“ They really aren’t. A currency is only worth anything if normal people are willing to trade them en masse. For the majority/normal people to trade them en Maße there needs to be an universally agreed upon use for them. A use that taxes give, since no matter who you are, you must pay your taxes in the state issued currency.
Crypto and other alt currency tokens are worthless by definition”
https://reddit.com/r/technology/s/TTK0bCHDDN
Don’t necessarily agree with it, but I get why someone would have that take.
Trade outside of government control makes no sense to government bureaucrats.
Tbf, let’s say the state does collapse, how do you even decide “a loaf of bread is worth X in Bitcoin, Y in ETH, Z in Dogecoin”, etc?
Same way you decide that a loaf of bread is worth $2 in USD, and then you can use exchange rates to convert that into any number of other currencies.
In case of a state collapse, that would be the easiest of things. People have used all sorts of things as currency, including shells (from the beach), cigarettes.
How do we determine the cost of bread in dollars?
The dollar is propped up by smoke and mirrors and the backing of the government. The crypto is just smoke.
It's all up in smoke anyway.
We use currency because direct trade seems barbaric to us, even though the very rich do it all the time.