Everyone was in love with its brilliance and brilliance, even though they couldn't use it as jewelry, weapons or currency. Pure gold is highly resistant to aging and tarnishing, so most of the gold from the hominid era still survives today and lives on in your smartphones, computer chips and watches. Let's start with the fact that gold is rare. Thousands of years ago, gold was a little easier to extract.
In fact, many ancient cultures could find gold nuggets on the ground or in streams. As that supply of gold was collected, mining was implemented to collect more gold. The human effort made to obtain this gold made it valuable. Nowadays, it would be necessary to use geological studies and engage in serious mining to obtain a large amount of gold.
With the new coin-based monetary system, the so-called “pounds”, shillings and “pence” were established, with pounds literally being a pound of sterling silver. In 1284, about a hundred years later, Great Britain issued its first gold coin, the florin, while throughout Europe, in present-day Italy, the Republic of Florence issued the first golden duchy, which soon became the most popular gold coin in the world and remained so for another five centuries. The gold coin was minted by a goldsmith named Ephraim Brasher and a few years later, in 1792, the infant U. ST.
. It eventually abandoned the gold standard to rely entirely on fiat money. Going back a bit to 1848, a man named John Marshall found gold flakes in a California stream, starting the California Gold Rush. The California Gold Rush not only accelerated the settlement of the American West, but it was also the basis for the classic computer game that generations of Americans love so much, The Oregon Trail.
A few years later, in 1868, George Harrison, a man from South Africa, discovered gold in his backyard and, since then, 40% of the gold mined in the world comes from the African nation. Some have cited that another disadvantage of the gold standard is that countries with fewer reserves are at a significant disadvantage compared to those with more gold reserves. Until recently, many currencies around the world were backed by gold and, although the gold standard was abandoned long ago, gold is still used very effectively as a safe haven asset in times of economic crisis to preserve wealth. However, nations were not yet willing to abandon the gold standard completely, to reestablish it and, at the same time, they were hoping that a new era of international stability would return to the gold standard, but in reality it never happened.
At that time, the only major countries remaining on the gold standard with significant gold reserves were the United States and France. If you put together all the earrings, all the golden rulers, the small traces of gold on each computer chip, each pre-Columbian statuette, each wedding ring and cast it, it is estimated that you would have only one cube of 20 meters left, or something like that. In the 16th century, the discovery of South America and its vast gold deposits caused a huge fall in the value of gold and, therefore, an enormous increase in the price of everything else. Roubini warned that the gold standard always leaves the door open to a possible gold rush, which can cause enormous problems and side effects if those countries don't have enough gold to exchange it for paper money.
The inability of governments to inflate the value of money because it is linked to the supply of gold makes it difficult for inflation to increase significantly, while a globally accepted gold standard sets exchange rates and reduces economic uncertainty. There are still supporters of the gold standard, many of whom came to light during the global financial crisis, claiming, among other advantages, that the gold standard would create greater price stability than issuing fiat money based solely on trust. The purest way to own gold is to take physical possession of the precious metal and buy gold coins or ingots. In 1968, several countries that dominated the global supply of gold decided to stop selling gold on the London market, allowing the market to determine the price of gold.
This is where the golden chemical symbol Au comes from to represent gold in the periodic table of the elements. Gold can stimulate a subjective personal experience, but it can also be objectified if adopted as an exchange system. .