In early November, we received good news that a COVID-19 vaccine would soon be available to Americans.
This announcement acted as a signal to some that we, as a country, would soon be free and clear of the virus and the many troubles that came with it.
Many even went as far as moving their investments to riskier assets like Bitcoin.
Although a vaccine is great news for Americans’ overall wellbeing and health, the damage caused by the coronavirus will be difficult to undo.
Truth is, the health of our economy can’t be healed with a vaccine. Fed Chairman Jerome Powell recently stated that the vaccine news is “very positive” for the medium term, but added, “significant challenges and uncertainties remain.”
Despite this fact, risky and unproven vehicles like Bitcoin have become the speculatory investment world’s talk.
While we are all for new opportunities- transparency, truth, and facts rank even higher.
Here are the transparent, factual truths about gold vs. bitcoin.
Gold has been around for over 5,000 years and has proven itself to be a long-term store of wealth. Gold has not only been responsible for buying goods in the past, but more importantly, the monetary foundation that helped build cities, empires, and nations.
Bitcoin has only been around for 11 years and has yet to be mass adopted by the nation, nonetheless the world. Since it is decentralized and unregulated, many respected institutions have yet to acknowledge bitcoin as a real asset.
Then there is the physical vs. digital debate. With gold, you are not at the mercy of technology or having to find someone who will accept it. The whole being able to “go off the grid” is simply not possible with bitcoin.
Bitcoin is genuinely at the mercy of technology, more specifically, the internet. Without the internet or even the correct device, you cannot send, receive, or spend Bitcoin.
Regardless, the unfortunate truth is that the pandemic has completely derailed our country’s 10-year GDP growth plan and will cost the US nearly $16 trillion dollars. That’s almost four times the cost of the Great Recession.