Often we hear bitcoins called "Digital Gold" Bitcoin took a further step towards replacing gold this week as it was revealed that bitcoin had twice the trade volume in 2018 as gold.
It is estimated that a total of $ 1 trillion bitcoin transactions have been taken place so far in 2018. Some studies have approached the number to 800 billion dollars when they ignored transfers between cryptographic portfolios and mixers, while other reports have led the number at $ 1.1 trillion.
Gold, meanwhile, is expected to account for "Only" $ 400 billion in trading volume before the end of 2018.
The difference was first identified by the analyst cryptographic Canadian Kevin Rooke on Twitter, who published a picture showing the change in the volume of exchanges over time.
Bitcoin has been erasing more tx v olume than the global gold markets from the beginning of 2017.
BTC: on a step to process $ 1.1 billion in 2018 transactions
Gold : on the step to process $ 0.4 trillion in 2018 transactions
Sources: https://t.co/ eVqQiq56gv for BTChttps: //t.co/zqh4eykqNb for Gold pic.twitter.com/oc5piRvrXE
– Kevin Rooke (@kerooke) August 15, 2018
Rooke was using the recent bitcoin transaction volume study performed by Coinmetrics. He used lbma.org.uk data to calculate the total volume of gold transactions.
Bitcoin is in step to process $ 1.1 trillion transactions in 2018, while gold is in step to process $ 0.4 trillion. Bitcoin transaction volume is not only superior to gold: it is almost three times higher than gold. Of course, these are only transactions bitcoin – it does not take into account other cryptocurrencies – which could bring the total volume of cryptographic transactions up to $ 2 trillion.
The chart linked by Rooke clearly shows the volume of bitcoin quarterly transactions up on gold since the third quarter of 2015. In the first quarter of 2017, the bitcoin accounted for about half of the volume of transactions. gold. Since then, however, bitcoin has recorded a higher average daily transaction volume compared to gold. While the volume of daily gold transactions remained stable, the bitcoin volume continues to increase.
Cryptography experts could tell you that this means that bitcoin is better than gold. They could say that means that the gold is over. In reality, however, it is only a small and beautiful statistic that does not tell us much. Obviously, gold is not used as a daily currency by many people. People do not buy a cup of coffee with a drop of gold, for example.
However, it is an important milestone for bitcoin and the crypto market. The Winklevoss twins claim that if the bitcoin surpassed the gold market, the price of bitcoins could be appreciated 30 or 40 times. Bitcoin officially has a higher volume of transactions – and better utility – than gold. Now we'll see if the bitcoin can really outweigh the gold as a favorite preferred paradise.