Bitcoin’s Performance is Toppling Gold as Economist Says Crypto Utility is Greater
Bitcoin Outperforming Gold
Gold has long been one of the most popular investments for many, but it seems that another type of asset is taking the center stage. Bitcoin is currently on its way to outperforming gold transaction volume settlement and it may just be more appealing to investors as well.
Some are saying that “bitcoin is the new gold.” Though gold has dominated the market for some time, bitcoin has been gathering steam as well and experts believe that it is well on its way to outdoing gold as well. As Nobel-Prize winning economic Paul Krugman, who is known for being a bitcoin skeptic, sees it, Bitcoin is “evil.” However, it a recent blockchain conference, he may have changed his position.
Krugman announced that he had joined Corey Johnson of Ripple and Fundstrat’s Tom Lee and admitted that Bitcoin has more utility than gold. In his own words,
“Gold is dead . . . Bitcoin has more utility than gold. There is some chance for Bitcoin to be valuable in the future.”
Those who look at the transaction volume cleared by bitcoin and compare it to global gold markets, Bitcoin is far ahead of gold and it has been so since 2017. A crypto enthusiast on Twitter stated,
“Bitcoin has been clearing more tx volume than global gold markets since early 2017.”
Bitcoin has been outperforming gold since the second quarter of 2017. If anything though, one of the main challenges ahead for bitcoin in the gold arena is that there is a much larger supply of gold in the world. Therefore, bitcoin has a long way to go when it comes to reaching Gold’s market cap.
On the bright side, Bitcoin does offer more investment appeal than gold in several ways. For example, it reached $19,500 in 2017 and investors believe that bitcoin will recover from its current lows and achieve new heights. Also, even with the U.S.-China trade war and the decline of currencies around the world, bitcoin is showing that it is able to store its value quite well.