Is BTC the Better Inflation Hedge Than Gold?

[amberrrr789]

Major institutional investors like banks and hedge funds are beginning to recognize Bitcoin as a more effective instrument for battling inflation (you can buy BTC on MEXC Global or other crypto exchanges).

The first cryptocurrency, BTC does not experience inflation because its supply is capped at 21 million sats. Contrarily, fiat currency can be produced at the will of governments, increasing the money supply and putting more pressure on inflation. Although the macroeconomic environment is at a down turn currently, less individual & institutional investors are talking about BTC and other investments like stocks, there may be more institutional investors return to the crypto market because they believe it to be a better inflation hedge and a different type of "egg" in their investment "basket" due to two reasons:

First the recent rise of the Lightning Network and payments solutions powered by layer-two applications. A great example here would be the Bitcoin adoption in El Salvador, they now use BTC as their official currency besides USD.

Second, the ability of controlling your money regardless your location and time. With a cold wallet (ledger), nobody and no authorities can take away your money. Even if you lost your physical wallet, you will still have access to your money if you can remember your recovery keys.

If you are interested in buying BTC to hedge against inflation, you can buy it on exchanges such as MEXC Global and receive free airdrops by participating in some BTC projects!

 

[Allen42]

I too have the same doubt. But i think it only depends upon people's value to a particular asset.

 

[amberrrr789]

To me it's like a bet. Just gonna include a portion of BTC in my portfolio and see how it goes.

 

[Blord]

Crypto is investment for the future and one can even make more out of it via cloud mining. Visit www•cryptobase•store today if you hold any cryptocurrency

 

[cmoneyspinner]

Personally I will always believe that gold is a better investment. It's a tangible asset and has been around to create wealth for centuries. Maybe in another hundred years people will say the same thing about Bitcoin. Most people know this. That's why they came up with Bitcoin Gold.

That's what I say. But what do I know? These people disagree with me.
REF: Bitcoin as Good as Gold. Well, Actually Better | Bitcoin Insider
~ www.bitcoininsider.org/article/13175/bitcoin-good-gold-well-actually-better

 

[kriptopoulin]

Bitcoin is not just a fantastic inflation hedge, but it also has much better long-term growth potential than gold. The fact that Bitcoin is significantly more volatile than gold, meanwhile, may deter risk-averse investors from even considering the asset.

 

[amberrrr789]

I agree. People usually talk bad about its volatility, very short-term thinking. If you are willing to hold it for more than 4 years, based on the history performance, you always gain from it.

 

[Lymphography]

Well, it can’t be compared but it certainly comes close. BTC is quite up there in terms of being profitable. I think everyone has a different outlook so it’s okay to differentiate as long as you understand how to make profit.

 

[Protension]

Everyone enters the market with a different agenda, you just have to be aware of what works for you and make a move accordingly. For some, BTC can be amazing and others find gold to be better. It’s a matter of perspective. Considering the current situation, the volatility seems high so holding long term is profitable.