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Yahoo
09-07-2025
- Business
- Yahoo
XRP vs. Bitcoin: Which Is the Better Buy Right Now?
Bitcoin is at a unique moment in its history, with widespread institutional adoption. XRP is building the scaffolding it needs to be favored by institutions as well. One of these assets is better for longer-term holding than the other is likely to be. 10 stocks we like better than XRP › Most investing decisions feel like choosing between two distant futures. In crypto right now, one such fork in the road is whether to buy an asset built on engineered scarcity, or one engineered for regulated utility and widespread use. The question matters because capital is finally pouring into both lanes at once. Bitcoin (CRYPTO: BTC) is drawing record institutional inflows while XRP (CRYPTO: XRP) is winning a few serious gigs to provide financial plumbing. The trade‑off between slow‑burn "digital gold" and faster‑moving payment rails has never been starker, so let's sort out which path fits which kind of investor. Bitcoin currently trades around $109,000 as of July 7 despite a considerable amount of recent macroeconomic volatility. The latest leg higher came from purchasing driven by institutions and holders of large sums of capital, not small-time investors seeking a thrill. BlackRock's Bitcoin exchange-traded fund (ETF), the iShares Bitcoin Trust ETF, took in more than $1.3 billion in fresh cash in the last week of June, part of a haul of more than $4 billion that all U.S. spot Bitcoin ETFs absorbed in the month. Collectively, at least 116 public companies now hold a total of roughly 809,100 Bitcoins on their balance sheets, more than double the corporate stash a year ago. Why does that matter? It's evidence that the "demand" portion of the supply and demand dynamics affecting the coin is very healthy. When paired with the favorable and ongoing action of the halving process, one of the main factors affecting the coin's supply, it suggests that it's appropriate to be bullish about the coin. In short, Bitcoin's issuance halves roughly every four years, crimping new supply just as ETF sponsors, corporates, and long‑term allocators compete for the float. Scarcity was always part of the asset's pitch, and now it is colliding with regulated distribution channels that make large buys painless for big buyers. In theory, that should push the asset's price discovery into a narrower, mostly upward corridor, and for the long term. This catalyst is playing out right now. The investment thesis for buying XRP is quite different. It's priced near $2.28 today, and its ledger, XRPL, just activated an automated market maker (AMM) feature, letting any wallet convert assets on‑chain and earn fees from idle balances. That's a key feature for the chain's intended users, institutional investors. Another important capability for courting that same audience is that XRPL bakes in regulator‑friendly tools, like authorized trust lines, blacklists, and the ability to freeze accounts so issuers can remain in good standing with anti-money laundering and know-your-customer laws. That matters because tokenizing real‑world assets (RWA) so that they can be handled more easily by asset managers is becoming big business, and compliance tooling is essential to capturing that business. The RWA sector's value hit $24.8 billion in June, and it could balloon to $30 trillion by 2034, per some estimates. XRP is already attracting key projects on its chain, including a $693 million Treasury bond fund, giving users 24/7 access to short‑term government debt. As more assets are tokenized, having must-have assets like Treasuries on-chain will make the ledger an even more appealing place for institutional investors to park their capital. In other words, with XRP the value-generating flywheel is liquidity at the scale that institutional investors need it. Each tokenized Treasury or corporate debt issue deepens its on‑ledger pools, reduces pricing inaccuracy for big transactions, and nudges newcomers to hold a small XRP reserve to transact. Assuming regulators stay comfortable with XRPL's top‑down compliance controls, that adoption curve could steepen over the next three to five years. Think of Bitcoin as a zero‑yield digital commodity whose upside comes from enforced scarcity meeting mainstream acceptance. Its payoff profile looks like a long-dated bond, with slow, steady, but potentially massive returns accruing across halving cycles for those who are patient. XRP is more like a fast‑growing fintech stock. Success hinges on product‑market fit and execution. Yet it's because of this elevated risk that the coin's ramp‑up, if it happens, could dwarf Bitcoin's percentage gains, and those gains could occur sooner. A balanced crypto portfolio might allocate 80% to Bitcoin for stability and 5% or so to XRP for higher risk exposure. The pair can coexist in the same account without any contradiction. Just be honest about your time horizon and risk tolerance before you choose your lane. And if you're only interested in choosing one, you should choose Bitcoin today. XRP is a great coin, but it is simply not the safer option at these lofty prices. Before you buy stock in XRP, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and XRP wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $695,481!