Hey dear Getquiners, honest question: Do you think gold is crisis-proof?
In this post, I explain why I think gold is one of the worst assets of all and why the "scarcity" on the market is often a lie - because all that glitters is not gold 😉
1. the asset in a deep sleep 😴
Anyone who bought gold at the high in 1980 had to 26 years to get back to zero in nominal terms. Adjusted for inflation, this was a financial disaster. Is an asset really "stable in value" if it takes half a working lifetime to make up for mere losses? After the 2011 high, it also took approx. 9 years (until 2020) until the price broke out sustainably.
2. the gold that wasn't actually there. 👻
Gold is sold as a "limited resource". It has to be painstakingly mined, is physically limited and cannot be conjured up. But what if it is possible on paper?
The Morgan Stanley scandal: In 2007, it came to light that Morgan Stanley had not physically bought or stored gold for many clients at all. The bank only held "paper positions", but still collected the fees for the (non-existent) vault storage. The clients were not holding hard assets, just hot air.
The Bre-X scandal (1997): The company Bre-X Minerals claimed to have discovered the largest gold deposit in the world. Geologists "salted" the drill samples with gold dust (even from their own jewelry!) to keep up appearances. The shares shot up to a value of over 6 billion dollars before everything collapsed.
This begs the question: is the price of gold really linked to physical scarcity, or is it often just a hype chart created by expert opinions and blind bank confidence?
3. the volatility lie: 10% crash in 28 minutes? ⏱️📉
It is often said that gold is so great because it is less volatile. But is that true? Let's jump to January 30, 2026: On this day, gold lost almost 28 minutes almost 7 % of its value in just 28 minutes. Over the entire day, it was around 14 %. Don't even get me started on silver (30% fluctuation... cough).
Another example is the April 12, 2013At that time, sell orders for over 400 tons of gold were placed on the Comex in New York within a very short space of time (approx. 15% of annual global production). Gold plunged in two days by 15,5 % in two days. The absurdity: Not a gram of physical gold was moved. They were pure "paper promises". Someone pressed the sell button without ever having owned the metal.
My conclusion: For me, gold is neither stable nor crisis-proof. It is highly volatile and - most importantly - not protected by financial constructs. not infinitely limited. It can be "printed" on paper as much as you like. That's why it no longer has any real value for me.
What do you think? Would you still buy or hold gold after these facts? Let me know your opinion in the comments and leave a follow for more posts like this. Next, I'll write a post on the biggest gold scandals and show you what I think are the better alternatives! 🚀
Feel free to leave feedback, criticism is also welcome, because that's the only way to learn! 😉
$IGLN (+0,25 %)
$4GLD (+0,24 %)
$DE000EWG0LD1 (-0,29 %)
$NEM (+0,75 %)
$GOLD (-0,1 %)
$ABX (+3,48 %)
$FNV (+0,38 %)
$AEM (+0,73 %)
$BTC (+0,64 %)
#gold
