Store of Value

The ability of an asset to avoid depreciation over an extended period of time is referred to as a store of value. Therefore, an asset’s worth must either remain stable or grow through time in order to qualify as a store of value — it must never decrease.

A good store of value will allow its owner to sell or swap it at a later time for an amount equal to or greater than what was paid for it initially. Typically, the market worth or purchasing power of the asset is connected to this value (monetary value). But occasionally it might also be connected to the asset’s liquidity (i.e., how easy it is to buy and sell it).