BTC vs physical gold price potential

[nullama]

~snip~
The key question for BTC to survive, is whether the launch of CBDC's near 2030 will make it impossible for money to flow into BTC.
My hope is that people will always find a way to put money into BTC, even if we get paid in CBDC's.

CBDC's have not even been launched yet, and most people already realize that it is the same monetary fraud that led to the devaluation of currency that we all experience today. I am going to purchase at least 1 BTC, and no other currency. I will hold it for 20 years even if the local authorities come after me. And I will never sell before the 20 years are over.

You can always sell goods and services for Bitcoin directly.

You don't need to go through a middleman with fiat.

The more people do this, the easier it is.

You could offer your job and be paid in Bitcoin, someone else can rent their home and get paid in Bitcoin, and so on.

[1714504602]

1714504602

[MoonOfLife]

~snip~
The key question for BTC to survive, is whether the launch of CBDC's near 2030 will make it impossible for money to flow into BTC.
My hope is that people will always find a way to put money into BTC, even if we get paid in CBDC's.

CBDC's have not even been launched yet, and most people already realize that it is the same monetary fraud that led to the devaluation of currency that we all experience today. I am going to purchase at least 1 BTC, and no other currency. I will hold it for 20 years even if the local authorities come after me. And I will never sell before the 20 years are over.

You can always sell goods and services for Bitcoin directly.

You don't need to go through a middleman with fiat.

The more people do this, the easier it is.

You could offer your job and be paid in Bitcoin, someone else can rent their home and get paid in Bitcoin, and so on.

What if the government doesn't let you do that, and people aren't excited to accept bitcoin because of the government ban? Bitcoin can do all that, but the bottom line is that without government consent, you won't be able to use bitcoin. As long as fiat remains the world's primary currency and the government doesn't accept bitcoin as currency, there's no way you can use bitcoin without fiat.

[Argoo]

There is an estimated 208 000 tonnes (208 000 000 kgs) of gold available on planet earth. This has been mined throughout history and we can assume that this is not lost. But let's estimate it at 210 000 tonnes to make it easy.

The amount of bitcoin that will ever be available, is capped at 21 million coins. So for each coin that is available, there is 10 kgs of gold available (210 million divided by 21 million = 10)

So in terms of value 1 BTC is worth 10kgs of gold. But given that 10kgs of gold costs 650 000 dollars today and 1 BTC costs 30 000, BTC must be undervalued and still has a potential to 20x from here. So why would people buy gold as a hedge against inflation, when they can buy BTC that is undervalued by a factor of at least 20? I guess the answer lies in confidence and previous experience.

Is any of the above wrong?

Such calculations are generally incorrect, since gold and bitcoin are incomparable things. They are so different from each other that we can say that they are absolutely opposite, except for the high price. There are a lot of things in the world that are less than 21 million, but this does not mean that they can be more valuable than bitcoin or gold.
The price of bitcoin is determined solely by the ratio of supply and demand. It depends only on these indicators how high it will rise in price and nothing else.

[Magic-Money]

The both of assets has a physical potential price value and is very hot in the market and buyers are ready to buy Bitcoin or Gold at any point in time, hence in time of privacy without thirds part knowing who is selling for a security purpose reason, Bitcoin is more prefer for free of physical charge security reasons, while Gold business person needs security around and is more risk business than Bitcoin.

[borovichok]

Yup, The Fiat currency is not scarce as its supply is controlled by central banks, and they can increase its supply at will through the process of monetary policy. This can lead to inflation and decrease the purchasing power of fiat currency over time.

Most of developing countries have outlawed the use of Bitcoin, and while gold was used in the prehistoric era as a general form of payment, it is no longer significant in the modern world. Fiat currencies are always stacked high by central banks in countries in order to circulate and meet people's needs and wants. In spite of the fact that gold is actually expensive and scarce, it has long served as a valuable commodity and a way of generating income for citizens. Bitcoin has always been tradable on the cryptocurrency market.

[WeThePe0ple]

What if the government doesn't let you do that, and people aren't excited to accept bitcoin because of the government ban? Bitcoin can do all that, but the bottom line is that without government consent, you won't be able to use bitcoin. As long as fiat remains the world's primary currency and the government doesn't accept bitcoin as currency, there's no way you can use bitcoin without fiat.

It is pretty much a given that by 2030, the government will have us paid in CBDC's. That would lead to me not being able to purchase an airplane ticket if my carbon offset is too high. I call it digital slavery.

