If we google the term “store of value,” we find a common definition is “an asset that maintains its value, rather than depreciating.”
Diversified stocks like the S&P500 are generally recognized as stores of value
S&P500 Index — 90 year historical chart (Image by Macrotrends)
There are numerous multi-decade periods in which this classic asset sees significant depreciation. In the middle of this chart, from November 1968 (810.82) to July 1982 (290.96) was one and a half decades which saw four recessions and a peak-to-trough decline of over 64%.
Commodities have show similar periods of depreciation over the past century.
Gold Prices — 100 Year Historical Chart (Image by Macrotrends)
Gold is one of those commodities which many people like to accumulate as a store of value, but just like stocks, you can see that there are multi-decade periods of huge depreciation. The biggest price drop occurring from February 1980 ($2,230) to February 2001 ($390), for an 82.5% drop in price over two decades.
Again, it is easy enough for anyone to google the prices of any commodity and find periods of years to decades where the prices depreciate significantly.
Currencies, are another consideration. But does money really meet the definition of a store of value?
Broad price-adjusted U.S. dollar index published by the Federal Reserve. The index is adjusted for the aggregated home inflation rates of all included currencies. (Image by Macrotrends)
We can see that there are certainly decade-long periods of depreciating price of the US dollar, the biggest one in this chart from March 1985 (128) to June 1995 (84), a 34% decrease during that decade.
Bitcoin as a store of value?
Price of Bitcoin (Image by Investopedia)
Bitcoin’s price peak in December 2017 ($16,863) depreciated to a low in December 2018 ($3,264), for an 81% drop.
On its way to 6,500,000x returns within 12 years, the Bitcoin price dipped 94%, 95%, 81% and 86%
HEX has made life changing wealth for many successful investors but its rewards have come with the price of extreme price volatility
HEX Logarithmic price chart since launch (Image from nomics)
Cryptocurrencies are the highest appreciating asset class in the history of mankind. HEX has already done its 10,000x in under 2 years and that’s before staking. However, throughout its first year of inception, the price dipped 81%, 73%, 59%, 67%, 87% before making new all time highs in September 2021, and then dropping another 82% from October 2021 to mid-May 2022. Hex has proven that it is possible to program price performance into a store of value token.
GENIUS products attract GENIUS investors
GENIUS Smart Financial Contract introduces investors to the new concept of utilizing A.I. (artificial intelligence) designed to protect the price from extreme volatility while protecting its users from the effects of market manipulation and market conditions.
Genius Token mechanics are effectively designed to generate passive income indefinitely and increase in price and preserve value over time.
The core team of developers have been designing the enhanced tokenomics for over a year and have highlighted some intriguing new concepts of what truly creates value.
Value has more to do with our time, intentions, and attention that we exchange, rather than a model of fictitious scarcity. The Genius Smart Contract not only monetizes time through incentivizing advanced staking rewards, but also monetizes the attention we have and our ability to keep our focus on our goals and our promises.
There is true value to keeping our promises.
Computing power was once scarce. Now its almost limitless. The only true scarce commodity is increasingly our own human attention. The more information we consume, the more quickly we lose interest in it. He who owns the information, owns the world.