For a long time, for professional investors, people always tend to think that gold is the most stable value storage and investment hedging tool, but who can think that bitcoin, which is famous for its high risk and high yield, is gradually becoming the most powerful rival of gold.

Because bitcoin has an upper limit of 21 million pieces, it is generally scarce. It needs to be produced through "mining" and its output is stable. Similar to gold, bitcoin is also regarded as "digital gold" by some people.

As a safe haven asset, bitcoin has become a new choice for institutional capital. As mainstream institutions gradually inject capital, bitcoin's status as "digital gold" will become clearer.

For bitcoin, in order to maintain its purchasing power comparable to fiat money, it has to increase its price over time. Since the emergence of bitcoin, it is obvious that there has been a price rise, but it does not matter in the early development of bitcoin, because: 1. Market speculation is dominant; 2. The use case of value storage has only been widely accepted in the past few years. The evidence suggests that people are ready to give up legal money and switch to bitcoin (or other digital currencies).

Goldman Sachs recently expressed its views on the debate between bitcoin and gold. David Solomon, chief executive of Goldman Sachs, predicts that there will be "major changes" in the field of digital currency in the next few years.

He believes that there will be great changes in the development of this field in the next few years. " On some of the challenges facing the cryptocurrency sector, he added: "there are significant regulatory restrictions around us, and we play a principled role around cryptocurrencies such as bitcoin."

Compared with gold, he said: "I think the market value of bitcoin will inevitably be equal to gold, and then eventually higher than gold. Because people are accepting and investing bitcoin faster than I expected. " He still believes that bitcoin is an asset, and in the interview, he never described bitcoin as a payment mechanism. He believes that bitcoin "is more like gold than the digital assets of the payment network, so its value will continue to rise in the next few years."

(2021-4-13)