I wonder if getting paid in CBDC would result in not being able to buy BTC. I hope that there will always be a way

[nullama]

~snip~
What if the government doesn't let you do that, and people aren't excited to accept bitcoin because of the government ban? Bitcoin can do all that, but the bottom line is that without government consent, you won't be able to use bitcoin. As long as fiat remains the world's primary currency and the government doesn't accept bitcoin as currency, there's no way you can use bitcoin without fiat.

There's no way of stopping a Bitcoin transaction.

Also, some governments have tried banning the Internet, but they simply cannot do that.

There's always a way to do things if there's an interest in doing so.

[Weezenhofnar]

Bitcoin and physical gold are both considered as a store of value and a hedge against inflation. However, Bitcoin is more volatile and has a higher potential for growth due to its limited supply and increasing adoption. On the other hand, physical gold has a long history of being a safe haven asset and is less susceptible to market fluctuations. Ultimately, the choice between the two depends on an individual's investment goals and risk tolerance.

[bitgolden]

Gold is scarce if you compare it to fiat and the needs of people around the world, and that's why gold has a high value and still has the potential to go higher in the future. Our world is 8 billion people, and talking about the need for gold is needed by everyone, so it is still considered scarce.

But when compared to bitcoin, gold proved to be much more abundant than bitcoin. But the problem is not scarcity is that there will be a high value, if there is no need, the scarcity will also become useless. For me, these two types of assets are very important, I don't want to compare because no one forces me to choose one of the two, I like to use both.

I agree, gold is scarce and you may see it here and there if you look for it, but there is a limit to it. there is about 210k tons of it available, a bit less (208 or something) and that is it. Now when you put that into perspective, so many nations buy it and store it so that is a proof that it will be like that for a long time.

But when we are talking about 0.00026 tones for per person, or better yet something like 25 grams per person give or take? Check my math because I am not sure if I am right . But all in all we have 8 billion people so it's 25 grams per person, that's scarce. Same goes for bitcoin though, there are 21 million bitcoins and 0.0026 btc per person available even when all of it is mined. Same logic.

[mendace]

I agree, gold is scarce and you may see it here and there if you look for it, but there is a limit to it. there is about 210k tons of it available, a bit less (208 or something) and that is it. Now when you put that into perspective, so many nations buy it and store it so that is a proof that it will be like that for a long time.

But when we are talking about 0.00026 tones for per person, or better yet something like 25 grams per person give or take? Check my math because I am not sure if I am right . But all in all we have 8 billion people so it's 25 grams per person, that's scarce. Same goes for bitcoin though, there are 21 million bitcoins and 0.0026 btc per person available even when all of it is mined. Same logic.

Gold is as scarce as Bitcoin but represents the old world we should break away from. I understand that material and tangible things always have value but now we have to think about a digital life and there is no solution other than Bitcoin.

[nimogsm]

I would not compare these two assets because they have slightly different applications, although I like your idea. But I do not agree with the numbers and the peg of BTC to kg. Both of these assets are universal in their own way and freely convertible into different currencies, and this is their advantage. But gold is a more universal asset and is recognized all over the world by all countrys and people, while Bitcoin is not yet.

[nullama]

I would not compare these two assets because they have slightly different applications, although I like your idea. But I do not agree with the numbers and the peg of BTC to kg. Both of these assets are universal in their own way and freely convertible into different currencies, and this is their advantage. But gold is a more universal asset and is recognized all over the world by all countrys and people, while Bitcoin is not yet.

Norway sold almost all of its gold reserves because they don't provide a great return and also because the nazis almost took them: https://en.wikipedia.org/wiki/Flight_of_the_Norwegian_National_Treasury

They only kept a small amount for historical purposes.

Also, gold is not freely convertible into different currencies, gold is sold at a specific price that might change, which is an important difference.

[desmodiAN]

This is more of a philosophical debate, but feel free to tell me if my reasoning is wrong.

...

If I am wrong about anything here, please tell me.

You arenot wrong, all you wrote is simply your opinion. Now factor in that 7 billion people will not have the same opinion about your simple equation of existing gold and existing bitcoin and value.

I will point out some "discussable points" you made.

gold has nearly no value to you, if you need water or food urgently. look into post world war II deals of simple people. why you think?

bitcoin and gold was valued by you against "dollar". why did you do it?

if everyone was looking for an undistored currency, i say bitcoin is the best the world has to offer. everyone knows the rules, everyone know how to mine, everyone knows the cap. no politics involved. no censorship.

yet the whole world is ruled by "people in power" and "politic" and people who simply dont care about "mathematics". now rethink. what happens if not everyone thinks like you? what would be a fair value?

[BALIK]

I agree, gold is scarce and you may see it here and there if you look for it, but there is a limit to it. there is about 210k tons of it available, a bit less (208 or something) and that is it. Now when you put that into perspective, so many nations buy it and store it so that is a proof that it will be like that for a long time.

