Peter believes that there is no real utility or cash flow provided by Bitcoin, therefore any price over $0 is more than it's worth.
We are seeing many of these older investors are still unable to connect the dots when it comes to value and the digital age.
Just because you can't knit a sweater out of Bitcoin, doesn't mean Bitcoin holds no financial value.
- Bitcoin doesn't have a central authority that can shut it down
- Bitcoin can be sent instantly across the globe for little to no fees
- Bitcoin is reliably scarce in an unreliably inflated world
The other thing that's important to remember is many investors were burned in the early 2000s during the dot com bubble.
Imagine you jumped on the bandwagon in the early 2000s and invested in tech startups.
You would have made a lot of paper gains until the entire market crashed leaving a sour taste in your mouth.
The Crypto market is basically the next version of the dot com bubble.
Most cryptos will end up worthless and become the next Pets.com.
But, there will also be the Googles, Amazons and Apples of the crypto space that not only survive but create the standard for an entirely new market sector.
Picking the winners in a sea of losers is hard, but to write off an entirely new industry because you don't understand digital scarcity, rock Jpegs and crypto kitties is not only limiting but ignorant.