Originally Posted by
psionl0
Collecting cancelled stamps that have no "intrinsic value" (whatever that means)
It does have a meaning, believe me.
Quote:
and have practical use whatsoever is an exact analogy. Many stamp buyers are only in it for the money (ie speculators). There seems to be no end in sight to the number of "greater fools" who are willing to buy rare and expensive stamps.
I agree with all that. It's the degree of social consequence that distinguishes the two kinds of speculation. I can't think of a case in which Joe Kennedy was advised by his shoe shine boy: buy Penny Blacks, and then Joe said, "when the shoe shine boy is giving advice on stamp collecting, it's time to get out."
Then the price of penny blacks crashed and brought the economy down with it.
Not likely. But it is the same thing, one on a socially and economically insignificant scale, the other not. Bitcoin, like 1840 penny stamps, has no intrinsic or use value giving it any particular price at all.
Also unlike old cancelled stamps, Bitcoin has been made the darling of the extreme libertarian right, who support it on ideological grounds. Nobody treats stamps like that, AFAIK.