Topic: "Gold is government assest,Bitcoin is all yours." A Comparison between them. - page 2. (Read 297 times)

So when gold and bitcoin are juxtaposed, we can only contribute by owning bitcoin. We may not be able to have a large amount and weight of gold throughout our lives in our living rooms and rooms. it will obviously invite thieves to brutally enter ... as for bitcoin, who will know other than ourselves if it is not published to the outside world even if we have a large amount of bitcoins, as long as we store passwords and seeds of 12 words in a safe place without being touched by the internet .
that's one of the simpler things that made us interested in bitcoin rather than gold. As for the advantages and disadvantages of gold and bitcoin, everyone already knows, so I don't need to register it here.

One thing is for sure, bitcoin is friendly to us without a third party, whereas gold would be very complicated if the government knew we had a pile of gold in the safe.

To be honest, nothing would stop the government from issuing another executive order exactly like the one from OP but for Bitcoin instead of gold. In fact, it might be easier to find out who is using Bitcoin and who isn't rather than finding out who owns gold. One of them is on the unforgivable internet, the other is offline.

Gold is decentralized but as mentioned above, weight is an issue. You have to carry a specific, identifiable material in order to move around your wealth. Bitcoin lets you even print your seed on a t-shirt label and move to another country without suspecting a single thing. They are comparable and not at the same time, both having advantages and disadvantages vs the other simultaneously as well..

gold on its own is not centralized though. it is a metal that you can hold on your own and trade p2p in a very decentralized way. the problem is that it is not easy to do because you can't for example carry 50kg gold with yourself in your pocket to sell so people end up choosing the centralized way of doing it which is through IOUs instead using the centralized places.

I agree with this, gold may not be digital but it is as decentralized as Bitcoin, as neither its supply or price is controlled by government agencies. The government can only use agencies to confiscate gold.
If a Bitcoin holder uses the network wrongly, they can also do the same to Bitcoin using centralized exchanges to eliminate the quality of decentralization.

I'm going to disagree with OP too. The things that happened with gold can happen with Bitcoin too, just to a smaller extent. The government can control centralized exchanges, where 99% of Bitcoin volume happens, so they could control this market if they wanted to. Trading Bitcoin on a black market would be a huge pain in the ass, because of the risks of scams and other attacks, and other digital payment methods are centralized and regulated, so it would be hard to buy and sell large amounts of coins.

It's already hard to buy things with Bitcoin, because few places accept it, if government banned Bitcoin, Bitcoin would be a very hard to use black market store of value.

I am surprised after a few comments I am going to be the first one to disagree with what OP says because he bases his reasoning in a false analogy:


That comparison is wrong. Both are decentralized.


That's again wrong. Gold is as decentralized as Bitcoin. The value of Gold doesn't come from a Central Bank, unlike in the case of the value of USD, which comes from the FED and the US government. Gold is valuable because people believe it's valuable, the same as Bitcoin, they don't need a Central Bank or a Government saying that they are valuable.

Other than that, the government can confiscate your Bitcoin just like they can confiscate your Gold if they make an executive order for Bitcoin like they did in 1933. Is it a little harder to confiscate it? Yes, but it is similar. If such an order were passed, all Bitcoin from centralized exchanges would be confiscated by the government, and in the case of people who keep Bitcoins in hard wallets it would be more difficult but just as it was difficult to confiscate gold from someone who had a little bit of it hidden at home.


This is also false. Gold is both an investment asset and you can use it to make payments. It's not so usual nowadays, but you can, and it has been widely used to make payments throughout History.



Why are you?



Bitcoin nowadays is not a currency and it's not the only decentralized asset, as I have shown.

With both Bitcoin and gold you depend on some other people. "They" control the supply of gold but "they" also control mining. It's not like you or me can suddenly spend a million dollars on a bitcoin farm if the people who are mining now decide they don't want to do it anymore.

Bitcoin is not directly controlled by anyone but you as a holder also depend on other people to mine it, run nodes, run exchanges.

Thanks for the summation mate and brings up this informative thread, IMHO, I believe that Gold has become a tool for manipulation of wealth to control any economy or possibly a nation that's why there is no freedom in it while Bitcoin is a decentralized digital asset own by people and it cannot be controlled by anyone so for me Bitcoin and Gold is not comparable but only serves in their respective functions and purposes which is a centralized and decentralized form of assets.

