Because of its success as a Bitcoin value store is often labeled "digital gold". This sentiment has appeared in the last months of 2017, while Bitcoin has entered a massive bullish race that has had the financial world in a bit of spin.

Extensibility has been a long-term problem in Bitcoin, but the saving grace of costs and delays has been its emergence. like a store of value. While Bitcoin remains in a volatile state, it is still head-and-shoulder over its altcoin predecessors in terms of value per piece. A plethora of cryptocurrency and traditional financial analysts have compared Bitcoin to gold for this very reason.

The famous American broadcaster Max Keizer was particularly sensitive to his predictions for Bitcoin. While he envisions the preeminent cryptocurrency reaching heights of $ 100,000, Keizer also believes that Bitcoin will lead to the revival of physical gold trading, highlighting the speculative trading methods employed by The traditional traders:

Wall Street who undergoes short selling and financial manipulation happens in the futures market of gold. "

World Gold Council says Bitcoin is not like gold

In a paper published on January 25, the World Gold Council (WGC), l '; Gold market development organization, has highlighted its position vis-à-vis cryptocurrencies.On the basis of statistics collected, Gold saw its value increase by 13% in 2017, which, from General opinion, is a positive statistic, but it is derisory compared to the parabolic growth of Bitcoin during the same period

.WGC's report explained its position on cryptocurrency and explained why Gold remained an integral investment of value-added in the era of crypto-currencies.It is difficult to call the scandalously fresh arguments although gold trading sees less volatility, its market is much more liquid and highly regulated, and is well established as an investment portfolio.

Liquidity and Diversity of Gold

The WGC pointed out the fact that gold has much higher daily liquidity. With regard to transactions worth $ 250 billion per day, the WGC estimates that Bitcoin's daily trading is worth about $ 2 billion, the equivalent of exchange-traded funds backed by credit. 39; gold.

of gold. The strongest demand for gold comes from the jewelery industry, accounting for 50 to 60% of gold demand over the past 20 years. Another 30% of demand comes from the investment portfolio, the rest applying to the technology sector and central banks.

Common Characteristic – Shortage

As the WGC indicates, the Bitcoin supply increases percent each year as it approaches its ceiling of 21 millions of pieces. This will be achieved only in the year 2140, because of the difficulty of scale mining – but this anti-inflationary process is a common feature shared with the US. however, as the WGC points out in its report:

"About 3,200 tonnes of gold were mined on average each year, which represents about 1.7% of the total stock of gold. The gold, never mined, the decreasing future growth rate of bitcoin and the final finite amount are clearly attractive attributes, as are the scarcity of gold and marginal annual growth. "

The gold trading at the Blockchain

cancel all comparisons to Bitcoin and Cryptocurrencies, the industry seems to appreciate the value of Blockchain technology. The distributed accounting system that underpins Bitcoin and various altcoins has proven its worth, and brilliant minds have begun to explore almost limitless applications of Blockchain systems. According to the WGC, the gold industry is among them:

"In the gold market, various players are exploring the Blockchain in the context of the transformation from gold to "digital asset" supply chain, and introduce efficiencies in post-transaction settlement processes. "

This is likely to be done on private Blockchains. But nevertheless, the financial world is taking the idea of ​​Blockchain technology.