Investment in gold or bitcoin, which will you go for?
Ever heard of the statement-Bitcoin is the new gold?
I know that having gold is a great asset and I also know that having bitcoin is a type of great asset as well, but the question is if I have the opportunity to choose one amongst the two which option will I go for?
The Bitcoin.
A great financial system created on the blockchain that permits financial transactions without the need for an intermediary. Everything is extremely transparent on the blockchain, every transaction is made completely visible for everyone on the node to see, and the absence of intermediaries on the blockchain gives no room for additional charges.
Gold.
Gold can be manufactured and it is a good store of value. Gold can be considered as a good form of asset because inflation will always affect the amount that people want to buy for gold.
While making decisions about what a safe haven investment should be.
Any investment plan should have the following characters before we can consider it a safe haven.
A safe haven investment needs to be scarce, it is not just a type of commodity or asset that can be found anywhere at any time, in order for it to be valuable there is a great need for it to get scarce.
A safe haven should be destructible, at the long run an asset like this should be destructible.
A safe have investment has to be transparent, the transparency of an investment plan makes it either a safe haven type of investment or not.
For a safe haven type of investment, the investors needs to be able to get their cash in and out of it whenever they please.
While reading through the characteristics listed above, we have answers in our minds about which of this listed asset fits very well into each of the categories listed above.
Bitcoin is an amazing investment pattern that opens the door for a lot of investors and it is gaining more popularity as companies and institutions are beginning to see it as a good place to put their resources. Bitcoin appears to be an investment of the future and it will be good for us to make investment there if we can.
Gold is also a good type of investment to hold on to but the increase and decrease in the financial power of gold is highly dependent on the supply of cash into the economy and often there has to be payment made for storage space and insurance.
Conclusion.
Gold and bitcoin are both good investments but the decision to invest in either of them should be a conclusion made from studies and discretion.
Great contribution and analysis that you share with us @ireti, no doubt we have to take a position on these two assets. When talking about BTC we are talking about the boom of the moment, where many want to bet on this technology, however we must remember that it is a young asset so to speak, which has not been affected by wars or strong economic recessions, against the security offered by gold as a refuge of value has been maintained over time hence as a refuge my vote goes to gold. Thank you for your contribution
Hello friend, the truth both are great options, bitcoin has proven to be a method to generate great income, and gold I think it has always been, both should be in our mind. Greetings!
Tough comparison , they both have their good and bad sides anyway