Thousands of Fake Gold Bars Dilute Market Supply

gepubliceerd op by Cointele | gepubliceerd op

Bitcoin's utility over gold has returned to the spotlight after news emerged of thousands of fakes infiltrating the precious metals market.

Thousands more fake gold bars could remain undetected.

As Reuters reported on Aug. 28, the gold industry is currently facing a major forgery problem, with fake kilogram bars found in the vaults of major banks such as JPMorgan Chase.

Bitcoin full node is 'fake Bitcoin detector'.

Gold bugs continue to lambast cryptocurrencies such as Bitcoin in the face of such strength, with proponents of the latter taking the forgery news as an opportunity to hit back.

Bitcoin node operators, several figures noted, can verify the authenticity of their holdings, while gold owners must rely on expertise.

"Bitcoin fixes this," Francis Pouliot, founder of Canadian Bitcoin consumer platform Bull Bitcoin, commented on Twitter.

"Would you accept gold as payment from someone you didn't trust, without verifying the weight and purity of the gold before shipping your products to them?" a post on Wednesday reads.

"Think of a Bitcoin full node as a 'fake Bitcoin detector' - all you need to verify 'purity' of your Bitcoin is a Raspberry Pi.".

Grayscale's Drop Bitcoin campaign advised investors to dump the metal for Bitcoin in May, just before it gained 27%..

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