hey everyone welcome to my channel and welcome back to my subscribers this is where we talk about money savings and turning your hard-earned cash into wealth building assets this is bald guy money i am bald guy let's talk money today our topic is really important and it is the budding bitcoin versus gold argument that we're going to cover and i want to make one thing perfectly clear from the start if you're expecting me to really bash either one of them well this is probably not your video because i am


simply going to take a look at the truths and compare them one to one of bitcoin versus gold so please watch this video to the very end because the last thing i am going to do is i am going to break down what i think is a good ownership level of people at different age brackets i've done this in past videos i'm going to repeat it now and it's basically going to give you an overview of both bitcoin and gold split at different age groups and as always please remember this is not investment advice this is


educational if anything and as a favor to me please hit the like button please please please show your support let's try to get it over 500 for this video don't forget to follow me also on instagram at bald underscore guy underscore money if you'd like daily updates on what i'm thinking and what is going on with me okay so now that that's out of the way bitcoin versus gold like i said a very important topic and i felt really compelled to cover this topic in a video because i've been seeing some pretty


concerning comments in the comments section of my videos that absolutely shows that both sides of this argument people on both sides of this argument have um what could i call them misconceptions when it comes to the other side so to evaluate each one of them fairly i have come up with a list of five things i think are important when deciding which one to invest in as well as how much to invest in each one of these two things and here's the list number one a risk evaluation number two potential investment upside


number three the use case for each one of these number four the longevity and number five the ease and safety of storage and i'm gonna cover all five of these in detail starting now so let's tackle them in order uh starting from the risk factors associated with both of them and so let's bring up the first comparison okay so when doing this i really tried to be pragmatic and determine what things i am absolutely most concerned about in each topic so when it comes to actual risk investment


i started from the chances that it has to go to zero and as you can see actually gold having been around for so long it really has no chance that it's going to go to zero because there are uses for it that i'll cover later on that basically mean it's always going to be around and the truth is that bitcoin although the chances i really put out being extremely extremely low at this point in time they still exist and in that particular point gold beats bitcoin okay now looking at the second one


uh with respect to counterparty risk is it easy to counterfeit one or the other when it comes to bitcoin it is actually impossible to counterfeit it because of the large network that is employed in verifying who holds how much with gold you know many of you gold investors or people who have ever been interested in investing in gold understand that there is a lot of counterparty risk and it is actually possible to purchase counterfeited gold or you know gold plated lead bars it's happened before i'm not


saying it's common especially for people who know what they're doing but the risk exists whereas it doesn't exist for bitcoin the third point when analyzing risk is how volatile these two investment vehicles are and we know that bitcoin is a lot more volatile than gold so on that point gold wins and when it comes to whether or not these two things can be hacked or banned or made illegal well the fact of the matter is many governments had have tried to make them both illegal throughout the course of history and it


simply has never worked both of these things are what you could call decentralized and it is impossible to fully get them out of the hands of the people who have them and stop transactions happening with them being used as a medium okay now with all that said looking at the scoreboard we see that actually gold had three positive points in that comparison and bitcoin only two so what we're going to do is we're going to give one point to gold so let's move on to the next one the next one is investment upside


what i'm trying to evaluate here is which one has the best chance of experiencing high levels of growth and as you can see it's not really that close over the last five years bitcoin has grown by sixteen thousand five percent whereas gold's price has only increased about 40 over the last five years when it comes to the total market cap of bitcoin versus gold a lot of people think that bitcoin's market cap should be equal or exceed that of gold which means that bitcoin has at least a 10x to


do from here whereas as we established in the risk department gold is relatively stable especially versus bitcoin so here bitcoin has a much higher upside at least a 10 x factor from here when it comes to exactly where these two investment vehicles are with respect to their price development we know that bitcoin is an exploration mode and gold is rather established what that means is as i mentioned in point two bitcoin has a much higher chance of having large upsides which mean you can actually


significantly increase your investment in bitcoin versus gold should you and choose to invest in bitcoin versus gold today and point number four is actually taking a look at how much institutional money is in gold versus bitcoin now when we look at gold the first etf so exchange traded funds launched for gold back in i believe it was 2004 and since then a lot of money has poured into gold significantly increasing the price of gold since then when we look at bitcoin the first etfs have only just been approved last week


