Gold and Bitcoin in a bull market, why? And what are the differences? | 322 B

About the episode

The gold market is doing well. The precious metal, which is regularly regarded as a ‘safe haven’, has been in an upward trend for months. What is this explosive increase (for gold) due to? According to Bloomberg, China has an important share in the rally. On the one hand, the central bank would purchase large amounts of gold in order to become less dependent on the dollar and the West. Chinese consumers would also buy gold on a large scale. There is another reason for that. Chinese shares are not doing great, the real estate market is possibly even worse. And crypto…? That hasn’t been allowed for some time now. Then gold is a safe haven and Chinese citizens seem to have discovered this.

It also raises questions about the role of gold in today’s economy. Is gold still a ‘store of value’, why does the Netherlands still have 600(!) tons of gold in its vault and which other countries are showing interest in buying gold?

And how does that yellow metal compare to Bitcoin, often called “digital gold”? Because many properties of these two investments are comparable, but others are not. Take, for example, the limited edition of gold and Bitcoin. With Bitcoin, inflation is fixed, with gold it can fluctuate, especially based on the price of the precious metal. We ask Paul Buitink, gold expert and managing director of Holland Gold. Co-host is Daniël Mol.

Guests

Paul Buitink

Daniel Mol

Left

China leads gold rally

Host

Herbert Blankesteijn

Editorial

Daniel Mol