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Overthinking imo. Compared to a bar of gold, it’s a breeze. Convertibility to fiat is kind of a low priority for a store of value. Auditability, barriers to re
by briefcomment 6y ago
Overthinking imo. Compared to a bar of gold, it’s a breeze.
Convertibility to fiat is kind of a low priority for a store of value. Auditability, barriers to rehypothication, and ability to self custody are probably much more important for a store of value.
- benhurmarcel 6y agoBut virtually no individual puts his money into bars of gold. Gold isn't a good store of value for most people, and it's not because it's inconvenient. It's just that there are much better options out there. So being a better store of value than gold isn't hard.
- briefcomment 6y agoGold stores $10 trillion. If only half of that moved to Bitcoin, a Bitcoin would be worth a quarter million. Housing is sometimes a store of value. Bitcoin is probably more liquid, and way less of a hassle than some housing. Expect some of that to move over. Fine art is primarily a store of value. A lot of it sits in airport warehouses. Bitcoin is just as scarce, but much more convenient. Stocks are certainly being used as stores of value for many people. At some point, Bitcoin will become more reliable than index funds. Idk much about bonds, but I'm sure some of that will flow to Bitcoin, as bonds become a less attractive investment.