Oil Isn’t a Store of Value, Bitcoin Is, Says Crypto Billionaire
Bitcoin is a Store Value More than Oil
Cameron Winklevoss, the co-founder of Gemini exchange, took on twitter to advocate bitcoin yet another time. Amid the fall of almost all the sectors due to the pandemic situation, many believe bitcoin to be a safe investment.
In the recent tweet, Winklevoss says that bitcoin has more store value than oil which has witnessed a plunge in demand in recent times.
With the growing adoption and surging prices, Winklevoss pushed one of the favorite digital assets as the most scarce asset ever, Bitcoin. At the press time, Bitcoin is trading at $11753 against USD with a little surge of 1.56 percent within the past 24Hrs. However, the key argument of Cameron is that Bitcoin’s max supply is limited and known whereas its hard to analyze the scarcity of other traditional assets such as Gold and Oil.
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Bitcoin – The More Scarce Asset
The ongoing critical economic phase has left for the investors to hunt for a reliable asset to invest upon. The less demand in oil has forced governments like Iran to offer security bonds backed by oil.
Conversely, the co-founder of Gemini says bitcoin is a better option than oil. Bitcoin has more store value and it’s more scarce than oil. However, the crypto followers agreed to his point, but some of the users marked their disapproval.
World Oil demand Fell Steeply
According to a recent statement by the Organization of Petroleum Exporting Countries(OPEC), oil demand has declined worldwide. This is due to the ongoing COVID-19 crisis, which had left almost the whole world under a lockdown.
However, the decline in the demand would be recovered in the following months as many countries have eased their lockdowns. Therefore, the oil demand is expected to bounce back by next year.
In a nutshell, the COVID-19 pandemic has affected every sector inversely. Henceforth, the investors are in search of ‘safe havens’ for their funds. Therefore, as said by Winklevoss, Bitcoin could be a better option as the digital asset is expected to outperform all other traditional assets in the coming days.
Published at Fri, 14 Aug 2020 05:29:58 +0000