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $969,935!* Now, it's worth noting Stock Advisor's total average return is 1,053% — a market-crushing outperformance compared to 179% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of July 7, 2025 Alex Carchidi has positions in Bitcoin and iShares Bitcoin Trust. The Motley Fool has positions in and recommends Bitcoin and XRP. The Motley Fool has a disclosure policy. XRP vs. Bitcoin: Which Is the Better Buy Right Now? was originally published by The Motley Fool Sign in to access your portfolio
News.com.au
29-06-2025
- Business
- News.com.au
Hot Money Monday: Treasurers swap term deposits for Bitcoin as ASX firms dive in
More and more corporate treasuries are buying Bitcoin MicroStrategy's $63bn outmuscles nations Aussie minnows LOC and OPL dive in last week Corporate treasury chiefs used to fret about overnight rates and term deposit ladders; now they're sneaking a look at the Bitcoin price before the markets open. From Texas to Tokyo, listed companies are carving out room on the balance sheet for BTC, pitching it as digital gold or, at the very least, a way to dodge the fallout in an era of central bank money-printing. Michael Saylor's rebadged MicroStrategy sits at the top of the leaderboard with roughly 592,345 BTC (about $63 billion) after its latest nibble last week, a hoard bigger than the treasuries of many nation-states. The case for the trade sounds simple: Bitcoin's has a fixed supply of 21 million, making it a hedge against inflation and central-bank moves. It's also highly liquid, you hold it outright, and over any recent five-year stretch, BTC has pretty much thumped every mainstream asset class. But the flip side is harder to ignore. Price swings north of 50% in a single quarter can blow a hole in reported earnings. VanEck's digital-assets boss Matthew Sigel warned that relentless equity raisings to fund BTC buys can cross 'from strategy into shareholder harm' once a stock trades near net-asset value. The argument is that when a share price drifts down to roughly its net-asset value, any fresh equity deal brings in cash at little or no premium. Existing holders don't get the usual uplift; instead their slice of the company simply shrinks while the asset base stays more or less the same. 'Once you are trading at net asset value, shareholder dilution is no longer strategic. It's erosion,' said Sigel. That risk calculus explains why the Silicon Valley heavyweights keep ghosting the idea. At Meta's AGM four weeks ago, a proposal to shift even a slice of its US$72 billion cash pile into Bitcoin was torched: just 3.92 million votes for, nearly 5 billion against. Amazon and Microsoft have also fielded, and sunk, similar motions. Boards say the coin's volatility clashes with predictable cash-flow modelling and, frankly, they have enough fights already on the AI and metaverse fronts. ASX firms buying Bitcoins last week Smaller outfits are also willing to put their toes in the crypto surf. Japan's Metaplanet has just galloped past Tesla after scooping up another 1234 BTC, lifting its stash to 12,345 coins and elbowing Elon out of the global top five. Last week, that template washed up on Australia's shores in style. Locate Technologies (ASX:LOC), the last-mile delivery software minnow better known for plotting courier routes than investment theses, raised $239,000 via its at-the-market facility. It then promptly converted the bulk of the funds into 4 BTC at an average $156,560 a pop, taking its running tally to just over ten coins. LOC's stock price doubled in the days that followed; proof, at least for now, that markets love a bold narrative. Hot on its heels, clinical AI firm Opyl (ASX:OPL) announced on Thursday it had also picked up about two Bitcoin for $330,000 via DigitalX's (ASX:DCC) ETF. The company enlisted poker-pro-turned-crypto-whale Tony G as adviser, and secured a $2 million loan facility against the coin, giving itself a back-door war-chest without hitting shareholders for fresh equity. It's a pint-sized position compared with the Saylor playbook, but the symbolism is loud. Even niche life-science players seem to think holding a bit of digital gold could help offset future AI infrastructure costs. 'I urge our investors to take the time to fully understand these digital assets," said Tony G. 'With increasing endorsement by institutions and governments worldwide, Bitcoin and other cryptocurrencies are emerging as a validated and forward-looking asset class.'