But when we are talking about 0.00026 tones for per person, or better yet something like 25 grams per person give or take? Check my math because I am not sure if I am right . But all in all we have 8 billion people so it's 25 grams per person, that's scarce. Same goes for bitcoin though, there are 21 million bitcoins and 0.0026 btc per person available even when all of it is mined. Same logic.

Gold is as scarce as Bitcoin but represents the old world we should break away from. I understand that material and tangible things always have value but now we have to think about a digital life and there is no solution other than Bitcoin.

Bitcoin lovers like us have always wanted bitcoin to be the center of the world, replacing the assets of the older generation, and I know that's normal. But it should also be more realistic that that's not going to happen anytime soon, and I don't think it's possible either.
Gold is still the most sought after thing not only people but even countries are scrambling to reserve as much gold as possible, and they have a reason to do it without choosing any other asset. Bitcoin is scarcer than gold, which is indisputable, but the demand for gold is still much higher than for bitcoin, which we also accept.

[mendace]

Bitcoin lovers like us have always wanted bitcoin to be the center of the world, replacing the assets of the older generation, and I know that's normal. But it should also be more realistic that that's not going to happen anytime soon, and I don't think it's possible either.
Gold is still the most sought after thing not only people but even countries are scrambling to reserve as much gold as possible, and they have a reason to do it without choosing any other asset. Bitcoin is scarcer than gold, which is indisputable, but the demand for gold is still much higher than for bitcoin, which we also accept.

It has always been like this all the countries make a gold rush to fill the safes but in essence this gold is of little use.  To remind you that Fiat is no longer anchored to gold and therefore the equivalent value is also fake.  So what will they do with that gold in the future?

[Inwestour]

Bitcoin lovers like us have always wanted bitcoin to be the center of the world, replacing the assets of the older generation, and I know that's normal. But it should also be more realistic that that's not going to happen anytime soon, and I don't think it's possible either.
Gold is still the most sought after thing not only people but even countries are scrambling to reserve as much gold as possible, and they have a reason to do it without choosing any other asset. Bitcoin is scarcer than gold, which is indisputable, but the demand for gold is still much higher than for bitcoin, which we also accept.

Gold is more understandable for people, you can buy a gold jewelry and hold it in your hands, but with bitcoin it’s not so simple, those who don’t understand the technology don’t understand how everything works, so they will give their preference to gold.

Bitcoin is relatively very young, and gold has gone through centuries, crises and world wars, which is why it is more credible. But it will be the same with bitcoin, because now there are many who doubt how long bitcoin will be exist, and in this case, only time will help.

[danadc]

Physical gold will always be one of the things that we must have, it is mandatory to have some grams of gold because we do not know what can happen in the world and if something happens, the only thing with value will be gold, so it is not bad to have it, but compare with bitcoin they are things that should not be, perhaps because bitcoin is considered digital gold, but it is something that has other connotations, they are assets for me, or actions that can be used and that they must know how to use and buy to maintain stability at some point when it is necessary, between bitcoin and gold, I believe that both are equally important.

[nullama]

Physical gold will always be one of the things that we must have, it is mandatory to have some grams of gold because we do not know what can happen in the world and if something happens, the only thing with value will be gold, so it is not bad to have it, but compare with bitcoin they are things that should not be, perhaps because bitcoin is considered digital gold, but it is something that has other connotations, they are assets for me, or actions that can be used and that they must know how to use and buy to maintain stability at some point when it is necessary, between bitcoin and gold, I believe that both are equally important.

Well if things go absolutely wrong, then the most valuable thing to have is some basic skills, and a good network of friends.

Gold or anything similar will probably be worthless in a society after a catastrophic event.

When you're trying to survive, no one cares about gold et al.

[DeathAngel]

The potential of bitcoin is so much higher than gold. The price of gold doesn’t go up anywhere near as much as bitcoin. Gold is useless as a means of payment, you can’t transport large amounts across borders without certification & proofs.

Bitcoin is the future, gold is the past.

[nullama]

The potential of bitcoin is so much higher than gold. The price of gold doesn’t go up anywhere near as much as bitcoin. Gold is useless as a means of payment, you can’t transport large amounts across borders without certification & proofs.

Bitcoin is the future, gold is the past.

Yeah, Bitcoin is going to be a fundamental block in society, just like the Internet is now used for communications, the Bitcoin network will be the backbone of international financial transfers.

You will be able to send and receive any kind of currency, convert it locally to Bitcoin, send it or receive it through the Bitcoin network, then exchange it on the other country to the target currency. And that's just the first application.