If one looks for the definition of gold, this would be more or less like “Substance that results from the mixture or relationship of that metal with other metals and that is used in jewelry, dentistry, gold smiting etc.” And about it does not tell us anything But if you see the story, you can see that this metal has a high financial value investing in cryptocurrency. So that it is cataloged as a refuge currency and its volatility has been extreme, but in the majority of cases upward, so that people and companies have become millionaires with this metal, total “richer than gold or no?”
5 reasons to invest in gold. Ideas
In this article we will explain 5 reasons to invest in gold, these are:
- In more than 5,000 years of history, gold has been together with silver, the only metals that have had less losses, and it is simply because they have an inherent value and being a tangible metal, it is not infinite, so its value it will never reach $ 0.
- It is one of the few metals that for a counterpart does not mean debt, that concept is economic duality, if someone buys, another sale, if someone buys bonds as an asset, the other will have them as a liability and so on, in the case of gold no so, then the risk of insolvency or credit is as close to 0%, then it is a convenient alternative.
- It is as previously mentioned a currency of refuge, then for economic crises, wars, terrorism and a host of negative situations, gold is the only metal that is appreciated for these circumstances.
- Empirically they have shown excellent independent performance if the economy has presented inflation or deflation. So in the future it is unlikely that they depend on inflation or deflation to speculate whether their value will increase or decrease.
- Its value is standardized, so each ounce will have the same price, but not the diamonds or coins that will depend on a supply and demand factor, so much more subjective and more variable.
