Topic: What are the pros and cons of gold compared to bitcoin? (Read 407 times)

It doesn't matter if some people are still quite worried about Bitcoin price fluctuations in the market, but those who are still worried about this must also be aware that Bitcoin is the only digital asset that has no doubt about its potential and future. So we can all still see great prices on Bitcoin through the markets and now I'm also seeing an increase in prices on gold so that makes gold holders quite happy at the moment. However, I also don't know what caused gold to experience such a good price increase from the end of last month until now.

The market will always disrupt our plans of earning gigantic profits. Everyone wants what's best for them and they're doing everything to make sure they're winning in the space. Gold is valuable due to the interests it serves to a country and also to man. Gold exists in both the real world and crypto. Its been utilized as jewelries and this have certainly become something to worry about because it's high in price. Bitcoin is digital and have become very volatile in the market. It have become something to worry about.

I agree with some of what you said here but you might have made mistakes in some of them. First, you are so right to say of Gold as a physical commodity, no one can take that for granted as a benefit of it than Bitcoin, which is also the main reason why some people do not value Bitcoin to date. Meanwhile, Gold is still functioning as a digital asset in addition, only that it is not being used as much as Bitcoin is used for payments and settlements. Of course, both are valuable since people's money is making those assets to be so. You can imagine Bitcoin is moving closely to $1.3T gradually, while Gold is moving closely to 15.5T, which makes them indeed valuable.

About the scarcity which will bring about the demand and supply you mentioned, I do not think it will affect Gold in any way, though it was planned to help Bitcoin. But for Gold, the demand for it has always been high and that can only explain the high market capitalization it has now. As for the volatility, have you studied Gold? What you just mentioned was what my brother argued with me a while ago too until I explained to him. Gold is a compressed commodity which causes confusion, but when you are trading it, it is more volatile than Bitcoin.

Both of these things have their own advantages and disadvantages and if someone can use these two things as investments of course this will be able to bring profits to them, but these two things have different ways to make profits and for some people who like Bitcoin of course they will be able to make profits from Bitcoin and for those who like gold of course there are those who like it as jewelry as you said and there are also those who keep it as an investment.

Because when someone loses their Bitcoin and it cannot be recovered, of course it would be better for someone who wants to invest their Bitcoin to carefully guard the keys to their wallet so as not to lose the assets they have.

Look, Bitcoin is a currency, it don't have to converted to fiat in order to use it, you can just spend it directly.

Bitcoin > Gold.

If people follow your advice, gold won't reach $2K/oz and have $15T market cap because most people can't even buy land due to it's surge ridiculously high. The most affordable to buy is Bitcoin because you can buy as low as 294 satoshis/$0.2 while gold you need to buy at least 1 gram/$70.

  When it comes to investing in precious metals, it's not about whether you should or shouldn't—it's about whether it's the right choice for your investment strategy, risk tolerance, and financial goals. Diverse investment portfolios often shine the brightest, balancing out risk and reward. If you're in Portland like me, it might be worth taking the same approach we take to our weather: If you don't like the current conditions, just wait a little while, things might change. The same patience and adaptability can be wise for managing your investments. The advantage of owning gold as a form of savings is that it cannot be devalued by a person or group, since it isn’t “issued” by anyone. Fiat currencies (the U.S. dollar, British pound, euro, etc.) are created out of thin air by central banks. As long as the economy grows as fast as the supply of these currencies, they will continue to hold their value. However, governments always try to keep these currencies falling in value by about 2% a year as measured by the government’s inflation index. This means that if you hold currency as savings, you essentially have a guarantee that your savings will fall in value by about 2% a year. This isn’t a very good deal, so many people buy gold to avoid this 2% per year depreciation.
  The disadvantage to buying gold is that it usually doesn’t pay a yield. If you hold cash in a bank account, the bank usually pays you an interest rate. If this interest-rate is higher than the rate of inflation, then it might make sense to hold cash instead of gold, since you still end up ahead even after accounting for the depreciation of the currency. If cash in a bank account doesn’t pay a high enough yield, another option is to invest in government bonds (especially long-term 0nes), corporate bonds, or even stocks. These instruments have higher yields. So if a savings account pays less than the rate of inflation (as it does today), you may be able to get around this problem by investing in bonds or stocks.

Gold can be used to make a jewelry which you can wear unlike bitcoin which can't be use to make jewelry. If it's mobility that we are talking about then it is pro for bitcoin since it's digital and weightless compared to gold. Also both are rare as others have said which makes it more valuable although lost bitcoin cannot be recovered which is it's con if you put it like that but for me lost bitcoin will only make it's supply less and the more it's price increase due to demand. For gold, if ever you lost the gold then there's a chance that you will find it or someone will find it. Another pro for bitcoin is being volatile.

      The digital scarcity of Bitcoin makes it worthy and always praised and because it is digital ,it is not influenced or affected to physical wear and tear.

   As we all know Bitcoin is young and not tested and shown to be good as an investment , but speculators in cryptocurrency are using it as store of value also as a limit against correction and recessions.


   Gold is scarce too,but it's total supply can change value frequently because of mining activities and it's very durable which does not gradually destroy or get weakened or degrade over time. For long, Gold has been an asset that keeps value over a long period of time and used as limit against market downturns .

   The reason why Bitcoin is better than gold is because of its operation on decentralized network, which makes sure that no single entity can control or manipulate the currency , which gives it an edge over gold and free from government and centralized authorities.

Indeed! Both have different role, they are both vital in the world of market. For me, the advantage of gold is that you can touch it, feel it, and see it. Unlike the Bitcoin, you can't hold it, see it, or touch it. Both value is rising so there's no loss investing in both .

