Bitcoin is More Like Gold than a Currency

Bitcoin and Gold: A Growth Comparison | Gold Silver Reports

Gold Silver Reports – Bitcoin and Gold: A Growth Comparison – An inherent tension exists between the two major purposes of money. Currencies that are perceived as great stores of value, such as gold and bitcoin, make for poor mediums of exchange. By contrast, currencies that are effective mediums of exchange, such as fiat currencies used the world over, can make for dubious stores of value. Where a currency falls on the store of value versus medium of exchange spectrum influences its usefulness as a unit of account and a standard of deferred payment.

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The Long and the short of Bitcoin’s Diverse Futures

Sydney: “Why did the market go up today?”

“There must have been more buyers than sellers.”

That piece of circular logic is a sort of laconic joke among traders, equivalent to saying: “I have no idea.” Naturally, prices will only rise if the enthusiasm of buyers outweighs the fear of sellers.

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