Those who view
bitcoin as a store of value also fall under this category as there is no competition with bitcoin in the «digital gold» market.
As more governments and central banks turn their attention to virtual currencies, investors could move back into the yellow
metal as a store of value.
It's a horrific thought, but the poll results show that the investment case for
gold as a store of value remains favorable.
Gold is
seen as a store of value because, according to some, it does not «lose value» unlike paper currency during inflation.
And perhaps most significantly, they both function
as stores of value because they remain independent from the influence of central banks, unlike fiat currency that can be printed as and when required.
Similarly, bitcoin doesn't exactly inspire much
confidence as a store of value when my savings in bitcoins could be worth $ 3,000 one moment and $ 300 less within the next hour.
However, it is also important to note that silver has many more industrial uses than gold, and as such is not solely
used as a store of value.
In combination with SegWit, the Lightning Network, as well as atomic swaps, Litecoin could quickly become the currency used for everyday transactions, and Bitcoin
more as a store of value.
Most people still only understand cryptocurrencies
as stores of value like Bitcoin, so lots of user education would be required too.
This is a natural response from governments to a new medium of exchange, which could end up competing with their own legal tender, commodities and other
assets as a store of value and alternative method... Read more»
Gold climbed for the first time in three sessions on surging demand for the metal
as a store of value while the dollar fell and investors prepared for the release later this week of U.S. bank stress tests.
Bitcoin cash is based on the basic ideology of Bitcoin, i.e, to be payment a network, instead of Bitcoin presently being
considered as store of value or Digital Gold.
Although bitcoin could do quite
well as a store of value that is somewhat difficult to move around, a large amount of value can be added by helping the technology fulfill its original, overstated promise of free, instant and anonymous online transactions.
Moreover, Fundstrat has recommended that clients buy into Bitcoin's recent dip, citing the flagship cryptocurrency's long - term fundamentals and potential to replace gold
as a store of value among millennials and other younger investors that are far more comfortable with the concept of digital assets than their elders.
A sum of Bitcoin (or Airpoints) can be held for a period of
time as a store of value to be transferred or redeemed in the future, albeit that the terms of exchange may be different to those prevailing when the unit of currency was first acquired.
While one could make the same argument about gold, the yellow metal has been widely accepted
as a store of value for more than two - and - a-half thousand years - compared with less than a decade for bitcoin, he said.