I would like some opinions and inputs on how do the two compare to each other. A lot of the criticism that bitcoin receives from people like buffett and others can easily be applied to gold as well. They both dont have a stream of payments/dividends/earnings to be valued, they are mostly a psychological asset. They are worth what people are willing to pay for it. They both have limited supply (scarcity) although bitcoin has a more predictable supply since that is coded. gold is not accepted as payment for everyday purchases in most places, just like btc. Btc mining costs a lot of energy, gold mining costs a lot of resources, human and financial capital, all so just some people can sit on it to protect against inflation Some people will say 'gold has been around for 5k years so its better' but that is an unfair comparrision because btc didnt exist for that long so it couldn't compete with it. If there are some structural advantages to btc vs gold, focusing on the 5k years will lead the person to dimiss it. Its like saying 10 years ago, 'landline telephones have been around for 100 years, cellphones are a fad and have no chance'. What I'm interested is how STRUCTURALLY they compare to each other. Same thing with the price volatility, that only clouds the comparrision, obviously, BTC wont be this volatile forever, one day it will be a mature asset that will find its price (whether its $100 or $100,000) but the point is that how structurally they compare to each other will determine long-term whether BTC will take away market share from gold or if its going to die. Focusing on price volatility will lead to stupid analytical mistakes imo (by the time its no longer volatile, there is no money to be made and therefore, its a worth way less as investment/trade) So back to the comparrision, bitcoin supply is more predictable, but it seems to be easier to be stolen. To steal gold one needs to trespass and risk all kinds of things, but to hack someone from China/Russia/Some shithole is a lot more comfortable. Gold tends to be expensive to store, whereas keeping btc in a hardware wallet is free. Gold is not accepted in the vast majority of places one shops at, same thing with btc (although one can easily see that its quite possible that btc will beat gold that in the future). Its hard to move gold, and transfer it, its easy to do that with btc, etc etc. I have no conclusions in this comparission, what I'm looking for is for other peoples opinions, I'm just giving out some food for thought
It's very easy to create another coin. You can't create gold out of nothing. That's the key difference.
Crypto is public venture capital into a state of the art computer science experiment to define the future of private money and the use of blockchain as a service. Look at projects such as WTC, VEN and REQ. I am not looking for a store of value, i am looking for opportunities to invest in startups that will make supply chains more efficient and disrupt payment networks.
I'm not sure they would allow one to store billions there (and its a trillion dollar asset). It seems that the limit is $1M, costs scale nonlinearly