Why gold has fascinated for millennia

From the first ritual objects to the modern monetary system, gold retains a special place. It is easy to understand why gold is so fascinating.

Why gold fascinates: a 5000-year-old human fascination

Few materials have crossed civilizations, from pharaohs to contemporary institutions. Gold remains recognized without depending on a specific political regime, nor on a given monetary order.

From the pharaohs to the Lydians, gold as the flesh of the gods

The fascination with gold predates writing. Artisans from Varna, around 4600 BC, were already working this metal with astonishing mastery. Its prestige was not born of a trend: it comes from an ancient relationship between brilliance, rarity, and symbolic power.

In Egypt, gold was the flesh of the gods. Tutankhamun's mask, 3300 years old, provides an intact image of it. This metal hardly corrupts. It very early on embodied eternity. No other material reproduces this quality.

The golden ratio and universal harmony

The history of gold goes beyond the realm of the sacred. The golden ratio reinforced this idea of universal harmony. It is the ratio of 1.618. It is associated with sunflower spirals and pentagons. It is also found in works by Le Corbusier and Dalí. The metal gained aesthetic and symbolic significance.

The Lydians struck the first gold coins in the 6th century BC. This shift was decisive. Gold ceased to be merely ritual. It also became currency. Gold is a medium of exchange. It is the basis of a lasting monetary order for several peoples.

A millennial continuity that no currency can match

Gold served as currency in the Lydian, Persian, and Roman worlds. It was at the heart of the gold standard in the 19th century. Unlike currencies, it remains legible from one era to another.

The dollar, franc, or mark have seen their status redefined. History, political choices, and reforms of the monetary system dictated this. Gold remains recognized far beyond borders. It crosses regime changes. The difference lies in trust accumulated over a long period.

At Valordiams, a well-chosen pre-owned piece concentrates material and transmission. It carries a part of this common history. It traverses eras without losing its legibility.

Investing in gold, a timeless safe haven

Gold attracts investors for a simple reason: its value is based on durable elements. Even when crises follow one another or monetary equilibrium becomes strained, this precious metal retains a special place. Its rarity, autonomy, and universal recognition explain why it remains a benchmark safe-haven asset.

Why gold endures where currencies fail

What is fascinating about gold is first and foremost its unique status: it is no one's debt. Unlike a currency, its value does not depend on a state, a central bank, or a financial institution. This independence becomes essential when it comes to protecting assets.

• Protection against inflation: when prices rise, gold tends to preserve purchasing power where currencies depreciate.
• Diversification: its evolution often remains distinct from that of stocks and bonds, which supports a more balanced investment logic.
• International liquidity: whether it's coins or gold bars, exchange remains possible in all major markets.

This autonomy explains gold's place in strategies for reserves and wealth transmission.

Central banks and global gold demand in 2023

This role is also reflected in institutional demand. The central banks of China, Russia, and India have increased their purchases. This is a sign of lasting trust. Gold is a medium for monetary diversification.

• 2022: 1137 tons purchased by global central banks, an all-time record.
• 2023: 1037 tons acquired, representing nearly 25% of annual global demand.
• Jewelry: 50 to 60% of total demand, mainly driven by China and India.
• Electronics industry: 7 to 8% of annual demand, with a generally stable level.

It serves as a safe haven when monetary benchmarks weaken. It has a clear function in asset protection. Valordiams details why gold is a lasting benchmark. You can consult the gold safe haven page.

What influences the price of gold today

The price of gold depends on several forces. Mining supply is included. Central bank policy is important. Real interest rates and the dollar also matter. The geopolitical context influences this price.

Geological rarity and global mining production

The rarity of gold is primarily geological, anchored in the long term rather than in a simple market cycle.

Recent figures confirm this. Approximately 3,644 tons were extracted in 2023. This level has been stable for ten years. However, demand is trending upwards. Recycling accounts for 25% of annual supply. The supply-demand balance remains structurally tight.

Resource renewal remains slow. The discoveries of the last ten years represent little. This is 6% of the gold found since 1990. A deposit takes 17 years before being produced. This inertia weighs on the metal's value.

The mining geography has also changed. China is first with 10% of global production. Followed by Russia, Australia, Canada, and the United States. South Africa produced 62% in 1970. It now represents only 2.55% in 2022. This is a revealing shift in the exhaustion of historical basins.

