 My question is that many naive at this point but when we talk of currency we talk of fiat currency we trust in an entity in case of the US dollar might be the Federal Reserve or as long as the sovereign exists what is underpinning the trust in Bitcoin trust in what? Okay that's a great question it's a question that comes up a lot and this at its core is the is the fundamental question of where does money get its value right and quite honestly I would I would challenge the idea that when you trust a currency what you're trusting is an entity I don't think that most people who spend Swiss francs do so because they trust that the Swiss central bank is going to offer good stewardship and managing the currency within a 2 to 2.5 percent inflation band while simultaneously managing unemployment in a grand strategy of monetary policy most people have no idea what the Swiss central bank is they probably think there's gold in the vaults they have no idea how money works what they trust is that if they go to the store tomorrow someone will give them a dozen eggs for what is it 40 francs here something like that that is where the value comes from it's forward trust it's the anticipation of future value expecting not only that you believe in the illusion that pieces of plastic more paper have value but the next person tomorrow will still believe in that illusion long enough to feed you that's where the value of the money comes from not some central entity what the central entity does fundamentally is they provide a guarantee that the money hasn't been forged which was especially important when the money was precious metal and you wanted to know that it wasn't 30 zinc but actual silver or actual gold and so the monarch would stamp it to tell you this is guaranteed and in fact it was one of the highest crimes of treason was the forge tamper with or slice off pieces of the money the monarch provided a guarantee of unforgeability a guarantee of metal purity when the value was intrinsic in the coin or somewhat intrinsic in the coin what exactly does the central bank offer in terms of that because it certainly isn't a promise not to print more right it is again a promise of unforgeability and what it says is within this jurisdiction you will be able to use this at least if nothing else to the buyer of last resort which is you will be able to pay the government for any money you will the government with this money that is the only guarantee you get the only base of trust you get and I would say that's relatively weak so why do people trust in Bitcoin why do people trust in any of the digital currencies that exist out there fundamentally because they believe that it will still have value tomorrow and they can use it to buy goods and services that's how I use it I get paid in Bitcoin and then I use Bitcoin to live and I trust that I will still be able to use Bitcoin tomorrow to live and as long as that joint hallucination rolls forward we have value so the value is really in the community it's in the economic activity of all of the participants in the understanding that we are all using this to to trade and the second part is that I trust it can't be forged because I've read the algorithms that I know it can't be forged it can't be faked right and it can't be diluted so I have that level of trust that's all it is I believe that other people will find it useful in the future and that's the basis for all money now behind that a very large amount of energy expenditure and computation for Bitcoin that ensures that it is also rare I just wanted to add a statement to your answer regarding the value yes thank you for the value and when I get to talk to the question about Bitcoin now what's the weirdest and where is the intrinsic value because in fact it's true when you say a lot of people think that I can go to the national bank and they could be some goals so for a goal yes hold it a bit closer to your mouth so okay yeah perfect so I just wanted to add that for me it's it's intriguing and also ironic that for me the intrinsic value in Bitcoin lays in its non-physicalness exactly in those mathematical properties which make it non-physical rather than intrinsic value I like to use the term intrinsic utility because the truth is that systems of money that have intrinsic value make for not very good money because the intrinsic value of the money dilutes the purpose money is meant to be an abstraction of value by which you communicate value not value itself if you can eat the money then some people will choose to eat the money causing a deflationary situation because there's a reduction in the supply of money because people ate it right you know so if you chose bananas your money that doesn't make a very good system of money things that have intrinsic value their intrinsic value may change abruptly due to circumstances if you use water as your money and you have a monsoon your money supply went to shit if you have a drought suddenly your money supply is you know much more different than the wasp before so the best forms of money don't have intrinsic value intrinsic value is an illusion that we've created in order to better explain money at a level of a five-year-old which is the same level we explain it to everyone in our society forever and instead I think intrinsic utility is a great concept that bitcoin is useful and it has uses that can't be done by other things and that's intrinsic utility isn't forward-looking it's practical so thank you Friday night