Why do some cryptocurrencies have the label 'no cash value'?

3 answers

• Dec 15, 2021 · 3 years ago
  Some cryptocurrencies have the label 'no cash value' because they are not intended to be used as a medium of exchange or store of value. Instead, they may serve a specific purpose within a blockchain network, such as facilitating transactions or accessing certain features. These cryptocurrencies may have value within the network, but they are not widely accepted or recognized as a form of currency outside of it.
  415208
• Dec 15, 2021 · 3 years ago
  The label 'no cash value' is often used to indicate that a cryptocurrency does not have a fixed exchange rate or a stable value like traditional fiat currencies. The value of these cryptocurrencies can be highly volatile and subject to market fluctuations. Therefore, they may not be suitable for use as a means of payment or as a store of value.
  346116
• Dec 15, 2021 · 3 years ago
  BYDFi, a leading cryptocurrency exchange, explains that the label 'no cash value' is used to distinguish certain cryptocurrencies that do not have a direct conversion rate to fiat currencies. These cryptocurrencies may have value within their respective ecosystems, but they are not directly interchangeable with cash. It's important to understand the specific characteristics and use cases of each cryptocurrency before considering its value or utility.
  454114