With response to the «
intrinsic value of gold / silver» fiat currency and a precious metals standard... Â
Listening to the hoopleheads debate
the intrinsic value of Gold or lack thereof is like watching professional soccer — there will only be one point made for every 27 hours or so worth of back - and - forth tedium.
Not exact matches
Once it gets up to a certain amount you can have fun with it and buy items
of intrinsic wealth that continue to increase
value over time, such as
gold, silver or platinum... Antique jewelry and sterling silver are examples
of intrinsic wealth that also have the added bonus
of contributing something beautiful to your life.
For how much longer can the reality
of an acknowledged shortage for physical
gold and silver go on in the face
of an unprecedented and growing supply
of worthless fiat, where the former have a historic
intrinsic value and the latter has no
value, whatsoever, except in the mindless minds
of the users?
The question is about
gold and your answer is challenging the definition
of «
intrinsic value» (Also, your answer about
value is wrong because people do
value things for economic reasons.
While every fiat currency eventually reverts to its
intrinsic value of zero, or the
value of a used piece
of paper with negligible heat
value in BTUs,
Gold remains.
I wouldn't say that
gold has zero
intrinsic value because
gold is not a business so traditional models are inappropriate, but I would say that
gold * certainly * doesn't have a
value of $ 1,500 and it's propped so high only because
of investor expectation.
What
intrinsic value does
gold have, or to put it another way, what uses does it have in the sense
of being a material commodity as opposed to an investment opportunity?
The answer is that other than a small number
of applications (the approx. 10 %
of gold production that goes to «industrial uses»)
gold does not have
intrinsic value beyond being pretty and rare (and useful for making jewelry.)
Bank
of Ireland, bubbles, dividend yield, DYOR,
intrinsic value, ISEQ, natural resource stocks, Ovoca
Gold, Permanent TSB, Petroneft Resources, Ponzi, portfolio allocation, portfolio performance, Prime Active Capital, REIT / MLP sector, stock screener, TGISVP, Total Produce
-- This is really just the bar
of gold (counter --RRB- argument in disguise: A bar
of gold has no yield — so what's its
intrinsic value, who knows how high / low it might trade, maybe it's even ultimately worthless?!
There is no way that I know
of to estimate their
intrinsic value, and therefore whether they be tulips,
gold, crypto - «currency» or other things that have not yet been imagined, but which derive their worth solely from the opinion
of others, I plan to stay far away from them as they fall outside
of my circle
of competence.
When people realize the folly that is traditional currency, its
intrinsic value and rethink the very idea
of money, they will realize the potential
of cryptocurrencies, and more so stablecoins, and physical assets like
gold and silver themselves.
«It is our view that many investors in bitcoin would like the option
of holding
intrinsic value in a traditional safe haven asset like
gold, and be able to switch across in a simple and cost effective way.
As if this was not enough, a report by the Wall Street consultancy firm Quinlan Associates entitled «Fools
gold: unearthing the world
of cryptocurrencies», played down all predictions and forecasted a complete crash
of the digital asset which was once attacked
of having no
intrinsic value.
«Many investors in Bitcoin would like the option
of holding
intrinsic value in a traditional safe haven asset like
gold; and be able to switch across in a simple and cost effective way,» said Sharps Pixley CEO Ross Norman.
Lastly, critics argue Bitcoin has no
intrinsic value because fiat currency can be used for payment
of taxes and salaries while
gold has an industrial application.
any investors in Bitcoin would like the option
of holding
intrinsic value in a traditional safe haven asset like
gold; and be able to switch across in a simple and cost effective way.
Schiff has always introduced the concept
of intrinsic value to justify the superiority
of gold over Bitcoin, but like any asset or currency, the
value of Bitcoin depends on its market.
Gold has little
intrinsic value beyond its ability to create shiny jewelry or coins yet it has represented a measure
of wealth since the beginning
of time.