The recent surge in gold, however, is a result of investors hoping to protect their money. Gold is the common “go-to” for defending one’s self from the economic uncertainty of typical fiat currencies. Fiat value is value that’s attributed to paper money and fluctuates throughout each year.
This value is based on a list of reasons related to the health of a specific nation. Following the current news that’s surging the price of gold requires us to put Great Britain into the equation. Fiat values are the currency values we attribute to each nation, and the rising tension of Britain’s move from the European Union causes a stir.
The complications or tendencies of fear in this led many British citizens to lose faith in their own money. And doing so is all within good reason. The emerging news of the UK’s vote to be separated from the European Union is also a public notification that Britain’s resources and overall economy may initially suffer without an allegiance.
People around the world and media platforms are calling the separation the Brexit. This unofficial term stands for “British Exit.” Here’s where we’re all introduced to the minting and distribution of a new gold coin. As citizens of the UK foresee independence and the cost it will incur, they’re moving their financial confidence into gold.
The Brexit Gold Coin is the perfect option for investors holding faith and resolve in the one precious metal that historically protects money and portfolios around the globe. The day the United Kingdom voted for leaving the EU, money markets and stocks turned into a downward spiral that marked a terrifying moment for many investors.
Yet the opposite occurred regarding the price and value of gold. Gold skyrocketed for the first time in nearly four years and after seeing a low below the $1,000 mark. The desire for Brits to protect their assets became clear and in turn sent gold prices up. So the Brexit Gold Coin signifies more than the United Kingdom returning to sovereignty.
This coin helped boost the price of gold, spurred positive news about the metal and put a hedge around the money of those invested in the UK. Investors are still watching to see where prices go and have a great collection of memorabilia expected to remain well above the normal value of gold per troy ounce.