Bitcoin or gold?

[gentlemand]

Both for sure, as Bitcoins and Gold have their plus and minus. One might fail, and you still have the other. So both, to be on the safe side.

Please explain how gold might fail. It can decrease in value a bit, but failing is not an option, unless we colonize another planet with high amounts of this metal.

A gold-eating virus arrives from outer space?

Awarding gold value is pretty much hard wired into our DNA by this point. It'll always be worth something to most of the world.

[longbob72]

In my view Bitcoin is the best option, because I have more chances to recover my investment in less time

[gentlemand]

In my view Bitcoin is the best option, because I have more chances to recover my investment in less time

You can recover your investment in gold pretty much any time you like give or take a few per cent. That's one of the reasons why it's considerably less sexy an idea and much more reassuring too.

[aminorex]

My complaints about gold:

Infinite supply of paper claims.

Costly to maintain security.

Costly to transport.

Hard to use for smaller transactions.

Relatively easier to confiscate by force.

Shrinking network of transactors in the Western world.

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My complaints about bitcoin:

Faster dilution.

Far less financial privacy.

More social stigma.

Smaller network of transactors, presently, albeit rapidly growing.

Still a bit more volatile than gold.

Slow software development.

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My complaints about XMR:

Slow software development.

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You can guess what I prefer.  So far a 2/2/7 allocation has been working well for me, as a way to hold cash without counterparty risk.  Most people would consider it too volatile and illiquid to call it cash.  More like a variable rate, insured, time deposit really, where rates are uncorrelated to global fiat rates and rather volatile.

[AtheistAKASaneBrain]

My complaints about gold:

Infinite supply of paper claims.

Costly to maintain security.

Costly to transport.

Hard to use for smaller transactions.

Relatively easier to confiscate by force.

Shrinking network of transactors in the Western world.

-

My complaints about bitcoin:

Faster dilution.

Far less financial privacy.

More social stigma.

Smaller network of transactors, presently, albeit rapidly growing.

Still a bit more volatile than gold.

Slow software development.

-

My complaints about XMR:

Slow software development.

-

You can guess what I prefer.  So far a 2/2/7 allocation has been working well for me, as a way to hold cash without counterparty risk.  Most people would consider it too volatile and illiquid to call it cash.  More like a variable rate, insured, time deposit really, where rates are uncorrelated to global fiat rates and rather volatile.

XMR is good, but Bitcoin is still the number 1 way to store wealth eletronically, all other cryptocurrencies are at risk compared to Bitcoin when you think long term.

About privacy... wouldn't running thought a mixer or even depositing the money in an exchange before buying with it basically solve it? because you can't track the address anymore thought the blockchain, the origin is gone.

[aminorex]

XMR is good, but Bitcoin is still the number 1 way to store wealth eletronically,

certainly by volume that is true, if by eletronically you mean crypto-graphically, without a counterparty.

all other cryptocurrencies are at risk compared to Bitcoin when you think long term.

I often mention XMR because it plays a large role in my thought and behaviour, but hate to discuss it too much outside of dedicated threads, as it tends to offend some people.  I consider the risk/reward ratio of XMR relative to BTC to be such that I prefer a larger allocation of XMR.  That much is reasonable to say in this thread.

About privacy... wouldn't running thought a mixer or even depositing the money in an exchange before buying with it basically solve it? because you can't track the address anymore thought the blockchain, the origin is gone.

No actual working mixer is adequate from my PoV, and all require some degree of counterparty trust at present; most require far more than I could ever consider, given my experience with counterparties in crypto-land.

My own privacy preference is strong, and I think for many traditional holders of gold it is even stronger than my own.  The reasonable goal is privacy in the face of a nation-state attack on privacy.  At present the most liquid vehicle which approaches (and has a roadmap for achieving) that goal is XMR.

[Minerjoe]

Hard question. Probably a bit of both. I always implement differentiation.

[manselr]

XMR is good, but Bitcoin is still the number 1 way to store wealth eletronically,

certainly by volume that is true, if by eletronically you mean crypto-graphically, without a counterparty.

all other cryptocurrencies are at risk compared to Bitcoin when you think long term.

I often mention XMR because it plays a large role in my thought and behaviour, but hate to discuss it too much outside of dedicated threads, as it tends to offend some people.  I consider the risk/reward ratio of XMR relative to BTC to be such that I prefer a larger allocation of XMR.  That much is reasonable to say in this thread.

About privacy... wouldn't running thought a mixer or even depositing the money in an exchange before buying with it basically solve it? because you can't track the address anymore thought the blockchain, the origin is gone.

No actual working mixer is adequate from my PoV, and all require some degree of counterparty trust at present; most require far more than I could ever consider, given my experience with counterparties in crypto-land.

My own privacy preference is strong, and I think for many traditional holders of gold it is even stronger than my own.  The reasonable goal is privacy in the face of a nation-state attack on privacy.  At present the most liquid vehicle which approaches (and has a roadmap for achieving) that goal is XMR.

True XMR may become the true electronic cash, but it will probably always remain underground wereas Bitcoin has the potential to go huge, thats why im betting harder on BTC than XMR.

[GreenStox]

Hard question. Probably a bit of both. I always implement differentiation.

Ok but gold can be confiscated, i`m sure when SHTF banks wont just confiscate private pension and bank accounts. They will want your gold too and could send armed people to confiscate the gold.

So i would not keep hard assets nowadays.

[memai]

If you had to convert all your wealth to either Bitcoin or gold and keep it there for 10 years, which would you choose? Keep in mind the fact that Bitcoin has only been around for 5 years, and could be fundamentally different in any number of ways in 10 years.

For safety, I will choose to keep GOLD. I feel there is something a little risky to hold Bitcoin for 10 years, though they are potential for the future.

