How does the security of the Bitcoin network affect its long-term value?

Let's put it this way: the security of the Bitcoin network is the "foundation" of its long-term value. If the foundation isn't stable, no one dares to live in a skyscraper built upon it, and naturally, the building becomes worthless.

You can imagine the Bitcoin network as a global, super-massive public ledger. This ledger isn't kept by any bank or company; instead, it's maintained by tens of thousands of independent computers (miners) all over the world.

Its security is reflected in two key aspects:

1. Decentralization: There isn't just one copy of the ledger, but tens of thousands of identical copies distributed globally. If you wanted to secretly modify the ledger (e.g., transfer someone else's coins to yourself), you wouldn't just have to change your own copy; you'd also have to convince over half of the world's computers to agree to your modification and synchronize with your version. This is an almost impossible task in reality. It's like a village where every resident has a copy of the village's accounts; if you wanted to default on a debt, you'd have to get more than half of the villagers to change their ledgers, which is incredibly difficult.

2. Proof of Work: Recording a new transaction onto this large ledger (i.e., creating a new "block") requires a huge cost. Miners need to use highly specialized computers to perform massive amounts of mathematical calculations, a process that is very power-intensive and time-consuming. This is like ancient people carving stone tablets, where carving a single character took a great deal of effort. Once a transaction is recorded and subsequently covered by new records, it becomes virtually immutable. Because if you wanted to tamper with a historical record, you would not only have to "re-carve" that original stone tablet but also re-carve all subsequent tablets at a faster rate to catch up with and surpass everyone else who is diligently carving new tablets. This cost is unimaginably high, making malicious acts completely uneconomical.

So, how does this security affect long-term value?

• Trust is the bedrock of value: Precisely because the Bitcoin network is so secure and difficult to tamper with, people dare to trust it. Everyone believes that the Bitcoin they put into it won't disappear out of thin air, won't be easily duplicated or stolen, and once a transaction is confirmed, it cannot be reversed. This "hardcore" trust, based on mathematics and code, is the foundation of any asset's value (whether it's gold or the US dollar). Without trust, everything is zero.

• "Digital Gold" attribute: This powerful security qualifies Bitcoin as a "store of value," much like digital gold. People are willing to hold it long-term because they believe its security mechanism can protect their wealth from erosion. If the Bitcoin network were constantly being attacked by hackers, who would dare to put their savings into it? Its value would naturally tend towards zero.

• Network effect flywheel: A secure network attracts more users, miners, and developers. More users lead to broader utility for Bitcoin; more miners make the network more secure; more developers foster a more prosperous ecosystem. This forms a positive feedback loop: more secure -> more people use it -> higher value -> attracts more people to maintain security -> even more secure. Conversely, if security issues arise, it leads to a collapse of trust, causing users and funds to flee, creating a death spiral.

In essence, Bitcoin's long-term value is fundamentally the market's vote of confidence in its future security. People invest real money and immense electrical resources to maintain this network, essentially paying for "trust." The more robust this security net is, the greater people's confidence in it, the more stable its position as a global, decentralized store of value becomes, and naturally, the higher its long-term value.