and there will probably be more content on this channel coming on that topic but what that means is that now that institutional money can safely enter bitcoin there is a huge upside for bitcoin and i covered it in a previous video about bitcoin explaining exactly what my price prediction is once the etfs get approved and if you have seen that video you will know that i'm expecting bitcoin now to head straight up to 85 000 which i'm expecting us to hit by the end of this year so let's bring up the scoreboard again that


was a clean sweep actually in that round and that brings our score to one for bitcoin and one for gold okay let's not waste any more time moving on to the next topic the next point is on the use case and some of you gold bugs out there may be a bit disappointed with this but please let me explain each point number one when it comes to liquidity i do understand that gold is pretty liquid and you can take it anywhere and and sell it almost at any time even on the free market to people whether it's on a facebook marketplace


or on ebay etc but the fact is that bitcoin is much more liquid right now i can click a button and i can sell it basically at the spot price for a very low transaction fee and get my money out of bitcoin right now whereas with gold we know that it's much more complicated to find a counterparty to purchase your gold and also when you're taking it for example to a coin shop the fact that they simply don't give you the full amount of spot because they need to have some margin there for themselves


the second point is that bitcoin is super divisible you don't actually have to buy a whole bitcoin i do know that you don't have to buy a whole ounce of gold or a kilo of gold there are fractional coins of gold but the fact is once you're holding a fractional point it is impossible for you to divide it into smaller units whereas in the case of bitcoin you can divide a whole bitcoin into a hundred million satoshi's which means you know even if you're holding a half a bitcoin you can still


divide it into many subparts which actually gold you're not able to do that now on the third point is with respect to widely accepted for payments here i know maybe some of you gold bugs will actually have something against this point but the fact of the matter is nobody's really going around with gold coins and using it for transactions especially when you're talking about smaller transactions because there is again i bring it up counterparty risk that from the risk factor you could be


trying to pass off fake gold whereas with bitcoin when you're depositing it directly into somebody's wallet it's easily verifiable whether or not they're getting real bitcoin and in fact you can youtube this there was a video i saw done recently where i believe it was a cnn or fox news person goes around new york city just paying things for bitcoin we know that in that video they had to pay a big premium on things but the fact is that bitcoin is accepted for payments by a lot of companies whereas if you call


uh tesla for example they have never accepted gold coins and from what i understand they will be accepting bitcoin again soon and the last point is actually that you know there's very low pressure on bitcoin transactions you're going on to an exchange and you're selling the bitcoin into the exchange and taking the liquidity out of bitcoin whereas with gold there's kind of pressure associated with these transactions when you're trying to get your liquidity out of it if you go


to for example a coin shop i'm sure some of you have probably been disappointed at what the person the proprietor of the gold shop has offered you so when we're talking about the actual use case and liquidity of it definitely bitcoin is an all-around winner here and that brings our tally on our scoreboard to two points for bitcoin and one point for gold but that's not the end we still have two more topics to explore so let's explore the next one the next one is longevity and what i


mean by longevity is basically how long it's been around how long it will be around and how durable it is in the long run and this will be no surprise to you gold kicks bitcoins but when it comes to longevity and why is that well gold's been around for thousands of years whereas bitcoin's only been around for 11 years i even admitted in the first point that although the chance is very very small and i estimate it to be certainly less than five percent bitcoin could at some point go to zero whereas


gold never will now when it comes to being affected by the elements i mean you're storing bitcoin for all intents and purposes on a hard drive in many cases and the fact is that a hard drive when exposed to the elements can deteriorate become damaged and you can lose that bitcoin whereas that would never happen to a gold bar or a gold coin or even gold jewelry number three is about the future gold has been around for a long time gold will be around for a long time now although i think the future for bitcoin


is extremely bright the future is still unknown i'm not nostradamus i can't predict exactly what's going to happen with bitcoin but the fact is we have to admit no matter how much i personally like bitcoin and i invest my personal money into bitcoin the future for it is unknown whereas the future for gold is pretty solid solid gold number four the fact of the matter is once it's lost and i've mentioned this you know on the channel before that it's happened before for example that somebody's had a large


amount of money locked away in bitcoin they've sadly passed away with the knowledge of their keys to access that bitcoin going with them and that bitcoin is sadly lost forever and the fact of the matter is that can't happen with gold you know whether you hide it in a shoe box buried in the backyard i mean okay maybe you won't be able to find it uh now but i'm sure somebody somewhere down the line we'll be able to find it and that gold will actually never go out of circulation and i think proof of that is


