This week, Barstool Sports founder Dave Portnoy interviewed the Winklevoss twins about bitcoin. The Winklevoss twins are noted tech founders. Today they operate Gemini, one of the largest crypto exchanges in the world.
The interview was… strange. The Winklevoss twins tried to convince Dave that bitcoin was the best inflation hedge, and that gold was “for boomers.” One of their primary arguments was that eventually huge space asteroids will be mined for gold — making the precious metal practically worthless.
“There’s billions of dollars of gold floating in asteroids around this planet, and Elon [Musk] is gonna get up there and start mining gold. […] That’s why gold is a problem, because the supply isn’t fixed like Bitcoin.”
This is a very strange way to promote bitcoin. First of all, IF we ever manage to mine asteroids, I suspect it will be at least a thousand years in the future. We aren’t even CLOSE to having the technology required to go out into deep space, capture asteroids and bring them back to Earth.
And even if we do get the necessary tech, do you think people will be OK with towing huge asteroids towards Earth? I somehow doubt it.
To use asteroid gold as a justification for why people should own bitcoin makes all us crypto folks look crazy. There are plenty of very valid arguments that can be made — such as the fact that governments around the world are printing gobs and gobs of fiat money.
I don’t know why some bitcoin owners feel the need to put gold down. I love both investments. I think it makes an incredible amount of sense to own both in this environment. Bitcoin is a higher risk and higher reward hedge against possible inflation. Gold is a far safer way to hedge, but with less upside potential.
I also don’t understand why gold owners feel the need to put down bitcoin. Bitcoin is emerging as a valid form of hard money. It has an incredible track record as an investment. And it is already fulfilling its purpose as an alternative store-of-value.
I will continue to hold plenty of both assets.