Speaking to Kitco News, Holmes noted that Bitcoin also has an edge over gold because it’s a private property and portable. He states that gold had similar features to Bitcoin, further suggesting that digital currency has become a store of value. Holmes further noted that Bitcoin resonates well with most investors, especially the young.
‘Precious metals not taking off like Bitcoin’
On the possibility of precious metals like gold and silver taking off like Bitcoin, Holmes states it won’t happen anytime soon. He suggested that institutions that invest significant money in gold risk getting scrutinized by institutions like big banks. Furthermore, Holmes believes that Bitcoin has and other cryptocurrencies have leveraged technology to attract investors. He cited social media platforms like Reddit as a critical tool for attracting young investors. Notably, before attracting institutional investors, Bitcoin recorded an influx of retail investors on a large scale who he suggested were attracted by the asset having a cap on its supply. Holmes, who was speaking on the sidelines of the Denver Gold Forum, added that for CEOs to remain influential in both asset classes, they need to reposition their offering to investors. Early this year, Bitcoin and cryptocurrencies embarked on a bull run with the entry of institutional investors. Consequently, proponents have continued to push Bitcoin as a replacement for gold. Amid the comparisons, the gold price has stagnated, attempting to hit a new record price. [coinbase]
