The Dilemma of Fiat Currency and the Rise of Gold and Bitcoin

As global economic uncertainty intensifies, the reliability of fiat currency (government-issued credit money) is being questioned. Since the United States abandoned the gold standard in 1971, fiat currency has become the dominant currency in the global economy. However, unrestrained money printing by central banks has led to an increased risk of currency devaluation, prompting investors to turn to alternative assets such as gold and Bitcoin.

Gold, due to its scarcity, historical recognition, and anti-inflationary properties, has re-emerged as a safe haven for central banks and investors. Following the Russia-Ukraine conflict in 2020, global central bank gold reserves have increased significantly.

At the same time, Bitcoin has also emerged as "digital gold." Despite its smaller market size, its decentralized nature and fixed supply (21 million coins) have attracted significant capital. After the launch of Bitcoin ETFs in 2024, its inflow of funds even surpassed that of gold ETFs, demonstrating investors' recognition of its potential.

Traditional investment portfolios rely on stocks and bonds, but these assets are still denominated in fiat currency and cannot avoid the risk of fiat currency devaluation. Today, more and more people are realizing that gold and Bitcoin can serve as hedging tools to reduce reliance on the fiat currency system.

Bitcoin has not yet become a mainstream reserve asset, but its demand continues to grow. In the future, as the market matures, Bitcoin may gradually enter national reserves, becoming an important alternative alongside gold to counter the risks of fiat currency. #我的交易风格 #GENIUS稳定币法案