Topic: Why do many people call Bitcoin "digital gold"? - page 7. (Read 1291 times)
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.
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.
In a digital age that plays a major role in the economy and society, bitcoin has emerged with popularity, accompanied by increasing demand, decentralization, and a low fixed supply. The bigger problem is that bitcoin mining is getting more and more difficult. This means that bitcoin becomes scarcer, rarer and more valuable than gold. It's a figurative term for bitcoin.
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.
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.
1. The difference between Bitcoin and gold, however, in terms of scarcity is that Bitcoin's 21 million is hard-coded while gold's is questionable. Perhaps it's just a matter of time before gold is to be obtained outside of earth.
2. What do you mean by "similar physical properties?" Does Bitcoin, which is not physical, have physical properties? Could Bitcoin be physically divided? Gold could be tampered, could be copied or faked to a certain extent, and physically dividing gold properly requires expertise unlike Bitcoin's breaking down into Sats.
3. I don't think Bitcoin and gold have similar monetary properties. And is there still a place where gold is still accepted as daily payments?
This is backed up by the evidence we have from how popular Casascius conis were, and all the other variations which were released after. People just love to hold a physical item, and I'm not sure what the psychology is behind that, but there's definitely a reason for it. Casascius identified this early, and made major profits during the time they were selling the coins.
However, despite us wanting to hold a physical item, modern times are changing quite quickly, most people are becoming accustomed to handling their finances online, where as 5-10 years ago, most people thought of it as insecure. So, while at the moment people like shiny physical things, it is quickly changing. Several challenging banks are now operating entirely online, and don't even have any local branches that you can go too. Bitcoin will most certainly benefit from this psychological shift in our culture.
However, despite us wanting to hold a physical item, modern times are changing quite quickly, most people are becoming accustomed to handling their finances online, where as 5-10 years ago, most people thought of it as insecure. So, while at the moment people like shiny physical things, it is quickly changing. Several challenging banks are now operating entirely online, and don't even have any local branches that you can go too. Bitcoin will most certainly benefit from this psychological shift in our culture.
With almost everything going digital, my opinion is that it's mostly because you can see and feel it outside your/phone computer, which makes it more sort of "real". But then again, I think this will easily change in the next generation, because today's kids and teenagers are just so accustomed to digital everything due to video game skins and such.
it is not wrong if people refer to Bitcoin as digital gold because of its value.
I can agree with you. Bitcoin value is always very fluctuating, this cannot be compared with gold. We know that Gold value has more stability than Bitcoin, but I don't say it has no fluctuation. The fundamental difference between Bitcoin and Gold is on the possibility of the value change shortly. Gold looks a bit stable, while Bitcoin can change its value very significantly in a short time.Bitcoin thrives during “risk-on” conditions, while gold prefers “risk-off”
Does it mean Gold has no risk?I don't think so. Gold value can decrease, too.
But if you look at the price history, the change is not very significant as Bitcoin value.
In the past and at present people prioritise gold as an asset that helps in emergency. It can be exchanged easily through banking and other financial services. Maybe people might've experienced something similar with bitcoin. Once it is not an easy task to exchange bitcoin,, now with the increasing adoption and access for for more exchanges make it easier than the past. This looks to be the reason for bitcoin getting termed as digital gold.
it is not wrong if people refer to Bitcoin as digital gold because of its value. But Bitcoin and gold are very different even though bitcoin is very popular today. Gold is a type of investment that has physics and a stable price. Gold is also used as a "safehaven" asset or a very good hedging asset. While bitcoin cannot be used as a hedging asset because of the fluctuating price of bitcoin and bitcoin too
Higher returns always look profitable and attract speculation in assets, but high returns are always accompanied by high risk.
Bitcoin and gold are similar assets, but they are different. The main difference between Bitcoin and Gold lies in their growing environment. Bitcoin thrives during “risk-on” conditions, while gold prefers “risk-off”
Higher returns always look profitable and attract speculation in assets, but high returns are always accompanied by high risk.
Bitcoin and gold are similar assets, but they are different. The main difference between Bitcoin and Gold lies in their growing environment. Bitcoin thrives during “risk-on” conditions, while gold prefers “risk-off”
Gold is an iconic store of value, so people who want to highlight that they view Bitcoin as a store of value compare it to gold. You provided arguments why Bitcoin is better than gold, but there are also arguments why it's worse. It relies on electricity, electronic devices and the Internet, the things that we take for granted but could disappear if some catastrophic event happens. Bitcoin wallets can be hacked, there are countless examples of huge thefts. Gold is less likely to be stolen, because physical heists are less common than hacks. Gold has thousands of years of being store of value, Bitcoin only existed for a little more than a decade. Bitcoin is still not 100% proven, even the devs call it a beta version.
Bitcoin to me is more valuable than gold, the position of Bitcoin is higher than gold.
What position? Make it clear, mate.Which one is more valuable should depend on a personal viewpoint. Valuable doesn't always refer to the price. If we consider its use for various purposes, gold seems easier to use as it is legal in all countries around the world. While Bitcoin still has many limitations for its use, especially for a payment tool. But if we consider the possible profits to hold BTC or Gold, BTC is better. BTC price can increase significantly, much higher than the gold price.
Bitcoin is actually not digital gold because its value is not based on gold.
Of course, no correlation between the BTC value and gold. People call it digital gold because people assume the potential of Bitcoin in the future can be as good as gold, even it can be better than gold. Bitcoin to me is more valuable than gold, the position of Bitcoin is higher than gold.
