It makes it easier for them to understand what bitcoin is. It is unlikely that they know about stablecoins backed by gold.
right, the mention of Bitcoin is a digital gold to make it easier to explain Bitcoin to ordinary people. many people do not understand what Bitcoin is and is Bitcoin safe then it makes the parable of Bitcoin is digital gold will definitely make it easier for them to understand a little bit about Bitcoin.
Topic: Why do many people call Bitcoin "digital gold"? - page 6. (Read 1372 times)
But should really stop calling bitcoin as a digital gold. I guess people call it digital gold because it has store of value just like gold. Both are "mined", but the only difference is that gold can be physically felt, but bitcoin exists only digitally. Both of them exhibits some similar properties. Back then coins were made with a mixture of silver and gold. People use those coins to buy goods. People can also use bitcoin as a currency to purchase goods. And like you said both of them are somewhat "scarce", hence people compares bitcoin with gold.
Along with scarcity, the value of bitcoin has exploded for modern demand. It has transformed from a pure, freely used investment to an existing, store of "value" asset similar to gold. It is founded on the greatness of digital - blockchain. Therefore, Bitcoin is likened to "digital gold".
Believe that, in the coming years, bitcoin will be used more than gold!
Believe that, in the coming years, bitcoin will be used more than gold!
My last post described that Bitcoin was given the attribute of matter when it was created by Satoshi Nakamoto. Bitcoin is as unique and non-replicable as matter. For this reason, Bitcoin is often compared with gold. Why is Bitcoin called "digital gold"? I want to discuss it with everyone.
Satoshi Nakamoto's original intention to create Bitcoin was to establish an A Peer-to-Peer Electronic Cash System. This kind of electronic cash can be used for daily payment and circulation, and can also serve as a "world currency" function. The role of "world currency" was once played by gold, so some people compare Bitcoin to digital gold.
To a certain extent, Bitcoin is replacing gold as a "world currency" and a "store of value" function. This is also the basic consensus that supports the price of Bitcoin. I summarized the following points:
1)Bitcoin, like gold, has a limited total amount and is scarce, and neither can be supplied infinitely. At the same time, it is very difficult to obtain, and it requires cost.
2)Bitcoin and gold have similar physical properties, and both have the uniqueness of matter. Can not be tampered with, can not be copied, can be physically divided.
3)Both Bitcoin and gold have similar monetary properties and can be used for daily payments or as a store of value.
4)Bitcoin can also perform the function of "world currency" and anchor global assets.
Compared with gold, Bitcoin also has the following advantages:
1)Continuous deflation in quantity:
The total amount of Bitcoin is 21 million, and the total amount is constant, and it is constantly being mined in the form of "mining". But at the same time, more and more Bitcoin owners may lose their private keys for various reasons, causing Bitcoins to no longer be found and circulated. This phenomenon occurs every day, so the total amount of bitcoins that can be circulated will only become less and less in the future.
2)Easier to divide:
Compared to gold, Bitcoin is easier to divide. The smallest unit of bitcoin is 1 satoshi, and a bitcoin can be divided into 100 million satoshis. At the same time, the Bitcoin split has almost no cost, while the golden section has a huge cost.
3)Easier to carry and trade:
Benefiting from the fast-growing cryptocurrency exchange business, Bitcoin can be traded uninterruptedly within a 24-hour time frame around the world. At this point, Bitcoin's global circulation is better than gold.
4)Can not forge:
All Bitcoin data is controlled by the Bitcoin network and cannot be forged or tampered with. On this basis, Bitcoin successfully established code trust. To a certain extent, gold can be faked. We often see various news or fraud cases about gold fraud. At this point, Bitcoin is also a winner.
5)More transparent:
Compared to gold, Bitcoin has the advantage of being more transparent. Gold trading is not public, and many traders use "paper gold." But every transaction of Bitcoin is open and transparent, and its transaction records can be found on the chain. This is the cornerstone of Bitcoin's value.
