Morgan Stanley says the true price of Bitcoin might be zero
They still don&#x27;t get it. I think partly because they live in the first world country.<p>The initial reason why BTC took off was pure speculation based on the fact it&#x27;s fixed supply + unknown but may be bright future.<p>As speculators started gambling, people who sell drugs and other illegal goods saw a great potential in moving their money as they know they eventually can exchange it to fiats by dumping BTC to speculators.<p>At this point BTC got its real value as self-fulfilling prophecy.<p>Following speculators and drug dealers, wealthy people living in countries like China, Russia saw great potential to move money out of their countries.<p>Self-fulfilling prophecy continues.<p>If there was no war on drugs and over-regulation of cross-border money transfers, BTC would not be taken off.<p>As first crypto-currency, BTC didn&#x27;t need fast transactions, low fees etc, since there was no alternative for these people anyway.<p>Currently, there are technically better crypto-currencies than BTC but BTC is still alive because of strong network effect and it&#x27;s safety was tested by time (after all it has longest chain in the world).<p>The whole story about discussions around BTC showed that you can have Phd in Economics and still suck at economy and simple reasoning beyond standard stuff you&#x27;ve been taught in university.