What position? Make it clear, mate.Which one is more valuable should depend on a personal viewpoint. Valuable doesn't always refer to the price. If we consider its use for various purposes, gold seems easier to use as it is legal in all countries around the world. While Bitcoin still has many limitations for its use, especially for a payment tool. But if we consider the possible profits to hold BTC or Gold, BTC is better. BTC price can increase significantly, much higher than the gold price.
The only analogy I can find useful is that both "goods" can be used as store of value,gold physically and bitcoin digitally.There is no other analogy that fits into play because everything else is different,gold can be stolen a whole lot more easily than bitcoin can so in this sense bitcoin is more secure and I am not talking here for people who don't know how to safe guard their wallets.Gold is heavier to carry while Bitcoin can be kept in your mobile phone wallet and there are a lot of other differences like these.Not anyone can easily buy gold but everyone can easily buy Bitcoin.So the only true analogy is the first one,they both are some of the best store of values we have out there.
I think people call bitcoin digital gold because of the qualities gold possesses. We operate bitcoin digitally i.e electronically and internet-based but the gold aspect gold is something valuable, of high recognition to everybody, mention gold to poor, average, and middle class they know what this is even the illiterate knows about it. I think they took it contextually and at the face value.
with respect to fake gold in circulation can bitcoins equate to having fake bitcoins in circulation? wouldn't that have a pretty basic bit of difference?
Nah, since its not currently possible to inject any more Bitcoin into the network, and the way of introducing more Bitcoin into circulation is through mining. There isn't another way of doing it. Obviously, you could potentially argue that double spending might be considered as fake coins, since it would give the illusion at first that you've paid legitimately, but only one transaction of that double spend would be accepted by the miners, while the other one would be made invalid, and rejected by the network. So, double spend is probably the closest you can get to "fake coins" in circulation, however its not truly in circulation. 
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.
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.
in the blockchain... there is no btc..
there is no 21mill limit rule
in gold in the ground there is no bars of 1tonne, 12kg. or ounces of 28 grams
there is no 195thousand tonne limit that then gets divided
..
the real limit and measures.. start small
miners mine sats and grams
its only 'basket termed' for easy human brain to understand big numbers after the mine
in 2009 the first block reward was not 50btc.
it was 5000000000sats. and every 4 years that reward number halves
for graphic user interface after the data fact. this is divided down by 100mill to become 1btc basket term
so technically your not splitting a bitcoin. your instead lumping sats into a btc basket
grams of gold can be lumped together into bags of kg gold or smelted into tonne bars
but humans years ago decided to lump gold into bars of 12,000 grams as their basket number
and a subset 28gram = 1 ounce
..
but the point is
bitcoin always is a unit of measure from sats -up
gold always is a unit of measure from gram -up
it only becomes basket terms down.. AFTER humans play around with it
some well-known investors like Robert Kiyosaki continue to call Bitcoin is 'digital gold'
I myself don't mind what they call Bitcoin but Bitcoin is actually not digital gold because its value is not based on gold. Bitcoin to me is more valuable than gold, the position of Bitcoin is higher than gold.
I myself don't mind what they call Bitcoin but Bitcoin is actually not digital gold because its value is not based on gold. Bitcoin to me is more valuable than gold, the position of Bitcoin is higher than gold.
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"?
Why do many people call Bitcoin "digital gold"?
its an concept analogy..... not a asset-peg-reference
EG concept analogy :-yes
'its mined, like gold.. bit digitally'
EG pegged asset:- no
'its digitally backed by gold'
I think the price of gold could be worth more than it currently is if not for the industrial uses and possibly fake gold in circulation.
with respect to fake gold in circulation can bitcoins equate to having fake bitcoins in circulation? wouldn't that have a pretty basic bit of difference?
so far if gold is placed in your house with a nominal 1 BTC. will be very vulnerable than storing BTC in a wallet and securing seeds offline.
it's just that people like shiny good looking things.
This is backed up by the evidence we have from how popular Casascius conis were, and all the other variations which were released after. People just love to hold a physical item, and I'm not sure what the psychology is behind that, but there's definitely a reason for it. Casascius identified this early, and made major profits during the time they were selling the coins. However, despite us wanting to hold a physical item, modern times are changing quite quickly, most people are becoming accustomed to handling their finances online, where as 5-10 years ago, most people thought of it as insecure. So, while at the moment people like shiny physical things, it is quickly changing. Several challenging banks are now operating entirely online, and don't even have any local branches that you can go too. Bitcoin will most certainly benefit from this psychological shift in our culture.
some well-known investors like Robert Kiyosaki continue to call Bitcoin is 'digital gold'
I myself don't mind what they call Bitcoin but Bitcoin is actually not digital gold because its value is not based on gold. Bitcoin to me is more valuable than gold, the position of Bitcoin is higher than gold.
I myself don't mind what they call Bitcoin but Bitcoin is actually not digital gold because its value is not based on gold. Bitcoin to me is more valuable than gold, the position of Bitcoin is higher than gold.
You pretty much covered most of it; and I totally agree that Bitcoin's total addressable market is huge, even bigger than gold's. It's just that a lot of people are skeptical of Bitcoin solely because of it being intangible(besides some other things that's mostly because of ignorance). While digitization definitely has it's advantages, it's just that people like shiny good looking things.
people call it that not without reason, because we have seen the prospects of bitcoin getting better and better and it has been proven that now btc is still at the top and there is still no one to compete with it.
besides that btc is an asset that will be very valuable in the future which is why bitcoin is called that
besides that btc is an asset that will be very valuable in the future which is why bitcoin is called that
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