Why do Bitcoins have value?117.1

Our fifth assumption is that the use of bitcoin will never involve fractional reserve banking and that all means of storing bitcoin will be fully backed by bitcoin. We will look at bitcoin as currency and bitcoin as a store of value. The simplest way to approach the model would be to look at the current worldwide value of all mediums of exchange and of all stores of value comparable to bitcoin, and calculate the value of bitcoin's projected percentage. Perhaps the biggest question it hinges on is how much adoption will bitcoin achieve? Coming up with a value for the current price of bitcoin would involve pricing in the risk of low adoption or failure of bitcoin as a currency, which could include being displaced by one or more other digital currencies.
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