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Is Bitcoin The New Gold?

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I dunno. I don’t think the whole ‘bitcoin is gold’ argument is right. I can’t see anything which supports the argument, and absolutely no correlation.

 

Also bitcoin was never meant to be gold. It should be a peer to peer payments network for digital cash, which it’s failing at miserably.

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,

 

You may want to read my digital gold posts. After that I would be interested on whether your view changes or remains the same. You state that Bitcoin was never mean to be gold. There was a vision for it to be digital gold and act as a digital store of value. 

 

The Winklevoss twins have made some excellent arguments in favour of gold being used as a digital store of value. If you get a chance then you may wish to read their articles.

 

Have a read of my digital gold posts first and then see if you find anything in my posts that support the arguments.

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On mobile which isn’t ideal but will have a look later. Let’s get a debate going!

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Simple test, ask yourself this, in the event of a major worldwide disaster/downturn would you rather be sitting on a pile of virtual money or a pile of gold? :smileyhappy:

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Interesting questions

 

However another way to look at it is if someone gave you a free $10k in either gold or bitcoin, and you could only cash out in 5 years, what would you rather have it in?

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Gold. It's at relative lows while many other asset classes are at relative highs. Even after the recent correction bitcoin is still relatively high (historically) and a cloud remains hanging over it, will it really remain a cryptocoin of choice? Big concerns remain as to it's long-term viability/use, big organisations are dropping it as a payment system soon after adoption citing expense and speed of transaction issues.

It may well be 5 years or more before the 1400 cryptocurrencies (and growing) are whittled down to a small group that actually have a future.

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My views are all in my previous posts which I don't want to keep on repeating. Feel free when you get a chance to read some of my previous posts and then you will appreciate my viewpoint.

 

I am positive about Cryptocurrencies, Digital Currencies and Blockchain Technology. I believe the valuations and thus share price will increase for quality Blockchain companies. I feel that the more robust and practical Cryptocurrencies will see their value appreciate. It may be Bitcoin it may not but I see Bitcoin more as a digital store of value and a 'Digital Gold v2.0'. 

 

Bitcoin has not crashed to zero like the media predicted. Nor has it crashed down to $1000 (though I accept it could). The price of an asset is merely what someone is prepared to pay for it (taking supply and demand) into account. I accept that is a very simplistic view and basic view but if I get time then I will go into the economics of it on a different post. Bitcoin did briefly go below $6000 which was still way up from the start of the year and is now hovering around the $10k to $11k levels which is still impressive and a remarkable price appreciation over the past year or two. 

 

If someone gave me physical gold, where would I store it? If I found somewhere to store it then there is likely to be storage costs and transport costs to move it if necessary. What can I buy from physical gold? Lets say I have gold bars and go to a coffee shop then will they accept my physical gold as payment? There are coffee shops appearing if reports are to be believed that will accept Cryptocurrencies like Bitcoin and Ether as payment for even a simple cup of coffee. Gold is 'old school' and Cryptocurrencies is 'new school'. One must adapt and change with the times. One must open their mind and expand ones thinking to truly appreciate the transformation we are about to witness.

 

I respect those who do not agree with me or share my viewpoint. They may be correct but my view is that ICO's, Tokenisation and cryptocurrencies are the future. Blockchain will of course be a part of this future.

 

The new younger generation does not want to store its wealth or capital in the likes of physical gold. They understand digital more than commodities like Gold. Do you the new younger generation really appreciate how to invest in junior gold mining companies? Do they understand how the spot gold price works? Are they interested in gold production and the supply and demand for gold? I would argue that this new younger generation understands and appreciate the need to buy goods and services using digital means rather than physical. This means digital payments rather than physical payments. This transformation has already began and it may take a many years but this journey is going to create some serious wealth along the way.

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Two Bullish Signs For Bitcoin

 

https://www.forbes.com/sites/panosmourdoukoutas/2018/03/02/two-bullish-signs-for-bitcoin/#4ecfca706383

 

I cannot believe it. I had noticed / observed the same thing many months ago. My historical posts will evidence this. 

 

Forbes are only now reporting on the price behaviour of Bitcoin during Trump vs North Korea!

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Gold's price has been declining since middle of February 2019 and Bitcoin's price has been increasing in this same period. Now this could be a mere coincidence.

I read somewhere that it may have been possible that someone sold £100m of Gold and shifted this into Bitcoin recently. Now I do not know if this is true and it may be a load of rubbish. On the other hand it would not surprise me if it were true. 

What we are seeing is the new future digital generation. They are going to understand Bitcoin more than Gold. They are going to appreciate Bitcoin more than Gold. They may transfer their family inheritance (a small proportion) of it into Bitcoin rather than Gold. What we may see is wealth across the globe being transferred into digital assets like Bitcoin rather than Gold. This transformation could increase the valuation of Bitcoin substantially.

This is certainly the picture being painted but there may be a lot of 'froth' and 'inaccuracy' in the detail of such pictures. 

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