6)More decentralized:
Gold is a product controlled by a centralized organization, that is, the government. On the one hand, the central banks of various countries monopolize the vast majority of gold reserves. On the other hand, the government can introduce policies to restrict ordinary people from holding gold. This has resulted in the vast majority of people being only able to invest in gold derivatives such as "paper gold".
But for Bitcoin, anyone can buy and sell Bitcoin without restriction at any time. At the same time, individuals have absolute ownership of Bitcoin's private keys instead of relying on some centralized institutions. Bitcoin puts assets under the control of their owners.
We found that Bitcoin has many advantages that gold does not have on the basis of the characteristics of gold. If Bitcoin replaces gold as a value anchor, the market value of Bitcoin will definitely exceed gold. This is the basic logic that supports the price of Bitcoin.
According to statistics, the total market value of global gold currently exceeds 8 trillion U.S. dollars. If the market value of Bitcoin exceeds 8 trillion U.S. dollars, the value of a single Bitcoin will exceed 400,000 U.S. dollars. This is just a judgment on Bitcoin's value as a "digital gold".
Why do many people call Bitcoin "digital gold"?
Satoshi Nakamoto's original intention to create Bitcoin was to establish an A Peer-to-Peer Electronic Cash System. This kind of electronic cash can be used for daily payment and circulation, and can also serve as a "world currency" function. The role of "world currency" was once played by gold, so some people compare Bitcoin to digital gold.
To a certain extent, Bitcoin is replacing gold as a "world currency" and a "store of value" function. This is also the basic consensus that supports the price of Bitcoin. I summarized the following points:
1)Bitcoin, like gold, has a limited total amount and is scarce, and neither can be supplied infinitely. At the same time, it is very difficult to obtain, and it requires cost.
2)Bitcoin and gold have similar physical properties, and both have the uniqueness of matter. Can not be tampered with, can not be copied, can be physically divided.
3)Both Bitcoin and gold have similar monetary properties and can be used for daily payments or as a store of value.
4)Bitcoin can also perform the function of "world currency" and anchor global assets.
Compared with gold, Bitcoin also has the following advantages:
1)Continuous deflation in quantity:
The total amount of Bitcoin is 21 million, and the total amount is constant, and it is constantly being mined in the form of "mining". But at the same time, more and more Bitcoin owners may lose their private keys for various reasons, causing Bitcoins to no longer be found and circulated. This phenomenon occurs every day, so the total amount of bitcoins that can be circulated will only become less and less in the future.
2)Easier to divide:
Compared to gold, Bitcoin is easier to divide. The smallest unit of bitcoin is 1 satoshi, and a bitcoin can be divided into 100 million satoshis. At the same time, the Bitcoin split has almost no cost, while the golden section has a huge cost.
3)Easier to carry and trade:
Benefiting from the fast-growing cryptocurrency exchange business, Bitcoin can be traded uninterruptedly within a 24-hour time frame around the world. At this point, Bitcoin's global circulation is better than gold.
4)Can not forge:
All Bitcoin data is controlled by the Bitcoin network and cannot be forged or tampered with. On this basis, Bitcoin successfully established code trust. To a certain extent, gold can be faked. We often see various news or fraud cases about gold fraud. At this point, Bitcoin is also a winner.
5)More transparent:
Compared to gold, Bitcoin has the advantage of being more transparent. Gold trading is not public, and many traders use "paper gold." But every transaction of Bitcoin is open and transparent, and its transaction records can be found on the chain. This is the cornerstone of Bitcoin's value.
6)More decentralized:
Gold is a product controlled by a centralized organization, that is, the government. On the one hand, the central banks of various countries monopolize the vast majority of gold reserves. On the other hand, the government can introduce policies to restrict ordinary people from holding gold. This has resulted in the vast majority of people being only able to invest in gold derivatives such as "paper gold".
