There’s Gold in Them Thar Hills!
Stay Golden, Pony Boy
Gold is the most important form of currency in the world. For thousands of years, it has been the ultimate store of value and currency outlasting all paper currency and fiat money. Stocks and bonds will all expire and governments may come and go, but gold is forever.
History of Gold
The use of gold dates back to the 4th millennium BC when many of the great empires used gold for their kings and queens to represent royalty. King Tutankhamen is famous for using gold as the mask he was laid to rest in after the mummification of the King. Many cities throughout the world were formed around large gold deposits. Johannesburg in South Africa was founded as a result of the Witwatersrand Gold Rush where some of the largest gold deposits in the world were seen. They now have two of the world’s deepest gold mines at 3,777 meters. Other major producers of gold are the United States, Australia, Russia, and Peru. Today about one-quarter of the world’s gold output originates from small scale mining.
Gold as an Investment
The consumption of gold produced in the world is about 50% in jewelry, 40% in investments and 10% in industry. Gold is often stored as an investment in the form of bullion or gold bars, which are used to hedge against inflation or other economic disruptions. Modern gold bullion coins for investment or collectors are typically fine gold at 24k, though the American Gold Eagle and British gold sovereign at still being minted at 22k. The special issue Canadian Gold Maple Leaf coin contains the highest purity of any bullion coin at 99.999% or .9999, while the standard Gold Maple Leaf coin is just 99.99% pure. Throughout the world there are other 99.99% pure gold coins as well; the Australian Gold Kangaroo, the United States – American Buffalo, Austrian Vienna and the Chinese Gold Panda. Gold has intrinsic value as a rare asset, what keeps it precious is that there is a very small quantity of gold throughout the world.
What is the difference between 10k, 14k, 18k, or 24k?
Many people are unaware of the stamping of 10k – 24k and what it truly means or what sets them apart. 24k is pure gold, but is too soft to use and is mixed with different metals to help strengthen it to create modern jewelry. 18k is 75% pure and is currently the European standard for jewelry. 14k (58.3% pure) is most popular in the US and 10k is a more affordable and still a beautiful alternative. White gold, which has become a popular choice for jewelers, has the quality of 10k or 14k and is mixed with many different metals to give it the silver appearance.
There is an age-old tradition of biting gold to test its authenticity. The bite test was to see if the item was a gold plate, which has little to no value, or if it was pure gold. If the item were pure gold, bite marks wouldn’t show up, whereas fake gold was much softer and tooth marks would show up.
Establishing Value in Gold
Whether you believe Chicken Little and think the sky is falling, that the dollar is on the brink of collapse, or you’re just a regular Joe who understands the benefit of investing in commodities, putting at least some of your cash behind gold is never a bad idea. Gold is often used as a hedge against economic turmoil and inflation, as its value is generally very stable. Gold’s value can be determined using very simple tests right here in Pawngo’s lab to determine weight and purity. Age and rarity are also taken into account when deciding on a value for gold.
Best Practices for Pawning Your Gold
With Pawngo, getting the highest value for your gold is easier than ever. Gold, while a generally stable market, can still fluctuate. Pawngo will make sure you get fair market price for your gold. The entire process is fully insured and with our secure facility, you can be sure that your items are safe and sound for whenever you decide you’d like them returned. Your loan terms are up to you and you can repeat the loan as often as you’d like. Click the button above to Get Started Now!