Empire's Last Currency: Gold Rises as Geopolitical Dominoes Threaten to Fall
As global tensions simmer & empires teeter, savvy investors turn to gold's timeless resilience, transforming precious metal into a strategic shield against imminent economic and geopolitical upheaval
Special Report by Vince Curletta
Throughout history, we've witnessed the rise and fall of dominant powers, each leaving an indelible mark on the world map. From Athens' fall to Rome, to Rome's decline and the Byzantine Empire's ascendance, the torch of dominance has been passed from one civilization to another. In Europe, Portugal, Spain, France, the Netherlands, and Britain all took turns as the preeminent imperial powers, carving up vast swathes of Africa, parts of Asia like Vietnam, and the entire continent of Latin America.
Amidst these seismic shifts in global power dynamics, one constant has remained: gold. This precious metal has consistently emerged as the chief unit of account, transcending the rise and fall of empires, enduring hundreds of wars, and adapting to redrawn maps
From agrarian to urban to industrial and post-industrial eras, gold has stepped up to do the accounting for failed political, social, and economic systems.
The gold standard, first adopted by Britain in the 19th century, became a standardized valuation principle in the early 20th century.
This system attempted to stabilize global currencies and promote international trade. However, it began to unravel during World War I when countries abandoned the gold standard to finance their war efforts. The Great Depression dealt a further blow, and the system was ultimately abandoned after World War II.
Despite the end of the gold standard, gold's allure as a safe haven during times of geopolitical uncertainty persists. This is evident in the recent surge in gold prices, as highlighted in the Politico article "In a tense world, the smart money is betting on gold." As global tensions rise, with conflicts in Ukraine and the Middle East, and increasing great power competition between the U.S. and China, investors are turning to gold as a hedge against potential economic turmoil.
Gold's Enduring Appeal
Gold's appeal lies in its perceived stability and intrinsic value. Unlike fiat currencies, which can be printed at will by governments, gold's supply is limited, making it resistant to inflation. This characteristic has made it a favored asset during times of economic uncertainty and geopolitical tension
The current geopolitical landscape bears some resemblance to previous eras of global instability. Just as the decline of empires like Rome led to periods of uncertainty and conflict, today's shifting global order - with the relative decline of U.S. hegemony and the rise of powers like China - is creating a similar environment of unpredictability
In this context, the recent surge in gold prices can be seen as a continuation of a historical pattern. As in previous eras of transition between dominant powers, investors are seeking the perceived safety of gold. This trend reflects not just economic calculations, but also deeper anxieties about the stability of the current global order
Conclusion
The story of gold is inextricably linked with the story of human civilization. From the ancient empires of Greece and Rome to the colonial powers of Europe, and now in our modern era of nation-states and global finance, gold has remained a constant. Its enduring value as a unit of account and store of wealth has transcended the rise and fall of empires, the redrawing of maps, and the evolution of economic systems.
As we face a new era of global uncertainty, with shifting power dynamics and increasing geopolitical tensions, it's perhaps unsurprising that many are once again turning to gold. Whether this represents a wise investment strategy or a reflection of deeper anxieties about the future of the global order remains to be seen. What is clear, however, is that gold's role in human affairs is far from over, continuing a story that has spanned millennia of human history.
We have reached Peak Gold, What does that mean?
Peak gold refers to the maximum rate of global gold extraction, after which production is expected to decline. This concept, similar to peak oil, suggests that all major gold deposits have been discovered, making new finds increasingly rare and costly.
As of 2024 we have already reached peak gold, with production struggling to meet demand without recycling
The implications are significant, driving gold prices higher as supply constraints tighten
This situation presents both challenges for the mining industry and opportunities for gold investors
RECALL: In the context of Reaching Peak Gold all major gold deposits have been discovered, making new finds increasingly rare and costly.
Physical Gold is poised to continue this historic bull run
Obtaining Leverage to Physical Gold is How you invest & Best Practice
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With its 100% ownership of the high-grade Scottie Gold Mine Project. Scottie Resources is strategically positioned to capitalize on the impending gold supply crunch. As global gold production reaches its zenith in 2024.
Scottie's extensive 58,500-hectare land package and promising drill results make it a standout junior miner.
The company's focus on expanding known mineralization around past-producing mines aligns perfectly with the industry's need for new discoveries. With depleting reserves and declining ore grades worldwide.
Scottie's high-grade targets and exploration success are more crucial than ever for meeting future gold demand.
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