The price of Bitcoin hit all time high above $19,000 on Nov 30. why is it valuable?, Should you buy?

Gold has been used as store of wealth for 5000+ years, from Egyptians, Romans, Indians to modern nations

In 1600’s, the Dutch republic was economic super power. The wealthy Dutch merchants chose Tulip to flaunt wealth (new gold)

In 1637, the outbreak of Bubonic plague led to collapse in Tulip market, resulted in flight back to traditional stores of value

US $ was asset backed security until 1971 i.e USD convertible to gold at fixed rate

Thus USD became fiat currency with unlimited supply with central bank in total control

The global wealthy are touting bitcoin as decentralized alternate store of value for excess wealth i.e Electronic Gold

Like Gold unlike Fiat currencies, Bitcoin is limited in supply and there is no electronic alchemy to artificially produce Bitcoin

$9 Trillion worth of gold has been mined so far, if humans collectively assign equivalent value to Bitcoin, it will soar to $500,000

Before that happens, will there be a bubonic plague equivalent for bitcoin ? – catastrophic electric grid failure, collapse of network or birth of quantum computing that can break the code

Your guess is as good as mine

Views are personal

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