Gold or Bitcoin Maybe both, in 2021
Farhan Sagar has been around for only a decade, while gold items have been used in turbulent times in human history. No matter what the new year brings, viralonline4u cryptocurrencies will once again outperform the old metal in investment departments in 2021. Why is it here?
Both gold and bitcoin are considered valuable reserves, protected against political and economic stagnation and protected from unbridled expansion and consequently from the devaluation of major currencies such as the US dollar. viralonline4u Both will continue to be used by investors to secure at least part of their assets. But there are some hereditary benefits of bitcoin gold, the unique benefits of today’s fast-paced electronic world that will help make gold better than bitcoin for years to come.
Gold and Bitcoin, meet the four criteria above. Investors will buy for both portfolio protection and diversification, but Bitcoin outperforms gold in all categories. It is significant that the advantages of Bitcoin are nascent and accelerating, which is why Bitcoin will continue to outperform Gold in 2021 and beyond, perhaps to a degree not yet imagined by most investors whose last name is not Winklevoss.
Limited resources
Gold is in limited supply, but that’s because gold production is a difficult endeavor, requiring a large amount of capital and labor, with an ultra-long lead time, generally restricted to remote and specific geographic locations. As such, the demand for gold may exceed the supply, but the supply will catch up over time; centuries, if not millennia, viralonline4u are likely to be needed to deplete the earth’s supply of gold. And if you believe the true futurists, eventually we will be mining / recovering gold from asteroids and other planets.
Like gold, Bitcoin must be mined, but the capital and human resources required are minuscule compared to gold. Here’s the catch: the supply of Bitcoin is really limited; There are 21 million Bitcoins, 99 percent of which will likely be mined within about two decades, after which about the last one percent will take, by most estimates, another 100 years or so to mine and then it’s done, no more Bitcoins. viralonline4u Boom. Bitcoin Advantage.
Easily bought and sold
Buying gold is easy. Bars, nuggets, coins, viralonline4u jewelry, and even gold dust can be obtained with a little physical effort, and you can always get exposure to the price of gold through a mutual fund or ETF. Easy right? Something like. It takes effort to physically buy gold and it takes an investment account to buy a gold fund or ETF.
With the above in mind, let us politely assume of course that one needs to be of a certain age and maturity to acquire some gold. But all someone needs to buy Bitcoin is an app and a bank account. All young people with a phone can easily buy Bitcoin, and many do. Older people are less tech-savvy, but they are learning. And younger people are getting older and opening investment accounts through which they will be able to buy Bitcoin funds and eventually Bitcoin ETFs. Bottom line: ways to buy gold are mature, efficient, and stagnant; viralonline4u The ways to buy Bitcoin are expanding rapidly in both methodology, size, and the number of participants. Again, take advantage of Bitcoin.
Widely accepted as a medium of exchange
Granted, it’s true that gold is widely accepted as a medium of exchange, but unless you’ve come out of a time machine and you’re carrying gold coins, nuggets, and a bag of gold dust in your purse or pocket. from the vest (near his gold — chained pocket watch), viralonline4u and you can find a merchant who will accept those things as payment, gold is pretty useless as a currency.
We all buy and buy things using our electronic devices, viralonline4u and Bitcoin are accessed through, you guessed it, our electronic devices. The use of Bitcoin as a real currency for purchases is just beginning, the growth potential in this area is simply astronomical. Bitcoin advantage, big time.
Perceived as a stable store of wealth
Gold has always been perceived as a stable store of wealth; people trust that it will serve them well in times of turmoil. True, but really, viralonline4u where will you physically keep it, how will you take it with you, and how will you conduct daily business transactions with Gold? Unless you believe that the lights are going out, all electronic transactions will disappear and we will all be living life as if we are in an apocalypse movie from the 80s, cryptocurrency is the way to go. Bitcoin is quite unique among cryptocurrencies: it is the first,viralonline4u the largest, finite, and completely out of the reach and influence of government authorities.
This last point is important. Bitcoin and Gold are true havens of the weakening fiat currency fiasco unfolding viralonline4u and soon to be a post-pandemic world, a world in which governments will fight for more revenue and ways to shore up balance sheets. out of control central banks. Nothing that lies ahead generates the perception of stable traditional financial markets, diversification into uncorrelated assets that are not tied to any single fiat currency is going to be in great demand. Gold is a perfect fit, but Bitcoin is a better fit going forward.
