Bitcoin vs Gold

Bitcoin vs Gold

Bitcoin vs Gold

What are the similarities?

Limited Source

Bitcoin and gold gain their value from a limited supply and a rising consumer demand during periods of increased consumer price pressures.

 

Channels of exchange

Bitcoin and gold can both be exchanged for goods and services. However, to become a functional medium of exchange, Bitcoin must firmly establish itself as a store of value first. To put it another way, before people want to use Bitcoin for their everyday transactions, they need to want to be paid in Bitcoin and to retain BTC balances. But that's a good thing! Lack of resources always indicates that the market will rise.

 

Being a safe-haven

Gold and precious metals are viewed as a safe haven by investors in times of uncertainty because they are not regulated by the government. Like gold, Bitcoin is independent of any single system.

 

What are the differences?

Volatility:

Gold is basicly less volatile than Bitcoin.

For example, Bitcoin has rallied more than 80% so far this year, while gold has lost about 5%. The crypto world is a pretty good place for impatient investors. But the key to success in investing is always patience.

 

Transaction:

Owning, transacting, buying and selling Bitcoin is cheaper than Gold and easier to keep BTC safe, while gold is a difficult asset to manage. Especially physical gold is scarce while Bitcoin is always a click away.

 

Risk Factors:

On the basis of legality, transparency and safety, gold ranks above cryptocurrency.

In the current crypto market, unknown tokens can go from zero to billions in market cap within months. This is an opportunity people are increasingly willing to take advantage of but it is a huge risk at the same time.

And rallies on the crypto market won’t last forever. Also there is a big chance that they would burst like a bubble.

 

As a result, both gold and cryptocurrencies have their own pros and cons. It all depends on the sole discretion of an investor where he/she wants to invest.

But you have an opportunity to invest in these different assets at the same platform with GANNMarkets. Choose your side and start trading now: https://portal.gannmarkets.com/register

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