Store of Value

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Written by
3 years ago

Traders and investors who have played in the crypto world on a defensive motive will certainly tend to play in the longer or longer term. So to say that the speculative might be more like playing with greater risk, considering cryptocurrencies are very volatile, even though the returns do offer greater returns.

Indeed, a very interesting fact as an example of the current asset comparison is that the yield between crypto versus gold is increasingly clear, where crypto can print a yield of 133 percent this year, while gold has decreased by 4 percent. Making gold asset lovers have to recognize the advantages of crypto as a newcomer asset that cannot be underestimated anymore.

So in this case it is very possible for these two assets to coexist in future market conditions. Certainly, both have different shares and sectors. Each of these asset markets has a history of travel and advantages that both can rely on. It is not only a matter of time process which is seen from the long term or short term, but also from the problem of being a means of protecting against inflation.

Crypto, which further strengthens its presence in the word asset, can now be seen as a store of value. Although in terms of being more volatile compared to the existence of the gold market. However, the volatile aspect of this cryptocurrency is more likely to be a short-term process. If you look at the history, it can also be likened to gold, where the long-term process is even more promising than gold. As another proof that makes crypto superior is where the fact that crypto is able to withdraw capital that was previously stored as capital is part of gold.

So in this aspect, some investors have considered crypto as a new Store of Value which is also more reliable than gold. Makes the future of crypto a much brighter journey. Beyond the word news, other things about legalization and illegalization in a country of course. For some investors, this can see crypto from an objective side, they are not only looking at its fluctuating value, namely rising and falling prices so quickly. But they look at the process and the long-term that has happened. So they dare to switch or start investing in crypto assets.

Indeed, there is a lot that can be taken from the point of view of the benefits of crypto compared to gold, even if it is only in terms of assets. If we look at the benefits, there are lots of people who get more benefits from the crypto industry. So crypto which started as a form of value for digital currency has now developed into a store of value in the end for some people who have especially benefited from the existence of crypto.

The basic context of the creation of crypto is as a currency, it is hoped that the use of cryptocurrency as a currency can be widely accepted and recognized by the community. And of course, there are those who disagree. However, seeing one advantage of this, cryptocurrencies with gold are more likely to allow them to become assets, making cryptocurrencies again superior to gold which can be used as currency in their holdings.

Instead of speculating that gold is guaranteed by its physical condition, while cryptocurrencies are in the form of digital or virtual currencies that are guaranteed by the cryptographic language, it turns out that crypto can make users feel that they are using profits simultaneously or gradually. Makes at least some people think that crypto is worthy of being said as a good store of value for now.

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3 years ago

Comments

Crypto cannot be compared with Gold it is far more reliable than gold and it is the future. It going to have more share in the market in the future than gold. Investor don't think about the risk because they know few of the crypto currencies would crash,it is possible that none of it would crash. Cause the rate by which it purchased is far more than gold. Crypto is the future....

$ 0.02
3 years ago

I have a very high hope in cryptocurrencies. Regardless of its volatility, we cannot deny the fact that it already created millionaires.

$ 0.05
3 years ago

As time goes on, more and more people trust the digital currency and crypto, if this trend continues, and the great powers do not stop its progress, surely the value of crypto for people will be much higher than gold, in the hope of that day...

$ 0.02
3 years ago

Crypto has created millionaires. The advantages cryptocurrency cannot be overemphasized. Regardless of the risk, the profit is worthy taking it. Investing into the market is a wise decision when done right. Thanks for this content. It's an eyeopener.

$ 0.02
3 years ago

Because of decentralization government has jealous at every crypto-currencies. Truth to be told i hate our Government.

$ 0.02
3 years ago

I believe that too. Crypto will be more reliable in future. We will see this happening soon.

$ 0.02
3 years ago

Even government, company, bank or natural persons who say they are against crypto money, I cannot think negatively for the future when buying crypto. Its users and popularity are increasing day by day. There is a saying; the arrow came out of the bow.

$ 0.02
3 years ago