Why would one pay $7K for Bitcoin if he/she can get the same thing for $0.001?

[Eugenar]

All responses to the OP are essentially the same, and all are beside the point.

Of course that people will pay more for branded or initial products. But not thousands or millions times more. No one would pay $10,000,000 for Gucci's sunglasses if he/she can buy absolutely same quality/design glasses for $10. No one would pay $100,000,000 for some Motorola phone just because Motorola was the first in the mobile phone industry, if he/she can buy a mobile phone with the same features for $100.

Functions and features of cryptos are pretty straightforward. Elimination of expensive brokers, lawyers, and other typical “middlemen”.  Low transaction costs. Transactions are transparent, quick, permanent, and hard to fake. Cryptos that are priced below $0.001 have all these functions and features. So why would one pay $7,000 to have features that he/she can have them for $0.001?

It is not because of the characteristics such as efficiency, fast transaction, the low transaction fee that made people to choose in buying bitcoin in comparison to another cryptocurrency. Bitcoin is quite the topmost investment cryptocurrency where people took the biggest risk. It provides huge volatility in the market that attracts investors that's why bitcoin becomes the best crypto. A cryptocurrency that other crypto cannot imitate. Simply, original.

[gentlemand]

Functions and features of cryptos are pretty straightforward. Elimination of expensive brokers, lawyers, and other typical “middlemen”.  Low transaction costs. Transactions are transparent, quick, permanent, and hard to fake. Cryptos that are priced below $0.001 have all these functions and features. So why would one pay $7,000 to have features that he/she can have them for $0.001?

Looks like you've found 'the answer' so why are you wasting our time?

Of you go and use your 0.00000001 cent alt for all your daily needs. I hope it works out beautifully for you. You might rapidly feel a great sense of solitude but I urge you to stick to the path you've chosen.

[lionheart78]

But... in the crypto world, they are possible. People are paying thousands or even million times more for bitcoin than for some altcoins, even though these coins have the same features as bitcoin. Functions and features of cryptos are pretty straightforward. Elimination of expensive brokers, lawyers, and other typical “middlemen”. Low transaction costs. Transactions are transparent, quick, permanent, and hard to fake. Cryptos that are priced below $0.001 have all these functions and features. Why people in the crypto world pay millions time more for the same thing? Why they behave so irrationally?

I don't think that altcoin and Bitcoin are the same.  They may be both cryptocurrencies but they have different blockchains.  Bitcoin has more use cases than any other cryptocurrency thus, for its current valuation or price.  Bitcoin is more secure than any other else that you wanted to point out.  And it is far recognized by the government and the same thing why people pay for the brand of an item, the trust, and proven durability. And I do not think that it is irrational because of the stated reason above.

[Edraket31]

But... in the crypto world, they are possible. People are paying thousands or even million times more for bitcoin than for some altcoins, even though these coins have the same features as bitcoin. Functions and features of cryptos are pretty straightforward. Elimination of expensive brokers, lawyers, and other typical “middlemen”. Low transaction costs. Transactions are transparent, quick, permanent, and hard to fake. Cryptos that are priced below $0.001 have all these functions and features. Why people in the crypto world pay millions time more for the same thing? Why they behave so irrationally?

I don't think that altcoin and Bitcoin are the same.  They may be both cryptocurrencies but they have different blockchains.  Bitcoin has more use cases than any other cryptocurrency thus, for its current valuation or price.  Bitcoin is more secure than any other else that you wanted to point out.  And it is far recognized by the government and the same thing why people pay for the brand of an item, the trust, and proven durability. And I do not think that it is irrational because of the stated reason above.

When it comes to security and trust, Bitcoin gain so much power compare to altcoins, and nowadays people trusted Bitcoin as they know that it has been existing for more than a decade but yet it still remains the number one, $7k is worth risking for those who has a lot of money, but if you are just normal person just like me, then better to save at least weekly for it for the future.

[Kakmakr]

It's all about hash power baby.    The more hash power backing the technology, the more secure it is. Can you imagine how many of these smaller Alt coins are vulnerable to 51% attacks with that small amount of hashing power?

