I just created a new video explaining how bitcoin has a use value beyond exchange. It's along the lines of proof of work being used for capcha. But I thought it'd be nice to have the explanation in video form.
You did a very good job putting your video together from an organizational and production standpoint. I wish I could make videos that good
However, I really have difficult with the arguments you put forward.
Thank you.
I don't think capcha is an example of use beyond "exchange". I think the reason bitcoin can be used in place of capcha is the low transaction costs of the "exchange" (i.e. it wouldn't work with paypal because paypel has high fees, but if paypal had a $0.01 fee then it probably could work in place of capcha as well). Anyway, regardless, a bitcoin exchange in place of capcha it is still an exchange of something of value between the visitor wanting access and website owner wanting to avoid spam. I agree it is a very small exchange that most visitors consider negligible, but it is still an exchange of high enough value to prevent a spammer from making the exchange.
Let me see if I can separate the two. What I meant by "exchange" value is that somebody gives it to someone in exchange for a good, and they accepted it because they would be able to exchange it for a good in the future. This type of exchange is value for future value from someone else. Whereas the capcha is a value for value now from that person. They aren't accepting it solely to be able to exchange it for something later, but to ensure something in the immediate. It avoids the greater fool problem some people thing bitcoin has.
Also, I don't view "proof is work" as giving money value. Would you rather have a coin that promised “Someone was given this coin as proof they mowed a yard” or a coin that promised “I'll mow your yard when you give me this coin”. There is a very big difference between proof of past work and a guarantee of future work. The thing people value is the guarantee of future work and proof of work does not necessarily correspond to getting future work. For example, if someone dug a ditch, took a picture of the ditch, and then filled the ditch back up, then the "proof of work" picture they took would not really have any value even if the picture were a certified by a notary as legitimate proof that dug a ditch and filled it. Anyway, I think the concept of "proof of work" giving something value does not make sense when you really take time to think about it.
Neither do I, I view the future spam blocking applications as giving it value. The proof of work only shows why it has future spam blocking potential.
