CNBC’s Jim Cramer: Bitcoin Won’t Replace Gold Anytime Soon

Jim Cramer, the U.S. TV investment commentator, recently stated that “bitcoin is not going to replace gold anytime soon,” while doing a segment with Carley Garner, co-founder of DeCarley Trading, which analyzed gold’s charts.

In the beginning of the segment, Cramer pointed out that Garner believes bitcoin’s value is the result of perception, not reality, as “bitcoin isn’t backed by anything.” Cramer conceded that his viewers know how he feels about the cryptocurrency – that he thinks its monopoly money, that is – and that those who understand the risks could buy it.

Comparing bitcoin to gold, Cramer added that if we “take away gold’s symbolic value,” the precious metal is still a great conductor, that can also be used to make jewelry. Moreover, he pointed out the gold market is said to be worth about $2.4 trillion, and compared it to the cryptocurrency ecosystem’s $630 billion, neglecting that bitcoin, the first cryptocurrency to exist, isn’t even a decade old yet.

Cramer’s segment essentially leads to one conclusion. Per the TV host:

“The jaw-dropping run in Bitcoin has been very exciting. But gold is not being supplanted by Bitcoin as the go-to alternative to actual currency.”