The Future of Bitcoin as Digital Gold

[Smack That Ace]

Hi,
Bitcoin is increasingly viewed as "digital gold" in 2024.
What challenges could Bitcoin face in becoming a universally accepted store of value? Any thoughts?

1. Unfavourable government policies such as bans and restrictions on Bitcoin activities
2. Slow spread of Bitcoin education and awareness. Many people in some parts of the world don't know much about Bitcoin.
3. Fraudulent centralized crypto platforms. Some exchanges and custodian services providers engage in fraudulent activities which gives the sector bad publicity.

points 1 and 2 are still on the line until now and not many countries or governments are open to the presence of Bitcoin as a store of value because they have no benefit from it. Then so far based on observations in my area as a small example there is no education related to bitcoin is very minimal, so not many of them want to invest, the government has labeled bitcoin as a high risk asset so that the public paradigm has been misled. Maybe only 2% are willing, even then under the auspices of a centralized exchange which is not trusted to store our bitcoins in the long term.

It's not that they don't benefit from it, it's just too risky. Bitcoin is so volatile and so young that there is nothing wrong with governments being hesitant to consider it a store of value.

Store of value must be stable and safe assets, these two factors need to be guaranteed and put first, not highly volatile assets that can bring high profits.

Does the government teach you how to invest in real estate, stocks or gold? So don't expect the government to open a class and guide you to invest in bitcoin even if it becomes safer.

Bitcoin is just a highly volatile asset or investment, not a critical factor that anyone needs to know to survive in the world. A lot of people who don't know about bitcoin are still making a lot of money and living very well.

[Scarlett_23]

Bitcoin trading is very important.  Because many countries and many banks have not legalized Bitcoin trading.  Governments and central banks of many countries want to centralize Bitcoin but Bitcoin is a completely decentralized platform.  This is why many people do not invest in Bitcoin despite having enough money and desire.  There are also many who call this Bitcoin platform an online "scam".  Again this is also a reason that Bitcoin has no external existence it cannot be touched.  But how safe it is only those who have worked on it can say.  If its seed phrase is in the user's possession, it cannot be anyone else's.  Gold on the other hand has external existence it can be seen and touched.  But the price of gold has never been so high since it began to be used.  It has come to this price after a long journey.  But the trajectory of Bitcoin is only 14-15 years.

[tread93]

Hi,
Bitcoin is increasingly viewed as "digital gold" in 2024.
What challenges could Bitcoin face in becoming a universally accepted store of value? Any thoughts?

Well other than some custodial issues and the fact that it’s not physical some barriers to entry are the knowledge one needs to have to properly buy store keep and send / sell their Bitcoin which are all pretty simple to learn for most folks who are educated properly. As of right now Bitcoin is already virtual or digital gold basically! Welcome to a new age 

[Negotiation]

Hi,
Bitcoin is increasingly viewed as "digital gold" in 2024.
What challenges could Bitcoin face in becoming a universally accepted store of value? Any thoughts?

Earlier many people did not know about bitcoin but in the digital age bitcoin has become very popular and bitcoin is increasingly being considered as digital gold. I think there is nothing to worry about Bitcoin is known as digital gold and all investors know that bitcoin investment brings many good things but before that one should have proper knowledge about bitcoin. Challenges will remain Ignoring the challenges bitcoin limited investment is good.

[tranthidung]

Earlier many people did not know about bitcoin but in the digital age bitcoin has become very popular and bitcoin is increasingly being considered as digital gold.

Digital gold or whatever thing, it's not important!

Bitcoin is Bitcoin, it's simple and if you can accept it, it can help you with many use cases that are helpful for your life. One of its use cases is Store of Value SoV, which can help you to get richer.

Some simple conditions are

• Invest in it
• Choose good wallets for storing your bitcoin
• What is good wallet?
  
  • Open source
  • Non custodial
• Don't trust, verify. Verify what? What you download, before using.
• Make sure you back up your wallet in sufficient steps so that you can use your back up for wallet recovery.
  
  • How to back up a seed phrase?

[Nrcewker]

Hi, Bitcoin is increasingly viewed as "digital gold" in 2024.
What challenges could Bitcoin face in becoming a universally accepted store of value? Any thoughts?

It has some similar features, but who said it is considered “digital gold”? The main purpose of bitcoins was to provide anonymity to their users. On the other hand, gold and digital gold are both regulated by the government, and huge taxes are imposed on them. Other than holding the bitcoins as an asset, you can also use them to spend on other goods and use them as a mode of payment. The future is very simple for the coins. As the demand to accumulate the Bitcoins is increasing, the price will grow at a faster pace than its current pace and will soon become an expensive digital asset.

