Can Laser Increase the Value of Other Cryptocurrencies?

The short answer to this is yes, absolutely! Being blockchain without borders, Laser gives cryptocurrency users the ability to transact cryptocurrencies outside of their native blockchain.

Since this functionality expands the use possibilities of existing cryptocurrencies — that naturally stands to increase their value as people begin to use Laser! Now, here’s the longer answer…

We could give you some grand analysis of the economics of currencies and what gives them value… but we’re going to explain this with a simple analogy — gift cards.

Let’s say you have a $100 gift card to Starbucks. It’s worth $100, right?

Well, it’s worth $100 only to get $100 worth of coffee or other stuff from Starbucks. But what if you don’t drink coffee or you don’t like Starbucks? Then it’s worth $0 to you.

Surely, it’s worth $100 to somebody else though, right? Not exactly. Why would somebody give you $100 of their cash for a card they can use only at Starbucks, when they can just keep their $100 cash and do as they please with it — whether that’s buying stuff at Starbucks or elsewhere?

So then if it’s not worth $100, what will someone pay for it? $95? $93? $90? It’s all a matter of what the market will bear, and how much of a savings is worthwhile for the purchaser to have to tie up $90+ of their cash to get $100 that they can only use at Starbucks.

The point of this analogy is, since you can only use a $100 Starbucks card at Starbucks, it’s worth less than $100 in cash because you can use $100 cash anywhere, including Starbucks.

In the same way that you can only use a Starbucks card at Starbucks, you can generally only use Bitcoin on the Bitcoin blockchain. If you want to liquidate your Starbucks card, you will usually take a loss in doing so (e.g. selling it for $95 cash). That 5% of value vaporizes in to thin air. If you want to liquidate your Bitcoin, you will also usually take a loss in doing so (e.g. paying a transaction fee to an exchange to swap it to ETH/LTC/another crypto).

With cash, though, you will never take such a loss for the simple reason that you can use it anywhere. If you have $100, you can divide it up to spend $60 on groceries, $30 on gas, and $10 on Starbucks. That way, you’re getting the full value. If you only had a $100 Starbucks card, though, you could not have bought groceries or gas with it — which is what limits its value.

The flexibility that you get with cash over gift cards is the same flexibility that you get from using Laser. All of the options, none of the compromise. For example…

· You can exchange $100 in Bitcoin for $100 in Ethereum

· You can exchange $35 in EOS for $35 in Litecoin

· You can exchange $80 in TRON for $80 in Dash

· And so on…

Think about what would happen if all gift cards suddenly turned to cash. That is the flexibility you will get with Laser… which is exactly why it can increase the value of cryptocurrencies as people start to use Laser. With fewer restrictions on where a cryptocurrency can be used, each cryptocurrency can become inherently more valuable from its expanded use possibilities.

Laser is a macro solution that serves all cryptocurrencies and all blockchains. And, when you consider the current market size of all crypto, a figurative 5% in retained value represents more than $20 billion worth of cryptocurrencies — and growing — unlocked. Blockchain without borders, cryptocurrency without restrictions.

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