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In a recent tweet, the CEO of Botmecash and co-founder of Satoshi’s Journal, Oluwasegun Kosemani asked people to make a decision between $1,000,000, 40 pounds of Gold Bar, and 50 Bitcoin. He also asked responders for the reason for selecting their option. The tweet attracted 174 replies and counting, and the comment section is flooded with answers and reasons.
Some people chose $1,000,000 dollars and were willing to wait for a dip to buy more bitcoin, pay off bills, open up business, buy gold, guns, properties, food and drinks. These people should consider the cons of having fiat currency. Fiat is always subject to inflation, government mismanaging and over printing of money which can result in hyperinflation. This can result in a bubble. It also attracts lots of deductibles when put in the bank.
The die hard fans of gold choosed 40 pounds of gold because of its qualities that have made it exceptionally valuable. Gold has been the one material that is universally accepted in exchange for goods and services. Gold has occasionally played a major role as a high-denomination currency,making it an attractive option.
However, a few factors should be considered including the cost, storage issues and liquidity. Gold is often seen as a store of value that can work as a hedge against a market crash, and it isn’t particularly volatile over long periods. It can experience significant price volatility in the short-term. Gold also offers no yield while you own it, as one can only generate a return from gold when sold to another. Additionally, dealing with gold can create significant tax headaches.
For those who understand the value of Bitcoin as well as what money is including the history of fiat, they chose the 50 bitcoin option. Bitcoin is one of the oldest and most popular cryptocurrencies. However, it is still considered a new kind of currency which means it comes with a lot of misinformation. One of the biggest advantages of bitcoin is its accessibility and its versatile nature. It takes only a few seconds to transfer bitcoin to another user, and it can be used to purchase goods and services.
Bitcoin Users are identified with numerical codes and can have multiple private keys, which ensure no public tracking and keeps its users secured compared to traditional currency system where personal information can be leaked from a bank. Bitcoin is also independent from central authority as it is a decentralized currency with high return potential. The scarcity is what makes bitcoin so valuable. There is no government regulation in Bitcoin either. Bitcoin also protects you from fraudulent and/or reversed payments, offers immediate settlement, and has vast liquidity.
What choice would you make today? Would you choose to build generational wealth and stay financially free with Bitcoin? Leave a comment down below.