Gold and Bitcoin Gain Favor Amid Sovereign Debt Concerns
According to Tommaso Mancuso, President and Chief Investment Officer at global digital asset investment manager 3iQ, it's no longer a debate whether investors should hold both gold and Bitcoin as safe-haven assets. In an exclusive commentary for Kitco News, Mancuso noted that central banks accumulated an average of roughly 1,000 tonnes of gold annually between 2022 and 2025, about twice the average pace of the previous decade.
The common denominator behind this trend is growing concern about the sustainability of traditional sovereign assets. Developed economies are facing structurally higher debt burdens and persistent fiscal deficits. Citing International Monetary Fund projections, Mancuso said average government debt among G7 economies is expected to reach 123.7% of GDP in 2026.
Mancuso emphasized that Bitcoin and gold share similar 'monetary DNA' due to their constrained supplies, ability to be owned outside the traditional sovereign financial system, and value derived from preserving purchasing power rather than industrial or transactional utility.
However, he highlighted key differences between the two assets. Gold's monetary network has developed over centuries and is supported by central banks and other institutional investors. Sovereign institutions alone hold more than 36,000 tonnes of physical gold, valued at close to $5 trillion.