Hi Excuse me Are currencies a "store of value

[beerlover]

Fiat is not store of value at all, however gold is the best case of store of value there is in the world, even compared to bitcoin.

Gold does lose its value time to time but that is very rare and manipulative, normally gold is something scarce and there is not enough gold in the world to spend at the rate we keep on spending, people think gold is only used in storing of wealth and sometimes accessories but there are stuff in technology that uses gold as well, hell there is gold in every computer (even tho it is super tiny) so all in all we do spend gold and sometimes trash it as well and that is why gold is getting even more scarce, so it will always have store of value, even more than bitcoin which drops time to time depending on how much people value it.

[tonyvo2017]

Hi i'm monolicaคาสิโน
A quick history of currencies and paper money shows that money began as a deposit of a certain value of gold/silver and then turned into a representation of the promises of those who issue it.
Looking at the US dollar, it has lost more than 90% of its value, making all paper currencies a bad example of a "store of value." "I do not want to mention the scenario that happened in the state of Venezuela or Germany after the war."sagame

I understand the devaluation of each country's currency. But everything has 2 sides. fiat money is often affected by many factors such as politics, trend, government default or the growth of the country, ... it makes the value of fiat money fluctuate quite a lot. As for cryptocurrencies, you are always praising it as a wonderful asset and never suffer any influence if the politics of some countries have problems. But how do you know that when the crypto market first appeared 10 years ago? Besides, have you ever thought that such a currency really exists or not? Or are they just numbers on the screen? For me, fiat money is still one of the best and most valuable payment tools for assessing power across countries. this world should not have a common currency, so it would be unfair for the developed countries.

[mersal]

Hi i'm monolicaคาสิโน
A quick history of currencies and paper money shows that money began as a deposit of a certain value of gold/silver and then turned into a representation of the promises of those who issue it.
Looking at the US dollar, it has lost more than 90% of its value, making all paper currencies a bad example of a "store of value." "I do not want to mention the scenario that happened in the state of Venezuela or Germany after the war."sagame

Anything which has inflation is not good to be used as store of value but still many people not aware of it and losing their asset value when they kept it in the form of fiat.We may call bitcoin as store of value but still its completely not due to its volatility nature so just find something which has constant value and demand then it will be the best.As far as I know gold is the best to be store of value.

[Ozero]

Hi i'm monolicaคาสิโน
A quick history of currencies and paper money shows that money began as a deposit of a certain value of gold/silver and then turned into a representation of the promises of those who issue it.
Looking at the US dollar, it has lost more than 90% of its value, making all paper currencies a bad example of a "store of value." "I do not want to mention the scenario that happened in the state of Venezuela or Germany after the war."sagame

Anything which has inflation is not good to be used as store of value but still many people not aware of it and losing their asset value when they kept it in the form of fiat.We may call bitcoin as store of value but still its completely not due to its volatility nature so just find something which has constant value and demand then it will be the best.As far as I know gold is the best to be store of value.

Paper money is subject to inflation, so it is not the best way to save value. Of course, the best in this regard are our eternal values - gold, precious stones and jewelry, antiques, real estate.
Cryptocurrency in this regard, probably, occupies the last places due to its high price volatility.

[hahay]

I don't think a currency is a store of value because in reality its value can move from being very valuable to something terrible when a monetary crisis occurs, and therefore saving value will be better for an asset such as gold and even crypto. These are all choices that at least a value from any asset will always move but with different fluctuations, so I don't think anyone can really maintain the value that is being discussed about storing values.

[FairUser]

Actually, Bitcoin will have an inflation rate of ~1.8% next year as the reward halving takes place.

there s no sence to talk about inflation for a currency with such high volatility as BTC.

And do not forget about market volume. It s so small

[AjithBtc]

Hi i'm monolicaคาสิโน
A quick history of currencies and paper money shows that money began as a deposit of a certain value of gold/silver and then turned into a representation of the promises of those who issue it.
Looking at the US dollar, it has lost more than 90% of its value, making all paper currencies a bad example of a "store of value." "I do not want to mention the scenario that happened in the state of Venezuela or Germany after the war."sagame

Anything which has inflation is not good to be used as store of value but still many people not aware of it and losing their asset value when they kept it in the form of fiat.We may call bitcoin as store of value but still its completely not due to its volatility nature so just find something which has constant value and demand then it will be the best.As far as I know gold is the best to be store of value.