But for Bitcoin, anyone can buy and sell Bitcoin without restriction at any time. At the same time, individuals have absolute ownership of Bitcoin's private keys instead of relying on some centralized institutions. Bitcoin puts assets under the control of their owners.
We found that Bitcoin has many advantages that gold does not have on the basis of the characteristics of gold. If Bitcoin replaces gold as a value anchor, the market value of Bitcoin will definitely exceed gold. This is the basic logic that supports the price of Bitcoin.
According to statistics, the total market value of global gold currently exceeds 8 trillion U.S. dollars. If the market value of Bitcoin exceeds 8 trillion U.S. dollars, the value of a single Bitcoin will exceed 400,000 U.S. dollars. This is just a judgment on Bitcoin's value as a "digital gold".
Why do many people call Bitcoin "digital gold"?
This is such a detailed explanation of why people are calling bitcoin 'digital gold' and why is it often associated with gold in the first place. Bitcoin is indeed a valuable asset that a person can possess. Its value goes up and up after a long period of time. Although volatility is also its nature, we still can't deny the fact that bitcoin has exceeded and overcame the test of time it has undergone. That is why a lot of investors are continually eyeing it for the long-term because it can generate more profit after several years. Some people are even going all-in on bitcoin because they trust its potential so much. Hodling every single amount of bitcoin they have is what they conditioned their minds to do. Delayed gratification is the goal of almost everyone holding btc.
for virtual maybe bitcoin almost has similarities with digital gold, especially in the price factor that changes and never stays on its stability, and the price changes in a fairly short time and without our knowledge before we see it, maybe this is one of the the reason why bitcoin is called virtual gold, and for the level of security it is very tight and not easy to break into by people who have no good intentions
So when you say digital gold, it would make zero sense to most people because you can't physically see nor touch bitcoin.
It is then judged by yourself if that's true. It's up to you to define what's Bitcoin. In my opinion, it may not be touched, but it can be seen. In this cryptographic world we've dive, proof speaks for itself. A signature of a message may be considered intangible, but not invisible. I confirm that the signature is authentic by observing it.
To me, Bitcoin is a visible currency where each coin can be represented with a valid signature.
right, the mention of Bitcoin is a digital gold to make it easier to explain Bitcoin to ordinary people. many people do not understand what Bitcoin is and is Bitcoin safe then it makes the parable of Bitcoin is digital gold will definitely make it easier for them to understand a little bit about Bitcoin.
I disagree slightly. I don't think most people even know the monetary uses of gold, other than it's shiny and it looks good for bracelets, rings, and necklaces. So when you say digital gold, it would make zero sense to most people because you can't physically see nor touch bitcoin.
It makes it easier for them to understand what bitcoin is. It is unlikely that they know about stablecoins backed by gold.
right, the mention of Bitcoin is a digital gold to make it easier to explain Bitcoin to ordinary people. many people do not understand what Bitcoin is and is Bitcoin safe then it makes the parable of Bitcoin is digital gold will definitely make it easier for them to understand a little bit about Bitcoin.
nowadays.almost most.people call bitcoin almost similar to gold, especially in.the storage process.virtually this.is very close to having a similar or similar resemblance.but for those who are not investors.they are more likely.to save their money into gold at the appropriate price at the moment.people will sell.it back when they need money
Don't forget about advantages of gold. It can be accepted in any country in the world. I don't think there are laws prohibiting it's use anywhere in the world. You can store gold physically and indefinitely, whereas hard drives can degrade over time or become obsolete in a few years.
Possibily of gold being hacked and stolen is practically 0. With BTC it's higher amount for sure. Everyone understands how shiny metal thing works, but BTC is more complicated to newcomers.
Still tho, out of all cryptos BTC is the most akin to gold due to it's high cost, finite amount, scarcity, popularity and uses as investment funding.
Possibily of gold being hacked and stolen is practically 0. With BTC it's higher amount for sure. Everyone understands how shiny metal thing works, but BTC is more complicated to newcomers.
