Presented by The Scoin Shop

Swap your crypto for gold

 ·27 Feb 2023

Over the past 20 years, our Scoin Shops have welcomed thousands of collectors into our stores to learn about and embrace the world of gold and coin collecting.

In recent years, the discussion of Cryptocurrencies vs. Gold has been doing its rounds.

Before any collector, investor or speculator purchases any asset, they should make sure they consider some major questions;

  1. Have I educated myself on the asset’s history and historical performance?
  2. Have I considered all possible risks and benefits associated with the asset?
  3. Can I afford to keep these assets without having to sell them in times of need?

Once these have been answered, one must embrace the knowledge, passion and interest in the asset for the love of it- not for the potential upsides alone.

As Warren Buffet once said “Never invest in a business you cannot understand.”

There are many similarities and differences between gold and cryptocurrencies;

  • The original cryptocurrency, Bitcoin, was created as a form of protection against fiat currency, as a way to bring the power to the people, using blockchain technology, rather than relying on government-run monetary systems. Gold acts in the same way as a hedge against inflation and economic and financial uncertainty. Proof Krugerrands, international coins and medallions offer the same value proposition to people wanting to be “off the grid” with their money.
  • Bitcoin has nothing to do with coins. It is a balance of value you purchased or have in your crypto wallet or exchange. However, Cryptocurrencies are minted by way of users verifying the transactions (also known as mining). Real coins are also minted by Government-run Mints that create currency coins as well as commemorative collectible coins celebrating milestones, events, points of interests and revolutionary figures, using state of the art craftsmanship, tools and precious metals.
  • When it comes to the safety of valuable assets there are inherent risks involved in any storage method. However, in terms of security, storing physical gold in a well-guarded vault is generally considered safer than storing cryptocurrencies in a digital wallet. Digital wallets for cryptocurrencies can be vulnerable to hacking, phishing, and other forms of cyber-attacks, leaving investors at risk of losing their entire investment. Furthermore, digital wallets can be susceptible to technical failures or human errors, which can result in the loss of cryptocurrencies. Therefore, for those who prioritise security over convenience, the physical storage of gold in a SafeGold vault may be a more reliable option than digital storage of cryptocurrencies on a digital wallet. Our SafeGold facility is a secure and reliable gold storage option which offers insured, audited, and unlimited safekeeping of precious coin collections, providing additional peace of mind to the investor. This is always a better option than hiding your gold under your bed, which can leave it vulnerable to theft or loss, with no assurance of its safety.

As gold bugs for over 50 years, we believe that tangible coins are a better store of value for the following reasons;

  • Gold has a 6000+ year track record
  • Coins are easier to understand, buy, keep and store
  • Gold is a safe-haven asset in times of uncertainty
  • Gold cannot be manipulated, forged, hacked and will always be a scarce resource

The South African Gold Coin Exchange and The Scoin Shop has embraced modern technology in various forms, and believes that Gold is not a direct competitor with cryptocurrencies as a whole, but rather an opportunity for innovation and collaboration.

We accept all major cryptocurrencies as payment for the world’s best collectible coins.

Call us, visit us, crypto us. www.scoinshop.com

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