The statement that "crypto has 'no innate or inherent value'" is an argument that has been presented by regulatory authorities, including the U.S. Securities and Exchange Commission (SEC), in various contexts, including legal cases and regulatory discussions. This argument highlights a key distinction in the crypto space:

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1. Intrinsic Value vs. Perceived Value: The concept of "innate or inherent value" refers to whether an asset has inherent value or worth independent of external factors or perceptions. In traditional finance, assets like commodities (e.g., gold and oil) are often considered to have intrinsic value because they have utility or physical properties that give them value.

2. Cryptocurrencies: Cryptocurrencies like Bitcoin and Ethereum are often described as lacking intrinsic value in the same way that physical commodities do. Their value is largely driven by market demand, speculation, and the utility they offer within blockchain networks, such as facilitating decentralized transactions and smart contracts.

3. Regulatory Perspective: Regulatory authorities, like the SEC, sometimes argue that cryptocurrencies' value is derived from investor sentiment and market dynamics rather than intrinsic characteristics. This perspective emphasises the speculative nature of crypto assets and the potential risks associated with investing in them.

4. Legal Implications: In legal cases and regulatory actions, whether or not cryptocurrencies have inherent value can affect how they are classified and regulated. Assets with intrinsic value, like commodities, may be subject to different regulatory frameworks than those without.

It's important to note that the perception of value varies among individuals and market participants. While some view cryptocurrencies as valuable for their potential to disrupt traditional finance and enable decentralized applications, others may view them sceptically due to their price volatility and speculative nature.

The argument presented by the SEC underscores the ongoing debate surrounding the nature of cryptocurrencies and their role in the financial system. Legal cases and regulatory discussions will continue to shape the regulatory landscape for cryptocurrencies and how they are treated under securities laws.