my roman coin collection which i've shown one piece of that in another video so the point tally now we're up to two points for bitcoin two points for gold how is this going to finish the last topic here we go the last point is the storage and safety aspect of bitcoin versus gold and and no matter whether you're stacking satoshi's which is the base unit of bitcoin or beautiful golden american eagle coins or even large gold bars we all have to wrestle with the best way to store our


belongings so point number one well when comparing bitcoin to gold the fact is and i covered it in the last point is that you know it can be lost so i mean that point we've already established but when it comes to being stolen i mean bitcoin a lot of people have had their keys stolen have been the victims of uh phishing scams and have lost their bitcoin that way whereas we know with respect to gold it is not that easy to steal gold from somebody somebody's gold can't be stolen by the result of a telephone call or a


sim card swap which can happen in the case of bitcoin number two a bitcoin is actually extremely easy to store it's cheap to store whereas gold especially if you're a big gold bug you know if you're thinking some people who have millions of dollars worth of gold they actually have to pay for it to be in a safe have to pay for guards etc it's simply much easier to store bitcoin and this is a known fact with respect to portability again i mean bitcoin is extremely portable and that


is actually from the first point which which makes it extremely easy to lose but gold it's not extremely portable and again if you have even a hundred thousand dollars worth of gold i mean try to get on a plane with that it's not very easy and the fourth point that is a minus for bitcoin but a plus for gold is that bitcoin actually you require technology to access it whereas with gold you don't require any technology or or electricity or anything to access it you simply access it by its


presence so that gives us a final tally of two and a half for bitcoin and two and a half for gold and i'm sure some of you are probably disappointed because you wanted a definitive answer of which one i think is better but remember it's october 2021 bitcoin's only been around for 11 years and the fact of the matter is that this game is only in game one of a best of seven series and there are more games and more analysis to be done and from where i'm standing i think bitcoin is the better investment


with respect to returns but certainly gold is the better investment with respect to safety the one thing i can say is when i'm investing in bitcoin i never invest more than i'm prepared to lose and when investing in gold i never invest more than i'm prepared to have frozen at one time because of the let's call it poor liquidity of gold versus bitcoin so to keep things simple for everybody i made this table you can bring it up now okay to illustrate just how much gold measured in troy ounces


and bitcoin i think it's important to have split by age group with the assumption that bitcoin is higher risk and will grow in importance over time so for 18 to 35 year olds i think it is good to have as a minimum ownership goal 0.1 bitcoin when it comes to having an ambitious goal i think having one bitcoin is actually an amazing goal because that puts you in absolutely rare company and could potentially make you a millionaire by today's standards in the future when it comes to gold if you've seen my


video on the minimum ownership guide for gold you'll know that i really think it's good to hold a minimum of five troy ounces of gold in bouillon coins with a goal of 10 ounces which i think is actually a fantastic level and a significant amount of savings that could come in handy being protected from inflation should you need to have some money in case of a rainy day for 36 to 50 year olds i think a little less is actually needed 0.05 bitcoin which is fair share for about 20 people is a good level of let's


call it bitcoin insurance should bitcoin become extremely important in the future and as a goal i think it's a very good goal to hold 0.25 bitcoin as in in my bitcoin ownership guide video i broke down an example that if there are 53 million millionaires in the world which we know this is a fact divided by about 14 million bitcoin in circulation assuming that 7 million have been lost if you split that 14 million 53 million times that leaves about 0.25 bitcoin for every millionaire in the world meaning that by securing


yourself 0.25 bitcoin you will have secured yourself millionaire level bitcoin and with respect to gold i think for 36 to 50 year old people again that minimum of five ounces is quite important to try to to strive for but upping your your goal level up to 15 ounces is probably a little bit safer understanding that you want to hedge yourself a little bit more versus inflation and take a little bit lower risk later in life and for 50 year olds 50 plus i should say i think 0.01 bitcoin to secure it really as


let's call it a minimum insurance level for yourself should it become important in your lifetime and should you need to have it is a very good idea to do and with a goal of buying 0.1 bitcoin which in fact if bitcoin reaches that million one that one million two million three million dollar level should be more than enough to to secure someone who is 50 plus uh well into retirement and again coming to gold five ounces as a minimum and i think you know considering the fact that bitcoin comes


with a little bit more risk it's better as a goal to try to shoot to have a little bit more gold to again hedge yourself against inflation and protect your money without adopting too much risk okay so now that that's done let's summarize number one bitcoin has a huge upside but comes with more risks bitcoin's digital ease of use means it will be preferred in the short term again remember it's easily divisible very portable and when you're talking about a generation especially millennials


