Gold Is No Longer Money Because It Can’t Be

May 2, 2020, 10:43 AM

—“I want to stress the importance of understanding gold is money, not an investment. With banks on Comex getting into greater difficulty it is increasingly likely the US Treasury and Exchange Stabilisation Fund will attack the gold price in an attempt to save Comex and the banks.”—Alasdair Macleod @MacleodFinance

That’s false. Gold is a durable commodity. The transaction cost is too high to function as money. The fraud rate is too high to function as money. The scarcity is too high to function as money (there isn’t enough of it). It’s too open to manipulation to function as money.

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