In general, gold and silver are considered more sound forms of money than fiat currency.
Gold and silver have been used as forms of money for thousands of years and have a long history of holding their value over time. Because gold and silver are scarce, they cannot be easily manipulated or created at will, and their supplies are limited by natural factors such as mining output. This scarcity and the fact that gold and silver have been used as stores of value for so long give them a degree of stability that is lacking in fiat currency.
Fiat currency, on the other hand, is not backed by a physical commodity like gold or silver, but instead derives its value from government regulation and people’s faith in the government and the economy. The supply of fiat currency is controlled by central banks, which can print more money at will, leading to inflation and loss of value over time.
Gold and silver have been used as a store of value and a medium of exchange for thousands of years, while fiat currencies have only been in use since the 20th century. Gold and silver have a limited supply that cannot be easily increased, while fiat currencies can be printed in unlimited amounts, leading to inflation and a decrease in purchasing power.
Therefore, many people consider gold and silver to be more of a sound money than fiat currencies, as they have proven to retain their value over long periods of time and are less vulnerable to government or central bank manipulation.
In addition to their limited supply and inherent value, there are other reasons why gold and silver are often considered more of a sound money than fiat currencies:
Other leading reasons why gold and silver are considered more of a sound money that fiat currency include:
- Portability: Gold and silver are highly portable and can be easily transported and stored, making them ideal for use as a medium of exchange and a store of value.
- Durability: Gold and silver are highly durable metals that do not corrode or degrade over time, making them a reliable store of value over long periods.
- Universally recognized: Gold and silver are recognized and valued all over the world, making them a globally accepted form of payment and a reliable store of value.
- Limited supply: The supply of gold and silver is limited, which means that their value cannot be easily manipulated or inflated by governments or central banks.
- Protection against inflation: Gold and silver have historically acted as a hedge against inflation, as their value tends to rise when the value of fiat currencies declines.
- Safe-haven asset: Gold and silver are often considered safe-haven assets, as their value tends to rise during times of economic and political uncertainty.
Overall, the combination of their limited supply, inherent value, portability, durability, and global recognition make gold and silver a preferred store of value for many investors and a more reliable form of money.
There are many individuals, organizations, and countries that are big believers in gold and silver as a sound money alternative to fiat currencies. Some of the most prominent proponents of sound money include:
- Austrian School economists: Austrian School economists, such as Ludwig von Mises, Friedrich Hayek, and Murray Rothbard, advocate for a return to a gold or silver standard to curb inflation and promote stable economic growth.
- Ron Paul: Former Congressman and presidential candidate Ron Paul is a strong proponent of sound money and has advocated for a return to the gold standard for decades.
- Peter Schiff: Economist and investor Peter Schiff is a vocal supporter of gold and silver as a hedge against inflation and a safe-haven asset.
- Jim Rickards: Financial commentator and author Jim Rickards has written extensively about the benefits of gold as a reliable form of money and a safe-haven asset.
- Ray Dalio: Hedge fund manager Ray Dalio has advocated for investing in gold as a hedge against inflation and a way to diversify a portfolio.
- Central banks: Many central banks around the world, including those of Russia, China, and India, have been increasing their gold reserves in recent years as a way to diversify their holdings and reduce their exposure to fiat currencies.
- Too many more to list…
Overall, there are many individuals, organizations, and countries that view gold and silver as a sound money alternative to fiat currencies and advocate for their use as a store of value and a medium of exchange.
Do some research.
There are several publications that support the theory of sound money and the use of gold and silver as a reliable store of value and a medium of exchange. Some of the most prominent publications include:
- The Gold Standard Institute: The Gold Standard Institute is a research organization that advocates for a return to the gold standard and publishes research and analysis on the benefits of sound money.
- The Mises Institute: The Mises Institute is a libertarian think tank that supports Austrian School economics and publishes research and analysis on the benefits of sound money and the gold standard.
- The Daily Reckoning: The Daily Reckoning is a financial newsletter that provides analysis and commentary on economic and financial trends, with a particular focus on gold and silver as a safe-haven asset.
- The Wall Street Journal: The Wall Street Journal is a major financial newspaper that often publishes articles and opinion pieces advocating for the use of gold and silver as a reliable store of value and a hedge against inflation.
- Forbes: Forbes is a major business magazine that often publishes articles and opinion pieces advocating for the use of gold and silver as a safe-haven asset and a hedge against inflation.
- Zero Hedge: Zero Hedge is a financial blog that often publishes articles and opinion pieces advocating for sound money and the use of gold and silver as a reliable store of value and a medium of exchange.
Overall, there are several publications that support the theory of sound money and the use of gold and silver as a reliable store of value and a medium of exchange, with some focusing specifically on the benefits of a return to the gold standard.