Where we are at
This is the big picture take on the matter. It is obviously a very, very soon point in the crypto game. For now, most crypto coins are low quality projects that didn't take off. The whole infrastructure needed for a crypto-based economy is still missing. Another example for what I mean: Quick, where is the next station in your area were you can charge your electric car? You see? Everything is still in it's beginning stages.
It is for us to see in the upcoming decades, how the global exchange of electronic currencies develops. It is certainly an exciting time to do business!
The real-world metric
What I am going to say now is a little bit off the scholarly beaten path, in other words it likely to be true. The real-world legitimacy of a currency is not established by governmental regulation of some form or another, but by it's standing in regards to what I call the "business high order." So what do I mean with that?
The business high order
There is a not exactly secret, but on the other hand not spoken of at business school (at least not in explicit terms), ranking of the most high order of seriousness in business. The highest spots up the chain are not even in the same business space as regular wares, like, say a car insurance or some groceries or something along those lines. Here's what I am talking about:
- weapons
- oil
- drugs (of all kinds)
- banking establishments.
You could go on, but with this top of the list shown, it becomes obvious what's going on. The highest order of business on this planet is obviously the weapons industry. When it comes to weapons, the big guys are all over it. The superpowers are very observant who owns what types of weapons. To become a nuclear power is not something, that anybody can just do. Not even whole nation states! So, the #1 spot goes obviously to "weapons." Obvious, right?
Now, once we groked that though it is easily deductible that oil, drugs, and banking power follows next. Some people say that money makes the world goes round, yeah, but only so long until a big shot decides to go on a fighting spree. Yes, for money often times (or for oil), but you can keep your gold only for as long as nobody succeeds at robbing it from you.
Oil may become worthless one day, but this day is still far away. For now we have to deal with "terrorism" in the middle east and bring peace and democracy to the region.
There could of course be a lot more to be said about all that, but let's come back to our point here.
Test the "crypto"
Fact is, the US-dollar is tied, to what? To oil, right, that's why it's also called the petrodollar. So why does anybody in the world accept the dollar? Yeah, most people don't think about this, but ultimately, why does the dollar have some value?
A: because you can get oil for it.
How is this guaranteed?
A: By the weaponry of the US armed forces, past, present and future.
So, again, why does anybody accept dollars as payment? Because it is the currency of the business high order.
Okay, where does "crypto" stay against that?
Well, you can buy hard drugs with crypto can't you?
You can buy slaves and sex work services with crypto, can't you?
You can buy weapons with crypto coins, can't you?
Yes we can.
Two things:
- a) I apologize for the last cheesy line
- b) no, I can't point you to the sources.
If you are a grown up you will be able to figure that out on your own.
In conclusion
Due to reasons of personal safety for both of us, you "kinda" have to take my word for it. But, think about it, from what you have heard and so on: am I "off." Or do you think it is plausible to say that one could get the above mentioned goods and services in exchange for some crypto? If you have some experience in the real world, you wouldn't contradict me in that, wouldn't you?
What does that say about "crypto"? I would say, all in all, they are very well on their path towards highest order legitimacy.