I actually think that people underestimate the extent to which precious metals are now obsolete as a store of value.

The internet is barely 25 years old - yet almost all trades these days are conducted electronically. We now have a worldwide eletcronic trading platform, not a physical one.

Gold is actually no more than a "physical" bitcoin. It is a unique, fungible token - just like a plastic token at a funfair. It has no "intrinsic" value as such - its value derives from the fact that over the years it was found to have the very rare qualities that allowed it to serve as a generic unit of exchange.

In other words its value derives from its *role* as a monetary medium, not the other way around.

Remember the phrase "if you can't hold it, you don't own it" ?

Well, now that we have this worldwide electronic trading platform, that phrase favours cryptocurrencies more than precious metals. With cryptocurrencies you can electronically "hold" what you own. It's "electronic" holding of the base money medium that matters - not physical holding.

You cannot do this with gold. ok - you can have it delivered to your door, but the gold market would grind to a complete halt if every single trade had to be matched with a physical delivery somewhere.

That is why the writing is on the wall for precious metals as a store of value. Yes - if there was a worldwide currency crisis tomorrow, the gold price would undoubtedly rise, but its future is now severely limited in my opinion, even as a "safe haven" investment.