Brendan Blumer, the CEO of Block.one, believes that Bitcoin is the best store of value that has ever existed. Although there are different altcoins that have been growing over the past years, none of them is able to surpass Bitcoin in terms of value and recognition.
Bitcoin Is A Store Of Value
There are different kinds of individuals, those who believe that Bitcoin is a payment system, and those who think that Bitcoin is digital money and could also work as a medium of exchange. Nonetheless, one of the common things that people share about Bitcoin is that it is a store of value.
The CEO of Block.one, the company behind EOS, one of the largest digital currencies in the market, Brendan Blumer, commented on Twitter that Bitcoin is a better store of value than anything that has existed before. He has also mentioned that it will be replacing gold because it outcompetes on economics and digital functionality.
#Bitcoin is a better store of value than anything that has existed before, and is on course to replace Gold as it outcompetes on economics and digital functionality. "Uncensorable P2P digital cash" is a quality that defends its sovereignty, not a consumer need.
— Brendan Blumer (@BrendanBlumer) April 14, 2019
There are some features about Bitcoin that are always worth mentioning. Bitcoin is scarce and it has a limited supply capped at 21 million BTC. The digital currency operates under a unique cryptographically protected protocol that cannot be undermined. Moreover, the virtual currency is divisible and it is also a great investment.
According to crypto VC Low Kerner, gold has emerged as the global store of value and it held this position for several thousands of years. Although Bitcoin could be much better than gold, it is important to see how it will evolve over time rather than in just a few years.
Nonetheless, Bitcoin remains far from having a similar market capitalization of gold. The Australian cryptocurrency researcher Willy Woo, believes that Bitcoin will exceed gold’s market capitalization in the future. According to him,
“mathematical scarcity beats perceived scarcity.”
This is the reason why I think Bitcoin will easily exceed golds market cap.
*Mathematical scarcity beats perceived scarcity*
Perceived scarcity comes only from the technological limitations of today. https://t.co/TtIh41zz3F
— Willy Woo (@woonomic) February 1, 2019
At the time of writing this article, Bitcoin has a market capitalization of $91.5 billion, while gold has a market cap of over $7 trillion. Bitcoin was not even close to surpassing $1 trillion and the whole cryptocurrency market cap reached $850 billion when it skyrocketed in January 2018. Each BTC can now be purchased for $5,185.