this post was submitted on 04 Nov 2023
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[–] joyjoy@lemm.ee 21 points 1 year ago (3 children)

So? We don't use it for money anymore.

[–] MadPlaid@lemmy.world 46 points 1 year ago (1 children)

Gold is used in a lot of other things than money and jewelry. For example, a sizable portion of the world's supply is used in electronics like cellphones and computers.

[–] KepBen@lemmy.world 25 points 1 year ago (1 children)

Oh no a country is investing in their own industrial capacity, what devious monsters!

[–] PugJesus@kbin.social 11 points 1 year ago

Yeah, like, I'm generally pretty anti-CCP, but this is a non-issue, really.

[–] Hereforpron2@lemmynsfw.com -4 points 1 year ago* (last edited 1 year ago) (2 children)

But when money fails (hyperinflation, sanctions, digital collapse, bank failures, violent revolution, etc.), countries who already have gold reserves will be the only ones with anything of value.

Beyond that, just by virtue of the fear of any of those events or general international turmoil rising, the value of gold rises, too, as one of very few stores of wealth that can survive any such event. Investing in gold is a great low-risk move for guaranteed returns on huge reserves.

Edit: I don't know why people are downvoting this lol. Talk to literally anyone in finance.

[–] joyjoy@lemm.ee 10 points 1 year ago* (last edited 1 year ago)

Money is like fairies. If you stop believing in it, it stops existing.

[–] FlowVoid@lemmy.world 0 points 1 year ago (2 children)

I talked to someone in finance, and the first thing they said is that nothing has guaranteed returns.

[–] BackOnMyBS@lemmy.world 2 points 1 year ago (1 children)

FlowVoid: Hi, I'm FlowVoid.

Person in finance: Nothing has guaranteed returns.

FlowVoid: Oh...uh, ok.

Person in finance: I'm in finance.

[–] FlowVoid@lemmy.world 0 points 1 year ago* (last edited 1 year ago) (1 children)

Close! But here's what actually happened...

FlowVoid: Hi, I'm FlowVoid, your 1:30 pm appointment. I'm here for some guaranteed returns, here's $3.50, now set me up finance bro.

Person in finance: Nothing has guaranteed returns. Also get out.

[–] KevonLooney@lemm.ee 2 points 1 year ago (1 children)

You can get a guaranteed return in many ways.

  • US Treasury bonds: if the US government fails you'll have bigger problems than money. You don't need to worry about that scenario. You'll win the lottery first.
  • Pay off a loan: by paying off your principal early you can guarantee that you pay less interest in the future.
  • Buy something that saves you money: if you like cooking, an herb garden will save you a lot of money. If you like sweets, baking equipment will do the same.
[–] FlowVoid@lemmy.world -1 points 1 year ago (1 children)

The first is not guaranteed, the others are savings not returns.

[–] KevonLooney@lemm.ee 1 points 1 year ago (1 children)

Savings are better than returns because they are legally tax free. A penny saved is worth more than a penny earned.

[–] FlowVoid@lemmy.world 0 points 1 year ago

Yes, savings are usually better if for some reason you are forced to choose only one. But they are generally used together. A penny saved is worth even more if it is used to generate a return.

[–] Hereforpron2@lemmynsfw.com 0 points 1 year ago

Fair, low-risk not no risk, but a good buy

[–] kevinbacon@lemmy.world -5 points 1 year ago

Look where that got us...