Cryptocurrency as a whole is not scarce, you are right. Anyone can start one, thus Dogecoin, Litecoin, etc.
But looking at as a whole is like saying, "how are metals scarce?" Yet there are some metals (Gold, platinum, silver) that are more scarce and valuable than the rest.
Each token are created with a limit, then they are started on the blockchain. This limit stays the same on their individual blockchain, they cannot be changed or deleted.
Now considering more adoption (increase demand) with limited supply, that particular token becomes more scarce.
Cryptocurrency as a whole is not scarce, you are right. Anyone can start one, thus Dogecoin, Litecoin, etc.
But looking at as a whole is like saying, "how are metals scarce?" Yet there are some metals (Gold, platinum, silver) that are more scarce and valuable than the rest.
Each token are created with a limit, then they are started on the blockchain. This limit stays the same on their individual blockchain, they cannot be changed or deleted.
Now considering more adoption (increase demand) with limited supply, that particular token becomes more scarce.