But at the moment, I will choose buying Bitcoin , not Gold.

[loan4]

If you had to convert all your wealth to either Bitcoin or gold and keep it there for 10 years, which would you choose? Keep in mind the fact that Bitcoin has only been around for 5 years, and could be fundamentally different in any number of ways in 10 years.

I will choose gold. Gold is more safety. Bitcoin is good but it always change in prices

[loan4]

If you had to convert all your wealth to either Bitcoin or gold and keep it there for 10 years, which would you choose? Keep in mind the fact that Bitcoin has only been around for 5 years, and could be fundamentally different in any number of ways in 10 years.

Gold, hands down. Bitcoin is for gambling/trading volatility on steroids, not a serious long term store of       

wealth. In general I like Gold.

[boopy265420]

Bitcoin is going to dominate the world financial system in next 12 months. It price can reach up to 10000$/bitcoin . Bitcoin is the most important invention of last 500 years. You will see bitcoin's units not even mbtc will be traded equal to 1$.
I would go for Bitcoin than Gold in modern era.

[dzambodzetem]

Bitcoin is going to dominate the world financial system in next 12 months. It price can reach up to 10000$/bitcoin . Bitcoin is the most important invention of last 500 years. You will see bitcoin's units not even mbtc will be traded equal to 1$.
I would go for Bitcoin than Gold in modern era.

As much as I admire Your enthusiasm, I don't think that this will happen. As for "mots important invention (...)" if it wasn't for PC and later Internet there wouldn't be Bitcoin or any cryptocurrency

[Bitcoin Buyer Reload]

If you had to convert all your wealth to either Bitcoin or gold and keep it there for 10 years, which would you choose? Keep in mind the fact that Bitcoin has only been around for 5 years, and could be fundamentally different in any number of ways in 10 years.

honestly GOLD. more tangible as an asset

even better, bitcoin in GOLD

[Lauda]

Gold has no intrinsic value. It was used as the standard before, now it's just a different standard - central banking/money printing. The world economy outgrew gold. But to your point, gold has no intrinsic value. it's just a shiny metal. It was used as a standard before, no reason why that should continue indefinitely.

Well actually it's overvalued due to manipulation and jewelry. If people did not like gold jewelry it would start going down. I guess one of the real usages are in electronics.
I'd actually buy more Bitcoin than gold if I was investing. I'd buy both, but Bitcoin has potential to rise much higher than gold does.

[Hazir]

Gold has no intrinsic value. It was used as the standard before, now it's just a different standard - central banking/money printing. The world economy outgrew gold. But to your point, gold has no intrinsic value. it's just a shiny metal. It was used as a standard before, no reason why that should continue indefinitely.

Well actually it's overvalued due to manipulation and jewelry. If people did not like gold jewelry it would start going down. I guess one of the real usages are in electronics.
I'd actually buy more Bitcoin that gold if I was investing. I'd buy both, but Bitcoin has potential to rise much higher than gold does.

Don't forget that bitcoin has potential also to be worth much much less. The main problem with bitcoin is that Bitcoin has been on a roller-coaster ride, losing more than half its value last year. And bitcoin is not backed by anything more than basic laws of economy and mathematics. That is the reason we now see more altcoins backed by interesting concept - a real life commodity. After all digital currency backed by a physical commodity will be more appealing than volatile bitcoin.

[Bitcoin Buyer Reload]

Gold has no intrinsic value. It was used as the standard before, now it's just a different standard - central banking/money printing. The world economy outgrew gold. But to your point, gold has no intrinsic value. it's just a shiny metal. It was used as a standard before, no reason why that should continue indefinitely.

Well actually it's overvalued due to manipulation and jewelry. If people did not like gold jewelry it would start going down. I guess one of the real usages are in electronics.
I'd actually buy more Bitcoin that gold if I was investing. I'd buy both, but Bitcoin has potential to rise much higher than gold does.

you are probably right but bitcoin is intangible and boom or saturation can occur anytime

[Lauda]

Don't forget that bitcoin has potential also to be worth much much less. The main problem with bitcoin is that Bitcoin has been on a roller-coaster ride, losing more than half its value last year. And bitcoin is not backed by anything more than basic laws of economy and mathematics. That is the reason we now see more altcoins backed by interesting concept - a real life commodity. After all digital currency backed by a physical commodity will be more appealing than volatile bitcoin.

Indeed. I did not mention that, however if gold collapses it will be almost useless. Gold would collapse if we found a replacement for jewelry or something.
On the other hand, if Bitcoin goes down to $1 it is not a problem. Bitcoin will still function (possibly even better than it has) if the price decreases. From a investing perspective Bitcoin is a high risk-high profit investment, and gold is a safer investment with less potential.

[OROBTC]

...

Gold has specialized uses (as a conductor that resists corrosion, they use it critical space applications) that need teh expensive gold, even in tiny quantities.  If gold drops a whole lot, then more industrial uses of gold open up...

But, NOTHING is a shiny, heavy and beautiful as gold!  Check the Periodic Chart, check the alloys, there is nothing like gold.

Sure, platinum and silver have their fans, but gold has already been chosen by humanity as the Store of Value (by the central banks

There is a near-universal high regard for gold throughout the world, I read of an experiment where the scientists put a disk of gold and a same size disk of silver before babies.  Guess which one they all (almost all) chose...  I regret that I do not have a link.

*   *   *

Also re gold, there is NO WAY that the price will drop too low (eg $100).  As physical price would drop, the Chinese and the Indians would start snapping it up at ever-increasing rates.

As would I snap it up.


I do not mean to demean BTC at all.  I have some and am very happy with it.  Bitcoin and gold complement each other wonderfully.