Topic: Bitcoin is a reliable store of value - what’s a reliable store of value for you? - page 3. (Read 542 times)

I think what makes Bitcoin very reliable store of value is its trading capability. It has huge demand from average people, communities. Like if you offered someone Bitcoin with %10 discount to convert to American dollar, 9 out of 10 people would agree to trade with you. This is main reason. Second reason is its unregulated unlimited structure. You can carry money in usb hard wallet in your pocket and noone would ask you anything about it.

What happens is that many people think of bitcoin as an asset or as a stock and they never consider the possibility of bitcoin being a store of value.

But as we know bitcoin was created as a form of money and one of the characteristics money must have is to be a store of value, now it is true the volatility of bitcoin also has an effect about why people do not consider it a store of value, but when we see the long term trend of the price of bitcoin it only goes up, so that makes it a store of value in my mind even if the volatility is quite high.

Artwork is really a fascinating store of value that can increase dramatically, especially if from a known artist. An artwork once displayed or auctioned by Sotheby's, price rockets in the next auction. Not everyone can afford this one though.

If diversification is to be considered, I will still be going for BTC and gold as it's still affordable. They are not just a store of value but an asset to keep.

I don’t consider Bitcoin to be a store of value. It’s a highly speculative asset. When I think store of value, I think things with a very long history of increasing value. That leaves the S&P 500 as the best place to store money, followed by owning your home, and then things like artwork or gold jewelry. Bitcoin is a bet on a new emerging asset class.

you have valid point on this. because a lot are asking, what's the reason why bitcoin has value not only store of value? no one or nothing is backing the value of btc. but it is the technology behind it why we are using it right now. the concept of supply and demand is the reason why we have the market price for btc. and there are so many contributing factors when it comes to the supply and demand aspect.

But Bitcoin's scarcity is making it a good store of value. If it doesn't have a limit, people were not commited to holding it. People always like scare stuff, be it a material or digital (Bitcoin). Bitcoin is doing what Gold is doing best + additional features.

You are doing it wrong. If people are blended by Bitcoin's volatility, such people have missed Bitcoin's 10 year long gains from 1 Dollar to 20k Dollar.
Reality: Bitcoin is volatile and a store of value.

It's because most people seem to want a non-volatile asset when talking about store of value assets, rather than an asset that has long-term appreciation. Hence why a lot of people look at gold as a "store of value" — because it's a lot less volatile despite it performing like crap throughout the years.

The technology behind the bitcoin is the one that makes it a good store of value. It is evident to see a big list of projects that make a comparison with bitcoin. In few months time those projects fade out of the market. So, various factors constitute to make something a better store of value. Consider gold, this is a store of value through its rare availability and it's years of history. With bitcoin it is the technology.

I don't think that the scarcity of Bitcoin makes it a very good store of value.  As a matter of fact, at this moment, I do not consider Bitcoin as a reliable store of value due to its high volatility.  It is also one of the reasons why Bitcoin is having difficulty getting the acknowledgment of the authority of being money despite Bitcoin actually being money.

Yes just because something is scarce doesn’t mean it automatically will be valueuable. Take a classic Ferrari limited edition, it obviously will have huge value. However there are many scarce cars such as a Nissan Rouge convertible, however since nobody wants it, it doesn’t have much value.

Same with many of the alt coins out there.
Many have small supply however they still have low value because nobody wants them.

It is important, undoubtedly. But again, scarcity alone doesn't automatically make something a store of value, or even worth anything in the first place; especially for something that's digital.

But scarcity is most important for it. We can also see some NFT's are very scarce but nobody will consider NFT as a store of value because NFT is not fungible.
In addition, people need a perspective to sell it for a higher price again.

Scarcity in itself doesn't make something a good store of value. I could make a coin that only has a very scarce supply of 10 coins, and it would end up being worthless.

It's Bitcoin's decentralization and censorship resistance (among other things) is what makes it attractive to people. Bitcoin being scarce and having a predictable inflation schedule just completes the entire package.

For our savings, it’s very important to convert our money, or some of it, into a store of value to keep it safe from devaluation and to keep purchasing power.
Saving is very important and only a good store of value is suited for savings to prevent devaluation.


But how is a reliable store of value designed?

Finding out, what a good store of value is about will lead us to few conclusions:

It should be proven to be scarce.
It should be easily transported and easily exchanged.
It should be easily divided and keep value (not go broken).
It should be accepted and people should consider it as a store of value.

We can see: all points are somehow important to define a good store of value. Since a long time, Gold is considered as a good store of value but also Bitcoin is designed as a store of value, it’s also called digital gold.

Bitcoin is limited to 21M Bitcoin making it a very reliable store of value!
Since Gold existed, it has been store of value number one but now, we have Bitcoin, competing against Gold as a store of value.
We can compare advantages and disadvantages of Gold / Bitcoin and some people might consider Gold and Bitcoin to have as a store of value
Which is very good for Bitcoin because currently Bitcoin is only 5% of Gold's marketcapitalisation.

Bitcoin will close its gap to Gold in terms of marketcapitalisation.


Many stores of value are existing and we should always consider for and against arguments.

What is a good store of value for you?
What makes it unique, what is a must have for a store of value?

In my opinion it’s proven scarcity and Bitcoin is very good at it.


HODL

wagmi