Introduction about Gold
Gold is the gleaming symbol of wealth and prosperity. It is utilized to manufacture pricey things, but is also used to adorn fancy items ranging from cellphones to supercars. Other metals, which are more scarce than gold, are, on the other hand, significantly less expensive. So what is it about gold that makes it so expensive?
Scientists believe that gold arrived on Earth as a result of the collision of two neutron stars in space, which fused gold atoms together to form meteorites, which landed down the planet approximately 3.9 billion years ago. Throughout long periods of time, the hot core of earth propelled the nuggets of gold to the surface, where they eventually accumulated. Gold flakes were discovered in caves in the Paleolithic period, which traces its origins around 40,000 years. It is the first known instance when human had some sort of interaction with gold.
Throughout the world, gold is found in free elemental form. It can be found in a solid solution series with silver, naturally and is made into alloys with metals such as copper and palladium, and as mineral inclusions such as pyrite. It is also found in a solid solution series with platinum.
Because of a wide range of specific qualities, it is quite valuable. This significant metal conducts electricity, is not subjected to tarnishing, is very easy to work with, can be drawn into wire, can be alloyed with many other metals, can be melted and cast into extremely detailed shapes, and has a brilliant luster. Gold is a pretty uncommon metal that has a wide range of applications. It is very malleable, which means that it may be deformed or modified without causing the material to fracture. Its bright-yellow hue, however, sets it apart from other valuable precious metals in that it is completely distinct. Because of these features, gold has a wide range of practical and superficial applications on Earth.
The color gold is identified as the best representation of love for a bride to be. For the investors, gold is a great way to diversify your portfolio and increase your returns. People prefer to know that they have an element of their money that they can actually feel in their hands. The majority of the time, it is aesthetically pleasing, and this adds an emotion to the purchase. Moreover, for those who work in manufacturing industry, or if you design smartphones or tablets, you should know that the elemental symbol of gold is Au and the chemical symbol Au-79, and it is regarded as the most precious of all of the metals. It's an excellent conductor of electricity and has a high melting point.
Gold has a metallic sheen to it and melts quickly when formed into bars, coins, or jewelry. It is not subject to rust, corrosion, or decomposition. The question remains, however, as to why gold is so valuable, both in our minds' eye and in actuality, as a global store of value and a means of trade. Why is silver consigned to a distant second position, and what about copper, which possesses many of the same physical characteristics as gold, is left out of the equation? Let’s discuss in detail and you will get a much better idea at the end of this article.
Occurrence of gold
Gold may be found in trace levels in igneous rocks, including granite. It is believed that the amount of this element in the Earth's crust is roughly 0.005 parts per million. With the exception of tellurium, selenium, and bismuth, it is found generally in its natural state, where it has not been chemically mixed. Gold-197 is the only isotope of the element that may be found in nature.
In addition to copper and lead deposits, gold is frequently discovered in association with these metals, and while the amount of gold present is generally insignificant, it is easily collected as a byproduct of the refining of these base metals. It is uncommon to come across significant amounts of gold-bearing rock that is rich enough to be classified as ores. Water-saturated hydrothermal veins, in which gold is linked with quartz and pyrite, are the most well-known forms of gold deposits, while placer deposits result from weathering of gold-bearing rocks are less well-known.
The metal is prevalent enough to be used to make coins, but it is also rare enough making sure it's difficult to be produced. Gold does not corrode, making it a long-term store of value, and humans are attracted to it on a physical as well as an emotional level. Throughout history, societies and economies have valued gold, ensuring that it will continue to be valuable in the future.
A repository of value
To put it simply: A store of value is an item, commodity, or money that has the ability to be preserved, recovered, and exchanged in the future without losing its worth. Gold and other precious metals are considered to be "stores of value" because their shelf lives are virtually indefinite. Throughout history, societies and economies have valued gold, ensuring that it will continue to be valuable in the future.
What causes gold to have such a high monetary value?
Here is an experiment. You can use any other type of material, and it should be buried in the ground. Drop it into a body of water or do whatever you want to do with it. Then return after a few decades to see what has happened. Some materials, would have decayed to the point where they would have been rendered virtually incomprehensible. Allow your great-grandchildren to unearth items that have been buried for 150 years. Stronger materials will also degrade as a result of the degradation process.
But, travel 10,000 years into the future in a time machine to recover the gold you buried thousands of years ago! After rinsing it off, it seems shiny and brand new.
