it isnt "subjective preference"

its real world information.

UTXOs transmit history along with value.

they have different histories.

therefore they are not fungible.

its extremely simple.

cash has IRL identifying features.

but in practice, these features aren't tracked and known.

therefore cash remains fungible.

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information that informs human action

you are conflating a human’s prererence with an objective measure

until you understand that distinction, between the subjective and objective components of the money, we are talking past each other