Buterin has shared his views regarding the argument that gold represents a superior decentralized store of value compared to cryptocurrency.
In his release, the Ethereum co-founder, Vitalik Buterin, raised some criticisms regarding gold as a decentralized alternative to crypto, saying it was inconvenient and complex to monetize. In his words, the Russian-born Canadian programmer said, talking about gold, “incredibly inconvenient and difficult to use, particularly when transacting with untrusted parties.”
Continuing, Buterin also mentioned that gold does not support safe storage options like multisig (a digital wallet that supports multi-signature addresses) and is more limiting in terms of adoption.
The first of Buterin’s statements was a response to American cartoonist Zach Weinersmith, who said that the only argument about crypto that he’s heard that makes sense within the believer’s framework is that they don’t want a centralized authority for money. So, why not gold?
However, Vitalik Buterin was only one of many that disagreed with cartoonist, Weinersmith.
Uniswap’s founder Hayden Adam also shared his piece regarding the argument, saying that crypto was a more long-term solution for financial security than gold.
In his argument, Hayden pointed to a theory that newer and more lucrative precious metals from asteroids were a very valid possibility in the future, which could cause a drop in the value of existing precious metals like gold.
However, this is not to say the precious yellow metal does not perform well in preserving financial portfolios. After all, many private and institutional investors have leveraged it over the years.
Besides, gold has also been less volatile than cryptocurrencies in recent times.