Silver has been our currency through the ages
Since mining the first silver in Anatolia (modern-day Turkey) around 5,000 years ago, we’ve favored this precious metal as currency. The Greeks and Romans minted silver coins, and used them across their empires, as did subsequent civilizations. It was only at the end of the 18th century that pure silver coins were withdrawn from circulation and replaced with issues that contained only traces of the precious metal.
Silver has stood the test of time
Silver still has all of the qualities that have made it so attractive throughout history. Unlike paper assets, the value of silver soars during financial chaos, political upheaval, and market crashes. And its many uses and its rarity as a precious metal mean it’s sure to keep its value for centuries to come.
It’s the silver bullet of investment solutions
Physical silver has been in high demand for centuries, and investors and collectors still seek it out wherever they can. Here are some reasons why:
High demand: Recent surges in silver demand have resulted in the silver inventory falling over 90% since 2013. Most of this is due to demand from the precious metal’s primary consumer, China.
Excessive mining costs: Mining silver currently costs more than the current spot price. This low spot price reduces the likelihood of future mining projects in the short to medium term.
The silver component: Silver is an integral part of many electronic devices, and, as we move forward in the Age of Technology, the demand for such items is only going to grow.
The gold–silver ratio: Historically, the ratio of the gold price to the silver price has been 16:1. It currently stands at 80:1. Many precious metal experts forecast the gold–silver ratio to narrow with silver bridging the gap. This will leave a significant amount of space for the precious metal to appreciate, and silver will need to go up by more than 4.5 times just to get back to the ratio to gold it has been enjoying for a century.