Gold's atomic structure makes it the hardest element to rust and corrode, making it the most valuable precious metal. When compared to humans, it appears to be indefinite. As a result, it has frequently been used to represent deities throughout history. Men come and go in and out of my life. Gold is here to stay.
The value of gold rises because the demand for it increases. But the supply has remained essentially static over a long period of time People are increasingly interested in it because they consider it to be a secure location to invest their money.
Factors that influence the price of gold on the open market include:
Color: A person may easily determine that it is not silver or iron by looking at it.
Because of its low corrosion rate, it can be passed down through generations. Furthermore, it is resistant to electrical corrosion, making it ideal for usage in in electronics
It is malleable, and it could be worked by hammering it. A state capitol dome can be covered with gold sheets that are so thin that the amount of gold required is measured in ounces rather than pounds or tons. In a same vein, early humans discovered that it could be easily turned into gold jewelry without the use of a furnace and with only the crudest tools.
Scarcity: Gold is the 74th most abundant element on the planet in terms of natural abundance, but half of the elements less common than gold are radioactive and occur in extremely low abundance. (Prestige effect: a sought-after, hard-to-find item!)
It's simple to plate. Increases usability while also providing a strong anticorrosion covering.
History of the gold and some fun facts
Across many ages, civilizations all over the world, including the ancient Egyptians, fell enamored with the gorgeous metal. It wasn't just that they used gold as a kind of commerce; they also buried themselves in it because they believed it was the flesh of the gods. As a matter of fact, King Tutankhamun was rested in three coffins wrapped with gold, and one of those caskets were built from pure, hammered gold. This casket could be valued over than $1 million dollars today.
The Coinage Act of 1792, passed by the United States Congress, set a price which is fixed for gold in relation to US dollars. During the great American gold rush of the following century, gold mining attracted the eyes of many. A boy of 12 years back then named Conrad Reed discovered a huge 17-pound gold nugget on his family's farm in 1799. This was in North Carolina and it was the beginning of the gold rush.
The beginning of modern-day gold mining can be traced back to these gold rushes. Despite the fact that people have been mining gold for thousands of years, the intricacy of the operation has not altered. It is true that gold was becoming the basis of value for many precious things now being transported between Central Asia and the Mediterranean during the Late Bronze Age, which lasted between 1600 and 1200 BC. These costly objects included metals such as tin and copper.
Gold, religious beliefs and culture
From antiquity to the current day, gold has been linked with cultures and religions all across the globe. With its key role in many of the world's faiths, gold is unlike any other metal. The metal is known for its association with the divine sphere, and gold artwork and religious symbols are examples of this association.
It is considered appropriate to ponder on the significance of gold in religious traditions during the joyful season of Christmas and gold is even talked about in the Christmas tale. As per the Bible, after the birth of Jesus Christ, a bunch of wise men (Magi) came to see him from the East to glorify the birth and celebrate. They brought gold, frankincense, and myrrh as gifts. They were the first visitors to Bethlehem after the birth of Jesus Christ. Gifting gold was intended to be a sign of prosperity and power. But, religious scholars believe it was also intended to be a symbol of Christ's reign as king on Earth.
Gold is mentioned extensively throughout the Bible, from Genesis to Revelations, and everywhere in between as well. It is commonly identified in the Bible as the substance with the highest value on earth, it is also juxtaposed with spiritual value, illustrating that spiritual value transcends even gold's tremendous earthly value. Psalm 119:127 states, “I love your commandments more than money, yea, pure gold!”
So it's no surprise that gold is revered in Christianity. Eastern Europe is known for being the home for Christian churches that have gold-gilded domes.
Gold is the most widely utilized metal in the manufacture of jewelry. It is long-lasting and does not tarnish despite being exposed to everyday conditions. Gold is believed to be extremely valuable by many Hindus. Hindus believe that gold has the ability to purify anything it comes into contact with. Beyond that, it is a representation of good health, affluence, and femininity.
Gold has a long and illustrious history in Indian history, attracting people from all over the world with its allure and allurement. Many people's hearts were moved by its golden radiance that could be seen across oceans and boundaries. Indians are accounting for the vast majority of gold consumed around the world. When it comes to Indian history, gold is more than just a financial investment; it is also a culturally significant metal that has found a place in both Indian hearts and houses.
The vast majority of India's population does indeed survive on limited resources, but they nonetheless manage to acquire gold and incorporate it into their daily life, regardless of gold prices in their particular cities or towns.
