Gold or silver \u2013 which one should you own to protect your wealth? While they share similarities, their functions differ significantly. In this video, we\u2019ll dive into the historical roles of gold and silver, the gold-to-silver ratio, and their performance during economic crises. Learn how to make the best choice for your financial future and why holding both metals is key. Plus, discover how central banks are positioning themselves and what you can do to prepare for what\u2019s coming next.<\/p>\n
CHAPTERS:
\n00:00 Gold vs. Silver: What You Need to Know
\n00:36 The History of the Bimetallic Standard
\n01:47 Why Silver Became Volatile
\n02:57 Understanding the Gold-to-Silver Ratio
\n03:30 How Nixon\u2019s Policy Changed Everything
\n04:40 The Roles of Gold and Silver During Inflation
\n05:16 Lessons from Weimar Germany
\n07:11 Recent Examples of Gold and Silver Use
\n08:21 Why Central Banks Are Hoarding Gold
\n09:01 Preparing for a Currency Reset
\n09:32 Free ITM Gold & Silver Guide<\/p>\n
<\/p>\n
TRANSCRIPT:<\/p>\n
00:00<\/strong> 00:36<\/strong> Silver was the common, daily choice of money for most, while gold was reserved for larger, rarer purchases. But large discoveries of silver caused surpluses, driving the price down and destabilizing currencies tied to it. That\u2019s when more countries began to adopt the gold standard exclusively, because gold was scarcer and its value was consistent. This shift was cemented in 1873, when the U.S. passed the Coinage Act, effectively demonetizing silver.<\/p>\n 01:47<\/strong> Before someone says, \u201cNo, silver is suppressed!\u201d or \u201cSilver is actually worth so much more!\u201d let me stop you. I hear you. I also believe silver is worth much more \u2014 and gold too. Both are severely undervalued. Believe me, if the dollar\u2019s value collapses and we see a revaluation, both will be worth far more than they are today. That\u2019s why I believe you should own both. But today, we\u2019re focused on which one will better protect your wealth, and for that, we need to talk about the \u201cwhy.\u201d<\/p>\n 02:57<\/strong> Here\u2019s the gold-to-silver ratio chart. For those unfamiliar, it shows the relationship between the spot price of silver and gold \u2014 or simply, how many ounces of silver it takes to buy one ounce of gold. Gold has always been worth more than silver; this goes back to the Roman Empire when the ratio was 12:1.<\/p>\n 03:30<\/strong> 04:40<\/strong> Why? Gold and silver serve different purposes. During currency crises, silver is often used for daily transactions, while gold protects long-term wealth.<\/p>\n 05:16<\/strong> If you held silver in 1918, one ounce could buy five loaves of bread. By 1923, it could buy two-and-a-half loaves \u2014 still valuable for everyday purchases.<\/p>\n But if you held gold, one ounce could buy 170 loaves in 1918 and 435 loaves by 1923. Gold not only preserved wealth but created opportunities for future generations.<\/p>\n 07:11<\/strong> Central banks understand this. They\u2019ve been buying record quantities of gold, recognizing it as a Tier 1 asset with no counterparty risk.<\/p>\n 08:21<\/strong> 09:01<\/strong> 09:32<\/strong> 10:09<\/strong> As always, thank you for being here. I\u2019m Taylor Kenney with ITM Trading, your trusted source for all things gold, silver, and lifelong wealth protection. Until next time.<\/p>\n","protected":false},"excerpt":{"rendered":" Gold or silver \u2013 which one should you own to protect your wealth? While they share similarities, their functions differ significantly. […]<\/p>\n","protected":false},"author":34,"featured_media":36362,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[2684],"tags":[69,81,89,1282,1332,1839,2809,3205,3467,4503,4535,4652,5060,5061,5062,5063,5064,5065,5066,5067,5068,5069,5070,5071],"class_list":["post-36361","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-taylor-kenney-itm-trading","tag-gold-standard","tag-hyperinflation","tag-itm-trading","tag-central-banks","tag-precious-metals-investing","tag-currency-reset","tag-financial-planning","tag-gold-to-silver-ratio","tag-inflation-hedge","tag-protect-wealth","tag-fiat-currency-collapse","tag-economic-crisis-preparation","tag-gold-vs-silver","tag-silver-or-gold","tag-gold-and-silver-comparison","tag-silver-standard","tag