Quote from: pooya87 on February 12, 2017, 05:26:26 AM

Quote from: faaty on February 11, 2017, 08:27:39 PM

Some people says physical gold is more important, I should have physical instead of paper gold. But I dont understand why.

I trade easily in paper gold, spread is low so I lose less while trading. Banking system is powerful in my country, Turkey.

Physical gold can be stolen easily, I dont prefer having gold in my home, it is so dangerous imo, thieves are everywhere in my hood

What do you think?

the key part is what i made bold.
as others have said when you are using paper gold, it is a promise not gold itself. i agree that it is easier and more convenient but can you be absolutely sure that the promise they made to you will never be broken? if so trade away and have fun.

in any case both methods have their own risks.
for example buying physical gold is not only makes you susceptible to thievery but also it is always the risk of buying fake gold (e.g. there are some fake gold coins looking just like the real ones flying around in my country).

This we know promises are broken every time when it comes to governments and business besides the persons holding hold do so in the hopes gold skyrockets and if it does there is not going to be enough gold to fulfill the promises the business gave to all those investors, so the ones holding physical gold will earn while those holding paper will lose everything.