Why gold retains enduring value in an era of digital assets
you are currently viewing:Why gold retains enduring value in an era of digital assetsDecember 17, 2025--For more than five millennia, humanity has been captivated by gold-the immutable metal that has illuminated temples, crowned emperors, and underpinned monetary systems. Its story is as much about economics as it is about psychology. Across the centuries, gold has functioned as currency, ornament, reserve, and metaphor-embodying the human desire for permanence in a world of change. In an age of crypto assets, artificial intelligence, and central bank digital currencies, its persistence raises a question both ancient and modern: Why does gold still hold value? Gold's legacy as a standard of value began long before modern finance. The Lydians were among the first to mint gold coins in the seventh century BCE, transforming trade through standardization. Ancient Egypt and Rome regarded it as divine, associating its incorruptible gleam with eternity. In economic terms, its durability, scarcity, and divisibility made it uniquely suitable for money. It did not rust, could be stored indefinitely, and existed in limited quantities—a perfect medium of exchange. By the 19th century, gold had become the foundation of the global financial order. Under the classical gold standard, the British pound, the world's premier reserve currency, was directly convertible into a fixed quantity of gold held in the Bank of England's vaults. This system, adopted by much of the industrial world, imposed fiscal discipline and constrained governments from printing excessive money. Source: imf.org |
December 5, 2025-Bybit, the world's second-largest cryptocurrency exchange by trading volume has released its latest Crypto Derivatives Analytics Report in collaboration with Block Scholes, revealing cautiously optimistic signals in cryptocurrency markets following a volatile start to December.
December 3, 2025-Interest rates are a key monetary policy tool used by central banks around the world to encourage changes in economic activity.
But as the global population continues to skew older, traditional monetary policy tools such as rate-setting may become less effective.
Central banks need to find ways to keep interest rates relevant, but also develop alternative tools to navigate an uncertain global economy.
December 3, 2025-Despite challenges, there are ample reasons for broad optimism, including AI-driven cost savings
Despite an outlook that is complicated by contradictions in the U.S. economy and an evolving geopolitical order, Global X Management Company LLC ("Global X"), the New York-based provider of exchange-traded funds (ETFs), believes there are ample reasons for broad optimism on the U.S. economy as well as certain international markets heading into the new year.
December 2, 2025-The global economy has proved more resilient than expected this year, supported by improved financial conditions, rising AI-related investment and trade, and macroeconomic policies. However, underlying fragilities are increasing. Labour markets are showing first signs of weakening despite the OECD unemployment rate steady at 4.9%, with job vacancies falling below their 2019 average in many countries and confidence softening.
December 2, 2025-The value of global goods imports affected by new tariffs and other import measures increased more than fourfold from mid-October 2024 to mid-October 2025 compared to the prior 12-month period,marking the highest coverage in over 15 years of WTO trade monitoring,according to the WTO Director-General's latest annual overview of developments in the international trading environment.
November 28, 2025-Goods trade growth appears to have slowed in the second half of 2025 following a surge in the first half driven by frontloading of imports ahead of expected tariff hikes and by rising demand for AI-related products, according to the latest WTO Goods Trade Barometer.
November 28, 2025-The global economy faces three potential financial bubbles related to cryptocurrencies, artificial intelligence and debt.
All three are interconnected.
Bubbles tend to cause serious short-term pain when they burst-but they can also fundamentally reshape economies with lasting benefits.
It's not exactly reassuring when so many people start scanning the past for a read on what's happening in the present.