BTC - If bitcoin were to replace gold, it would be worth $400k
People like to call Bitcoin digital gold, but what would it be worth if it actually was?
Currently the gold market is said to be valued between $8 and $9 trillion, depending on which data you look at and which day you look.
The entire market valuation tends to fluctuate due to the price of gold on any given day.
To be safe (conservative), we will us the $8 trillion number.
Currently one bitcoin is worth $7,200 and there are only ever going to be 21 million of them.
Taking that $8 trillion number as our end target and working backwards, we can see that in order to get the total bitcoin market cap to that valuation, we would have to see each bitcoin worth roughly $400k.
Check it out:
(Source: https://twitter.com/IldarOKEx/status/1205245394491510785)
Will that ever actually happen?
Honestly, I don't think bitcoin will ever fully replace the gold market, as in the gold market completely going away.
Gold has been a store of value for thousands of years, I don't see that changing completely within the next decade or two.
However, that doesn't mean Bitcoin couldn't still get to $400k regardless.
I think bitcoin will end up pulling value out of more than just the gold market.
It will pull value out of every store of value market that currently exists.
I'm talking about all kinds of precious metals, real estate, collectibles, etc etc...
When you factor in taking some from each of those categories it gets very easy to imagine a very high price per bitcoin.
And remember, those high numbers are even with bitcoin never becoming a widely used global currency.
Stay informed my friends.
-Doc
Physical gold and silver have been around as monetary assets for centuries and BTC will not be able to replace gold no matter what happens to the state of the financial system.
Yep, I believe I said something similar in the post as well.
I do agree with you, in that Bitcoin can't replace gold, not now, and perhaps not ever. Gold has become such a status quo for store of value, since its tangible, rather than digital. Nevertheless, as far as digital and alternative assets go, Bitcoin presents itself as a strong contender for a store of value. Let's hope next year will be rosy for Bitcoin, since if the prices can't grow steadily, that "digital gold " argument may wane further among the traditionalists.
Millennials to do love them some bitcoin!
BTC doesn't need to replace gold but augment it as fiat keeps crashing people are looking for safe storage the vast amount of value/money cannot be stored in Gold as countries and institutions would have a monopoly over it and retail investors would need something more flexible.
Do I mind that BTC is 7k nope, Do I mind if its 400k nope! Either way I'm winning lol
Agreed. Plus people complain about custody of bitcoin. Well, it's a heck of a lot easier to custody bitcoin than it is the same amount in gold.
My coin has maximum supply of 300 million, so more likely to replace gold than Bitcoin... It also has lower fees and faster transactions... Not to mention it doesn't require large data centers to mine... And no, I'm not going to name my coin, people can google it up...
Any chance you will do an SMT?
You know me... I'm against all kinds of tokens... So it is not likely at all... I honestly don't see any future for Steem and SMT other than for small circle of people who don't know about better. I have earned more using my own cryptocurrency in last two weeks than I did earn using Steem during last two years...
What is your crypto?
My current primary project is Talleo (TLO). Some people might think I take big risks with it as I experiment with code most coins have abandoned.
I haven't heard much about it. Don't see it on coinmarketcap yet.
It's too new to be on coinmarketcap... lol...
Does it have a dollar value?
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