-bimetallic-standard","tag-nixon-gold-policy","tag-weimar-germany","tag-central-bank-gold","tag-silver-for-daily-purchases","tag-gold-wealth-protection","tag-gold-silver-investing","tag-gold-silver-guide"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/posts\/36361","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/users\/34"}],"replies":[{"embeddable":true,"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/comments?post=36361"}],"version-history":[{"count":1,"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/posts\/36361\/revisions"}],"predecessor-version":[{"id":36363,"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/posts\/36361\/revisions\/36363"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/media\/36362"}],"wp:attachment":[{"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/media?parent=36361"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/categories?post=36361"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.itmtrading.com\/blog\/wp-json\/wp\/v2\/tags?post=36361"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\nGold or silver? Which should you own? Which will protect your wealth? It\u2019s a simple question, but before I answer, I ask you another: Why are you buying it? This is because gold and silver have very different functions, and today I\u2019ll reveal exactly how gold and silver function in different scenarios, particularly the one that, in my opinion, we\u2019re heading toward \u2014 inflation, followed by hyperinflation, and ultimately, a currency reset. But that\u2019s a lot to take in. So, before we talk about a currency reset, let\u2019s start with the roles that gold and silver have played over time so you can make the best decision for your financial future.<\/p>\n
\nDo not skip this foundational part, as it\u2019s crucial to understanding what I\u2019m going to talk about. Now, most people have heard of the gold standard, but many are surprised to learn that up until the late 1800s, the United States was actually on a bimetallic standard \u2014 a gold standard and a silver standard \u2014 working in unison. The silver-to-gold ratio was set at about 15:1, much lower than it is today, which we\u2019ll talk about in a minute.<\/p>\n
\nThis increased silver\u2019s volatility in ways we still see today. About half of silver\u2019s demand comes from industrial use, and its dual role as both an industrial and monetary metal is partly why we see demand imbalances over time.<\/p>\n
\nIf you\u2019re viewing these metals as a short-term trade or investment, you\u2019re not really protecting your wealth against the big-picture threats. So, let\u2019s dig into it.<\/p>\n
\nLooking at modern history, we see a significant shift on this chart. To the left, the ratio is steady, but on the right, something changes. What caused this? In 1971, President Richard Nixon delinked the dollar from gold. You\u2019ll see the silver-to-gold ratio climb dramatically after that.<\/p>\n
\nThis is because, without the gold standard, the U.S. could print money endlessly, leading to tremendous inflation in the 1970s. As the dollar lost purchasing power, gold became far more valuable, while silver also rose but lagged behind gold.<\/p>\n
\nTake Weimar Germany, for example. In 1918, hyperinflation meant a loaf of bread cost 1 German mark. By 1923, that same loaf cost nearly 200 billion marks.<\/p>\n
\nThis pattern repeats in Argentina, Zimbabwe, and Brazil. As fiat currencies collapse from overspending, silver is critical for daily use, but gold protects wealth long-term.<\/p>\n
\nIf the dollar faces a currency reset, gold will restore purchasing power. Central banks know this, which is why they\u2019re hoarding gold. Owning gold and silver allows individuals to protect their wealth outside the system.<\/p>\n
\nFor me, the biggest concern is a currency reset. That\u2019s why I focus on gold. But owning both metals is essential. Each serves different purposes, and history has shown that holding both is key to navigating financial crises.<\/p>\n
\nWe\u2019ve created a free ITM gold and silver guide with even more information. If you want to learn more, scan the QR code or click the link in the description to get your copy.<\/p>\n
\nLet me know your thoughts and questions in the comments below. I love hearing from you.<\/p>\n