In case the financial world faces a total collapse, gold will become more important than fiat currencies, at least that is what the Dutch Central Bank affirmed recently. The bank has also affirmed that gold is the trust anchor of the financial system and that it can be used as collateral for starting over.
Several central banks have started to acquire gold after the 2008 financial crisis, so it is not surprising that the representants of the Dutch bank believe in this. The Bitcoin community, however, sees the cryptocurrency as the way out for any upcoming recession.
Bitcoin has several qualities that are similar to gold. For instance, there is a limited supply of it, so it cannot be artificially manipulated as fiat currencies can be.
Gabor Gurbacs, the manager of VanEck, affirmed that non-sovereign currencies have a place in the world and that private money should be allowed to compete in a free market, just as gold does right now.
Mike Novogratz, a serial investor, agrees with this idea. He affirmed that we live a very bullish moment for both gold and Bitcoin because there is a lot of uncertainty in the market and this creates a very bullish moment.
Not everyone agrees that private money is a good idea, however. Obviously, the people who disagree come from outside of the crypto market. The CEO of Apple, Tim Cook, affirmed that only governments should control money and that Facebook’s Libra project, for instance, would encounter difficulties because it was a private enterprise trying to control money.