It holds deep economic and cultural relevance in these nations even today, maintaining its status over time as the most effective store of value
. The UAE and Saudi Arabia are listed respectively as the fourth and seventh largest gold jewelry consumers in the world, according to the GFMS gold survey for 2018.
Furthermore, because their ability to command goods and services in the future similarly fluctuates wildly, cryptocurrencies like Bitcoin are unattractive as a store of value
. (Cryptocurrencies are also challenged as a means of payment, but leave that aside for the moment.) Stable coins purport to solve these problems.
In general, serving as a good store of value
is a relatively easier condition to meet.
Bitcoin has failed as a currency measured by standard benchmarks, and is neither a store of value
nor a useful way to buy things, Bank of England Governor Mark Carney was quoted as saying by Reuters.
If not, think of it only as a store of value
, the way you would any other stock.
"In terms of a store of value
, bitcoin is better than the dollar, and something theoretically could come along and be better than bitcoin," Kerner said.
Bitcoin believers say it can flourish as a pure store of value
, without being a medium of exchange.
The purchasing power can be retained into the future by exchanging the apples for money, gold, government bonds or some other store of value
Bitcoin can and has fallen 25 per cent multiple times in 2017 alone, making it a poor store of value
. This cryptocurrency is, as Jamie Dimon concluded, a fraud, not digital gold, even if it made big money for some prescient speculators.
This might be an indication that people use the notes not only to pay, but also as a store of value
. Which shows how great is the Swiss trust in the stability of their currency.
GOLD IS SUPPOSED TO BE A store of value
but its price is down almost 20 per cent since the peak last autumn.