How would you refute someone arguing that investing in bitcoin over investing in a company using the blockchain technology is useless since you are not investing in a company putting blockchain to use

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I would say, I'm not investing in the stock market.

But then that raises the question of what is more risky? Investing in a startup company using the technology? Or investing in cryptocurrency?

That's debatable. It depends on the startup and the Cryptos being compared.

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