Peter Schiff believes that Gold will reach heights but Bitcoin will not hold any value and come down to zero in future
Pomp educates Schiff on Bitcoin and tells that, Gold’s volume till date cannot be traced whereas Bitcoin’s total volume can be done so
Schiff - Gold will be preferred over Bitcoin as the central banks have them in abundance in their reserves.
Schiff and Pomp Live Debate
Peter Schiff and Pomp recently streamed their live discussion featured on ‘Gold vs Bitcoin’. Gold supporter Schiff in the whole discussion does accept the properties that Bitcoin possesses but also advocates that gold is a better investment than Bitcoin as it is in reality.
On the other hand Bitcoin promoter Pomp, enlightened some of the points about Bitcoin and explained to him why people and Fed will consider the digital asset in case if the dollar declines.
‘Central Banks are buying Gold not Bitcoin’ – Schiff
Pomp advocated Bitcoin with the fact that bitcoin is not more divisible, can be traced, and also has outperformed Gold significantly. He also said that Gold took more time to reach its heights but bitcoin has risen from nothing in very little time.
Talking on the global monetary asset, Peter Schiff said that the Central banks prefer Gold more than Bitcoin. And hence, people also believe and buy Gold more than Bitcoin in case dollar crashes.
Gold is backed by Currency but Bitcoin is a Currency
Currently, the US Dollar backs the major currencies of the world and also the international trade. As per Schiff, the dollar has started its declining stage and the other government will look out for other options to back their currencies. And therefore, Gold will be preferred over Bitcoin as the central banks have them in abundance in their reserves.
However, Pomp completely disagrees with Schiff’s claims and makes him aware of the fact that the governments are moving forward towards the digitalization of the currencies. Giving an example of China’s digital yuan, Pomp said that the central banks now are not dependent on the paper fiat.
Hence, digital currencies like Bitcoin and the country’s own digital currency are independent and do not require fiat backing. Hence, Pomp calls out Bitcoin as Currency and tells that gold needs fiat backing but Bitcoin is Currency itself.
While speaking about the asset class, Peter argued that if Bitcoin is a currency then what other altcoins are, if Bitcoin will be the global digital reserve, what would happen to other assets like Ethereum, Monero. Responding to this argument, Pomp breaks Peter’s point and says that ‘it’s like saying what happens to Silver when Gold is a prominent asset’.
Interestingly, Schiff and Pomp Live Debate on Bitcoin and Gold fired the web at the start of the week. Infact at the exciting time when Bitcoin had reached its ATH. Bitcoiners are celebrating the much anticipated surge of Bitcoin as it breaks $10K mark. At the time of reporting this, Bitcoin is surging by 4.87 percent within the past 24Hrs and trading at the value $10,179 against USD.
Both Pomp and Peter received good responses and support from the netizens. Some users told that they accept Pomp’s claims and predictions on Bitcoin but many agreed with Peter too.
One of the users tweeted in response to the debate that he can very well use bitcoins wherever he wants. What’s more interesting is that Pomp brought the fact of Bitcoin’s finite number and during the debate, Peter points out that the Gold also has a finite value and adds that ‘we don’t know the numbers’ though.
So what’s your take on this debate, readers? Let’s discuss on Twitter. Tag us @Coinpedianews