Post
Topic
Board Economics
Re: Bitcoin or gold?
by
deisik
on 17/06/2015, 11:22:36 UTC
Volatility must be compared at a risk adjusted basis. After adjust the risk to same 5% per year level using lower leverage, the bitcoin outperforms every single investment in the world

I think you can't do that without losing touch with reality. While you can safely throw away the probability of the gold price going to zero, but how are going to adjust the risk of the Bitcoin price hitting zero to 5% per year? I guess you could do that mathematically (thus obtaining astronomical annual profits), but would it make any sense economically?