[ShowOff]

Hi,
Bitcoin is increasingly viewed as "digital gold" in 2024.
What challenges could Bitcoin face in becoming a universally accepted store of value? Any thoughts?

Well other than some custodial issues and the fact that it’s not physical some barriers to entry are the knowledge one needs to have to properly buy store keep and send / sell their Bitcoin which are all pretty simple to learn for most folks who are educated properly. As of right now Bitcoin is already virtual or digital gold basically! Welcome to a new age 

People's interest in bitcoin certainly varies, so I wouldn't be surprised if most users currently only use bitcoin to multiply their money through trading or investing. The real use cases of bitcoin as a currency have so far been growing and we can find many business ideas and companies that have accepted bitcoin as a means of payment. Adoption supports the main idea of ​​bitcoin as a currency, even though most people use bitcoin as an investment asset and other things like that.

There are many advantages of bitcoin compared to gold or other currencies, one of which is privacy and decentralization. There is nothing to regulate how much money you can send in 24 hours using Bitcoin, regardless of whether it is between users within the same country or between countries. But limitations definitely exist when someone stores bitcoins in a wallet whose keys are not owned by the user himself.

[wahyuagung26]

Hi,
Bitcoin is increasingly viewed as "digital gold" in 2024.
What challenges could Bitcoin face in becoming a universally accepted store of value? Any thoughts?

 Maybe some people today consider Bitcoin as a digital gold investment with a significant value and far from the value of gold in the world today. Maybe you are some obstacles that Bitcoin will face during its future journey and one of them is like a policy or prohibition from the government that prevents them from continuing to access Bitcoin. and the adoption of Bitcoin is slightly hampered by the prohibition of Bitcoin access implemented in certain policies.

First off,  adoption is a significant challenge facing Bitcoin. Many people are misinformed about investing in cryptocurrency, thinking it's an online scam. This misconception spreads quickly, causing others to shy away from investing.

 Their misunderstanding is directed at the time of the spread of news about Bitcoin with inaccurate news and references from a group that has no knowledge of crypto and Bitcoin. and this has a big impact on the inherent nature of a person's mindset that has been influenced by the spread of news about Bitcoin and causes some groups to feel reluctant to invest or own Bitcoin.

[mirakal]

First off,  adoption is a significant challenge facing Bitcoin. Many people are misinformed about investing in cryptocurrency, thinking it's an online scam. This misconception spreads quickly, causing others to shy away from investing. Again, government authorities attempts to control Bitcoin creating uncertainty and fear. The implementation of strict regulations and laws, although intended to protect investors, can make investing in Bitcoin seem a bit unappealing. the volatility of Bitcoin's price and security concerns only add to the apprehension. These factors combined create a perfect storm that hinders widespread adoption and acceptance of Bitcoin as a store of value.

Couldn't agree more to this. There are tons of challenges that bitcoin is facing today, and the first and foremost of it is how the government treating bitcoin unfairly that it leads to more misconceptions on how the people will see bitcoin, to the extent that they already develop fears using bitcoin not only as an investment tool but most likely as a currency.

[Marvell1]

If we look at what is going on fairly, bitcoin is just a speculative asset, nothing more, nothing less. That is why its price keeps fluctuating without any reason and people often call it manipulation.
Many people are just exaggerating about bitcoin when they compare it to gold or consider it digital gold.

If Bitcoin is a pure speculative asset, without good intrinsic value, utility, use cases, I am sure with you its price would have not been staying at high many years.

Scam things can suddenly make a hype and get very high price but fast comes, fast goes is true for them. Bitcoin is different and by maintaining its price at very high price area over years, it means a lot of things about value of Bitcoin.

See Never look back price and Satoshi per dollar charts
https://charts.bitbo.io/never-look-back-price/
https://charts.bitbo.io/satoshi-per-dollar/

There is no denying that Satoshi created bitcoin to be a peer-to-peer currency and focused on protecting user privacy. But see what is happening, most people are turning it and using it as an investment. If it is not a speculative asset, explain to me why the price of bitcoin is so volatile? An asset can go up or down 50-70% in a few months or can be easily manipulated by fake news. If it's not a speculative asset, then what is it?

What it is created for is not as important as what it becomes and what it is used for. I don't know if things will change in the future as governments adopt it, it becomes more popular, the volatility goes away...but for now, it's being used as a speculative asset.

An asset that has appreciated in value over 16 years is not enough to establish that it has real or reliable intrinsic value. The world economy has existed for thousands of years, metals like gold and silver are also thousands of years old...and can collapse at any time, let alone a 16-year-old asset that is safe and reliable.

