Next week, a heavyweight debate is about to unfold — Peter Schiff, who accurately predicted the 2007-2008 financial crisis, publicly challenged a certain pro in the industry, with the debate topic directly targeting: Bitcoin and tokenization of gold, which one truly deserves the title of "currency"?

This topic is interesting. Let me first share a point of view: Bitcoin has a greater chance of winning. Why? Let me tell you three reasons.

**First, let's talk about scarcity.**
The 21 million cap of Bitcoin is a hard rule written into the code. What about the tokenization of gold? On the surface, it seems to be linked to physical assets, but in reality, gold mines can continue to be mined, and central bank reserves can be adjusted and released; the "scarcity" aspect always has a ceiling that is swaying. More importantly, Bitcoin doesn't require a vault, it doesn't fear oxidation, and there's no worry about transportation risks, making its anti-inflation purity much higher than that of gold's digital version. The latter is at best just giving traditional assets a blockchain veneer, but essentially it still depends on the physical reserves.

**Let’s take a look at liquidity.**
Bitcoin can be transferred instantly worldwide 24/7, with low transaction fees and no middlemen taking a cut. While tokenized gold can also be traded on-chain, do you want to redeem the physical asset? Sorry, you have to go through the custody institutions, logistics channels, and cross-border approvals. Especially when it comes to cross-border transfers, various restrictions come rushing in. The decentralized network of Bitcoin allows you to control your wealth at any time, while tokenized gold cannot avoid the centralized role of custodians—this is a regression in itself.

**Finally, there is room for innovation.**
Bitcoin is no longer just a piggy bank. Layer 2 solutions like the Lightning Network enable it to handle small payments, and smart contracts and DeFi applications are continuously being integrated, with the ecosystem expanding. What can tokenization of gold do? Just hold it and wait for the price to rise, it's that simple. Its value is entirely dependent on the spot price of gold and has no independent evolution capability. Behind Bitcoin is an active open-source community driving iteration, while gold has not changed in thousands of years.

What do you think? Which side are you on?