Topic: [2019-01-01] Bitcoin on Track to Replace Gold as Dominant Store of Value (Read 274 times)

i think bitcoin's volatility will wane eventually, perhaps decades from now. the 80% + drops are a function of its parabolic growth cycles. so right now, it doesn't act like a store of value because it's so speculative.

if bitcoin is alive and well in 50 years, it won't be so speculative and it probably won't be experiencing bubble periods (or 85% corrections) anymore.

a store of value doesnt drop 80 percent during a year, for me it looks more like a fanatic cult group of sectists.

i'm with ya. it'll definitely chip away at gold's share of the store-of-value market---this process may have even started already. but changing centuries-old financial and cultural norms isn't an overnight process. and even if we can plainly see bitcoin's superiority, markets are fickle and irrational. who knows how things will really pan out?

so i tend to be on the conservative side when it comes to predicting that bitcoin will replace gold (just as i'm skeptical of the narrative that bitcoin will replace sovereign currencies). i don't see why bitcoin can't exist alongside other store-of-value assets.

It's definitely related to there not being many use cases yet, because EOS has much more capacity in its current form than Ethereum but it isn't helping at all to stimulate quality usage.

I like Bitcoin for how simple it is. It's doing one thing, but does it exceptionally well, while the rest is struggling to figure out which of their hundreds of features is interesting and safe enough to use consistently.

I do however own some Ethereum though, bought around and below $100 just to anticipate on the fork and decrease in block rewards, and it seems to be a very good decision so far.

Gold was not the first currency and has been replaced by the dollar, sugar was a currency and replaced, we even replaced a currency by a currency. We didn't need centuries to implement a currency. Sure, with our system today it would take maybe longer, Euro needed 10-15 years to be voted/accepted and implemented but it's surely possible.


Digital gold exists, and perhaps the most used.

I don't think our history has any precedents when something that existed for thousands of years was quickly replaced by a new thing. It would take Bitcoin a few hundreds of years to replace gold, and who knows what will happen with BTC in that time?

Besides, Bitcoin and gold are different, one is physical, the other is digital, which makes them both have their own advantages and disadvantages. Both will be used as store of value, that's for certain.

Bitcoin hasn't the potential to replace Gold as SOV. Perhaps for the generations Y and Z because "BTC is swag" but these generations aren't interested in any SOV, they just know how to buy a smartphone for $800, and any money saved goes in stock markets. It's not like with our grandparents. (especially if your grandparents lived a war)
Is it what we (the community) are looking for? BTC as a store of value. I would prefer to not because it isn't what we are building.
Can BTC replace gold with its volatility we know?

If you look at Gold without a bias in favor or against it, the far majority of it is collecting dust in big ass vaults. You can't use it as money on a local level, because it's just doesn't make sense for anyone to accept it. The argument from Gold bugs that you can exchange your Gold for dollars and then spend it is weak, very weak, because what's left of the money utility that Gold enjoys? The only form money here is the dollar.

Bitcoin is easy and cheap to move, is extremely divisible, is transparent, easy to securely store without anyone noticing, and you can build decentralized applications on top of it to have its money utility shine even more. I'm not in the camp of having Bitcoin replace Gold (won't even happen in my opinion), but I'm certain that it will take away large chunks of market share from Gold in the forthcoming years.

It's just a matter of time before even governments won't be rushing anymore to unload their bags of stolen coins, because it ended bad for them.

I would have to agree that many investors is looking at Bitcoin as hedge but to totally replace Gold is absurd. Many factors such as volatility, market manipulation etc would sway a traditional gold investor to crypto. And we have to understand that Lou Kerner is another permabull so we shouldn't be surprised by all the news he is creating. "Crypto Will be ‘Bigger Than the Internet’"? LOL, its a overstatement.

He is a venture capitalist and his words look like a promotion. I guess he couldn't say any other words against btc  bcoz he is likely to be a btc holder.

Well the timing of this news didn't came out any good especially if you are comparing it to Gold right now. XAU right now is up by 9.57% ever since it got a reversal way back in August which compared to Bitcoin isn't that a good idea. This news would only be convincing for me if Bitcoin's price is backing it up which in this case is not. We being on a bear market does not show anything about Bitcoin becoming a better store of value compared to Gold, aside from that Gold does show that it is a much more stable asset compared to BTC.

@BitHodler. About Ethereum and EOS, the reason either being both of them cannot deliver on their promises of being a scalable platform, or there are no real usecases for dapps or decentralized smart contracts.

U have to learn using it... find out about keyport.tv  or  MoneyButton.   That will build new internet.

Crypto bigger than the internet? I don't think so.

Gold has had thousands of years worth of history that allowed people to get used to it and gain adoption and the believe that this is the ultimate store of value and safe haven in time of economical difficulties.

Bitcoin's first decade brought minor actual fundamental growth. 90% is still about speculation and there isn't much indicating that things will significantly change for the better in the next decade.

The same basically applies to all other crypto currencies. There is too much available of the same and there is no one aside from gamblers on Ethereum and EOS that actually use it in a serious manner.

Stablecoins do what they are created for. This is the only case 'crypto' has shown its usefulness.

Bitcoin on Track to Replace Gold as Dominant Store of Value: Crypto VC



Venture capitalist Lou Kerner says bitcoin is well on its way to replacing gold as the dominant store of value, noting that its market cap has already surpassed that of silver.

“What [bitcoin] has evolved into is a store of value,” Kerner told Bloomberg. “Today, the main store of value is gold. It’s an $8 trillion [market]. Bitcoin today is around $60 billion, so it has an opportunity to actually replace gold as the dominant store of value.”

Kerner doubled-down on his remarks from August 2018, when he predicted that BTC would supplant gold as the most trusted store of value.


Crypto Will be ‘Bigger Than the Internet’
Kerner, the founding partner of New York-based CryptoOracle, said despite the current bear market, crypto would be a far more disruptive technology than the Internet.

“The disruption from that is gonna be bigger than the disruption that we saw from the Internet,” Kerner predicted. “Bitcoin is kind of the early leader, like the Yahoo of its day. And while it’s a massive thing, it’s not the thing [right now].”

But in 20 years, BTC and crypto will be off-the-charts, Kerner claimed.

“We really believe that in 20 years, bitcoin will have created trillions of dollars in value similar to how the Internet has,” he said. “We’re at the very beginning today.”

When asked why the bitcoin price has plunged from its record high of $19,500 last December, Kerner said it’s because the market got ahead of itself due to unchecked capitalism.

Kerner said virtual currencies and blockchain would eventually prove that they are far more revolutionary than first imagined.

“There’s something called Amara’s Law, which is that the impact of all great technological changes is overestimated in the short run, but underestimated in the long run,” he said.

Basically, Kerner is saying that the true impact of crypto and blockchain won’t be known until 20 years into the future.


Reference: https://www.ccn.com/bitcoin-on-track-to-replace-gold-as-dominant-store-of-value-crypto-vc/