The other thing is merchant acceptance and use case. Imagine owning $1000 worth of some unknown shitcoin that you cannot spend at any well known merchant.             -= Try buying something at Overstock.com and paying with PringlesCoin. =-

I use Bitcoin daily to buy food and I can buy bitcoins at 100's of exchanges. 

[stompix]

All responses to the OP are essentially the same, and all are beside the point.

Of course that people will pay more for branded or initial products. But not thousands or millions times more. No one would pay $10,000,000 for Gucci's sunglasses if he/she can buy absolutely same quality/design glasses for $10.

400k
https://bleubloom.com/10-most-expensive-designer-sunglasses-in-the-world/

Same glasses:
https://www.ebay.com/itm/CHOPARD-Shield-23K-Gold-Plated-Metal-Brown-SCH883S-Rimless-Sunglasses-883/172761428749
And I think you can buy it for 30$ on aliexpress

No one would pay $100,000,000 for some Motorola phone just because Motorola was the first in the mobile phone industry, if he/she can buy a mobile phone with the same features for $100.

iPhone 6 with a pink diamond for $48.5 million
https://www.cnet.com/news/preorder-an-iphone-6-with-a-pink-diamond-for-48-5-million/
Apple iPhone 6 - 64GB - Silver  95$
https://www.ebay.com/p/203684345?iid=254433745803&rt=nc

You were saying??

Oh:

Imagine a guy that pays $1,000 for the Cheeseburger while in the same time he can get the Big Mac for only $1.

Fleurburger 5000, yeah the 5000 stands for 5000$ apiece!

Want more?

Try buying something at Overstock.com and paying with PringlesCoin. =-

I would be surprised if we would not have a shitcoin called pringlescoin yet.

[BitcoinsGreat]

And what altcoin would that be?

Yeah let us do some comparison here but let us not go with full "imagination".
Too much "imagine" word in your world.  

Let us say I bought an Iphone and then you bought some cheap China phone.
Both are created in the same country but the price are way far from each other.
An Iphone at $1000 while your cheap unknown China phone is at $100.

What will you buy?
Ain't that just the same as your comparison?
Trust, reliability, name, and a lot more. It gets more value because of that.

Bitcoin and altcoins cannot be compared at all. If you hold one bitcoin and you hold one shitcoin, their value cannot be equal. You can think of an original iphone vs a clone iphone and same is the relation between bitcoin and shitcoins. You can copy and made a lot of shitcoins but none of them can be trusted and reliable as bitcoin.

[BeManga]

Imagine an electronic producer that pays $10,000 for 1 gram of gold, while in the same time a metal with better electrical properties costs less then a cent.

Imagine a trader who gives his 10,000 units of fiat currency X for the same amount of fiat currency Y, although the bank created X with his 5,000 square foot luxury mansion as a collateral, while the collateral for X was only Kia Pride vehicle.

Imagine an investor that pays $1,000 for a stock with a book value of $1 and earnings of $0.01, while in the same time he can buy a stock with a book value of $2,000 and earnings of $500 for the same amount of money.

Imagine a guy that pays $1,000 for the Cheeseburger while in the same time he can get the Big Mac for only $1.

The above scenarios would be crazy because no one would trade his thing for something that has thousands or millions time less utility. Nor would someone pay a thousand or a million times more money for the same or even worse thing. That is why the above scenarios are not possible in reality.

But... in the crypto world, they are possible. People are paying thousands or even million times more for bitcoin than for some altcoins, even though these coins have the same features as bitcoin. Functions and features of cryptos are pretty straightforward. Elimination of expensive brokers, lawyers, and other typical “middlemen”. Low transaction costs. Transactions are transparent, quick, permanent, and hard to fake. Cryptos that are priced below $0.001 have all these functions and features. But, people in the crypto world buy bitcoin that is priced above $7,000. They are paying pay millions time more for the same thing. Why they behave so irrationally?

you cant blame user for not buying new altcoin today because the risk is very high
some of the new altcoin is created just to take your money or to scam people
many of them look legit but in the end, the team behind it will just vanish or stop developing the coin

[DannyHamilton]

All responses to the OP are essentially the same

No, they aren't.

and all are beside the point.