Hindu religion and culture are centered on gold. Brahma, the God of creation is believed to be born from an egg known as cosmic golden egg of creation. It is also a symbol of Lakshmi. Lakshmi is goddess of wealth and good fortune. As a result, gold is widely accepted as auspicious in Hinduism. That is exactly why the Hindus use gold for gifting in special celebrations and as a major part of their religious festivals. Gold is also given as a present at Hindu ceremonies, and people make offers of gold to temples as a result of this tradition.
Buddhism, like many other religions, places a high value on gold and venerates it. Gold color is associated with the golden beams of the sun, as well as with the attainment of enlightenment in the religion. Buddhist culture is home to numerous Buddha sculptures made of gold. The largest of those statues is the Golden Buddha in the Temple of Wat Traimit in Bangkok, Thailand. Typically, Buddhist statues that are in Tibetan regions are decorated with gold paint. As recently as 2013, the former king of Thailand made a generous donation of over 300 kgs of gold to Bodh Gaya in India for decorations. The famed Zen Buddhist Temple in Kyoto, is another example of how gold is utilized to embellish. It is covered from a gold leaf made of pure gold.
Investing in Gold
Despite the fact that each individual will have their own motives for investing in gold, for many, gold investment is about conserving their financial security.
Regarding wealth preservation, an ounce of gold cost roughly £200 at the time the survey was conducted at the end of the 1990s. For example, if you had purchased an ounce of gold for £200 and kept £200 in cash, the gold would now be worth almost 650 percent more. The cash, on the other hand, would not have gained in value and, as a result of inflation, would actually have decreased in value.
On the other hand, many people pick gold to safeguard the remainder of their portfolio from risk and to diversify their investment strategy. Very few people would want to put all of their money into gold, as it is usually recommended to have a diversified portfolio of investments that includes a variety of different sorts of assets. Many investors pick gold precisely for this reason, as it allows them to diversify their holdings across a variety of sectors. Because the price of gold is typically negatively connected with the stock markets, gold prices generally rise when other markets collapse, it is hypothesized that this is the case. As a result, gold has long been seen as a "safe-haven" asset to invest in. When the market is volatile, and equities and shares collapse, a portion of the decline can be attributed to investors shifting their funds away from 'riskier' assets and towards the safe haven of gold. Simply said, if you acquire gold and hang onto it until the price rises, you will be able to sell it at a profit.
When it comes to investing in gold, it is impossible to disregard the influence of human psychology. Fear and uncertainty, which tend to accompany economic recessions and depressions, have traditionally made precious metals a popular choice as a safe haven investment.
Interesting facts about Gold
- Gold is the only metal that is yellow, or "golden." A yellowish color may appear on the surface of other metals, but this is only after the metal has been exposed to oxidation.
- Approximately half of all gold mined today is used in jewelry, which continues to be the most popular application for the precious metal.
- The Perth Mint cast the world's largest gold coin in 2012, making it the world's largest gold coin ever made. With a weight of one tonne and a circumference of 80 cm, it broke the previous record set by a C$1 million coin that was just 53 cm wide in 2007.
- When it comes to the symbol for gold(Au), it is derived from a Latin word, which literally translates as the "glow of the daybreak." Term “gold” is derived from the Germanic languages, and it is derived from the Proto-Germanic gul and Proto-Indo-European ghel, both of which imply "yellow/green," respectively. Since ancient times, people have been aware of the existence of the pure element.
- Gold is considered as the element with the highest malleability. A single ounce of gold can be beaten into a sheet that covers 300 square feet. We can make a gold sheet that is transparent. This is because gold is reflecting red and yellow light so strongly.
- A pure karat of gold is 24 karats. 18 karat gold is 75 percent pure gold. 14 karat gold is 58.5 percent pure gold, and last but not least 10 karat gold is 41.7 percent pure gold. The purity of gold is measured in percentages of pure elemental gold.
Conclusion
None of the materials taken from the Earth is more valuable than gold, which is the most valuable of them. Its usefulness can be attributed to a wide range of unique characteristics. Gold conducts electricity, does not tarnish, is very easy to work with, can be drawn into wire, hammered into thin sheets, alloys with many other metals, can be melted and cast into highly detailed shapes, and has a beautiful color and brilliant luster. It is the most valuable precious metal on the planet. Gold is a distinctive metal that holds a particular place in the hearts and minds of people all around the world.
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