From ancient civilizations to our present high-tech world, gold has always been considered a valuable metal.
In Egyptian mythology, gold played an important role, and it was used for building the capstones on the Pyramids of Giza. Gold was also mentioned in Bible. And throughout the 1800s, gold rushes made millionaires.
What’s more, for centuries it’s been an object of human desire and greed, or as J.P. Morgan said, ”Gold is money. Everything else is credit.”
Despite its popularity, the use of gold as an investment became hugely popular only in 1971, after the end of the Bretton Woods system.
Price of gold through years
Since the 1970s, the price of gold has been increasing. For example, in 1970, gold’s price was $35 per ounce. But in the summer of 2011, the price had risen to $2000 per ounce.
During the years, the price of gold had its ups and downs, however, gold was always there as a store of value. In 2008, the global financial crisis affected the price.
In 2011, gold’s price reached a high of over $1,900 per ounce. But after that, things got worse. In recent years, gold has fallen to between $1,200 and $1,400.
2013 was the year of the gold crash. It was the year when the price had fallen by more than 24%, reaching $1,266 an ounce. Gold mining companies went into crisis, and investors were panicking.
However, in the next years things got stable, and today, gold’s price is around $1,505 per ounce, and continues to go up.
Gold and cryptocurrencies
Today, no currency in the world is backed by gold. The last national currency that used gold standard was the Swiss Franc.
But in the crypto world, things are different. On the market gold-backed stablecoins are showing up.
One of them is Novem Gold, the Luxembourg-based company that makes gold trading easy and transparent (thanks to blockchain technology). Novem Gold is the first gold-backed token built on NEO blockchain platform.
At the moment, the company is distributing an airdrop, so don’t forget to join and receive free tokens.
Final words
Gold has survived for centuries as a store of value and a precious metal, and its history is far from over. Will gold hit over $2000 per ounce ever again? Are we going to witness another gold crash?
That’s almost impossible to tell. Many have tried to predict the price of gold, and many have failed. However, one thing is for sure: Gold is here to stay.
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