U.TODAY: The potential of a better monetary asset than conventional reserves, such as gold, is the basis of its promotion to a market assessment of more than $ 18 billion. The CEO of Coinbase (Nasdaq 🙂 has highlighted the unique advantages of Bitcoin drawing parallels between him and gold. At this time, the market value of $ 2 billion of bitcoin is equivalent to 11% of the gold market value of $ 18 billion of gold.
Even so, Bitcoin is becoming increasingly recognized as the substitute for avant -garde of gold. Bitcoin’s design is one of its advantages. It offers much more than just the qualities that make gold valuable: decentralization and scarcity. Bitcoin is much easier to verify, much more portable and much more divisible. Its utility increases due to these characteristics, particularly in the digital age, when conventional financial systems are vanished.
Although it is a reliable material, gold has inconveniences such as transport problems and the potential for impurities in its physical form, what Bitcoin does not have. The idea is that nations that have gold reserves must invest at least the same proportion in Bitcoin. This approach can become a larger pattern, in which Bitcoin takes the place of gold as the main global value store and becomes a fundamental reserve asset for countries.
Due to the growing acceptance and confidence in its decentralized structure, Bitcoin market capitalization can exceed gold within the next five to ten years. The concept of a strategic Bitcoin reserve, especially for countries like the United States, gives it an intriguing dimension. The example of Bitcoin’s adoption could inspire other G20 countries to do the same, establishing Bitcoin as a crucial reserve asset.
This change would greatly increase the Bitcoin market value, in addition to ensuring its place in international finances. Despite its ambitious nature, this vision reflects the growing feeling between institutions and cryptocurrency enthusiasts.
The basis for such a significant change in the next 10 years is established by the stable price trajectory of Bitcoin, the strong ecosystem and the growing institutional acceptance. This could indicate a change in the sea in international monetary systems if it is put into force.
