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During what may have been the most boring interview since the dawn of recorded time, Fed Chair Jerome Powell, speaking to CNBC's Andrew Ross Sorkin at the New York times' DealBook conference, said that Bitcoin $Bitcoin (BTC.CC)$ is "just like gold, only its virtual. It's digital." Powell added that Bitcoin is not being used as a medium of exchange, "People are not using it as a form of payment, or as a store of value. It's not a competitor for the dollar, it's really a competitor for gold."

On what Powell said, I have to make a couple of corrections.

One, if Bitcoin is not being used as a store of value, then it is not serving a similar purpose to gold, if it is, then yes, they are currently serving the same purpose as neither currently serves as a medium of exchange.

Secondly, in a catastrophic situation, where electrical power is halted or denied for an extended period of time, one who owns physical gold or other precious metals, still has those assets in their possession. At that point, physical gold might actually find usage in trade or exchange. In that situation, all cryptocurrencies would just be "gone" until the lights came back on and internet service had been restored.

I am long physical gold, physical silver, $SPDR Gold ETF (GLD.US)$ $Goldman Sachs Physical Gold ETF (AAAU.US)$ and $iShares Silver Trust (SLV.US)$

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Space Dust : gold can not be destroyed, fire may melt it, but it is still shiny and easy to recover. it has many industrial uses. Also medical uses exist for gold. along with things we may not know.
if you bury it, it can still be dug up. it's waterproof also.

other than all that, it's just like gold.

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