People often associate Bitcoin as the digital gold. However, that comparison isn’t a good one. On the contrary, a better comparison is to consider Bitcoin as useless thing or Uselesstainium.
Bitcoin is basically a type of digital currency or cryptocurrency, which makes use of cryptography for regulating and generating units of currency. It is considered to be the most valuable form of currency.
According to Goldman Sachs, bitcoin is not the new gold for sale. Rather, it would remain as a precious asset. However, it has been seen that many traders who are investing on Bitcoins are ultimately selling them to another person at a high rate. However, the price of this item would remain volatile. Goldman Sach stated that investing in gold metal for being a great asset is not any more a thing of the past. People are investing on the yellow metal as it can provide them with a long term value.
What about Bitcoins?
With the increasing demand of cryptocurrency, Bitcoin has been often touted as digital gold. The reason is because the supply of Bitcoins is limited and sometimes the price of the cryptocurrency goes up due to geopolitical tension. Hence, in terms of store value, Bitcoin offers very less than gold.
Bitcoins: Different Views
Bitcoin fans can have different views about bitcoins. Some considers it holds a great value as gold; whereas some people don’t agree with the fact. The reason behind considering gold for sale in much better position than a bitcoin is mainly because the creator of bitcoin said that bitcoin which is digital currency might not hold any value after certain period of time.
A person who might be having some bitcoins can use it for trading. For instance, it can be used to buy any services online. However, no one can gurantee whether its value would increase in the near future of not. In the case of gold, one can assume that gold price will increase and not see a downfall. Hence, investing in gold bullion and selling them can be far more advantageous.
Difference between Gold and Bitcoin
There are some valid difference between gold for sale bullion and bitcoin which is considered as uselesstainum.
Items are valued because one would want to use it or for simply for giving it to others. In this regards, it can be seen that gold’s demand is because of two reasons. Some people are active in the jewelry market as jewelry holds a great value as collector item. Also, even if one considers gold for sale like gold coins or bars, it can provide higher value.
This is not the case for Bitcoins. The ugly color of the bitcoin is not even suitable for collector’s item or can be used for making jewelry. Nor, it can be used for industrial purpose. The only demand for bitcoin can be created when it’s passed on to others and the hype for the item should be created.
Cryptocurrencies are subjected to network risk during crisis. The digital wallset can be subjected to hacking. With Bitcoin not being an ideal asset like gold for sale, the use of it is very restricted among traders.