KW: We have covered this before on Kiwiwatch but it’s worth repeating . Commentators like Harry Dent of Dent Research still say gold is to be avoided however

Our system of fiat money is based on confidence. Central banks assume people won’t lose confidence in paper money. The problem with confidence is it’s very fragile. It can be quickly lost and be very difficult to regain once lost. And the financial system is more vulnerable to a sudden collapse than most people realize.

In the event of a collapse, central banks may turn to gold not because they want to, but because they have to as a way to restore confidence in the system. But that’s not just my personal opinion. Even a European central bank agrees with me. It says that “If the system collapses, the gold stock can serve as a basis to build it up again. Gold bolsters confidence in the stability of the central bank’s balance sheet and creates a sense of security.”

Read more here: https://www.dnb.nl/en/payments/goud/index.jsp