Still tho, out of all cryptos BTC is the most akin to gold due to it's high cost, finite amount, scarcity, popularity and uses as investment funding.
Even before a lot of people saying bitcoin is a digital gold. Not because of its color, but because of the value that keep shining but government still don't want to use it as a legal tender and etc.. That's what happened to gold as well when someone stopped to the people to convert gold way back 1970's because of some issues . Which is happening in bitcoin right now even the price is too expensive. For me there's no big difference between bitcoin and gold because both of them can't replace real fiats even they become more valuable in the future..
in 2009 the first block reward was not 50btc.
it was 5000000000sats. and every 4 years that reward number halves
It was 50 BTC. The fact that this unit doesn't exist in the source code doesn't mean that we can't name it. There are just ways to measure it. In gold, you can use grams, ounces, tones etc. They're all correct.it was 5000000000sats. and every 4 years that reward number halves
yes i have many whole btc but even i measure things in bits and sats
..
its like 'boxes of apples'
do people actually care about the box.. or the apples inside
the box (basket term) is not the value in of itself.
yes a container ship box might be $30k
but people only want to buy single apples of $3 bags
world traders might only have 10,000 containerships of apples on their trading exchange suite. but its not actually the container thats the value. its the apples inside
scarcity of apples is not about the box amount. its about the number of apples that can be shared. no matter if they are in boxes or separate
gold was scarce when the smallest shareable size was like a necklace or a coin (multiple grams)
but now gold is everywhere. your device you read this post on now has milligrams of gold in it
everyone on this forum has milligrams of gold.
gold is no longer scarce.. its right now right there within 3 feet of your eyes
..
its like this
"due to the limit of boating lanes and cargo ships.. there can only ever be 21,000,000 containers of apples"
but reality is people care about how many apples people can eat/consume/share not the apples
so if they GM an apple to be 10x smaller to fit 10x more apples in.
more people can get apples. thus apples. the real value. is 10x less scarce
you will soon learn this when exchanges start measuring market orders in bits or millibits.
the un-importance of btc becomes apparent
,,
if still unsure about scarcity and supply..
if you still think its ok to break the blockchain unit of measure(sat) and have 1000x more divisions
well if you take these two pictures
and still think the supply is still the same
'cos its about them both being the same "one handfull"'
you really dont understand shares. scarcity, supply
in my opinion BTC is called digital gold because it has a position and is at the top of the virtual currency market, but if talking about higher value I think diamond, I also have a question. is why BTC is not likened to diamond but gold, do you think like me?.
For me personally , i consider Bitcoin as Digital gold because of the Hardship in Mining each coin , for all those years more than 11 specifically yet 21 million coins still on process of Mining that is why it has been called as GOLD.and also people are threating the coins valuable as how they handle their Gold.
in terms of Hiding it in most secure place they can be.
So basically this is really a digital gold.
I think many people call Bitcoin “digital gold” because of its good reputation. Gold has been known as a precious metal, while Bitcoin is known as the king of crypto assets. Although Bitcoin and Gold are similar but the main difference between the two lies in their growth environment. Bitcoin thrives during “risk-on” conditions, while gold prefers “risk-off”. Risk-on occurs when the economy grows, bond yields increase (and thus bond prices fall). On the other hand, gold thrives when real interest rates, i.e. bond yields minus inflation expectations, continue to decline. Please correct me if my opinion is different from yours.
In my opinion bitcoin and gold are equally important, they can be stored in the long term but for now the price of bitcoin tends to change quickly compared to gold to seek better profits, choose bitcoin but remember the risk that must be borne is also large.
Something being "important" is subjective. It's just the matter of who we're asking. When we're talking about goldsmiths and central banks, then gold would be the answer. When we're talking about people in countries with slowly-but-surely dying currencies, then bitcoin would most likely be the answer.
