In a recent commentary, George Milling-Stanley, Chief Gold Strategist at State Street Global Advisors, highlighted concerns over Bitcoin’s rapid ascent potentially diverting investors from gold, traditionally hailed for its stability. During a discussion on CNBC’s “ETF Edge,” Milling-Stanley pointed out the stark differences between the two assets, emphasizing that Bitcoin’s appeal lies primarily in its potential for high returns rather than as a secure investment option.
The critique arrives as State Street’s SPDR Gold Shares ETF, a leading force in gold investment, marks two decades of significant growth, boasting over 30% increase in 2024 alone. Having witnessed gold’s price quintuple over the last twenty years, Milling-Stanley suggests that if trends persist, gold’s value could see monumental increases, hinting at a promising future that might significantly outweigh the flashy yet uncertain allure of cryptocurrencies like Bitcoin.
As gold recorded its best weekly performance since March 2023, closing at $2,712.20 per ounce, Bitcoin too celebrated reaching an all-time high. Nevertheless, Milling-Stanley advises investors to remain cautious, highlighting the fundamental differences between the two assets, including the physical nature of gold versus the digital, “mined” nature of Bitcoin—a term he argues was deliberately chosen to imitate gold’s tangible value.
While acknowledging the unpredictable nature of the market, Milling-Stanley is optimistic about gold’s journey ahead, viewing it as a “fun ride” with strong potential for continued value and stability. His perspective serves as a word of caution to investors, urging them to consider the long-term security and proven track record of gold before diving into the volatile cryptocurrency market.
