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Originally Posted by Hehe
Really want to compare gold (physical good) vs BTC (a bunch of numbers) ?  |
If you think physical goods inherently have more value than digital goods, you have been living under a rock for the last 5-10 years. I'll give you the benefit of doubt but if you can't even grasp this part, I don't see much reason to continue explaining... However it may help others, so....
Quote:
Originally Posted by Hehe
Gold has many industrial applications along with jewelry industry. It means that even when people stop valuing gold as a monetary instrument, it can still be used to do a lot of stuff and hence derives value.
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Yes, gold has use in industry, although I wouldn't include jewelry as this industry - jewelry is just flaunting wealth - ie taking your money, putting it in gold, then showing off that money. That gold is still worth $1200 an ounce, whether it is a nice chain, ring, etc. The decoration and designing part is just an extra service people offer. More importantly, gold is used in electronics, dental work, etc. However it's the trade value that keeps the number high. If gold ever lost its value as a place to keep money, it would be a 100% industrial product and the price would plummet.
Quote:
Originally Posted by Hehe
What is BTC good for besides some sort of monetary instrument? Nothing.
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It can be used a crypto-storage algorithm as well as a currency. I would recommend watching this video I have posted in the past, as it will help you understand it better. I have queued up the part where he talks about other applications of bitcoin