Amazing Properties of Gold that Add to Its Value

Posted - April 13, 2022
Amazing Properties of Gold that Add to Its Value

The History of Gold

Gold is clearly the frontrunner as it comes to collecting and/or investing in precious metals. It has historically proven itself to be the most durable of investments in any form. But what is the actual history of gold and why is it so popular among precious metals investors? 

For thousands of years, gold was traditionally used in the making of jewelry and idols for worship. However, around 1500 B.C. gold was monetized by Egypt and accepted as a form of exchange for international trade. Since then, gold in its many forms of coins and generic bullion has become the de facto precious metal for many when referring to precious metals as an investment.. 

Some Properties of Gold that Add to Its Value

Gold is a remarkably versatile precious metal that boasts a number of unique properties. To start with, it’s very ductile and malleable. It is also an excellent conductor of electricity. 

As well, gold is known to be incredibly durable. Exposure to corrosive agents such as moisture or heat has a nominal effect on the precious metal. Also, unlike silver which can degrade (or build charm, depending on your perspective) over time, gold does not rust or tarnish. These inherent characteristics leave gold unchanged by the hands of time and have helped it achieve status through many cultures over many thousands of years as a great store of value.

This is why it’s so well suited for the crafting of jewelry and collectible coins and bullion. This is also a reason why wedding bands are made of gold. The point of the ring, as well as the marriage, is that they are designed to withstand the test of time. 

Furthermore, according to the American Museum of Natural History, gold is highly reflective of both heat and light. This is what allows for its golden shine. To the point, when combined these unique properties of gold are a big part of what makes collectible gold coins and bullion so unstoppably popular. 

Gold Coins and Bullion as an Investment

Gold will always be in demand. The nature of this precious metal’s properties all but assure that our cultures will not only want but need more gold in the future. And, of course, we recognize gold’s value because of its rarity. 

And it’s only too easy to suggest that gold will become more and more rare in the coming decades. In fact, Goldman Sach’s analyst Eugene King recently suggested that the world currently has only 20 years of “known mineral reserves of gold”. This, of course, accounts for the known reserves. Others are yet to be discovered.  

As a result, gold’s popularity, especially in the form of collectible coins and bullion, will continue to be on the rise in the coming years and decades. It’s only too easy to see and appreciate gold as a proper investment. Just ask your government. 

According to the International Monetary Fund, IMF, gold’s official role in the international monetary system was put to rest about 50 years ago but the precious metal is still highly regarded on an international level. According to approximately 45 percent of all the world’s mined gold is owned by governments and central banks. On this level it is commonly used as a form of international payment for debts owed. Perhap J.P. Morgan said it best: “Gold is money. Everything else is credit.

In Summary: The Durability of Gold Makes for an Easy Choice

Gold is a remarkably durable precious metal with a variety of properties that make it more and more popular with the passing of each generation. Its resiliency and resistance to damage and corrosion as well as its ability to conduct electricity are some of the many factors that fascinate collectors and contribute to the belief by many that gold will only rise in the years and decades to come. 

Therefore, it’s an easy choice to make as it comes to strengthening one’s portfolio. Gold is a proven investment asset that stands strong against inflation or flailing economies. In times of turbulence and volatility precious metals, such as gold collectible coins and bullion, effectively provide a layer of protection when genuinely needed.

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Hero Bullion provides an environment that is informative and safe for those looking to own physical gold and silver bullion as an investment. We love helping folks at all stages throughout their bullion journey making progress towards acheiving their financial goals. Whether you are a seasoned bullion investor or brand new to the game of gold and silver bullion ownership, we're here to help and serve you in any way we can.