Gold: Past, Present, and Future

Amanda Allen4 said:Sure, that sounds like a solid concept in theory, but let's be honest: it's becoming increasingly irrelevant in today's world.

Suppose a total catastrophe hits and we face a massive liquidity crisis—a bank run, for instance—how exactly do you plan to barter your physical gold and silver for basic necessities?

I once heard a story from an old-timer living out near the Rocky Mountains; he mentioned that during that chaotic transition period following the collapse of Nazi Germany and the rise of America, people were actually bartering "gold for gold"—essentially trading their gold jewelry just to get some corn.

I think you answered your own question. If a real crisis hits, maybe you can trade gold for corn or a sausage. But a single cartridge? That’s mostly just for warmth or... well, you know. That’s why I guess small-scale physical assets make more sense.

Amanda Allen4 said:Gold and Bitcoin both hold intrinsic monetary value—and while neither functions as a traditional currency, they both serve as money that can be traded via digital transactions. Gold holds one specific advantage: if our entire communication infrastructure were to suffer a total collapse for whatever reason, gold won't simply vanish. However—and this is a massive "however"—it isn't worth much if you don't have it physically on hand at your house; if it's just sitting in some institutional vault, what good is it?

In a scenario like that, neither gold nor Bitcoin would be worth much—certainly far less than a shotgun with a full box of ammo. I certainly hope we never reach that point, though, because my gold is stored quite far from my home😁.

But here’s the kicker: unlike Bitcoin, central banks still have a massive obsession with hoarding physical gold. Even where they stash it matters to them. 😁
http://money.cnn.com/2017/08/23/inve...ris/index.html

hollowmoose21 said:But here’s the kicker: unlike Bitcoin, central banks still have a massive obsession with hoarding physical gold. Even where they stash it matters to them. 😁
http://money.cnn.com/2017/08/23/inve...ris/index.html

Some central banks have already dumped their gold reserves, treating it like some useless relic from the past.

Which central banks are we supposed to consider relevant then? (Personally, I’d say none of them)

vividgull10 said:Some central banks have already dumped their gold reserves, treating it like some useless relic from the past.

Which central banks are we supposed to consider relevant then? (Personally, I’d say none of them)

Even the Federal Reserve got rid of its gold long ago; they are certainly ahead of the curve.🤣.

vividgull10 said:Some central banks have already dumped their gold reserves, treating it like some useless relic from the past.

Which central banks are we supposed to consider relevant then? (Personally, I’d say none of them)

Honestly, there isn't really a straightforward answer to that one. 🤣
https://en.wikipedia.org/wiki/Gold_reserve

Melissa Sanchez17 said:Honestly, there isn't really a straightforward answer to that one. 🤣
https://en.wikipedia.org/wiki/Gold_reserve

Think about how difficult it used to be to flee with your wealth and hide physical assets. Today—it’s different. You just take twelve words from your Bitcoin wallet and you can disappear anywhere. You could even just commit them to memory...😉

Gold has been valued at over 2,000 ounces for quite some time now. It serves as a fundamental store of value for humanity, and I suppose it likely will continue to do so. Bitcoin hasn't existed long enough to be meaningfully compared to gold, I think. Time will tell, perhaps.

dustyheron5 said:Every bubble eventually bursts. The real challenge lies in determining at what level something becomes a bubble versus when it remains a profitable hold.

Take US stocks, for example—I was convinced they were a bubble back in 2021, yet look at them now. I missed the boat there—which doesn't mean my logic was wrong, but in investing, timing is everything. 😵

It’s the same story with Bitcoin. The question isn't whether it's a bubble, but rather whether we're looking at a $250 billion market cap bubble or a $2.5 trillion one.

That is a massive distinction.

Besides, if I were ever to sell my Bitcoin, I wouldn't pivot to stocks or bonds—I'd go straight into metallurgy. It's one of the few asset classes that isn't a bubble.

Because honestly, trading 1 Bitcoin for 10 ounces of gold seems like an incredibly good deal to me. :klap:

You're going to regret not pulling the trigger back when you first posted this.

brisksurfer71 said:You're going to regret not pulling the trigger back when you first posted this.

Don't be quite so certain. Gold is an incredibly sluggish, controlled asset—it moves at its own pace. Bitcoin, however, is volatile and inherently dynamic.
Just as it dropped from $19,500 down to $9,800, it can just as easily climb from its current $12,000 mark to $24,000...

hollowmoose21 said:But here’s the kicker: unlike Bitcoin, central banks still have a massive obsession with hoarding physical gold. Even where they stash it matters to them. 😁
http://money.cnn.com/2017/08/23/inve...ris/index.html

What’s your take—do you think central banks might actually start adding Bitcoin and other crypto to their reserves this year?
Assuming they don't just stick to gold and digital pixels... 😁

dustyheron5 said:What’s your take—do you think central banks might actually start adding Bitcoin and other crypto to their reserves this year?
Assuming they don't just stick to gold and digital pixels... 😁

They certainly could—look at Venezuela, for instance. Their currency is absolute garbage, so they have zero downside and everything to gain.

I honestly cannot wrap my head around why governments waste so much energy trying to squeeze taxes out of a population that has already been bled dry—why not just buy Bitcoin instead? If they did, their "tax base" would essentially be the entire world, and it would be voluntary rather than just bullying their own "unfortunate citizens."

dustyheron5 said:Don't be quite so certain. Gold is an incredibly sluggish, controlled asset—it moves at its own pace. Bitcoin, however, is volatile and inherently dynamic.
Just as it dropped from $19,500 down to $9,800, it can just as easily climb from its current $12,000 mark to $24,000...

Let me remind you about when it was around $8,000.