Comment by Keyframe
4 hours ago
I'm more interested in why was it centralized (there) in the first place? So it's easier to trade where when you make a sell/buy IOU is exchanged and a sticker on the bar is put or a bar changes pallet? I'd kind of understand that except these are central banks - how often do they even trade gold? Since we're in 2026, I actually googled that last question and it turns out central banks trade or adjust their gold reserve on a monthly basis. Somehow the thought of that seemed to me as too much of a high frequency trading for a central bank :)
- Because USD is the main trading currency, much more liquid than anything else
- Also for physical resources, you want geographical diversification, and America is far enough that to be orthogonal to e.g. European conflicts