Again, no, they aren't.

Cryptos that are priced below $0.001 have all these functions and features.

Cryptos that are priced below $0.001 do NOT have all the same functions and features as Bitcoin.

So why would one pay $7,000 to have features that he/she can have for $0.001?

Because one of them provides $7,000 worth of the features that the user actually cares about, and the other does not.

[antikvark]

Trust?

Since inception of bitcoin we are told stories that unlike most currencies (so-called fiat), bitcoin is not based on trust. We are told stories that bitcoin system is amazingly designed so that no trust is needed. That bitcoin uses a decentralized database, distributed between peer-to-peer nodes to store transactions and that special mathematical functions protect every aspect of the system.  So no need for a ‘trusted’ third party like a bank, government or other authoritative institute. But now, after I mentioned that many other cryptos, that cost thousands or even millions times less than bitcoin, have all these functions and features, suddenly, the story completely shifts. And now everybody talks about trust. WTF?!

If this "trust" refers to trust in technology or network, this is absurd, since network that enables users to send and receive money has nothing to do with the value of money itself. For example, SWIFT is a network that enables financial institutions worldwide to send and receive fiat currencies. But obviously, the fact that SWIFT provides secure, standardized and reliable environment for these transactions, has nothing to do with the value of dollar, euro or pound. It is inflation, balance of payments, external debt, economic growth,  interest rates, political stability or unemployment what determines value of currencies, and not trust in the SWIFT network.

So trust in technology or network has nothing to do with the value of money itself and my question still stands: why would one pay $7,000 to have functions and features that he/she can have for $0.001?

[stompix]

Trust?
~
So trust in technology or network has nothing to do with the value of money and my question still stands: why would one pay $7,000 to have functions and features that he/she can have for $0.001?

The Zimbabwean dollar has the same function and probably the same texture and efficiency when it comes to ass swiping as the usd.
Yet one ZWD is not worth one USD.

Why?
Because people are trusting one currency more and they are sure with one dollar you will buy the same loaf of bread tomorrow, with the zwd you will need to switch from a wheelbarrow to a truck full of bills.

So, can you finally understand the difference or we should switch to yellow and red cubes and triangles?

[antikvark]

Trust?
~
So trust in technology or network has nothing to do with the value of money and my question still stands: why would one pay $7,000 to have functions and features that he/she can have for $0.001?

The Zimbabwean dollar has the same function and probably the same texture and efficiency when it comes to ass swiping as the usd.
Yet one ZWD is not worth one USD.

Why?
Because people are trusting one currency more and they are sure with one dollar you will buy the same loaf of bread tomorrow, with the zwd you will need to switch from a wheelbarrow to a truck full of bills.

So, can you finally understand the difference or we should switch to yellow and red cubes and triangles?

The problem of Zimbabwean dollar is not the problem of trust but the problem of third party or central issuer. Cryptos have no central issuer.

[seoincorporation]

I think it only goes one way, once you have the chance to buy 1btc for the value of 0.001 nowadays, but that doesn't mean it will go down to that price again someday, but we can say the bitcoin price right now will be the price of 0.001 in some years.

So, as i say, the price goes only one in the long term.

[DannyHamilton]

why would one pay $7,000 to have functions and features that he/she can have for $0.001?

One wouldn't.

Cryptos that are priced below $0.001 do NOT have all the same functions and features as Bitcoin.

One of them provides $7,000 worth of the features that the user actually cares about, and the other does not.

[teosanru]

Okay I would try to answer it in your way.

Imagine an investor that pays $1,000 for a stock with a book value of $1 and earnings of $0.01, while in the same time he can buy a stock with a book value of $2,000 and earnings of $500 for the same amount of money.

Because he knows that company with earnings $500, these earnings are just inflated once and the Company has a huge debt which actually makes the intrinsic Value of Stock much in Negative.

