Grayscale Investments released a new TV campaign that urges people to purchase bitcoin and to drop gold. The ad can be viewed on Yahoo Finance. Barry Silbert of Grayscale Investments also spoke with Yahoo Finance and stated that the ad is to
“start an honest conversation about gold and why it may not be a great investment long term and then talk about why bitcoin is going to outperform gold as our generation of investors are going to inherit tens of trillions of dollars in the next 25 years.”
There are those who are criticizing the advertisement. For instance, Decrypt Media shared a statement by Mati Greenspan, who is a senior marketing analyst at eToro, a Tel-Aviv-based Bitcoin social trading platform. Greenspan shared with Decrypt Media,
“I can understand why they [made the ad], to create a bit of controversy but it misses the point of what Bitcoin is. Bitcoin was invented to provide a currency that operates independently of governments and banks. It doesn’t mean it needs to replace them.”
Greenspan also indicated that he holds equal amounts of cryptocurrencies, including gold and bitcoin, in his portfolio. Being over-exposed to crypto may not be a good thing due to its volatility. He continued,
“Gold has clear advantages over bitcoin. Physical gold can be used if the lights go out—you can’t use bitcoin. There are methods such as using satellites, but those aren’t feasible in daily life. If there’s no electricity, you can’t pay with bitcoin.”
According to Decrypt Media, Greenspan’s statement was in reference to reports concerning the abundance of gold in space indicating that if it could be cheaply mined, the price would decrease. However, this could be a long time and at this point, gold retains its value.
Not only is Greenspan skeptical. Peter Schiff also tweeted,
The ultimate irony in the #DropGold campaign, is that you can't mine Bitcoin without using #gold. This is just one of the many utilities of gold that Bitcoin promoters deny exist. But while they overlook gold's obvious utility, they ascribe utility to Bitcoin where none exists!
— Peter Schiff (@PeterSchiff) May 3, 2019