[GigaBit]

Despite the support of global investors for Bitcoin adoption, most governments are still opposing it. Although the governments of some countries have taken it positively they have also legalized Bitcoin in their countries but a large part still do not support it officially. Moreover, there are still many people who have not acquired proper knowledge about Bitcoin. Some people are thinking about it in a negative way. The high volatility of Bitcoin also discourages many investors from investing. As people gain better knowledge about Bitcoin they will be able to move away from their misconceptions. In general, the price of gold is often stable, but due to the high volatility of bitcoin, it cannot be compared to gold, but if you think of it as a valuable asset, bitcoin will become more expensive than gold.

[EarnOnVictor]

Hi,
Bitcoin is increasingly viewed as "digital gold" in 2024.
What challenges could Bitcoin face in becoming a universally accepted store of value? Any thoughts?

Hahaha...Bitcoin as a digital Gold? I can't but laugh every time I see this. People would initially argue the supremacy of Bitcoin over Gold but after losing the argument due to the obvious reasons they are quick to say it's now the digital Gold itself. Well, this is not the first time I heard/read about that but it's a very bad relation, Gold is Gold, so why can't Bitcoin be Bitcoin? Besides, Gold also has its physical and digital versions, so why is Bitcoin trying to steal that from it? I believe that people who conceived this are very wrong.

As for the use of Bitcoin and the future challenge, well, it will not be so different from what we see now. The future is bright but it will be limited to trading, investment and payment. But for it to be universally accepted is not feasible, we have different people with different mindsets, and so is the world government. And Bitcoin will never be accepted as a country's reserve asset if that is what you are driving towards.

[MeGold666]

The narrative of "Digital Gold" is the worst thing that happened to Bitcoin as it stopped being medium of exchange and became another speculation asset.

This narrative is slowing down adoption and development of Bitcoin.

It could be so much more today, instead we have just another asset.

Maybe that's the "great plan" of the government, after all for medium of exchange you will have CBDC's - people are already using Tether more than Bitcoin.  

[Abiky]

Hahaha...Bitcoin as a digital Gold? I can't but laugh every time I see this. People would initially argue the supremacy of Bitcoin over Gold but after losing the argument due to the obvious reasons they are quick to say it's now the digital Gold itself. Well, this is not the first time I heard/read about that but it's a very bad relation, Gold is Gold, so why can't Bitcoin be Bitcoin? Besides, Gold also has its physical and digital versions, so why is Bitcoin trying to steal that from it? I believe that people who conceived this are very wrong.

As for the use of Bitcoin and the future challenge, well, it will not be so different from what we see now. The future is bright but it will be limited to trading, investment and payment. But for it to be universally accepted is not feasible, we have different people with different mindsets, and so is the world government. And Bitcoin will never be accepted as a country's reserve asset if that is what you are driving towards.

Bitcoin is a long-term thing. Short-term speaking, there will be volatility. But if you compare both Gold and BTC's performance over the long-term, the latter would be the clear winner. Many holders obtained higher profits holding BTC over the long-term than Gold. The "yellow metal" is only good if you want stability and higher liquidity.

Once the whole world adopts BTC as the next "digital Gold", it's likely Gold will switch from being an investment tool to an industrial one. It will be used for jewelry, certain electronic components, and whatnot. But it won't make an appealing investment like it used to be. Just like it's been happening with Silver these days. If I'm right, it's likely BTC will surpass Gold's market cap. Imagine how valuable BTC will be once it hits a $13T market cap. I'd say we're still early to the game. Just buy, "hodl", and forget about the rest.

[EarnOnVictor]

Hahaha...Bitcoin as a digital Gold? I can't but laugh every time I see this. People would initially argue the supremacy of Bitcoin over Gold but after losing the argument due to the obvious reasons they are quick to say it's now the digital Gold itself. Well, this is not the first time I heard/read about that but it's a very bad relation, Gold is Gold, so why can't Bitcoin be Bitcoin? Besides, Gold also has its physical and digital versions, so why is Bitcoin trying to steal that from it? I believe that people who conceived this are very wrong.

As for the use of Bitcoin and the future challenge, well, it will not be so different from what we see now. The future is bright but it will be limited to trading, investment and payment. But for it to be universally accepted is not feasible, we have different people with different mindsets, and so is the world government. And Bitcoin will never be accepted as a country's reserve asset if that is what you are driving towards.

Bitcoin is a long-term thing. Short-term speaking, there will be volatility. But if you compare both Gold and BTC's performance over the long-term, the latter would be the clear winner. Many holders obtained higher profits holding BTC over the long-term than Gold. The "yellow metal" is only good if you want stability and higher liquidity.

