#Whatiscryptocurrency What makes crypto valuable?
A beginner often asks: if crypto is digital, why does it have value?
Crypto gets value from several things:
Supply and demand
Usefulness of the network
Trust from users and investors
Scarcity, in some cases
Community and adoption
For example, Bitcoin is valuable partly because many people see it as scarce digital value. Ethereum is valuable because people use its network to build apps and services.
So crypto value is not random. It often comes from what the asset does, how many people use it, and how much the market believes in it.