Globe and Mail
23-06-2025
- Business
- Globe and Mail
Could Bitcoin Replace the Dollar and Become the Global Reserve Currency?
Given the concerns over tariffs and a potential global trade war, a growing number of investors have suggested that Bitcoin (CRYPTO: BTC) might eventually replace the U.S. dollar and become the global reserve currency. Is this likely to happen? The answer, of course, is no. Does Bitcoin meet the criteria of a reserve currency? First of all, it's debatable whether Bitcoin has the right characteristics to be a true reserve currency. According to the Federal Reserve, money must serve three critical functions. It must be a store of value. It must be a medium of exchange. And it must be a unit of account. Bitcoin does not yet meet all three of these essential criteria. While Bitcoin is a store of value, it is not yet a popular medium of exchange for making everyday transactions. When was the last time that you used Bitcoin to pay for anything? Moreover, Bitcoin is not yet used as a unit of account. In other words, companies don't price their goods or services in Bitcoin. When you walk into a supermarket, for example, the goods on the shelves are priced in dollars, not Bitcoin. When you pump gas at the gas station, you see a price displayed in dollars, not Bitcoin. Even though Satoshi Nakamoto created Bitcoin to be a digital currency, it really trades more like a global commodity these days. People buy and hold Bitcoin, they don't spend it. For that reason, it has become fashionable to refer to Bitcoin as digital gold. Gold, too, started off as a currency, with people making gold coins to trade for things of value. Impact of tariffs It is, however, possible to imagine a future scenario in which Bitcoin finally becomes a true medium of exchange or a unit of account. However, it is highly unlikely, to say the least. It would require a tectonic readjustment of the global financial system, such as occurred in the 1920s (when the dollar replaced the pound as the global reserve currency), or in the 1970s, when the U.S. officially moved off the gold standard. In 2025, discussion is building about Bitcoin replacing the dollar. The prospect of a global trade war, combined with an out-of-control U.S. debt load of $37 trillion, has some investors thinking that nations around the world will eventually turn their back on the U.S. dollar. A natural replacement might be Bitcoin, given its global appeal and its non-sovereign status. However, even if foreign investors decide to flee the U.S. dollar and all dollar-denominated assets, it would likely require an epic agreement among all the major trading nations of the world to replace the dollar with Bitcoin. A good example is the Bretton Woods Agreement of 1944. This is when the major trading nations of the world met in the final days of WWII to discuss a reordering of the international financial system led by the U.S. The problems caused by Bitcoin hoarding Let's say, for the sake of argument, that the tariff situation gets out of hand, there is a major trade war, and top trading nations decide to meet in some far-flung foreign capital to discuss moving away from a dollar-based international financial system. Even then, it's unlikely that they would decide on Bitcoin as the new global reserve currency. That's due to one key factor: People, companies, and governments are hoarding their Bitcoin. They are pledging never to sell their Bitcoin, and that is leading to a situation where it is increasingly difficult to find new Bitcoin for sale. Even cryptocurrency exchanges are now complaining that they are running out of Bitcoin. A new report from digital asset bank Sygnum highlights the problems caused by Bitcoin hoarding. The report focuses on Strategy (NASDAQ: MSTR), which has become the largest corporate holder of Bitcoin in the world. It now holds close to 3% of all Bitcoin. The more Bitcoin that Strategy hoards for its corporate treasury, the more unlikely it is that Bitcoin can ever become the global reserve currency. According to Sygnum, once Strategy holds 5% of all Bitcoin worldwide, it will become impossible for Bitcoin to ever become a global reserve currency. Similarly, a new report from Gemini and Glassnode highlights that 30% of all Bitcoin in the world is now held by just 216 centralized entities. These include corporations, cryptocurrency exchanges, Wall Street banks, ETF investment firms, asset