Bitcoin (BTC) is sometimes referred to as the ‘digital gold’. It would be an excellent store of value and perhaps even protection against inflation. Of course, these are also characteristics that gold is known for. Which of the two is the better investment and is the comparison between bitcoin and gold actually valid? Perhaps even more important is why you should limit yourself to either one.
Bitcoin and gold
Compared to gold, bitcoin is only just coming into play. The king of cryptocurrencies was launched in 2009 by the anonymous Satoshi Nakamoto. So Bitcoin has only been around for 14 years. Compare that to gold. The precious metal has been used all over the world for thousands of years. So it has a track record that you say to.
Bitcoin and gold have some important similarities on paper, but also clear differences. That makes them both unique. Gold, for example, is known for its stable price, especially when the rest of the financial world is anything but stable.
Bitcoin, on the other hand, is known for its sometimes enormous volatility. In the past it often happened that the BTC rate shot into the air by double digits in less than 24 hours, or collapsed.
This means that in practice they are very different investments. Few investors will step into bitcoin with the idea that the value of this investment will remain very stable. In contrast, few people will invest in gold with the prospect of hundreds of percent returns in a relatively short period of time.
The question: is gold or bitcoin a better investment, therefore seems rather pointless. On paper the two may look very similar, but in practice that often turns out not to be the case. To optimize your investment portfolio, it may therefore be wise not to limit yourself to one of the two, but to add them both!
Free gold at GoldRepublic
And the timing to do so couldn’t have been better. At the Dutch gold broker GoldRepublic you can currently earn a gram of free gold worth about 50 euros!
All you have to do is one create an account at GoldRepublic, go through all verification procedures and purchase at least 100 euros worth of gold, silver or platinum on the platform. When you have done all this you will get your free gram of gold deposited into your account!
Expanding your investment portfolio has never been so easy and cheap!