Sandeep Biswas, CEO of Newcrest Mining, one of the largest gold miners in the world, said the sharp rise in bitcoin prices should force crypto investors to keep gold as a safe haven.
In a Feb. 11 interview with Bloomberg TV, Biswas criticized bitcoin’s volatility (BTC), calling the credentials of gold a proven haven against monetary inflation.
“If you like cryptos, you might want to consider having gold,” said Biswas, who heads Australia’s top gold producer. ‘[Bullion] can protect a little from the volatility of cryptos. ”
Bitcoin has drawn comparisons to gold, and the best cryptocurrency is now accepted in some circles as the digital equivalent of gold. This week, BTC hit a record high of $ 48,800 after Tesla, the maker of electric cars owned by Elon Musk, unveiled a $ 1.5 billion investment in digital currency.
Tesla’s investment has sparked debate over whether bitcoin would eventually take over gold as the safe haven. Biswas was not impressed and emphasized that gold is more stable than BTC, and that crypto investors who own the precious metal benefit from this stability. He explained:
Gold is another investment class. It’s a tangible asset: you can see it, you can touch it, you can feel it, you can shape it, you can make it into jewelry, whatever you want.
According to Goldman Sachs Group Inc. bitcoin and gold can coexist, even if the crypto-asset holds the metal of some of its investments. Goldman believes gold will endure the capital flight. Bloomberg trading strategist Mike McGlone also argued that BTC had degenerated into a gold-like store – a digital version of gold.
Spot gold has so far been about 3% lower at $ 1,826 per ounce after reaching a high of more than $ 2,000 last year. At the time of writing, each bitcoin has been trading at around $ 47,649, up 0.18% over the past 24 hours, according to data from markets.Bitcoin.com.
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