in a market without benefiting? Is it possible for markets to introduce coercive or irrational behavior even in the absence of a government?
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1st q: hardly. 2nd q: coercive - yes, imagine 'terms of service', irrational behavior is connected to inviduals, if you want to blame market, you have to blame human kind. Btw are we still talking about Fiat and Bitcoin? I don't think so :)
End of conversation
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