Paper money is subject to inflation, so it is not the best way to save value. Of course, the best in this regard are our eternal values - gold, precious stones and jewelry, antiques, real estate.
Cryptocurrency in this regard, probably, occupies the last places due to its high price volatility.

Gold is storage of value but jewelry is not IMHO,because while buying a gold jewelry we pay for the complete gold but it will be mixed with copper at certain percentage so we are actually spending more than its actual cost.

Agreed, even if you invest on gold bars you'll be getting a small percentage of copper mixed with it. Without copper it is hard to combine it into bars. As you said when it comes to jewelry we're paying high for whats been got. From a person who does gold ornaments came to know that from 1kg of pure gold they used to make 1.4kg - 1.5kg of different gold ornaments. This is the ratio of copper mixing with gold jewels.

[joniboini]

I'd call them a bad sore of value. Losing 2% of your purchasing power each year (in the best scenario) is not so good if you want to store your money for 10 years, which is why you need to invest in other assets such as stocks, funds, and so on.

Cryptocurrencies can be a store of value but due to the nature of how the current economy works, it might not be the best. As others said, if you want a guaranteed value on your sov, the land/property is probably one of your best choice assuming you ignore all the hassle and so on.

[ecnalubma]

Fiat currency as a store of value nowadays is considered a myth, maybe during its early creation it is because its backed by gold but now its backed oil or sometimes none we dont know. To escape these plots people should diversify their investments and not to rely on single asset.

[TheUltraElite]

Agreed, even if you invest on gold bars you'll be getting a small percentage of copper mixed with it. Without copper it is hard to combine it into bars.

You could buy sovereign gold bonds or gold ETFs. Invest in some gold coins which are close to pure gold. What I mean to say is that gold is a good store of value, not saying that crypto is not, but gold was and will be a good store for years to come due to its noble metal property and being trade-able anywhere in the world. That few bits of copper would become less important to you if you lose other modes of storing money.

Of course people will be biased about bitcoin being the best since this is a bitcoin forum and people here have come because they use bitcoin. It is a censorship resistant asset, but the problem with it is the government cracking down on traders making them go into hiding. If this becomes better in future then it would help investors.

[Mometaskers]

Depends on the crypto. Fiat tend to inflate since every bow and then they'd pump the economy full of new cash. Fiat these days are basically floating and not backed by anything physical.

I can only talk about bitcoins but so far in the long term it kept its value - so far. Disregarding the volatility of course. I would say it's good store of value but it's OK as an additional store. So fiat savings, cypto and metals.

[mu_enrico]

Currency is a medium of exchange for goods and services.

Source: https://www.investopedia.com/terms/c/currency.asp

Who told you (OP) that currency is a store of value? You should read about "liquidity preference theory"
https://www.investopedia.com/terms/l/liquiditypreference.asp

Tl;dr people hoard cash because of its liquidity, not because of its ability to store value.

[mr_random]

If you read the horror banking stories in Zerohedge, you will get the point of printing money. Whenever the FED needs to close the deal and the lack of money is the problem, they prefer to print the money by adding few zeros to the back of the written symbol. The illusion o money forces us to be a slave for the banking system and the high inflation, the crisis in modified Capitalism force them to accept this decision. As a store of value, safe-haven assets are suitable, money flows to the safe harbor if something goes wrong in the world.

[el kaka22]

Bitcoin could be a "good" store of value but in long term only as of now. I agree a medium which acts as store of value should not fluctuate wildly. But, bitcoin does. Still, I believe bitcoin's unpredictable fluctuations will not disqualify it being a tore of value as in long term you will never lose your value and instead of guaranteeing you "a stored same value" bitcoin may give you multiple returns which might be in at-least ten folds in every 4 years (Yes, if notice after last 2 halving bitcoin prices have been pumped in the level of 10x to 20x ).