management firms, hedge funds, and sovereign wealth funds. So, a digital currency that was originally designed to be as decentralized as possible, embraced by billions of people around the world, is becoming highly centralized at a rapid pace. The future upside potential of Bitcoin The good news, if you're a Bitcoin investor, is that it probably does not matter if Bitcoin ever becomes the global reserve currency. People will continue to buy Bitcoin, just as people continue to buy gold. Demand for Bitcoin continues to soar. It's not just crypto enthusiasts who have embraced Bitcoin. It's now corporations, Wall Street banks, and even sovereign governments. It's hard not to be bullish on Bitcoin, even if the original vision of early crypto pioneers to replace the U.S. dollar with Bitcoin never materializes. Should you invest $1,000 in Bitcoin right now? Before you buy stock in Bitcoin, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Bitcoin wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $664,089!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $881,731!* Now, it's worth noting Stock Advisor 's total average return is994% — a market-crushing outperformance compared to172%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of June 9, 2025
Forbes
18-06-2025
- Business
- Forbes
Gold Stablecoins Coming Soon
The Federal Reserve, as most of us know, was established in 1913. But, what did the US monetary system look like before then? Of course there were gold and silver coins. But, mostly people used paper banknotes, issued by private commercial banks. In 1913, 7,404 private banks issued their own banknotes – all of them convertible to gold coin on demand. To this was added the United States Treasury itself, whose Treasury Gold Certificates (a form of banknote) was the most popular among the myriad options available in those days. Britain's gold-based government bonds had low and stable yields for many decades. Today, the idea of issuing private banknotes is not very popular. People would rather have a digital solution of some kind – such as Kinesis, Lode, Glint, or the United Precious Metals Association, which today provide digital gold transaction platforms. These seem very innovative, but actually they are not much different than the private banknote systems of 130 years ago. The most popular digital platforms today are not based on gold, but on dollars. Among these are the 'crypto stablecoins,' with USD Tether (USDT) and USDC the most popular. Tether's 'money supply' or 'coins outstanding' has risen from about $2 billion in 2019 to over $150 billion today. For a number of years, the primary use of these USD stablecoins was as a trading platform on crypto exchanges. This allowed traders to bypass the regular USD banking system. But, more recently, they have become increasingly popular as a method of payment for regular trade, or purchasing of goods and services. Now Walmart, Amazon and other big operators are actively setting up their own USD stablecoin systems. Among other advantages, this is expected to save these retailers billions in transaction fees. This process was recently smoothed by the passage of the GENIUS Act ("Guiding and Establishing National Innovation for U.S. Stablecoins") by the US Senate. The main advantage of a USD stablecoin is that it integrates seamlessly with the USD-based monetary economy of today. The main disadvantage is that its value is fixed to the dollar; and that value can be expected to decline over time, slowly or quickly. A better solution, and the one that the US used in 1913, is multiple private issuers of gold-based stablecoins. This solution came about after the American government's own fiat currency, the Continental Dollar, was devalued into hyperinflation in the 1780s. The government made coins, but it did not make banknotes. This was left entirely to the private market. For now, stablecoins based on gold – including Tether's own offering, Tether Gold – are not very popular. They look like USD Tether in 2019. But, in time, eventually 'something happens' and people go looking for a better monetary alternative. Today, this is most likely in countries in Africa or Latin America, that suffer chronic currency depreciation and even hyperinflation. It is not hard to imagine that even the US might find itself in a similar situation, and not that far from now. Some kind of gold-based payment system, possibly a 'bank