Play Your PartI own both gold and Bitcoin. I've owned gold for decades. I've owned Bitcoin since the summer of 2015 when it was just above $2,000 per unit. I'm not delusional. When I look at that chart above, I do not see a stable store of purchasing power. Rather, I see a potentially very lucrative speculation. Thus far, I have been rewarded for that speculation to the tune of around 1,500%. I love the profits Bitcoin generates, but looking at the trajectory of the spikes, I am fairly certain they cannot last. And, thus far, they haven't. We have seen Bitcoin fall from $20,000 to $3,500 in a very short amount of time. That's a drop of more than 82%! On January 11, we saw a one-day drop in Bitcoin of 20%! Stability is not the word that comes to mind here. Speculate in Bitcoin. Bank those profits in gold during these spectacular bouts of appreciation. This way, you store the purchasing power earned by speculating in the world's only real money... Gold. Of course, speculation suggests a small allocation - 1% to 2% tops - with money you can afford to lose. Consider banking Bitcoin profits in gold initially. The Oxford Club suggests 5% in gold and other precious metals as wealth insurance, so above that figure, consider allocating to stocks, bonds and precious metals for profit. Something to Consider...I recently met a Bitcoin zealot who said something that surprised me. He told me, "You are my favorite gold dealer because you are the first gold dealer I've met who liked Bitcoin." I am not surprised, however, by the fact that Bitcoin is gaining favor with investors and institutions. Bitcoin and gold benefit from a lack of confidence in fiat currencies. Governments and central banks worldwide have been mismanaging fiat currencies throughout history. No fiat currency to date has survived for 5,000 years as gold has. Since the creation of the Federal Reserve in 1913, the U.S. dollar has lost 97% of its purchasing power. And, after wholesale shutdowns of global economies, they have taken currency mismanagement to a new level. They have drastically increased the money supply. For the U.S. dollar, the increase was 25% last year alone! This monetary expansion is simply a dilution of the purchasing power of each and every dollar, euro, yen, etc., in circulation. When confidence erodes, alternatives are sought. Precious metals and cryptocurrencies are the beneficiaries of this eroded confidence. Both should benefit from continued currency mismanagement. But don't be fooled into thinking you have to own either gold or Bitcoin. That is sheer nonsense. Own both. Just understand the roles Bitcoin and gold play. Allocate accordingly. And then sleep peacefully at night. Good investing, Rich | 
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