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Why is gold $1,288 per ounce today? Purely because it acts as a store of value. But gold is only valued at its current valuation, because people say gold is gol
by charlesdm 9y ago
Why is gold $1,288 per ounce today? Purely because it acts as a store of value. But gold is only valued at its current valuation, because people say gold is gold and that has a certain value. You could have picked any other rare metal, or say, diamonds. Gold has limited real world uses.
The same could (not saying it will, but could) apply to Bitcoin. It seems to be growing into digital gold / a digital store of value.
The price of gold globally is $7.8tn. Bitcoin is worth $150bn(ish). If there is a 50/50 chance that Bitcoin does become digital gold, then at current valuations it will be cheap. Is it not worth investing $1 today, to potentially make $10-20-30 IF it does succeed? Those are decent odds with great upside.
This is not investment advice, just my personal opinion.
- kgwgk 9y agoWhere does the 50/50 come from? Do other cryptocurrencies also have 50/50 chance of becoming digital gold?