Bitwise CEO Hunter Horsley believes the precise competitors for Bitcoin isn’t gold, however government-backed bonds like US Treasuries and UK gilts.
In a June 20 put up on X, Horsley argued that gold and Bitcoin are apolitical shops of worth that function exterior direct authorities management. Nevertheless, he mentioned Bitcoin’s precise competitors lies with devices tightly tied to political and financial coverage.
In response to him:
“I believe Bitcoin’s competitors goes to finish up being U.S. Treasuries and different Authorities’s Bonds (eg UK gilts): the last word political SOVs.”
On the retail degree, Horsley instructed that residential actual property, moderately than authorities bonds, is people’ commonest retailer of worth.
Horsley’s argument emphasizes the elemental distinction between Bitcoin and conventional monetary devices.
Whereas gold and Bitcoin stand exterior authorities management, property like Treasuries are intently tied to political decision-making. Their yield and demand are influenced by financial insurance policies, rates of interest, and authorities fiscal actions.
In distinction, BTC and gold derive their worth extra from international sentiment and investor psychology than coverage levers.
Furthermore, Horsley identified that Bitcoin’s excessive liquidity and accessibility make it a extra sensible choice for contemporary buyers than gold.
New adoption obstacles for Bitcoin
Whereas regulation has lengthy been seen as BTC’s largest hurdle, Horsley now sees different points rising to the floor.
In response to him, regulatory uncertainty has change into much less of a priority attributable to US President Donald Trump’s pro-crypto administration. But, regardless of improved readability, mainstream investor adoption stays gradual.
He attributed the gradual uptake to institutional fatigue. Many companies, he mentioned, are overwhelmed by competing funding alternatives and lack the bandwidth to judge BTC correctly.
He mentioned:
“Most buyers and allocators are very busy. They’re continually introduced with alternatives, together with issues that would 10x. Why do they should flip their consideration to Bitcoin, which for a lot of continues to be an advanced subject.”
Horsley additionally warned that branding Bitcoin as “digital gold” may do extra hurt than good in markets just like the US, the place curiosity within the treasured steel is comparatively low.
