All of the 380 doodsverklaringen in spite of it, but bitcoin is still here.
With the recent turmoil in the market, it’s tempting to get wrapped up in the day to day volatility, and forget about the zoom. The price of the four numbers, and how stressful they can be, pale in comparison to the value of the bitcoin over the long term.
Who is the competitor?
Bitcoin is competing with a hugely valuable market for oppotmiddelen. What asset is best and most convenient store? Bitcoin means different people, but for investors, it is the most important thing is that bitcoin is like digital gold, too.
Well, to me, is that the market, in order to store a value bigger than gold. Think of assets, such as bonds, real estate, and the arts. However, the gold market has only been around for billions of euros’worth, and less than it would bitcoin not have to be satisfied.
Gold is something to strive for
To the gold to be used, you can set the bar for bitcoin is high. That’s exactly what Ryan Selkis of the Messari are doing. He says that if bitcoin is the gold of the throne and will bump the price to be verhonderdvoudigd it should be.
Last week, it was sobering for Bitcoin investors, with BTC is sinking more than 50% in 1 day, amidst a global liquidity crunch.
But the #Bitcoin is far from dead.
Bitcoin sacrifices to investors, a potential 100x price increase from today’s levels, if Bitcoin were to ever reach, too.
— Ryan Watkins (@RyanWatkins_) March 19, 2020
Not all gold is as an investment to be considered. About 14% of the market value of the gold has been derived from industrial applications (listed as ‘other’ in the chart above), and approximately 47% of the market value of gold is derived from jewellery.
However, this changes as the goal is for bitcoin to not.
People are buying gold jewellery because gold is a valuable one, and not the other way around. Like gold bitcoin is other ways than just a monetary function.
There have been some small-scale uses for bitcoin, such as censuurbestendige transfer of accrued benefits, and cannot be altered time-stamps on the safest and most secure network in the world.
Now, the question is, how can bitcoin be the fair market value of the gold in them. It Is possible, in order to compete with the gold, which is at least 5,000 years old, and has a much higher liquidity, has it?
Scarcity of resources is a scarce resource
There are a lot of reasons for bitcoin over gold are to be preferred. Just think of the portability, availability, ease of storage, safety, security, and censuurbestendigheid.
However, perhaps the most important reason to have a preference for bitcoin (and especially investment) is that you have to be sure that bitcoin is scarce. It is not known what the total amount of gold in the world, and bitcoin will never be more than 21 million.
A lot of cryptocurrency’s promise of an absolute shortage, but it is not the only project that you can do this with the same certainty of the promise, as bitcoin is. The security is because there is not a company or a person behind bitcoin is about. Imagine that you are more than 21 million bitcoins, then you have to have a worldwide ecosystem of thousands of independent operators believe that the most important feature of bitcoin is changing.
An almost impossible task to do so.
In a world of negative interest rates and large-scale geldinjecties, and modern monetary theory is that this security might be more important now than ever before.