Bitcoin is nice. It disrupts currencies, and it is valuable. If it manages to take off, a lot of Bitcoin miners will be very rich, rewarding their embattled faith in the world’s first decentralised cryptocurrency. By then, who knows what it will become: it could be the next gold, silver or even as a business opportunity.
That is where it ends for Bitcoin, despite what its biggest believers will say. It is a mystery to most people and the fact that you need a miner set up, register to Bitcoin’s official ledger and selling it is close to impossible. It is because most of the people you will find interested in Bitcoin are only in it to sell. A lot of miners, not enough buyers, and that is only the start.
Gold vs. Bitcoin
Gold has always been there, and it is always valuable regardless its form. Whether it is an ingot, jewellery or coin, gold sells wherever you bring it. Not that you would lug it around in your pocket, but there are places that may offer a smaller spread when you are selling. You can always play it safe and sell it back from where you bought it, though, and you will still earn a pretty penny.
Going back to bitcoin, it feels very limited, and there is a compelling reason why its momentary jump over gold is not a good thing. Moreover, it is worrying that a group can fundamentally control the currency. The very thing that makes bitcoin brilliant, its boundlessness, is something that the Chinese companies leverage to have a major hold over it.
Using Your Sense
If there is a challenge in gold investment, it is taking control. If all your money is in a single ingot, you are dependent on how the market will swing. It also does not encourage growth because ingots are the haymakers in the gold transaction. If you buy one, you had better have a clear plan on selling it. There is also the issue that you have no money left.
To address it, be a diverse metals investor. Spread your money on sovereign and minted coins, light gold bars or silver. This way, you will not corner yourself and be a one-big-swing kind of bullion seller.
Valuable, stable(-esque) and definitely for a thinker, investing in gold is a valuable move when you do it right. Its position in the financial world should tell you that no other ventures in precious metals that offer a better proposition.