🔥 Gold is a preservation asset, and Bitcoin is not ( this is MMM) = Debunking the myth

I decided to write because I often hear this; many apparently don’t understand what the catch is at all, so let’s read:

- When you buy 1 Bitcoin on your computer, you are = holding 1 Bitcoin.
- When you buy 1 XAU (XAUT, PAXG, GLD, etc.) at a price of $4500 ( as of today ), you are not ≠ 1 troy ounce of gold.
- When I, for example, have 1 BTC in my wallet = that’s really 1 BTC. We’re not talking about exchanges here; it’s about diversification, trust, and so on. BUT they also have a 1-to-1 backing since 2023, not 1 to 20. All reserves are published; you can check each exchange and its wallet on CoinMarketCap. That’s blockchain.

What’s the essence and the catch

How come? Well, the physical gold in the world is about $200-300 trillion, and the exchange-traded gold is about $11 trillion USD, which is roughly 20-25 times more. ​And it can be any number, naturally larger, because the company also wants to make a profit, and the boss wants to eat well. And often, the rate 1 XAU ≠ 1 troy ounce of gold.

99% buy XAU and say Gold/Gold is a preservation asset, buying it in an app, not in reality. Scam of the SAFE, broker, or wherever you bought it; your gold = gone, a scam with spreads, commissions, mechanics. Legally, gold belongs to the bank, not to you, friend.

Only having real gold = there is value, but here you have problems with whether the coin itself also contains gold, how quickly you can sell it, transfer it, pay with it, etc. The price of jewelry generally doesn’t match (the assay and is about 30% of the item’s value), and Bitcoin doesn’t have that. One minute and the money is in any part of the world, sale without loss of %, I’d like to see how you sell jewelry worth at least $10 million and how much they’ll take in % at the end.

The price of Bitcoin is highly volatile; this is because its market cap is still small, about $1.4 trillion, and the price is unstable. The larger the market cap, the less volatility. It’s a matter of time. On the plus side, there’s more opportunity to earn when falling and rising due to the same volatility (sometimes even a plus, because that’s why we buy altcoins). Also, gold is mined (inflation), and the number of Bitcoins is limited.

Basically, the same story applies to all metals, oil, and others. For example, Brent/WTI oil (which is held back by Trump) ≠ the physical price, the same physical WTI Dubai (cash, immediate delivery) in the Persian Gulf, recently went above $170/barrel before the Strait of Hormuz closed, from Fujairah. But this post about gold is just for reference.

P.S. This post is for when someone asks you, “Yeah, what’s your Bitcoin (crypto),” and you say, “I just bought gold in an app, and your Bitcoin is MMM, it has no value.” Tell them how it really is, not what they want to hear on TV, and don’t just parrot the program or the script — it’s about knowing the truth, not just repeating what’s on TV.