Bitcoin is ‘Like Regular Currency, the Federal Reserve Bank of St. Louis, USA said. The cryptocurrencies may seem exotic, but they share some qualities with regular currency. State currencies, such as the U.S. dollar, the euro or the Swiss franc, have no intrinsic value either. In the bitcoin and other cryptocurrencies case, it’s trust in computer coding or, at least, to developers. As for US dollar, that’s mostly trust in the U.S. government and economy, but not to the dollar itself. While this post explored commonalities between bitcoin and regular currency, there are differences, as well. In article stress, that there is a special section dedicated to currency technology, including cryptocurrencies on the St. Louis Fed’s Research team website.
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