Why Bitcoin is Not Digital Gold

Published on
August 8th, 2019
Duration
11 minutes

Why Bitcoin is Not Digital Gold

Gold ·
Featuring Roy Sebag and Stephan Spears

Published on: August 8th, 2019 • Duration: 11 minutes

Roy Sebag, CEO of GoldMoney, talks with Stephan Spears of McEwen Mining about what actually separates gold from bitcoin. Sebag notes the physical space, energy, and capital required to profit from investing in gold versus bitcoin, and he compares the corporeal qualities of the different assets. This clip is excerpted from a video published on Real Vision on July 3, 2019 entitled “No, Don’t ‘Drop Gold.’”

Comments

Transcript

  • DL
    Daniel L.
    21 August 2019 @ 19:15
    When did reality become embeded in theology or mathmatics. He could have shortened that whole first 5 minutes into "Algorythms tell us all we need to know about human cycles and what is real and what isn't." I had to recheck the title of the video I was watching. Bitcoing is a real cryptocurrency tradable and useable on a technology that will replace the infastructure of the current foundation of technology and he wants to talk about what is real and what isn't? I know this guy is WAY smarter than I am, but I haven't even finished the video and I doubt the point you are making now will entangle well.
  • JA
    Jesse A.
    17 August 2019 @ 15:35
    As far as the first point about universal laws vs man made ideas/trends, I would have to put bitcoin closer to a mathematical discovery that is quite universal. To the last point about using 5% or whatever of the value to run itself each year, I would say first that I think this is not ideal and I hope all crypto can go to a proof of stake instead of proof of work at some point and stop using all that power. However, he gave no numbers for gold or any other currency. When I was first learning about bitcoin, I was bummed about how much power it used until I was thinking about it one day while walking through a giant HSBC skyscraper and looking around and thinking how many billions of dollars do our current financial institutions siphon off in order to keep our systems running? All of that is powered by interest on the fractional reserve system, which would probably be quite hard to track, but if you just look at how many people are employed and work in nice offices... add up the cost of running every bank and ATM...
    • AW
      Andrew W.
      5 September 2019 @ 23:46
      The power argument is misguiding not just for the reason you put it. The bitcoin protocol is a monetary policy and system that guarantees the implementation of that policy. Layer 1 (the btc protocol) won't be used for large-scale transactions. Rather, it's like the clearing house for higher layers that come on top. Think of it as the replacement for the central bank. Now ask yourself, what is the value of a money system and the upholding of its monetary policy. A few billion USD a year is the current cost and that seems very reasonable to me.
  • MY
    Matt Y.
    17 August 2019 @ 01:46
    Contents are traditionally high quality on this channel, however this one contains a lot of logic that I find dubious at most, then I saw "Roy Sebag, CEO of GoldMoney, talks with Stephan Spears of McEwen Mining" Seriously? If you want a real discussion, you wouldn't ask a Hilton hotel exec to talk about AirBnb, you wouldn't ask a Walmart exec to talk about Amazon, why is this conflict of interest not mentioned more clearly?
  • JH
    Jonathan H.
    11 August 2019 @ 01:12
    Worst video on Real Vision. Spooky how many falsehoods this guy propagates per sentence. Anyone who watched this video is owed their time back and if you absorbed anything he said you just lost 30 IQ points.. He doesn't use the word corporeal enough considering how common that word is in a native speaker's vocabulary. Raoul, please contact me if you want someone who can explain this complex topic, or better yet get 100Trillion on, you know who I'm talking about.
  • MR
    Mark R.
    10 August 2019 @ 22:21
    my question is about GoldMoney - does this use some of the technology of Bitcoin to transfer ownership of the gold that is held? My simple view is that a gold backed digital currency is the best of both worlds. I would have liked Roy to talk some about the company in which he is involved. I thought his arguments were logical and on the intellectual side. I would like whatever I use for a currency to be immutable, easy to use and universal (world wide). Bitcoin seems weak on immutable and strong on ease of use and universality. I would think that GoldMoney has all three.
  • mn
    maziar n.
    10 August 2019 @ 16:16
    Would be great to get Sebag and Antanopoulus to discuss this.
    • JR
      Josiah R.
      22 August 2019 @ 22:15
      Agreed
  • mn
    maziar n.
    10 August 2019 @ 16:14
    Big fan of Sebag. But it seems like he fundamentally is confusing the difference between btc the asset and BTC the system/network. Also moving from the corporeal to abstractions is a fundamental evolution of humans..
  • SC
    Sean C.
    9 August 2019 @ 14:34
    Several Pro-Bitcoin, "he doesn't get it" replies. Be nice to see comments like theirs addressed. What we need is a Bitcoin debate/round table, where someone like Roy can make these claims, and then discuss with someone who thinks the opposite.
  • DP
    Daniel P.
    9 August 2019 @ 11:39
    This whole argument is just Peter Schiff plus jargon - both fail to understand digital-only utility while it continues to spring up around them regardless.
  • DS
    David S.
    8 August 2019 @ 17:40
    The price of gold is psychological; not scientific. I own gold as I believe the price will go up as fiat currency is debased. This has nothing to do with entropy. Like Kant let's let science and practical reason be separate. DLS
  • CW
    Carter W.
    8 August 2019 @ 15:39
    The energy going into Bitcoin is spent generating Proof-of-Work, not bitcoin, which is a "natural" construct insofar as math is natural. That is to say, there is no possible way of generating PoW other than through the expenditure of energy, and once it is created it is a permanent existent, just like gold. Even if the network were to be shut down tomorrow and all the mining rigs turned off, the PoW that acts as the foundation of the system would still exist (and could be used to reboot the network). In other words, the ledger or blockchain does not require constant machines running to maintain its integrity, the integrity of the ledger is permanent, machines are only required if changes or alterations to the ledger are required. This isn't much different than gold. Once gold is mined, it exists as part of the overall gold supply, but in order to move it (i.e., make changes to the "ledger," so to speak) requires resources and energy.
  • CL
    Chris L.
    8 August 2019 @ 15:09
    Roy, how's GoldMoney financials doing?
  • OT
    Omiros T.
    8 August 2019 @ 12:00
    Guys Roy doesn't get it. It is frustrating to constantly see people that don't get Bitcoin. Fine put these videos of people stuck with something that isn't censorship resistant, is hard to transfer, it is hard to store, it is hard to verify, it is hard to divide, it is hard to protect and so many other things. It failed as money. It failed get over it. Put some decent content on people from the Bitcoin industry
  • LC
    Lloyd C.
    8 August 2019 @ 10:29
    This is true. BTC is subject to soft fork threats by its own development team.