Precious metal dealers in the political and protest torn Hong Kong claim that the wealthy are moving gold offshore following a new security law passed by Beijing in July.
Investors fearing that their wealth is at risk and must be stored out of arm’s reach is a sign that the wealthy are ready for the digital age of gold, powered by a budding new asset called Bitcoin.
Hong Kong FUD Prompts Wealthy To Move Gold Offshore Over Safety Concerns
New laws in Hong Kong imposed by China have prompted the wealthy to move gold out of the country’s financial hub and to safer havens like Switzerland, Singapore, and more.
The trend first began last year, according to local metals dealers, as protests began sweeping the nation and political tensions boiled over.
Related Reading | Silver Fractal: Are Crypto Altcoins On the Cusp of an Explosive Surge?
The factors promote investors moving capital into safe haven assets like gold, silver, and recently, Bitcoin and cryptocurrencies. But holding precious metals carries risks not associated with crypto assets, such as physical theft.
“Investors are moving gold from Hong Kong to Singapore because they don’t like the risk and uncertainty,” metals analyst Ronan Manly told FT. “This could, in the mind of gold holders, snowball into concerns about safety of bullion and certainty of property rights.”
For the wealthy concerned with safety and property rights, but want a similar asset to gold, Bitcoin is the answer.
Bitcoin and Gold Climbing Together In 2020 | Source: TradingView
How Bitcoin Is The Best Insurance Policy For Political and Economic Chaos
Bitcoin was designed by Satoshi Nakamoto as a peer-to-peer digital form of cash, but also to include several similarities with gold. Satoshi sought to make the cryptocurrency part commodity or “collectible” and coded a hard cap into the asset’s supply.
Only 21 million BTC will