See us talk about the advantages of Bitcoin over Gold here
Bitcoin, like Gold…
So you bought some Bitcoin, and you know all you can and you would know more if your eyeballs could stay open for that one extra reddit post, bitcointalk.org thread, or news article?
You now can say you have a portfolio and have learned how to read a candlestick chart.
But what about adding another asset?
Bitcoin has been called gold for nerds and that sounds good, but what about the real kinda gold, the stuff that kings and emperors and banks have had?
Gold is money
Although Ben Bernanke may disagree, gold is the first money, and it still is money.
Gold was the first universally accepted currency that has lasted the test of time, and it’s still an asset many are bullish on.
Given the fact that central banks are printing more money than ever before, the foundation for this fiat money is trust, and that trust is quickly fading.
The recovery from 2008 is still not over, and it doesn’t look to be over anytime soon.
Gold has been the one currency that has stood the test of time, and by holding some for yourself, you can have the control of your own money while being assured nobody is going to print more to make your gold worth less.
This decentralized and distributed trust that there is “only so much gold” is much like Bitcoin in the fact that its value/supply is more transparent.
Gold can diversify your portfolio and with a longstanding success rate.
Advantages of Gold vs. Bitcoin:
- History – The biggest advantage of gold is its history, and therefore trust. For thousands of years it has been used as a currency and as a store of value. While it has been sidelined as a currency for the last few decades it is still a good measuring stick for the shortcomings of fiat money. It’s deep cultural penetration from fairy tales, movies like The Italian Job to coin collectors’ conventions.
- Physicality – Many people still prefer something they can touch and tuck away under the mattress. This is also an advantage in apocalypse scenarios, where digital communication fails.
- Little alt-coin threat – Over the millenia, other precious metals have been used as currency and store of value, however gold has been established as the clear leader and appears to remain so. No marketing campaign or algorithm improvement is going to change this.
If you look at the history of money, first there was gold, then there was notes and fiat, then there were crypto-currencies.
We know that 2 out of 3 is more secure, but we also know that 3 out of 3 is even more secure.
To add gold to your portfolio means to give yourself the chance to secure your future by holding on to the oldest and most trusted and accepted form of money, gold.
Much like Bitcoin prices now, gold appears to be massively undervalued.
It is often speculated that the current price of gold is held artificially low to keep up the make believe system of the value of fiat.
Once this illusion disappears, gold is bound to massively increase in value when measured in fiat terms.
If you have some bitcoins you’d like to use to buy gold, we have the shop for you at Gold4btc.
Have we covered the main points? Or can you think of more? Let us know by commenting.