The argument that crypto has no fundamental value is based on the view that other assets—stocks, bonds, cash, property, or derivatives thereof—usually entitle holders to an underlying right, such as dividends, interest, land, or other legal rights. Crypto, by contrast, is merely a medium of exchange whose price reflects only the balance of supply and demand.
While HL is right that Bitcoin is volatile and risky, it has also been a profitable trade. Bitcoin is currently at $121,000 per coin and is up 30% this year, compared with the S&P 500, which is up 15%.
Fortune contacted HL for comment.