Also, in case of emergency if you have gold and you need a cash you can pawn it anytime and that is it, sweet cash. Just like the old man says, "Cash is King"

Both assets are valuable In their various ways,Gold and bitcoin offers different benefits and advantages.We all know that Gold and bitcoin are very productive in terms of investment choices,so I wouldn't want to recommend the comparison that exist between them.Instead of the comparison,check,consider and utilize any of them depending on your financial goals.

Both Gold and bitcoin have a role to play in the financial markets,each of them comes with its advantage and disadvantages,preferably either of them that suits your decision to acquire and achieve.
Basically,I like both Gold and bitcoin;both are relatively scarce,and they prevent people against fait currency manipulations.

Gold is not only rare but it's a real-world thing. Gold has unique properties, it has limited supply, it's attractive in colour, it's shiny, non-oxidizable metal, and a master can make any kind of jewellery from Gold. It has been the standard for centuries (you will often hear the word Gold Standard), the standard of money, global financial reserve and etc.
Bitcoin is a virtual thing but we have to keep in mind that gold is used in smartphones, computers (CPU), chips... So, without Gold, there would be no Bitcoin. Btw bitcoin is the gold of the digital world, it's unique capabilities make it a very attractive choice of investment and payment method but has some disadvantages, it's not a good option for flexibility and massive usage because many people have no idea what Bitcoin is and too many people don't know how to properly buy, sell and store it.

I think I largely agree with what the op is suggesting. Gold is indeed highly recognizable, it's physical and shiny, so there isn't much need to explain why it's valuable. It also has a historical advantage of being a valuable part of human culture for thousands of years. Bitcoin is intangible, which makes it easier to store and is partially why it can't be faked, but that also means that to a lot of people it's non-existent because they can't hold it in their hands or understand why some people are willing to pay so much fiat ('real money') for it. But while gold isn't normally used as a currency anymore, Bitcoin is both an asset and a currency. You can exchange it for goods and services if you go to places that accept it. That gives it more usability, which is an advantage over gold.

This is more or less what I was going to say.

The volatility of BTC is still at turn off to many.

When in doubt, simply zoom out.

Both are valuable.But gold is more popular among general public. Because gold is more in circulation. Many people are not familiar with BTC. They think if they invest in BTC, they will lose their money.They don't think bitcoin is trustworthy. But it is wisest to invest in it.Because the price of gold decreases a bit when selling it.But there is no harm in investing in BTC. If the price increases, it can be sold at several times higher price.Investing in BTC during a bull run is likely to be more profitable.In terms of investing, BTC should be invested first, then land.Then comes the topic of investing in gold.

Oh it's about time to do this again for 100th time.......

It's not either or situation. They both are a part of an overall portfolio.

If you are all Bitcoin, you are an idiot.. If you are all gold, you are and idiot..

The key is balancing and securing profits inside a multifaceted portfolio preferably with tax advantages like an IRA.

Gold price is not that stable,  it fluctuates a lot just that the range is not as wide as that of Bitcoin. If you trade forex you will agree with me that gold is as volatile as indices such as Nasdaq and GER30. Another reason why people think gold is stable is because it has been in overall upward direction with just a few deep corrections. The fact is that it is volatile but not as Bitcoin

The volatility issue of Bitcoin is mainly for the short term traders, since they just want to get in and out within a short time. With a single spike most of them are neutralized already. But those with long term plans for Bitcoin do not really have any problem with the volatility. 

On the regulatory risk, we can call it risk but it also have some positive side even though I do not support it, reason being that it will destroy the privacy and anonymity that Bitcoin is supposed to eventually bring to the global financial system.

Pros for gold -> bank reserves are backed by currencies that have a reserve of gold too.
Cons for gold -> it is not moving a lot based on its charts, NVIDIA did better than it.

Pros of bitcoin -> Volatility and scarcity
Cons of bitcoin -> sometimes transaction fees are high when the network is clogged

It int be fair to compare Bitcoin and gold in any terms as they represent two different entities but if we have to draw a pros and cons then I would say Gold is accepted worldwide and it can be accepted at even the remotest areas of the world and it's not volatile wherein Bitcoin's adoption rate is not wider, Bitcoin is more secure as it stored digitally but for gold we need to safeguard it. This is a basic difference and I don't want to draw more reasons because the list will go on but doesn't make sense to compare these two.

Pros? Widescale usage or acceptance in comparison with Bitcoin wherein few countries are recognizing its usage as a digital currency. Another is with market price volatility; obviously, the market value of Bitcoin moves more in a more random manner than with Gold which is a bit stable on its current market price. Both are profitable in the long run but with market price direction, then Gold is more often in upward direction, but of course decline on its price could still take place. Cons? convenience. You cannot obviously pay anytime with Gold also its market value doesn't move that much which makes profit not as big with Bitcoin investment.
With oversupply, I doubt it would last for long. Minerals and other natural resources has limitation with natural generation. There will always a have tendency that Gold will be hard to mine given how limited resources are on this material. Bitcoin has higher risk as an asset but in exchange, it is more potent with higher returns as an asset.

Yes, stable gold does not give high returns but it is definitely the best option if someone wants to find a safe haven for his assets.

As I said above, there are many reasons for us to choose bitcoin instead of gold or any other form of investment, but profit is still what we care about most. And everything has its pros and cons, nothing is absolutely perfect, so if we choose bitcoin, there is no need to badmouth gold and flatter bitcoin.

Just like many people are still using fiat money on a daily basis and it would be almost impossible for them to survive if they stopped using fiat money, but they go on the internet to badmouth and call out fiat as bad just because of the appearance of bitcoin. I wonder, if in the future there is a currency that is better than bitcoin and brings more benefits than bitcoin, will these people turn around and start talking bad about bitcoin?