Bitcoin and Gold have always been compared side by side, with many believing Bitcoin is digital gold for a number of reasons including its limited supply. Gold’s $8.5 trillion cap is what many have also said will be surpassed by Bitcoin. Nonetheless, a member of the cryptocurrency community was quick to ask, how many uses cases has Gold gotten so far?
Prediction of Bitcoin’s Market Cap Exceeding Gold’s
While Bitcoin’s market cap of $82 billion today has been predicted to hit Gold’s cap after May 2020 when the halving occurs, many are more interested in what Gold has achieved so far. It may be one of the best ways to hold an asset in the case of an inflation, but how many stores or companies around the world are accepting it for goods and services?
According to the user @notgrumbles on March 31: “Merchants don’t accept #bitcoin” is such a meme at this point. How many stores that you’ve been to accept gold?”
Bitcoin Gains Massive Adoption in Turkey, Venezuela, and Zimbabwe
Currently, Bitcoin is exchanged for goods and services in Turkey, Venezuela, and Zimbabwe and it was triggered by the high inflation in either country. The virtual asset is also accepted by companies such as Chess, Microsoft, Overstock, Wikipedia, and the likes of Starbucks has taken a step in that direction.
A U.S. state like Ohio is accepting it for taxes and New Hampshire has plans to do the same. Public rides in 37 locations in Argentina are also paid for with Bitcoin. Now, if all these sound farfetched, then let’s bring it home. Food can be ordered from several portals, cars can be bought in Oklahoma, houses paid for in Turkey, and several others.
Gold as a Legal Tender Has Fewer Use Cases
Now that Bitcoin’s out of the way, Gold, on the other hand, which is considered a legal tender has not been widely accepted as a means of payment. There’s really not a number of stores out there you can walk into to trade your Gold for a pizza, a car, watch, or play chess.
Nevertheless, the Tweeter was quick to add that: “My point is that using merchant acceptance as a way to measure Bitcoin’s “success” is misguided. As an example, look at gold. No one uses gold to pay for coffee. Gold is useful for other things. Similarly, digital gold is useful for more than just paying for coffee.”
While the community had a lot to say, another user’s view was not very far from that of @notgrubles.