Imagine a guy that pays $1,000 for the Cheeseburger while in the same time he can get the Big Mac for only $1.

Because the $1000 cheeseburger is around 1000 times tasty than the Big Mac which is absolute Rubbish. Not to forget the $1000 cheese burger will be worth $2000 tomorrow.

I think two examples would be enough. I thought it would be interesting to answer but falling to that level would make my answer lame too. Never thought I would answer such lame questions though.

[error08]

~
So trust in technology or network has nothing to do with the value of money itself and my question still stands: why would one pay $7,000 to have functions and features that he/she can have for $0.001?

What is this? I think you already know the answer but trying to lure people in your quiz?
Each one who has bought bitcoin for $7000 has their own reason "why", no one buys shitcoin for $0.001 because of its utility, it's all about profits.
But people who buy bitcoin have various reasons not just for profit, and you can't force people to agree with your opinion "why".

[stompix]

~

The problem of Zimbabwean dollar is not the problem of trust but the problem of third party or central issuer. Cryptos have no central issuer.

Oh, but it is.
It's the problem of trust with the central issuer.

Why trust a 0.000001$ shitcoin when the team behind can decide overnight they can print 10 billion more coins.
Why trust a shitcoin that was premined like hell at the start.
Why trust a shitcoin that has centralized development.
Why trust a coin....etc etc etc.

You fail to see the obvious thing, people buy bitcoin because they trust it, they don't buy a shitcoin because they don't!

Forget the colored cubes, I think that if you don't understand simple things it's not because can't but because you don't want, at which point debating with you is futile.

[pawanjain]

People do have the option to choose Big Mac over Cheeseburger yet there are people who specifically wants to eat a Cheeseburger and not a Big Mac.
Obviously there is a difference of quality and taste in-between the both. Similarly, though there are many altcoins to choose from, people still choose to invest in bitcoin. Bitcoin is trusted by many and it's the sole reason why it has increased in price so much today.

[southafricadude]

Imagine you could buy some gold, or some tin. One is more expensive, why do you go for that one instead of the cheap one?
Its got to do with the properties of the more expensive one, which is why it commands that price.
Other coins coins try to imitate or replicate bitcoin, but they do not have the same properties, hence they are worth less.

[BartS]

Imagine an electronic producer that pays $10,000 for 1 gram of gold, while in the same time a metal with better electrical properties costs less then a cent.

Imagine a trader who gives his 10,000 units of fiat currency X for the same amount of fiat currency Y, although the bank created X with his 5,000 square foot luxury mansion as a collateral, while the collateral for X was only Kia Pride vehicle.

Imagine an investor that pays $1,000 for a stock with a book value of $1 and earnings of $0.01, while in the same time he can buy a stock with a book value of $2,000 and earnings of $500 for the same amount of money.

Imagine a guy that pays $1,000 for the Cheeseburger while in the same time he can get the Big Mac for only $1.

The above scenarios would be crazy because no one would trade his thing for something that has thousands or millions time less utility. Nor would someone pay a thousand or a million times more money for the same or even worse thing. That is why the above scenarios are not possible in reality.

But... in the crypto world, they are possible. People are paying thousands or even million times more for bitcoin than for some altcoins, even though these coins have the same features as bitcoin. Functions and features of cryptos are pretty straightforward. Elimination of expensive brokers, lawyers, and other typical “middlemen”. Low transaction costs. Transactions are transparent, quick, permanent, and hard to fake. Cryptos that are priced below $0.001 have all these functions and features. But, people in the crypto world buy bitcoin that is priced above $7,000. They are paying millions time more for the same thing. Why they behave so irrationally?

Your problem is that you are assuming that bitcoin is just a technology and that it should be treated as you treat your smart phone in which as soon as you can find a better and cheaper deal you replace your current one.

But bitcoin is as a currency and all currencies requires the trust of the people in order to function appropriately, what altcoins are missing is the trust that we have in bitcoin not only because it was the first cryptocurrency ever created but also because it has the highest hashing power, the best developers and the best community.