Where do cryptocurrencies get their value?

The economic value of cryptocurrency, like all goods and services, comes from supply and demand. Supply refers to how much is available—like how many bitcoins are available to buy at any moment in time. Demand refers to people’s desire to own it—as in how many people want to buy Bitcoin and how strongly they want it. The value of a cryptocurrency will always be a balance of both factors. There are also other types of value. For example, there’s the value you get from using a cryptocurrency. Many people enjoy spending or gifting crypto, meaning that it gives them a sense of pride to support an exciting new financial system. Similarly, some people like to shop with Bitcoin because they like its low fees and want to encourage businesses to accept it.