Bitcoinization. WHAT IS THE PURPOSE OF A STORE OF VALUE ASSET? $BTC #Write2Earn

The main purpose of a store of value asset is to preserve purchasing power over time. In other words, it serves to safeguard wealth in a way that is not affected by economic phenomena such as inflation, the devaluation of fiat currencies, or financial instabilities.

When individuals or institutions seek refuge from the loss of value of their money, they turn to assets that offer relative stability and resistance over time. Thus, a store of value asset acts as a "shield" against the loss of wealth, allowing its holder to maintain their purchasing power in the future.

It is worth noting that, in addition to protecting wealth, another fundamental purpose of stores of value is to facilitate long-term financial planning. By relying on an asset that does not easily lose value, individuals and organizations can better manage their wealth, save more securely, and ensure the transfer of wealth between generations.