People choose online long-term savings and investments with reasonable returns as a result of improvements in digitization and technology. Few market professionals believe that cryptocurrencies will eventually replace gold.

When comparing cryptocurrencies to gold, there are various elements that demonstrate that gold is not just a sought-after commodity, but also a long-term investment with substantially greater returns. Although cryptocurrencies and blockchain technology appear to be committed in general, they are not, in theory, or in fact, a substitute for gold. Gold is distinct from cryptocurrency due to the following characteristics:

> The Existence
Gold has been around for 6,000 years, but cryptocurrency merely entered the market a decade ago, raising concerns about its long-term viability.
 
> Volatility
Gold is less volatile and can provide a decent return on investment in the long run, but cryptocurrency is more volatile and may not withstand market circumstances.

> Liquidity
Gold is a more liquid market, but several bitcoin future markets have shut down owing to a lack of trade and price disparities between exchanges.

> Regulatory Framework
Gold is common in investment portfolios and is a safe investment, but a lack of regulation has resulted in several crypto exchange bankruptcies and fraudulent activities, resulting in billions of dollars in losses.

> Demand
Demand for gold comes from a wide range of businesses, including jewellery, central banks, technology, and investment, but demand for bitcoin is largely speculative due to its lack of widespread usage as a medium of exchange.

> Investment
For centuries, gold has been a wise investment that has always produced positive results. Gold has also been beneficial in times of depressed market circumstances and as a hedge against inflation.It goes without saying that bitcoin has provided excellent returns since its inception, yet there are several areas where it has fallen short in an investment portfolio and lacks transparency.

All of these clearly portray that cryptocurrency cannot serve as a replacement for gold, and gold should remain a permanent component of any financial portfolio.

About Fionaa Gold 
 
Fionaa Gold is a premium jewellery brand that crafts jewellery with the finest metals and stones. Fionaa Gold is a collection of traditional and non-traditional jewellery that is inspired by a fusion of cultures and rich history. Our designs are a culmination of the best of both and will take you on a journey of discovery and inspiration. Our collections include a wide range of rings, bracelets, pendants, mangalsutra and bangles, culminating in traditional and non-traditional artwork at its finest.
 
Should you have any queries on the above blog please feel free to write to us at socialmedia@fionaagold.com.