Historically, China, India, Europe and North America have been large extractors of raw materials from mines (North America has also had an extent of control on South America to gain materials from them too). In a lot of circumstances, African countries are the ones that have been left behind in the funding of these material extraction - until a few years ago when a lot of countries seem to have started to do their own explorations on account of cheaper extraction facilities and a rising price of minerals (because the availability everywhere else is slowly running out - potentially).
There has been mining for a long time in Africa but it seems to have been for specific materials and less of a focus on things like gold (or coal afaik).
Most things can have inflation now anyway too (even materials like diamond can be artificially generated) it'll be interesting to see if gold gets devalued by more discoveries in the future too (in science and technology as well as naturally occurring discoveries).
Topic: Uganda’s gold discovery: What it could mean for crypto !!! - page 4. (Read 528 times)
Is gold becoming inflationary? Can Bitcoin replace it as a store of value due to its scarcity and reliability? Are Uganda’s numbers implausible? Questions arise.
These are fraught times for the cryptocurrency and blockchain sector, so it isn’t surprising that industry proponents might seize upon any promising news to help charge flagging markets. A Reuters report out of Uganda last week about a massive gold ore discovery supplied just this kind of fuel.
What does the state of gold mining in Africa have to do with the price of global Bitcoin (BTC)? Quite a bit, potentially.
Bitcoin has periodically laid claim to being digital gold largely on the strength of its strict 21 million supply limit, which makes it non-inflationary and a good store of value — in theory. Gold, of course, is the store of value par excellence, with a limited supply and a solid track record that goes back millennia.
But, if Uganda is sitting on 31 million metric tons of gold ore, as the government declared, might not that substantially boost the world’s gold supply? That in turn could lower the price of gold — and make it a less secure “store of value” generally. Gold’s loss could be the cryptocurrency’s gain.
Some drew encouragement from this notion. Microstrategies CEO Michael Saylor, for instance, posted a video on Twitter about the Ugandan discovery of “huge gold deposits” which might net 320,158 metric tons of refined gold “valued at $12.8 trillion.” As Saylor noted on June 17: “#Gold is plentiful. #Bitcoin is scarce," further telling CNBC:
source
And am wondering how did Uganda get hold of such a huge number of gold ore all of a sudden? and if this this true will this be enough reason for investors to turn to btc with proven limited supply or not? Do share your beautiful opinion.
Quote
“Every commodity in the world has looked good in a hyperinflationary environment, but the dirty secret is you can make more oil, you can make more silver, you can make more gold […] Bitcoin’s the only thing that looks like a commodity that is scarce and capped.”
These are fraught times for the cryptocurrency and blockchain sector, so it isn’t surprising that industry proponents might seize upon any promising news to help charge flagging markets. A Reuters report out of Uganda last week about a massive gold ore discovery supplied just this kind of fuel.
What does the state of gold mining in Africa have to do with the price of global Bitcoin (BTC)? Quite a bit, potentially.
Bitcoin has periodically laid claim to being digital gold largely on the strength of its strict 21 million supply limit, which makes it non-inflationary and a good store of value — in theory. Gold, of course, is the store of value par excellence, with a limited supply and a solid track record that goes back millennia.
But, if Uganda is sitting on 31 million metric tons of gold ore, as the government declared, might not that substantially boost the world’s gold supply? That in turn could lower the price of gold — and make it a less secure “store of value” generally. Gold’s loss could be the cryptocurrency’s gain.
Some drew encouragement from this notion. Microstrategies CEO Michael Saylor, for instance, posted a video on Twitter about the Ugandan discovery of “huge gold deposits” which might net 320,158 metric tons of refined gold “valued at $12.8 trillion.” As Saylor noted on June 17: “#Gold is plentiful. #Bitcoin is scarce," further telling CNBC:
source
And am wondering how did Uganda get hold of such a huge number of gold ore all of a sudden? and if this this true will this be enough reason for investors to turn to btc with proven limited supply or not? Do share your beautiful opinion.
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