checking account based on gold,' or possibly a crypto-based stablecoin -- is a necessary foundation for the issuance of debt based on gold. Already, people like economist Judy Shelton are recommending at least a small issuance of government debt on a gold basis. Basically, you borrow 1000 kilograms of gold, and pay it back with interest. Of course this won't be in the form of gold coins sent via Federal Express. This borrowing and paying would take place on some kind of gold-based payment platform, that is entirely digital. This 'payment platform' would probably have some means of converting 'digital gold' to gold coins or bars. But, of course, nobody would do that, except in some kind of crisis. Why would anyone issue debt based in gold? Because, maybe that is the only form of debt that people are willing to buy. Who wants to lend money and get paid back in a depreciating currency? Basically, the interest rate would be a lot lower. In the 19th century, the best government debt regularly traded around 3.5% for maturities of 10 years or more. 3.5% is not too far from the 10yr Treasury yield today. So, there is no obvious incentive today to issue debt in gold, except as a kind of experiment. But, it is not hard to imagine a situation where nobody can issue debt in a junk currency, except at very high interest rates, short maturities (1 year or less), and small size. This is common today, in those countries with a history of currency abuse. The US itself might get a similar reputation, just as it had in 1789 – when the collapse of the Continental Dollar made everyone swear off government fiat currencies for multiple generations. For now, the common acceptance of USD stablecoins is the entry drug for the real thing – private currencies based on gold.
Zawya
09-05-2025
- Business
- Zawya
O Gold and Mawarid Finance announce strategic partnership to launch the region's first Shariah-compliant gold-backed prepaid card
Dubai, United Arab Emirates – In a landmark move for ethical finance and fintech advancement, O Gold, the UAE's leading digital gold investment platform, has partnered with Mawarid Finance, a premier UAE-based Shariah-compliant financial institution established in 2006, to jointly develop and launch the region's first Shariah-compliant prepaid card backed by physical gold. Founded to democratize access to precious metals, O Gold offers users a seamless platform to buy, sell, lease, and redeem physical gold and silver—whether for investment or everyday use. With features like physical redemption and gold-backed savings tools, O Gold is redefining how individuals engage with real assets in a digital-first era. Backed by partnerships with globally recognized entities such as SAM Precious Metals and AKW Consultants, O Gold brings physical and digital gold to users' fingertips. Mawarid Finance, a premier UAE-based Shariah-compliant financial institution established in 2006, offers a comprehensive suite of ethical banking and finance solutions. With a mission to support ethical growth through innovative financial services, Mawarid serves individuals, SMEs, and corporate clients—championing transparency, social responsibility, and integrity in all its operations. This strategic collaboration aims to reshape how individuals interact with gold—transitioning it from a traditional store of value into a dynamic, ethical financial tool. Built on shared values of trust, transparency, and compliance with Islamic finance principles, the initiative reflects growing demand for real asset-backed solutions in the digital age. 'Our objective is to offer customers ethical financial products that combine timeless value of gold with practical modern use,' said Bandar Alothman, Founder of O Gold. 'This partnership with Mawarid Finance is a significant milestone in our mission to bring inclusive and Shariah-compliant innovation to the market.' 'Leveraging our deep expertise in Shariah-compliant finance, Mawarid Finance is excited to collaborate with O Gold on this groundbreaking initiative,' said Rashid Al Qubaisi, CEO of Mawarid Finance. 'This partnership allows us to extend the benefits of real asset-backed value to a wider audience through a convenient and ethically sound prepaid card.' The initiative is designed to serve a wide range of users seeking ethical, secure, and asset-backed financial alternatives—reinforcing both organizations' commitment to responsible innovation.
