American billionaire investor Paul Tudord Jones called the advantage of cryptocurrencies over gold, reports CNBC.
According to Jones, cryptocurrency is the best tool for protection against inflation than gold. “The cryptocurrencies clearly win the race against gold. They can be very good insurance against inflation. For me, they are preferable to gold,” he said. Gold lost eight percent over the past 12 months compared to the annual increment of Bitcoin 437 percent.
According to the American billionaire Mark Kubana, cryptocurrencies adopted many quality gold. The precious metal “dead” itself as an asset and means of savings. In turn, the Director General of the largest Russian gold mining company Polyus Pavel Grachev noted that the nature of Bitcoin and Gold varies greatly. They have different groups of investors who will overcome more from each other over time. Bitcoin, according to him, was created as a tool for calculations, and not as a means of accumulation and conservation of capital.
Investors are often seen in gold to protect against inflation risks, but the precious metal does not justify their hopes. “There are no guarantees that in the case of a surge of inflation, gold will also bring an income above average,” explained the strategist Morningstar Amy Arnott.
On Wednesday, October 20, the Bitcoin rate reached $ 65,566 and broke the historical record set in April – 64.8 thousand dollars. During the day, the cost of Bitcoin grown almost five percent, in more than 17 percent. Capitalization reached 1.2 trillion dollars. The reason for growth was the beginning of trading on the stock exchange in the United States of the first associated Bitcoin of the Exchange Fund (ETF).