You can invest in gold instead of BitIQ trading system because it is a precious metal that can give you the best returns during economic inflation. For example, gold is a tangible asset, whereas Bitcoin is a digital currency. Therefore, current practices may impact your ability to purchase, but future legislation may also affect the ratio of the price of gold to that of Bitcoin.
Differences between gold and bitcoin:
At the moment, the system for gold is both very well-established and entirely strictly regulated. Trading, weighing, and monitoring are all held to prevent theft and counterfeiting. For instance, it is against the law in many nations to cross national borders with a huge amount of gold. In many circumstances, the metal can only be purchased through registered dealers or brokers. Bitcoin is also known as digital gold, but it is not a metal, it is a digital currency. There are only 18.79 million bitcoins in circulation now, but that number will rise to a maximum of 21 million. Gold, like many other materials found in nature, has a limited supply. Higher prices are expected because of the law of supply and demand.
- Protection and openness. When compared to other investments, gold carries a lower degree of risk. Its present trading mechanism is robust, and the asset is difficult to tamper with. Due to its encryptions, decentralized nature, and complicated algorithms, Bitcoin trading is also immune to corruption. But there are specific security issues to consider.
- Liquidity: Both types of assets are characterized by their significant liquidity. Gold is widely regarded as one of the most liquid assets since a steady market of buyers and sellers is always looking for it. Like gold, Bitcoin typically has a lot of buyers and sellers. But bitcoin exchanges have a liquidity ratio and you cannot sell unlimited coins in a day.
- Stability: When compared to Bitcoin, gold’s price is much more stable. As with most cryptocurrencies, the value of Bitcoin is subject to wild swings. The lack of a governing body and cultural norms contribute to this rarity. Gold is safer than Bitcoin because it is less susceptible to political and social upheaval. For instance, after bitcoin revolution, its value rose from around $1,000 in 2017 to over $19,000 before falling to below $8,000 by mid-2018.
- Typical value. Gold is not just for jewelry and you can use it for various applications. It’s lightweight and convenient to transport. But you need to store them in a secured place. In the case of bitcoin, you do not need to store them in your locker, and you can carry your bitcoin with a digital wallet.
In comparison to gold, Bitcoin is likely to be subject to fewer rules. At the moment, no infrastructure can regulate trade or keep track of transactions. Instead, the anonymity of the transaction makes it more challenging to handle. Because of its encrypted and decentralised nature, stealing Bitcoin or creating fraudulent transactions is not possible.
When you are an investor, it is customary for you to maintain a percentage of your portfolio in precious metals such as gold. This protects against the potential losses incurred by stock investments when the economy is in a negative trend. This tried-and-true approach to preserving financial resources is being challenged by an innovative new system, although it has already been demonstrated to be successful. Bitcoin is proving to be an exciting asset for investors. Because it is significantly more volatile than gold, investing in bitcoin is a riskier proposition than investing in gold.
The most prudent course of action would be to put our money into bitcoin, which is already proven trustworthy and well-known among many people. Furthermore, using a secure encryption method increases one’s faith in the procedure. On the other hand, even if precious metals such as Tether were once considered among the greatest stablecoins, their popularity has not increased to the same extent as that of bitcoin. Therefore, it is vital for anyone interested in investing in precious metals first to conduct on crypto ecosystem. In any other scenario, selecting Bitcoin as a means of investment, whether mining, selling, trading, or purchasing something of value, will always be the superior choice.