Crypto

Ethereum Co-Founder Vitalik Buterin Names Reasons Why Cryptocurrency Is Outperforming Gold

Ethereum Co-Founder Vitalik Buterin Names Reasons Why Cryptocurrency Is Outperforming Gold
Ethereum co-founder Vitalik Buterin has criticized gold as a decentralized alternative to money, calling it “incredibly inconvenient” and “difficult to use, particularly when transacting with untrusted parties.” In addition, he also pointed out that gold “supports safe storage options like multisig” and also claimed that “gold has less adoption than crypto, so crypto is the better bet,” reports Decrypt.

Buterin’s statements came in response to American cartoonist Zach Weinersmith, who said that the only argument he has heard about crypto “that makes sense within the believer's own framework is that they don't want a centralized authority for money.”

He added: “In that framework though, why not just go with gold?”

Buterin has held this view for a long time and has spoken about it in debates since 2014. “Bitcoin itself may well serve as a unique Schelling point for a universal fallback asset, similar to the current and historical functioning of gold,” he said in a blog post.

Uniswap founder Hayden Adam also jumped into the discussion and theorized that in the future, precious metals mined from an asteroid could potentially cause the value of precious metals to plummet.


A recent report from Bank of America Securities (BofAS) showed that Bitcoin now has a higher correlation with gold prices, implying that some parties may use it as a hedge against uncertainty or as a “safe haven” asset.

© 2022, Eva Fox | Tesmanian. All rights reserved.

_____________________________

We appreciate your readership! Please share your thoughts in the comment section below. 

Article edited by @SmokeyShorts; follow him on Twitter

About the Author

Eva Fox

Eva Fox

Eva Fox joined Tesmanian in 2019 to cover breaking news as an automotive journalist. The main topics that she covers are clean energy and electric vehicles. As a journalist, Eva is specialized in Tesla and topics related to the work and development of the company.

Follow me on X

Reading next

Tesla Semi Spotted in Final Testing Ahead of Delivery to First Customer on December 1
Tesla Filed a Patent for a Hydraulic Coupling Device for Its Structural Battery Pack's Cooling Systems

Tesla Accessories