People buy into bitcoin in expectation of handsome returns. That expectation is sustained by the profits of those who cash out. But there is no external source of income. As in a classic Ponzi scheme old investors cashing out only do so at the expense of new money coming in. Unlike, say, investment in shares and bonds, bitcoin makes no contribution to the greater economic or public good.
REALITY CHECK FOR CRYPTOCURRENCY: BITCOIN IS A SCAM WHICH WILL ONLY END IN TEARS
Economics/Finance Editor, Daily Mail
Source: Daily Mail