New Poll: Over 75% Investors Pick Bitcoin (BTC) As Their Store Value Choice, Beating Gold And Silver
In a poll by CNBC Futures Now, Bitcoin (BTC) overwhelmingly emerged as the favorite store of value amongst its followers. Of the 4,221 voters who took part in the vote, 75% selected BTC as their choice asset compared to gold and silver with 19% and 6% of the votes respectively.
The #DropGold campaign by Grayscale Bitcoin Trust blew the discussion on which asset, between BTC and precious metals, offers a better store of value. Gold and Bitcoin have raised long standing debates and advertisements and movements have each offered their opinions on the benefits of having each as a store of value. CNBC Futures Now show took to Twitter to find out through a poll the choice of asset to hold value among their followers.
Over 75% of CNBC's Future Now followers believe Bitcoin offers a better store of value than Gold or Silver (Image: Twitter/ @CNBCFuturesNow)
The overall results shows the overall sentiment on Bitcoin is positive, albeit the sample number being small. The affinity to Bitcoin as a store of value stems from the secure and scarce nature of the asset – the latter also a property of gold. But as the supply of gold is likely to increase with better mining equipment, compared to BTC’s 21 million maximum supply cap, supply demand economics shows that BTC may provide a better store of value.
Notwithstanding, the transferability and storage costs of Bitcoin are far lower than that of physical gold. This is becoming an even bigger advantage for the ‘digital gold’ as the world’s geo-political and economic state continues to deteriorate.
The China-US trade war has caused a state of economic tension across the two largest economic powers which will affect the global trade. Iran and US nuclear agreement standstill has seen the Iranian government’s efforts towards BTC mining and the demand for the anonymous asset in the country increase.
Despite three quarters of the voters selecting BTC as their choice of storage of value, their remains volatility concerns on the price of the asset. In the past 7-8 weeks, the price of BTC has rocked the charts up and down – reaching highs of $13,750 USD at the end of June and crashing down to $9,496.27 USD less than a month later.
Year to date chart: Bitcoin (BTC) is very volatile which makes investors doubt its capabilities as a store of value. (Image: Coinmarketcap)
More polls are expected in the coming months and years pitting physical gold and digital gold against each other but this latest poll shows the magnitude of BTC’s influence. While gold holds more than $7 trillion USD in wealth, BTC lags behind with a mere $170 billion USD in wealth stored. To reach such a figure, digital gold will need to be priced in upwards of $300,000 USD.