Bitcoin is more suitable for the definition of digital copper, not gold, considers the Goldman Sachs researcher


Head of Commodity Research Department Goldman Sachs Jeff Curry said that the cryptocurrency comparison with gold is incorrect because it looks more like digital copper

According to him, digital currencies are associated with a sufficiently high risk, which affects the assessment of their value and does not allow to equate the safety assets such as gold. By adding that although both asset are used for hedging against inflation, they are used in different cases.

Jeff Curry says that Bitcoin correlates with a business cycle, because it is associated with the basic payment structure. For this reason, it, like copper and oil, protects against «good inflation», due to an increase in demand. However, gold allows you to mitigate the effects of «bad inflation» caused by a reduction in supply.

Therefore, the researcher believes that digital currencies do not replace gold, but rather are a digital analogue of copper. Earlier, Carry also stated that Bitcoin is early competing with precious metal, since it is vulnerable to falling demand and savings.

However, to whatever the class is not closer to Bitcoin, he is the most

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