Bitcoin vs Gold Does the general public also think that Bitcoin is the new gold?

By Krapottke | Crypto and society | 29 Mar 2022


Most people are aware of the thesis that Bitcoin is the new gold, but to what extent is this true and does the majority see it that way?

Comparison

First of all, let's look at why Bitcoin is called new gold, to investigate this we look at the properties of gold and compare them with Bitcoin.

Gold is an extremely rare metal, due to the rarity and its areas of application, for example, it is a very good conductor used for electric current or as jewelry, it is valuable. 
Bitcoin has a limited maximum number of 21 million pieces, so it would not be possible for everyone to own one. Bitcoin is therefore also rare. But has no material benefit due to its digital appearance.

Gold is anchored in our society and many countries have gold reserves in addition to money reserves. 
This cannot yet be said of Bitcoin, but there are people who would rather keep Bitcoin than buy gold bars and this trend will probably continue.

Gold is relatively stable even in times of crisis and has low volatility. 
Bitcoin, unlike gold, is very volatile and fluctuates greatly in value, but Bitcoin recovers again and again and rises in the long term. The chances of winning are thus higher than with gold, but also the possibility of higher losses. For some people, this is probably disturbing and a disadvantage.

42626442a5248a372a818ae3bfb7ebd5b37cd8e7e903aace0eed472302205bca.jpg

Gold cannot simply be banned by states. On the one hand because they own it themselves and on the other hand because of the spread in society. 
With Bitcoin, a ban is definitely complex and difficult to implement, but still more possible than with gold. That it is not a good idea for both is beyond question.

f29a618186f4624e9e9dafa85ab3bd5d48581048cc0426f524f5e121e7baaab3.jpg

Result

Bitcoin cannot compete with gold in terms of security in price and on social anchoring, the associated prohibition dilemma.

However, Bitcoin is even easier for individuals to acquire, store and be independent of other people. Since acceptance will increase over time and the first states already accept it, for example, as a means of payment, it will achieve increasing security and get even closer to gold.

How do you rate this article?

18


Krapottke
Krapottke

Just another young crypto enthusiast, but with a view to society


Crypto and society
Crypto and society

In this blog you can find out about Crypto in relation to the society . What do older people think about the topic? What is thought of NFTs? Which cryptocurrencies are accepted or more likely to be accepted than others? These questions and others are dealt with here.

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.