Bitcoin and gold are both popular assets that investors use to diversify their portfolios and hedge against inflation and currency devaluation. But which one is better? Here are some reasons why Bitcoin has an edge over gold.
Bitcoin is more scarce than gold. While gold has a limited supply of about 190,000 tons, Bitcoin has a fixed supply of 21 million coins that will be reached by 2140. This means that Bitcoin's inflation rate will eventually drop to zero, while gold's inflation rate will always be positive. This makes Bitcoin a better store of value than gold in the long term.
Bitcoin is more portable than gold. Gold is heavy and bulky, making it difficult and costly to transport and store. Bitcoin, on the other hand, is digital and can be sent anywhere in the world in minutes with minimal fees. This makes Bitcoin more convenient and accessible than gold for global transactions.
Bitcoin is more divisible than gold. Gold can only be divided into small units with specialized equipment and expertise, which limits its usability for everyday purchases. Bitcoin can be divided into 100 million units called satoshis, which can be used for microtransactions and online payments. This makes Bitcoin more flexible and adaptable than gold for different use cases.
Bitcoin is more transparent than gold. Gold's supply and demand are often manipulated by central banks, governments, miners, and traders, which creates uncertainty and volatility in the market. Bitcoin's supply and demand are determined by an open-source protocol that anyone can verify on a public ledger called the blockchain. This makes Bitcoin more trustworthy and predictable than gold for investors.
Bitcoin is more innovative than gold. Gold has been around for thousands of years and has not changed much in its properties or functions. Bitcoin is a relatively new technology that is constantly evolving and improving with new features and applications. This makes Bitcoin more dynamic and exciting than gold for the future.
These are some of the reasons why Bitcoin is better than gold as an investment asset. Of course, both have their pros and cons, so it ultimately depends on your personal preferences, risk tolerance, time horizon, and goals.
But if you ask me (and you did), I'd rather hold some bitcoins than some bars of metal any day! 💰
How can I buy some bitcoins?
There are several other ways to buy bitcoins besides using an online exchange. Some of them are:
Bitcoin ATMs: These are machines that let you insert cash and buy bitcoins that are sent to your online wallet1.
P2P exchanges: These are platforms that connect buyers and sellers directly, without intermediaries1. You can find local traders who accept different payment methods, such as cash, bank transfers, gift cards, etc.
Mainstream brokerages: Some popular investment apps like Robinhood also offer crypto trading facilities1. You can buy and sell bitcoins using your existing account and funds.
Bitcoin.com website: This is a website that allows you to buy bitcoins using your credit/debit card or other payment methods like Apple Pay or Google Pay2. You just need to choose where to receive your bitcoins.
How do I choose a good online wallet?
There are many types of online wallets available, depending on what you want to use them for. Some are designed for online payments, some for storing cryptocurrencies, and some for smart features like tracking or security.
Some of the best online wallets in 2023 are:
Curve: A digital wallet that lets you link all your cards and accounts in one place and switch between them easily.
Cash App: A digital wallet that lets you send and receive money instantly, buy and sell Bitcoin, and get discounts at select merchants.
Venmo: A digital wallet that lets you split bills, pay friends, shop online, and earn rewards.
Google Pay: A powerful digital wallet that lets you pay with your phone at millions of places, send money to anyone, and manage your finances.
Apple Pay: A digital wallet for iOS devices that lets you pay with Face ID or Touch ID, send and receive money with iMessage, and access your cards and tickets in the Wallet app.
Zelle: A digital wallet that lets you send money directly from your bank account to anyone with a U.S. bank account.
Alipay: A digital wallet that lets you pay for goods and services in China and abroad, transfer money internationally, and access a range of financial products.
Walmart Pay: A digital wallet that lets you pay at Walmart stores with your phone, earn cash-back rewards, and manage your gift cards.
To choose the best online wallet for you, you should consider factors like:
What kind of payments do you want to make or receive?
How often do you use online wallets?
How much security do you need?
How many conveniences do you prefer?
What kind of features do you value?
Do any of these online wallets sound appealing to you? 🤔
