Great find. I was a gold bug until I discovered Bitcoin, but this is almost enough to make me a gold bug again!

I think this is a very clever tactic.

Also, if many wealthy bitcoiners will do it, that will really shake up the gold market and maybe expose all his manipulations, and manipulators..

I was a gold bug too, but though I think bitcoin is still risky (maybe some altcoin takes over, or some problem which I am currently unable to foresee), I can easily see a future in which gold's store of value function is dwarfed by that of cryptos, which are a more pure form of money imho.  I am increasingly seeing my PMs as a call option on bitcoin/crypto failure.  As time progresses and if cryptos keep prospering, that call option should devalue.

Some perspective on this:

if 10% of the "value" of Bitcoin (1 Billion USD) was moved to gold, that would be around 25 metric tons (not even taking into account the price-depressing effect of such a sale on the BTC/USD markets).

Compare that to monthly gold imports of China:



So this would equate about a weeks worth of supply for China. Hardly going to "shake up" that market.

If on the other hand 10% of golds value (650 Billion USD) was put into bitcoin, that would probably push bitcoin price to around USD 85,000.

So if both things (bitcoiners diversifying into metals and gold bugs getting into crypto) happen to an equal extent, the effect on bitcoin will be much larger than that on gold.

The silver market is nearing the inflection point much faster than gold. The deliverable reserves of silver coins and bullion worldwide are something like 500M oz, so about the same market cap as the total number of bitcoins.

That's a very interesting calculation.

No way can I see 10% of total above ground gold supply ever be moved into BTC though. That would include 10% of the central banks gold (if anything is left..), and above all of China's and India's supply, jewelry all over the world, etc... The Asians love their gold, and gold from China it is never coming back. Gold has too much of a tradition in these countries, and the West doesn't have much left...

But nevertheless, some shifting from gold into BTC could boost the price.

To paraphrase and old Cheech & Chong sketch:

  "Before I found the Lord Bitcoin, I used to be all hung up on drugs gold.  Now that I found the Lord Bitcoin, now I'm all hung up on the Lord Bitcoin."

Actually it is true that I rarely go to Kitco any more these days but watch Bitcoinity like a hawk.  I watch Kitco a little bit more recently because of their experimental Bitcoin charting.

Reality check!

It's always nice to get affirmation from a central banker to rekindle the fire in one's belly:

Feds Richard Fisher

Furthermore, I just realized I love Texans. Stockman, Justusranvier, and now Fisher.

JPM is the biggest culprit and alreadt getting sued left and right they are getting out of pms last I heard.. ofcourse after the damage is already done. I suspect both gold and btc to rise together to some extent after stock market peaks.