On Wednesday at the World Economic Forum meeting in Davos, Switzerland, South Africa’s Reserve Bank Governor Lesetja Kganyago dismissed the idea of the Government having strategic Bitcoin reserves. Kganyago instead called for having other reserves such as platinum, coal, or beef. Kganyago's comments have drawn mixed responses.
In responses on the social media network X:
Ram S Machiraju @ramsmachiraju wrote:
"Simple, there were folks who asked 'Why Gold' when Gold was being adopted. Ones who found the answer adopted gold and built the greatest empires in history. Same now with #Bitcoin. Ones who find the answer to 'Why Bitcoin' will rule the world and ones who don't put in the work to find the answer will lose."
The Legendary One @Fantastic_Beats wrote:
"Nothing will ever beat the stability of gold, nothing. This is why most governments will never fall for this bitcoin. Even apples and beef are more stable than bitcoin; they existed before it and will exist after it. Only enthusiastic people and scammers are supporting this."
@cryptoironjacket @mgorin7 wrote:
"Gold is not scarce. Its scarcity is determined by the market and by the challenges in reaching new ore and extracting it. On the other hand, bitcoin is truly and undisputedly scarce."
Roger Gilmour @RogerGilmour13 wrote:
"If apples have x% chance of becoming a store of value in the future, then he should definitely start a x% strategic apple reserve. What is x for bitcoin? Can he be sure it’s zero? In the age of the internet and AI?"
ValueCultivator @PriceAsymmetry wrote:
"Because perishables are not a sound long-term strategic reserve. You may peg the ZAR (SA rand) against beef - like ancient African tribes did, see how you perform in a western or eastern economy."
Yanming Di @diydatascience wrote:
"Bitcoin has no inherent value; anyone can create their own cryptocurrency. The scarcity argument doesn't pass the smell test. It's not easily divisible, not easily transferable, and consumes a huge amount of energy to perform these functions. The entire argument made by the bald guy is nonsense. Bitcoin is worse than beef and apples."
Sam Callahan @samcallah wrote that El Salvador already “fell” for Bitcoin and is up $350 million on its holdings, and 10 governments are currently using their resources to mine it, right?
skilver @skilver5 wrote:
"I wish Brian Armstrong would have referenced the properties between bitcoin, gold, and fiat currencies. He should have also mentioned that we live in a fast-moving world today, where we need money that is able to keep up with our technological advancements. And lastly, money perceives value as accorded by people or a society. It's a currency by the people for the people."
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