It's a currency. There is no underlying business activity, only transactions.

Bitcoin failed as a general currency but apparently banks are using it to settle accounts amongst themselves. Sometimes things develop in the most unintuitive ways.

> I believe this holds as I don't think most of the investors understand crypto. It is a magic black box so they don't know where the value comes from.

I don't think this is evidence of any scheme. It's just irrational market behavior.