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Gold for house
(lemmy.ca)
wood for sheep?
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this post was submitted on 28 Jan 2024
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If you had of invested the equivalent amount of money in the Dow Jones index instead of purchasing 10kg of gold and kept it invested from 1920-2024 you would have ~$15 million.
This, precious metals are a hedge against hyper inflation. Not an investment.
So I get the idea of a hedge, but I guess the question on my mind whenever I hear talk about hyper-inflation is “what are you going to do with the gold if society collapses?”. My thought is that if the world economy got so fucked up that the US dollar was worthless, and the government didn’t step in, then wouldn’t we sorta be in a failed state? And if we were in a failed state is the plan to sit on the gold in some sort of fortress to wait for civilization to come back? Hoping that you can defend it and that the incoming civilization doesn’t just take it?
As far as I know, the idea with holding gold in bank storage is, that if hyperinflation occurs, the currency becomes worthless and there will be economic upheaval, but it will not be the apocalypse. And then a new currency will be created and everybody who held physical assets instead of the old currency will be in a way better position.