RE: Cryptocurrencies, Blockchain and Value
I think that price and data is important because it's the only information we can measure with many blockchain projects. For instance if i were to look at price in traditional investing i could have an underlying asset that is at discount in the market or at a premium. However i could then inspect the balance sheet. See what assets they hold minus liabilities. So then i could come up with a book value as opposed to a market value.
As we can't see the inside workings of projects and we take exchange data. We have a tough time deciphering value however it's all we have to go on. This is why in my opinion social networks are some of the best uses of blockchain tech and ascertaining value. For example i could see activity and demand in the process of social media accounts and be able to gather that there is actual attention value there. So that is valuable.
Unfortunately social networks on the blockchain haven't been very impressive. As blockchain tech has been out now over a decade. We've only seen projects with a few million people. Dapps with a few thousand daily users. So i would be more determined on finding some real idea of value in the amount of users and the time they spend on the platforms. Some say well the technolgy is the value. I tend to think the demand creates the value. As we all have different measuring sticks to value as well.
if you take facebook with billions of users. It really doesn't matter if a social network has more tech or features or what have you. It matters how many people use it and find value in it. So the value in my opinion comes from branding, users, time on the network and it's improvement to society. As far as other blockchain projects. I'd say that their value remains to be seen. if it's some tech meant to change the world in use there is value in that because there is use in that. Decentralized ai over the blockchain is a compelling use and value to blockchain technology. As it stops the race of ai falling into the wrong hands.