Once the whole world adopts BTC as the next "digital Gold", it's likely Gold will switch from being an investment tool to an industrial one. It will be used for jewelry, certain electronic components, and whatnot. But it won't make an appealing investment like it used to be. Just like it's been happening with Silver these days. If I'm right, it's likely BTC will surpass Gold's market cap. Imagine how valuable BTC will be once it hits a $13T market cap. I'd say we're still early to the game. Just buy, "hodl", and forget about the rest.

You seem not to get the gist of my post, it's not about being a long-term thing or not, it's about Bitcoin knowing its place and Gold knowing its place. Bitcoin=Bitcoin and Gold=Gold, now tell me, why do they want Bitcoin to be a digital Gold? I don't understand. Gold is already present in its physical and digital form and it's doing well, don't you think that name is a copycat? That's my main plight on the name of a thing and I wonder why people who are so particular about Bitcoin are not seeing it that way. Do they want Bitcoin as an imitation of Gold? They should call it another name.

About the profits and utility, you are merely dreaming, nothing will change from the present reality, Gold will continue to be used as a precious physical metal and online trading and investment, Bitcoin can never displace it, after how many centuries of success? I don't also think that Bitcoin can ever meet Gold in market cap and my candid advice for you is to trade and invest in Bitcoin smartly, otherwise, it may disappoint you on long-term expectations.

[irhact]

Bitcoin is increasingly viewed as "digital gold" in 2024.
What challenges could Bitcoin face in becoming a universally accepted store of value? Any thoughts?

• Price volatility, Bitcoin has a high price volatility rate that'll makes it difficult to send money and they receive the same value for the money that you were to sending. They either get more value or lower value as the price isn't stable. This will make it difficult for alot of marketers to accept selling their goods & services by accepting Bitcoin.

• High risk of lost, Bitcoin has a high risk of you losing it when you don't know how to make use of wallets and protect your Bitcoin properly and alot of marketers don't know how to make use of non constodial wallets making it difficult for them unless they rely on constodial wallets.

[UchihaSarada]

• Price volatility, Bitcoin has a high price volatility rate that'll makes it difficult to send money and they receive the same value for the money that you were to sending. They either get more value or lower value as the price isn't stable. This will make it difficult for alot of marketers to accept selling their goods & services by accepting Bitcoin.

Price volatility is known and people have to accept price slip during their trade processing time. However it should not be a barrier against trades with bitcoin as a payment method. Probability that price suddenly falls 5%, 10% or 20% during your trade processing time is very small.

A bigger barrier is expensive on chain transaction fee, not price volatility.

• High risk of lost, Bitcoin has a high risk of you losing it when you don't know how to make use of wallets and protect your Bitcoin properly and alot of marketers don't know how to make use of non constodial wallets making it difficult for them unless they rely on constodial wallets.

Bitcoin has less risk than bank. You have bigger risk to lose your money in bank accounts because banks, governments can seize your bank accounts and get your money anytime. With Bitcoin, you have private keys, and you own your bitcoin if you use non custodial wallet to store your bitcoins.

[icalical]

I do believe that Bitcoin as digital gold will be accepted by more people. However, there are real obstacles. First, strong price volatility exists. For example, in 2023, the price has changed from $15,000 up to $30,000. That kind of volatility makes it difficult for people to count on it as a predictable means of value storing.

Another concern is scalability: Bitcoin currently processes transactions at a rate much slower compared to traditional systems. Visa could handle thousands of transactions per second; Bitcoin can only do about 7 per second. Added to this is tremendous regulatory uncertainty; different countries view Bitcoin very differently, with some nations clamping on tight controls or outright prohibition. All these put together make it rather hard for Bitcoin to be actually widely accepted as a store of value.

[DediRock]

Thanks everyone for sharing your thoughts! It's true that many people aren't fully educated about Bitcoin. The more we discuss and share accurate information, the better we can help others understand its potential.

[ChiBitCTy]

Hi,
Bitcoin is increasingly viewed as "digital gold" in 2024.
What challenges could Bitcoin face in becoming a universally accepted store of value? Any thoughts?

If anyone hasn't yet read the book "Digital Gold", I highly recommend doing so.  It's an awesome book that talks about the beginnings of bitcoin, who the early adopters were, and how things came to be.

I guess digital gold is a decent term for it, but I think it sometimes gets people confused and there are so many who then start to ask the question, "bitcoin or gold", which is not a legit question.  They both serve different purposes and IMO have a place in anyone's portfolio.