Gold is better than Bitcoin during war situations, says US Global Investors Exec
The Chief executive officer of US Global Investors believes that Gold is a god in high tension situations in the world.
In the present time, Russia vs Ukraine high tension fight is going on. However, Russia is showing higher aggression than Ukraine but due to better support, Ukraine is standing strongly against Russia. All these things are Shaking the whole crypto and stock market in the world. In particular, the Russian stock market crashed by 30%.
On 24 February, Frank Holmes, CEO of US Global Investors, shared his thoughts on gold vs Bitcoin under the current geopolitical situation during an interview with Kitco news.
Holmes said that Gold is a heaven from the point of safety and already it proved in the past under high tension situations, whether it was war or political tension.
The Executive also noted that we should not consider the bad performance of Gold last year to keep Gold away from investment and trust.
He noted that Bitcoin is not bad as an alternative to the gold as a safe asset but noted at the same time that Bitcoin is still in the initial phase of adoption among the young generation and there is huge to see from Bitcoin to prove.
Holmes believes that Bitcoin will overtake Gold when all the legal hurdles and regulation systems enter the world with full clarity.
“When you look at gold, its breadth and depth of historical significance as a wonderful asset is showing up when you have war. Bitcoin is a new phenomenon. <…> Historically, it’s been gold, and I would stick with that. Once we get more regulations that come into the crypto ecosystem, then Bitcoin will take on as another next leg of interest globally,” said Holmes.
The executive claimed that Gold is still underrated if we compare the current global economic situation of the world where we saw huge inflation and hikes in interest rates.
Besides all these things, the CEO noted that Bitcoin is facing big issues because of its problem of regulation. And he believes that the crypto market can’t perform like the Gold market because of the problems of the regulation system, which is still unclear from almost every country.
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