Investing in Gold vs. Investing in Cryptocurrency | Which is the Better Choice?
The Pros and Cons of Investing in Gold
1) Gold is a globally recognized store of value.
2) It can be used as a hedge or protection against volatility of other assets.
3) It doesn't have the same risk as other investments.
4) Gold has been a safe haven during periods of economic crisis and uncertainty.
5) Unlike stocks, gold is not subject to the whims of markets or inflation.
6) Gold can also be used as an investment vehicle for diversifying portfolios and optimizing risk exposure.
7) It is not subject to the same capital gains taxes that stock market investments are subject to, and investors can choose how they want their returns taxed (capital gains tax, income tax).
8) There is always the chance that gold prices will increase in
1) The price of gold changes every day so there may be days when you do not see a return on your investment even though you have paid a high premium for it
2) Gold doesn't produce any income, so investors will have to wait until the gold price rises and then sell their assets to earn a profit.
3) If the investor does not know how to read prices correctly they could buy at a high price and then find out that they paid too much or risk buying at a low price and never see it increase.
4) Investors usually buy and sell physical bullion that is hard to handle and takes up a lot of storage space.
What is the Difference Between Bullion and Bars?
Bullion is specifically for the most pure form of precious metal, while bars are typically for gold, silver, platinum or copper. This means that bullion is the most valuable.
Bullion refers to any precious metal in its purest form, not mixed with any other metals or materials. Bullion coins are also popular because they are easier to store and transport than raw metal bars.
Bars are not as valuable as bullion because they contain a high percentage of base metals like copper or silver with some percentage of gold or platinum.
Bars come in different shapes and sizes so it’s important to know what kind you’re buying before you make your purchase. One standard for gold is the 400 troy ounce bar which is about 12 inches long and 2 inches wide.
Investing in Cryptocurrency
Tons of people are investing in cryptocurrency.
Every day, startups are launching Initial Coin Offerings (ICOs). These startups use cryptocurrencies, like Bitcoin and Ethereum, to raise funds for their new project.
There are also tons of cryptocurrency exchanges that allow people to buy and sell cryptocurrencies.
Investing in cryptocurrency is a bit risky – the prices can change drastically from one day to the next. But since cryptocurrencies are not backed by any government, they are not as volatile as currencies like the US Dollar or Euro.
Should I Still Invest In Gold or Should I Move On To Something More Profitable Like Crypto?
For some people, gold is just a metal that looks pretty and has little monetary worth. Gold has been used as currency and currency for thousands of years. However, it doesn't have any intrinsic value and can be easily manipulated by the government. On the other hand, crypto currency is decentralized and better because it's not under government control. The crypto currency's price can't be manipulated by anyone other than the market itself.