Producing Country	Share of Global Production (2022-2023)
China	~10 %
Russia	~9 %
Australia	~9 %
Canada	~6 %
United States	~6 %
South Africa	~2.55 %

Proven reserves are estimated at 59,000 tons. According to some scenarios, exploitation could be exhausted around 2040. Total resources are estimated at 183,240 tons. They depend on uncertain technical and economic conditions. This supply constraint, slow to correct, remains structural.

Dollar, interest rates, and geopolitical crises

Supply alone is not enough to explain all movements. Real interest rates are decisive. When they are low or negative, gold becomes attractive. If they rise quickly, demand can contract. This metal does not provide a current yield.

The relationship with the US dollar also matters. A weak dollar generally supports prices. A strong dollar tends to curb them. Crises, geopolitical tensions, and monetary instability act as accelerators. Gold maintains a protective role. It is sought after during periods of uncertainty.

Can we still invest in gold in 2026

Buying gold in 2026 still makes perfect sense for those looking to diversify their assets. The interest is not a promise of increase: it lies in a rare balance between global liquidity and the absence of counterparty risk. Traditional financial assets do not combine these properties.

Its unique positioning among precious metals is based on identified traits. We are talking about an ancient presence in the history of exchanges. Its value is recognized worldwide. The absence of direct counterparty risk is an asset.

Another path exists: circular jewelry. A certified antique piece allows one to own gold. It adds a dimension of style, transmission, and rarity. Valordiams structures this approach. It selects, traces, and certifies each chosen piece of jewelry.

Gold in jewelry, between physical beauty and craftsmanship

Beyond its financial value, gold in jewelry has concrete qualities. Few metals combine them. Its malleability and resistance to oxidation are notable. Its stable luster explains its place, from ancient Egypt to Parisian workshops.

Physical properties that captivate artisans and investors

Its very material explains this attraction. Gold can be worked with rare precision and retains a luminous presence that alloys reproduce imperfectly, both in the workshop and in the long term.

• Exceptional ductility: 1 gram of gold can stretch over 165 meters, allowing for extremely fine work.
• Corrosion resistance: gold does not tarnish, oxidize, and can be recycled without loss of quality.
• Optical properties: its hue captures light in a unique way, with a luster that alloys reproduce imperfectly.

Jewelry accounts for 50 to 60% of global gold demand. China and India represent nearly half of this. This is a sign of its dual nature. Gold is a financial asset and a symbol of power. It represents transmission and heritage.

Antique gold jewelry, circular and timeless elegance

An antique or pre-owned piece highlights the place of gold in jewelry. It brings together precious material, craftsmanship, and history. This is done within the same piece of jewelry, in circular jewelry. Valordiams structures this approach. Jewelry is appraised, certified, and recirculated, preserving both use value and heritage value.

This 18-carat white gold ring with diamond pavé illustrates this. The work of the metal and the light echo each other. The aesthetic is sober and contemporary. A vintage gold ring from 1910-1920 bears witness to this. It carries the "horse head" hallmark, recalling how much this fascination owes to time. One can see precise setting and the association of 18-carat gold and platinum. Its presence extends the history of French jewelry.

Frequently Asked Questions

Why does gold rise so much during times of crisis?

During times of crisis, gold attracts capital. It is immune to the logic of sovereign debt and not subject to national monetary policy choices. If stock markets decline, demand shifts. Inflation can also erode currencies. A stable tangible asset is favored. Its value is based on distinct fundamentals. This trend applies to private investment and is also valid for public actors. Central banks have been buying more than 1,000 tons per year since 2022, which sustainably supports gold prices.

Is it better to keep gold or sell it?

The holding horizon and the weight of gold influence the choice. Keeping gold diversifies and protects against inflation. Selling at the peak of the price is debatable, as it creates a reinvestment risk. An antique piece of jewelry has a dual value: that of the metal and that of the object. A well-chosen pre-owned piece carries a heritage dimension. Selling it can make this dimension disappear.

Can the price of gold collapse?

A significant decline remains possible. A sustained collapse would require a rare combination of factors: sustainably high interest rates, a structurally strengthened dollar, and a net withdrawal of demand, including from central banks and the jewelry industry. A well-documented supply constraint is an additional factor. Global production is stable. New discoveries are rarer. Exploitation delays are approximately 17 years. This gives the market a more resistant foundation than many classic assets.

Gold, a sparkle that transcends time

Flesh of the gods in Egypt, currency of the Lydians, reserve of central banks, and raw material for jewelry: gold fascinates because it connects all these stories in a single metal. An antique 18-carat gold piece of jewelry is perhaps its most intimate expression.

What attracts you most to gold: its safe-haven value, its millennial history, or its sparkle in jewelry?

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