Mark Cuban wants to buy more bitcoin, says gold investors are 'dumb'

LTC Eugene Chu
...""If everything went to hell in a hand basket and you had a gold bar, you know what would happen? Someone would beat the f--- out of you or kill you and take your gold bar," he explained.

When comparing the two, Cuban said that both gold and bitcoin are a "store of value", meaning he believes that both assets maintain their value rather than depreciating.

However, there is a key difference between how gold and bitcoin derive value.

Gold's value is derived from its relative scarcity and its long history of being traded for goods and services.

On the other hand, bitcoin and other cryptocurrencies are a relatively new form of payment.

Most digital coins don't derive their value from an underlying entity which makes them subject to unpredictable fluctuations in price."

The big difference is that bitcoin is a floating currency that isn't even backed by a governments ability to tax its citizens until hell freezes over. I am not personally a Gold freak, but with any real commodity, they will always maintain some value. FTX made it pretty clear that digital currencies can disappear as soon as someone loses faith in them.

I never understood the lure of rare metals as an investment. Because if you own stock in a safe company doesn't the value of the assets of that company also inflate naturally in sync with the price of Gold over time, and in addition don't you also have the performance premuim added to the inflationary rise. Rare metals you only get inflationary rise plus any demand effects, so in my view you have to be good at timing the market to cash in with precious metals and beat stocks. Also precious metals cannot be traded in bulk as convienently as stocks and I believe they need a special market.......the largest of which is in Europe not the United States. Which is another turn off for me.