WHAT MAKES BITCOIN INVESTMENT BETTER THAN GOLD?

Lately, even from last year the issue of comparative investments in Bitcoin and gold is increasingly emerging, both as a store of value and a means of transferring value, as a form of payment. Undoubtedly the advantage of Bitcoin that investors can feel. For example, even in the real case of traditional investors, many now reap the benefits of the world's most popular cryptocurrency, Bitcoin.

Okay, for more details, let's look at the discussion below.

IS BITCOIN MORE SUPERIOR FROM GOLD TO USE AS CURRENCY?
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Gold may be the first decentralized currency, which is defined as something that has value but is not under centralized control of any government agency. This has been a sign of wealth and one of the most popular currencies for thousands of years. Physical gold can maintain its value because it can only be obtained gradually / slowly mined from time to time, unlike fiat which is printed and reproduced at any time.

Scarcity or limited supply

Both of these assets are Gold and Bitcoin the same, they are both mined together. However, Bitcoin has limits on how much can be mined - there will only be a maximum supply of 21 million Bitcoin. While gold has been determined by its limitations, its total supply is unknown and only estimated. If there are new discoveries, for example a large deposit is suddenly discovered one day, the price will be significantly affected. Even large unknown deposits on Earth can cause large price crashes.

Ease of transfer and security

Physical gold is globally recognized as a currency, but gold is difficult to use as a means of payment or international trade and financial transactions. This metal is valued at an ounce, which is worth every ounce, which is USD 1,200, but when dealing with large amounts of money, it can be very heavy. To send USD 1 billion to another country will require 52,000 pounds (about 0.25 tons) of gold. This will require a lot of effort and costs at customs, shipping and security. In addition, it will take a lot of time for gold to cross international borders, with some risk points on the trip such as robbery and theft.

We compare it with Bitcoin, where USD 1 billion can be transferred digitally anywhere (anywhere) instantly, at a cost of only a few cents, at no additional cost. This digital transaction is not subject to compliance with any jurisdictional regulations and cannot be intercepted or hijacked after being broadcast to the network. The point is that robbery or theft is impossible.

In addition, Bitcoin is cryptographically safe and can not be hacked even though for many years many people have tried to hack Bitcoin. Gold can be guaranteed physically, but at a large cost. Bitcoin cryptographic security cannot be compromised or compromised by even the strongest supercomputers. Bitcoin transactions can be done instantly and leave no trace other than the notes on the ledger blockchain, while gold transactions are very visible because they have to be physically moved, and a large number of traceable activities occur when moved.

Liquidity

Finally, gold has a large paper market on COMEX, where the publishing of the paper is said to be redeemable with the equivalent of physical gold in a storage vault. However, COMEX safes are only less than 1% of the amount needed for all the gold paper issued. Sometimes the paper is printed more, which causes the market to saturate which affects the price of precious metals that are much lower than they should. There is no such situation for Bitcoin, because Bitcoin is very liquid and does not need Bitcoin paper. The only reason gold paper is there is because its physical gold is difficult to use transactions / difficult to transact.

Bitcoin can also be easily converted to local currency through peer-to-peer exchanges. Localbitcoins, for example, there are options available to buy or sell Bitcoin online in more than 248 countries. I think it is more difficult if we will liquidate gold, because in real terms we can easily find buyers of Bitcoin rather than buyers of precious metals.

In essence, if fiat currencies collapse later, it is clear that Bitcoin is in a far better position to become the top global currency, because of the favorable characteristics of Bitcoin. This makes Bitcoin far more ideal for international trade and finance tools than gold.

WARNING! First understand your playing area, don't play your money without knowing more about Bitcoin or Gold. Read and find out the risks of each of these investments. This article is not intended as an investment tool, but only as a means of information