Theoretically bitcoin is designed by keeping gold in mind like a precious thing but in digital format. It means bitcoin will become a definite store of value over the time Unfortunately that may take multiple decades of time but for those high risk investors who prefers good returns rather than keeping same vale, bitcoin must be a good store value medium yet in long term perspective.

[exstasie]

To a lot of folks, losing 2% per year predictably is better than holding BTC and losing 80% one year and gaining 1,800% the next. Especially if they can yield at least 2% APY in a savings account. People love predictability and stability.

I'd call them a bad sore of value. Losing 2% of your purchasing power each year (in the best scenario) is not so good if you want to store your money for 10 years, which is why you need to invest in other assets such as stocks, funds, and so on.

I think that's rather the point. The more economic actors lose to inflation, the more incentive they have to inject capital into new businesses and investments (growing the economy) instead of hoarding it.

[piebeyb]

where there is gold, there will be banknotes that will be printed according to the value of gold, but even though there is no gold, paper money continues to be printed, whether that way will continue to have value, I think not, in my country more and more prices are rising and not according to income, a small example if in the past 10 years ago I could buy a lot with $ 100 now it might be a lot less, but it's different from bitcoin and crypto currencies if we compare the values from 10 years ago until now, I want to see the failure of banks and countries who went bankrupt for defending a financial system like this that should have been replaced by something new, who knows what? I'm not saying bitcoin and cryptocurrency, but let time be the answer 

[Linkkoin]

One currency can be a store of value only if you compare it against another currency which is subject to hyperinflation. But then, quite often the more stable currency becomes a parallel currency accepted statewide (you can see an example of that in eg. several African countries), even if it is not official.

Nevertheless, since all states abandoned gold/silver standard, they simply keep printing our more money, making a single unit of fiat currency worth less and less each year - this is why in some countries in Eurozone they do not produce coins with least value, and in shops, they all round up/down price to full 5 eurocents.

[gentlemand]

I would say a store of value means it's something that can be obtained, parked and spent at a later time and be confident it'll still do the job and others will to take it off you without question.

In that scenario the dollar is an excellent store of value in the short term. In the same scenario crypto is not a good store of value. In six months it might not buy you a hand job from a midget in a bus station toilet. Or it might buy the bus station. That lack of predictability is the pisser.

[Wintersoldier]

Fiat is not store of value at all, however gold is the best case of store of value there is in the world, even compared to bitcoin.

Gold does lose its value time to time but that is very rare and manipulative, normally gold is something scarce and there is not enough gold in the world to spend at the rate we keep on spending, people think gold is only used in storing of wealth and sometimes accessories but there are stuff in technology that uses gold as well, hell there is gold in every computer (even tho it is super tiny) so all in all we do spend gold and sometimes trash it as well and that is why gold is getting even more scarce, so it will always have store of value, even more than bitcoin which drops time to time depending on how much people value it.

I remember filtering gold out of my computer through getting the processor of my old computers. Mostly, new computers now adays don't have a pin just like the computers before, there are too many pins out of the processor it self that you can extract if that processor isn't working at all. Well, in my opinion, to consider a store of value, it should be a stable coin or else, a cryptocurrency that gains value over time. Because basically how could we call a crypto to be a store of value if it losses its market price time to time? We can't, so if we want investment for long term which could be a store of value, then choose stable coins.

[huige007]

Depends on the crypto. Fiat tend to inflate since every bow and then they'd pump the economy full of new cash. Fiat these days are basically floating and not backed by anything physical.

I can only talk about bitcoins but so far in the long term it kept its value - so far. Disregarding the volatility of course. I would say it's good store of value but it's OK as an additional store. So fiat savings, cypto and metals.

People who are looking for a good settled future should consider bitcoin as their top savior and helper because only this coin can grant their wishes. Other coins do not hold such abilities. Crypto currencies are going to become medium of exchange in future but at the moment, due to little awareness among people, it would require some item. However, things are getting better for bitcoin and it is the best investment at the moment.