Lack of Intrinsic Value

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economic

Criticism: Bitcoin lacks intrinsic value, as it is not backed by any physical commodity or government.

Counterarguments:

Digital Scarcity: Bitcoin's hard cap of 21 million coins introduces scarcity, creating value through limited supply and rising demand.

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Utility as a Store of Value: Bitcoin's decentralized, censorship-resistant properties add intrinsic value, especially in economies facing inflation or capital restrictions.

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Network Effect: Bitcoin's value is driven by its network of users, miners, and developers, which strengthens over time.

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