According to renowned investor Anthony Scaramucci, Bitcoin might be better than gold.
Scaramucci is actually most famous for being the Director of Communications at the White House for just 10 days during the Trump administration, from 21st to 31st July 2017.
However, he is primarily a financier, as he started at Goldman Sachs in the late 1980s and then founded SkyBridge Capital in 2005.
He is known for his pro-Bitcoin stances, so much so that he added the hashtag #Bitcoin to his official Twitter profile bio.
In January, SkyBridge launched its own bitcoin investment fund, the SkyBridge Bitcoin Fund LP, and Scaramucci has long argued that in some ways bitcoin could be better than gold.
This time he said so publicly during an interview on CNBC’s Squawk Box television programme:
"It was 1500-something when Copernicus said we may be revolving around the sun. Things do change," says @Scaramucci on #bitcoin #btc. "In a lot of ways if you really study it, it's better than gold. It's easier to store. You can move it around more quickly." pic.twitter.com/X7vfu1A9eU
— Squawk Box (@SquawkCNBC) March 18, 2021
Bitcoin better than gold: “things do change”
Scaramucci compared the current situation with that of the 16th century when Copernicus stated that the Earth revolved around the Sun, and not the other way around. In this connection, he said:
“Things do change”.
The allusion is precisely to gold, which has always been seen as the best store of value in existence.
But, according to Scaramucci, when studying Bitcoin closely, one can see that it can be better than gold in many ways. For example, it is easier to store and maintain, and most importantly it can be moved more quickly and easily.
So although gold has been the ultimate store of value for 4,000 years, nothing is forever, and in this role, it could now be undermined by Bitcoin.
However, he also suggested being cautious, and not owning a lot of it: according to Scaramucci, only a portion of one’s assets should be held in BTC.
One thing Scaramucci did not say, but which could play a crucial role in Bitcoin’s replacement of gold as a store of value, is that the scarcity of gold is obvious but not guaranteed, since, at least in theory, it might be possible to mine it in larger quantities in the future. By contrast, the scarcity of Bitcoin is guaranteed, and there is an almost absolute certainty that fewer and fewer BTC will be created in the future. In this Bitcoin is definitely and obviously better than gold, because it is not only scarce, but its scarcity is predictable.
Nevertheless, it is important to remember that gold is also a commodity, with its own market, whereas Bitcoin isn’t.