Analyst: Relative to Bitcoin, Gold “Fails” as a Store of Value

Analyst: Relative to Bitcoin, Gold “Fails” as a Store of Value

For many years, investors have been arguing if Bitcoin is better than gold. The leading cryptocurrency has long been dubbed “digital gold” because it has characteristics that many believe makes it a competitor or successor to the precious metal.

According to one investment analyst and podcaster, BTC is better than gold for the simple reason that Bitcoin has a fixed supply while gold does not.

Related Reading: Here’s Why Ethereum’s DeFi Market May Be Near A Bottom Why Bitcoin Is Better Than Gold

Trending: Watch: Trump Stunned After Biden Refers to Him as Racist ‘Abraham Lincoln’

The analyst, Preston Pysh recently explained his rationale in an extensive Twitter thread.

“Earlier I wrote that gold “sorta” acts like a fixed supply money system. The reason it fails (relative to Bitcoin) is because there’s no difficulty adjustment for miners. If the price of gold continues to run higher (in nominal fiat terms) – which I expect – it creates a major incentive structure for miners to increase the production of gold being dropped

Continue reading

You Might Like

Do NOT follow this link or you will be banned from the site!