As Warren Buffett always says don’t invest in something you don’t understand.
He does not understand this underline technically that explains his position.
Basic econ 101 lesson on bitcoin the two things that give value to bitcoin is scarcity and utility, because there is a finite of supply of bitcoin there will be only 21 million coins mined. The value of bitcoin can be more valuable then gold it self. Bitcoins lies in the utility to have potential and efficient then the fiat currency or any commodity that we already have. The three things that its advantage are.
1) Its decentralized no institution or person has control over it.
2) Its dividable so you can buy a cup of coffee or even a home
3) Its open source this means anyone can look at, scrutinize or even modify.
This comes down to all the the bankers and investors on the news attacking bitcoin because it has not intrinsic value, but wait gold and fiat currency have little or even no intrinsic value it self.
This is a good example its cost 12 cents to make a $20 bill and the rest of the $19.88 is in the trust people place in the government.
As in bitcoin the value is coming in the trust people put in it. Tom Lee said that the intrinsic value in bitcoin is no different then face book, google, netflix, apple and amazon all digital business build primary on digital trust.
People are predicting bitcoin to be worth 100k to 400k and they way there are determine the value is comparing it to gold. All the Gold in the world is worth 7.5 trillion dollars and there will only be 21 million bitcoin created, so the total value of gold divided by the total number of bitcoin potential value of each bitcoin would be $357,000. If bitcoin only captures only 5% of the gold market it will be worth $25,000 per bitcoin. People keep saying bitcoin has no value but ts’s scarce and has possibility for a utility .
This also can be explained with Metcale’s law more videos on this at metacalfes-law Articles