People call it “digital gold” due to its properties. It is divisible, highly difficult for an average person to extract it from “the ground”, storing value etc. Generally, it is referred as digital gold, because it really isn't owned by anyone, but everyone has the same rights.
Here's a nice quote from Satoshi:
Here's a nice quote from Satoshi:
As a thought experiment, imagine there was a base metal as scarce as gold but with the following properties:
- boring grey in colour
- not a good conductor of electricity
- not particularly strong, but not ductile or easily malleable either
- not useful for any practical or ornamental purpose
and one special, magical property:
- can be transported over a communications channel
If it somehow acquired any value at all for whatever reason, then anyone wanting to transfer wealth over a long distance could buy some, transmit it, and have the recipient sell it.
Maybe it could get an initial value circularly as you've suggested, by people foreseeing its potential usefulness for exchange. (I would definitely want some) Maybe collectors, any random reason could spark it.
I think the traditional qualifications for money were written with the assumption that there are so many competing objects in the world that are scarce, an object with the automatic bootstrap of intrinsic value will surely win out over those without intrinsic value. But if there were nothing in the world with intrinsic value that could be used as money, only scarce but no intrinsic value, I think people would still take up something.
(I'm using the word scarce here to only mean limited potential supply)
- boring grey in colour
- not a good conductor of electricity
- not particularly strong, but not ductile or easily malleable either
- not useful for any practical or ornamental purpose
and one special, magical property:
- can be transported over a communications channel
If it somehow acquired any value at all for whatever reason, then anyone wanting to transfer wealth over a long distance could buy some, transmit it, and have the recipient sell it.
Maybe it could get an initial value circularly as you've suggested, by people foreseeing its potential usefulness for exchange. (I would definitely want some) Maybe collectors, any random reason could spark it.
I think the traditional qualifications for money were written with the assumption that there are so many competing objects in the world that are scarce, an object with the automatic bootstrap of intrinsic value will surely win out over those without intrinsic value. But if there were nothing in the world with intrinsic value that could be used as money, only scarce but no intrinsic value, I think people would still take up something.
(I'm using the word scarce here to only mean limited potential supply)
in 2009 the first block reward was not 50btc.
it was 5000000000sats. and every 4 years that reward number halves
It was 50 BTC. The fact that this unit doesn't exist in the source code doesn't mean that we can't name it. There are just ways to measure it. In gold, you can use grams, ounces, tones etc. They're all correct.it was 5000000000sats. and every 4 years that reward number halves
I think why bitcoin is called digital gold because bitcoin has some similarities with gold, how to get it through digital mining
in essence bitcoin is almost the same as gold, not printed arbitrarily like fiat and it is very promising for the next few years and in my opinion bitcoin will become a safe haven later
in essence bitcoin is almost the same as gold, not printed arbitrarily like fiat and it is very promising for the next few years and in my opinion bitcoin will become a safe haven later
people say bitcoin is gold in digital, most likely it can be accepted by our common sense, because we can see bitcoin is now at its peak, it can be said that for now no one can match bitcoin, bitcoin can also be used as an asset that very valuable. that's why many say bitcoin as gold in gital..
in my opinion some people called it digital gold is because of its value and usage. Value by means that this is the only crypto currency that can be use to buy stuffs and the whole world already know it and use it as common digital currency. Also we can get btc by mining the same like mining gold thats why I think the reason why some of the people called it digital gold.
This is wrong in my opinion, value just because it can be used to buy stuff can be done by other currencies too you know so I don't think that it's the only reason for the value, I think the utility that bitcoin has is comparable to gold with it's code being able to be used by others to create their own coin. hero member
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I would make it a simple thing as gold is available in real life while bitcoin is available on the internet. People can touch gold because gold has a form, while people can only see bitcoin in the wallet using many devices such as computers, mobile phones, or else. Without the internet, people can not use bitcoin, but gold can use with the internet. So bitcoin can be the digital gold that is only available using the internet.
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