gen z who do really everything on their mobile phones again this is a very fantastic form of wealth preservation that they will prefer over gold again at least in the short term number three it is important to secure your bitcoin insurance as i call it in case it booms don't be left out in the cold today bitcoin i think it's a little bit above sixty thousand dollars and i've been preaching this really since bitcoin was um right around forty thousand dollars or even a little bit below forty


thousand dollars and again people i really believe that uh you should consider securing a little bit of bitcoin for yourself because from my from my point of view the next stop is 85 000 which will hit by the end of the year now when it comes to gold number one gold is a great store of wealth and it isn't going anywhere i've illustrated this in my gold investing video i will link it up at the end of this video that gold actually performs very well if you dollar cost average in versus inflation


ensuring that you don't buy any peaks so that's a fantastic thing to hold it has always been and i truly believe it always will be but the fact of the matter is looking at point number two gold will never ever make you rich not like bitcoin can actually change your life bitcoin represents what some youtubers popular youtubers i'll name kryptos r us george i am george shout out to george if there are any george fans out there james from invest answers that's another guy i really enjoy


watching and they always refer to bitcoin as representing a major transfer of wealth and actually for people who are accumulating right now having the possibility of giving you life-changing wealth whereas gold it will protect your money 100 against inflation but it won't deliver anything that's life-changing to you something that you can you know going into your 50s say wow i don't have to worry about retirement anymore bitcoin actually can give that to you should bitcoin of course develop


the way a lot of experts say it will develop and the third point is as i mentioned and i've mentioned this in other videos securing yourself five ounces of gold in case of a rainy day to protect a significant amount of money from inflation to get you out of a jam should you need it should there be a collapse of the monetary system should bitcoin disappear should the american dollar disappear should all fiat currencies disappear having five ounces of gold is a really good idea okay before we wrap it up i just want to


say for full disclosure that i have both bitcoin and gold my position in bitcoin however is much much larger than my position in gold is and i do plan on taking profits at some time in the future on my bitcoin to get my initial investment out which is now more than doubled since i started investing in bitcoin and that's a fact uh so if you're not subscribed to my channel do so now because i will actually uh when it comes time for me to start scaling out and taking my profits on bitcoin i'm going to cover it right


here on the channel i'm going to say exactly when i'm doing it how much i'm selling at different increments and exactly tell you guys how much i'm going to keep to hold on to ride right into the future because again as much as i think it's a great idea to hold bitcoin i think once you've reached a certain stage and you've made enough profits to where you can take your initial money off of the table i also think that's a very wise thing to do before i sign off please also check out


my other videos if you're interested in where i stand on different investments i am i want to be perfectly transparent on the things i hold although i say i believe in diversification i do diversify but i don't buy too much of any one thing in the different categories i invest in and i'll tell you right now what those things are i invest in bitcoin i invest in ethereum i invest in chain link those are the three cryptos i invest in when it comes to precious metals i invest in only gold and silver


when it comes to real estate i prefer and you can go back to my first video where i talk about this i prefer smaller units a single bedroom big cities close to um major major public transportation hubs and with respect to the stock market again i only hold four stocks tesla alibaba airbnb and pfizer not including an etf actually that i purchased many years ago and i'm still investing in that but when it comes to individual stocks only those four so i do cover those in other videos so stay tuned to


the channel i will be covering all those different things in varying in varying degrees in future videos so please stick around for that if you have any questions please please drop them in the comments section i am super active there i will answer your questions i will uh respond to your comments please try to keep them respectful and i want to let you guys know that financial security if not financial freedom is attainable it all it requires is the right information and it requires the right attitude arrogance and the i know


everything attitude is actually not going to get you there and that was one of the reasons why i made this video is because i've been encountering it on both sides the bitcoin people think they know everything the gold people think they know everything boy there was one comment where somebody said that bitcoin can be hacked and go to zero i mean really if you understood how the network worked you wouldn't be saying really wild outlandish things like that and all i'm saying to everybody watching this video


is open your minds be open to some education a little bit of humility i mean again i mentioned some of the youtubers that i'm watching i'm out there because i'm also trying to learn i'm out there reading articles i'm out there you know consuming as much content as i can because i'm trying to get my point of view as well rounded as possible again and i'm trying to pass on as well a lot of the things that i've consumed onto you the viewers so you can benefit from that


as well so that's a little bit of a rant i've gone way off a topic so i'll wrap it up as always i wish you guys happiness guys and gals happiness i wish you success see you in the next video