MMA fighter and crypto aficionado Ben Askren has poured fuel onto the flames of the ever-raging argument between bitcoin and gold.
Askren recently created a Twitter poll asking one simple question: If you were given $10,000 gift that you couldn’t touch for a decade, what would you rather the gift in – gold, bitcoin, or U.S. Treasury bonds? Surprisingly, the results came in nearly exactly apportioned, with bitcoin gaining 50%, gold 41%, and, perhaps more predictably, U.S. Treasury bonds with a lowly 9% of the vote.
Among some of the responses were arguments both for and against gold and bitcoin – along with one forgoing the poll choices altogether and plainly asking for $10k in prostitutes.
Amid the arguing, the same old rhetoric popped up, with gold bugs debating in favor of a less volatile asset and bitcoiners insinuating that both Treasury bonds and gold lack bitcoin’s risk-reward payoff.
However, by far the most pertinent response was made by Askren himself, who later retweeted the poll beside the caption:
“Just FYI if you bought 10k of BTC approx 10 years ago, it would be world 26 billion. Gold $15,000.”
Gold vs. Bitcoin
The battle between gold and BTC has been raging for time immemorial – well, at least the past decade or so – and it doesn’t look like it’s going to be over soon.
It’s often said that opposites attract. If that’s true, then gold and bitcoin are far too similar to ever get along. Both derive their value from their scarcity, and neither can be manufactured. They’re also both stateless, unconnected to any government or jurisdiction. Though it’s their differences rather than their similarities that get these two precious assets pitted against each other. While gold is tangible and utilizable within jewelry making and electronics, bitcoin can be sent globally in nearly an instant, with relatively low fees. Although, perhaps one of the most divisive differences is that bitcoin is known for its volatility while gold is reasonably stable.
It’s this volatility which has provided bitcoin’s approximate and somewhat inconceivable 10,000,000% gain over its short lifetime. Gold, while being recognized as a safer investment, gained a modicum of that, citing a mere 20% within the same time period.
This cataclysmic discrepancy in returns was recently highlighted by CCN. Notable gold bug and formidable bitcoin detractor, Peter Schiff, has been ardently against any investment in BTC for quite some time. Unfortunately for his most loyalist followers, this has resulted in missing out on the potential of a 44,400% gain from bitcoin… Ouch.
Peter’s hatred for Bitcoin started back in 2011 when bitcoin was a mere $17. Wouldn’t you be pissed if you missed out on an opportunity like that? No wonder the guy holds a grudge.
Askren vs Schiff?
It would be the matchup of the century. Askren, a budding bitcoin bull and MMA warrior, Schiff, a gold bug with a 24-carat chip on his shoulder. Can you imagine these two in the ring together? Okay, so maybe not the fairest match up, but if they went mano-a-mano in a debate on gold Vs bitcoin? Actually, that would still probably end in bloodshed…
Regardless of whether this fight card ever sees the light of day, one thing is certain, bitcoin has continued to make gains year after year, despite its various volatile bull-bear cycles. And while gold may be the investment choice of the risk-averse, judging by its track record, bitcoin will still be the best bet in 10 years.
Last modified (UTC): October 1, 2019 10:56 AM
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