Were or Are Still We in the Gold Rush 2.0?

Here’s a brief history lesson on the Gold Rush of 1849:

According to History.com, “The discovery of gold nuggets in the Sacramento Valley in early 1848 sparked the Gold Rush, arguably one of the most significant events to shape American history during the first half of the 19th century. As news spread of the discovery, thousands of prospective gold miners traveled by sea or over land to San Francisco and the surrounding area; by the end of 1849, the non-native population of the California territory was some 100,000 (compared with the pre-1848 figure of less than 1,000). A total of $2 billion worth of precious metal was extracted from the area during the Gold Rush, which peaked in 1852.”

The website also stated that “Throughout 1849, people around the United States (mostly men) borrowed money, mortgaged their property or spent their life savings to make the arduous journey to California.”

It got me wondering if the Bitcoin Rally from December 2017 was similar to the Gold Rush of 1849, when countless people sprinted to California to get gold because it was in America’s backyard and they wanted to take the opportunity to strike it rich.

Bitcoin was worth less than $1 in 2009/2010 and it hit $20,000 in December 2017. The entire market cap was worth more than $800 billion. But however, it crashed down to the $6,600 range currently. People are still talking about investing in bitcoin.

Not many people knew about bitcoin eight years ago. I will admit I did hear about bitcoin in around 2011 when my dad mentioned it to me, and it's worth was in the $10 range, if I recall correctly. I was too dumb to learn about it and skimmed over it.

Buying bitcoin or other cryptocurrency is only a few clicks away and everyone seeks to make huge profits. Everyone is afraid of missing out. I have read that people used their living savings, maxed out their credit cards, etc. to buy bitcoin and other cryptocurrencies. People started mining bitcoin and other cryptocurrencies.

Bitcoin is one the most recognized names in the world. Heck, even women I chatted with on a dating app asked me what cryptocurrency was. I asked them if they have heard of bitcoin. They responded with “Oh yeah, I have heard of it!”

We are moving towards Web 3.0, or the Blockchain Age. Back in the old days, people used gold as a commodity and we use bitcoin as a commodity and/or currency.

Bitcoin is being treated as digital gold. It has value and you can store yours safely on a piece of paper or load it onto a hardware wallet. Bitcoin isn’t backed by any financial institution or government. Bitcoin is backed by people.

Will the bitcoin bubble ever burst? Will we start living off cryptocurrency instead of living off our home country’s currency?