I wonder what part of gold you are referring to as "government asset" and what you mean by that. I think It's better to see it as National asset, with government regulating it's usage and mining. So, Gold owned by government is owned by the people actually.
I think it's wrong though for government to confiscate people's assets and turn them into public assets without any justifiable reason.  I wonder if that's what happened with Gold in US 88years ago? Sounds like what I read/watched happened in ancient nations with lawless tyrants

Gold is a safe heaven for people as they believe it is one of safest heaven in history. Any changes, unstability of politics, society, financial conditions will help demand on gold increases. That in turn cause price of gold bar increases.

Bitcoin, sometimes has coincidence with gold movements on the market but it is different. Bitcoin will be a mean for storage but now it is more likely a speculative asset. With its volatility and deflation schedule, people have more belief that the speculative digital currency will rise.

You can not mine more than 21 million bitcoins, never but people and future more advanced technologies can increase the total supply for gold. New gold resources can from external planets or deeper layers in the Earth.

Bitcoin is much more portable.  If the people of Venezuela, North Korea, Russia, Europe, Cuba, Africa, Central America, South America, China, Hong Kong, Taiwan, Singapore or Biden/Warren/AOC's USA (etc) needed to flee authoritarianism (socialism, fascism, communism etc), crossing a border with gold would be much more difficult than with bitcoin.

The number of people who are willing to take from one in order to give to another in order to buy their votes is increasing.  Look at the US Democrat party willing to sacrifice one group to satisfy another.  To them, equality under the law is just something to say, not really believe.  Of course, they are the party of Southern slavery, so what do you expect.  Their philosophy hasn't changed, just the language used to hide their true motives.

Gold is also decentralized, why say otherwise?

Gold is definitely a controlled asset unlike bitcoin. So the gold market is very different in all aspects from bitcoin. Government can pass law to confiscate gold from you in case of extreme emergency while they can't touch your bitcoin unless they know your private key. So these two market are not comparable. Even if you compare, it will not be an apple-to-apple comparison.

So I personally think bitcoin must not be classified as a digital gold. It's a new class of currency which is not controlled by a regulatory body, rather it is controlled by a global network of miners. It's not the case of gold which is completely controlled by the governments.

We compared gold with Bitcoin many times here but it doesn't hurt to repeat it again because repetition is the mother of all learning.
They can even take gold from us but they can never take away out bitcoin if they don't have private key or backup phrase.

And here is one of Satoshi Nakamoto forum posts comparing Gold with Bitcoin, and his conclusion that not having Bitcoin would be the net waste.

There is always a comparison among Bitcoin and Gold investment in the market but we are ignoring the fact that gold is centralized assest but Bitcoin is decentalized source of investment backed up by Secure network of miners always.This notice was issued by the US government in 1933 or 88 years back.




Control

The government has full control over your gold investment and any time they can ask you to deposit it with them or even put a limit to gold holdings with individuals which is another concern but still you can't speak being residents of democratic countries.But Bitcoin provides your freedom to enjoy your funds according to your own wish without any centeral authorities intervention because of its decentralized nature and moreover it's network is always secured by the miners.

Growth chart



It is clear from the chart that Bitcoin has outshine the gold prices in the recent years and touched ATH of $60k in only period of 12 years whereas gold has been in the market from past hundred of years as signs of gold can been seen in earlier dynasty caves.So Bitcoin has outperformed gold in just 12 years.

Supply

The Bitcoin supply is limited to 21 million coins which will be mined until 2140 as approximately 4320 blocks are mined every month and reward for each block is 6.25 btc/block which will be halfed after halving.So this pattern is fixed for Bitcoin.Gold supply is also limited until all the natural resources have been exhausted from which gold is mined but we can't say exactly how much time it will take to reach at that level where mines capacity to further gold has been used.



Payments

You can use Bitcoin as both investment assest and to make payments to other people by making transactions with very nominal fees over the blockchain.With increase in btc demand and prices you can have profits in your pocket whereas you can make payments to big giants who are now accepting btc as payment.But on the other side you can only hold gold as investment with you which will give less returns over long periods and you can sell it in the market if you wish to do so but you cannot buy stuff of your choice with gold as there is no payment options online or in physical to exchange gold for your items.

Increase of Bitcoiners

So far Bitcoin has performed very well and given tough competition to the other financial assest but now the number of Bitcoin users have also been increasing rapidly and more investors are putting money into Bitcoin instead of Gold and other bonds because of higer returns and its acceptance by major organisations.




So why are we making such comparisons?We need to understand the importance of Bitcoin in regards to other financial assest as Bitcoin is only decentralised currency that can provide you freedom from these traditional monetary system and make you king of your own money.Invest in your future.