Since the earliest days of civilization, gold has been used as money in one form or another. And now that we’re living in an increasingly digital world, some people argue that the value of gold has become more important than ever before.

But what exactly makes gold valuable?

Is it still money? If not, what makes it valuable?

While gold has been used as a form of money, commodity, and jewelry for centuries, it's not currently recognized as a legal tender in any country. That said, there are still ways that you can use gold as money. If you want to buy something with gold, the seller will likely need to convert your purchase into cash or some other acceptable form of payment before they hand over the goods.

If you want to deposit money into an account at a bank where your savings would be protected by law up to $250,000 per person per institution, then buying physical coins and storing them at home might be an option for some people. Gold is also sold through investments like stocks, mutual funds, ETFs (exchange-traded funds), or options.

If you want to invest in gold and keep it all stored safely somewhere else rather than have someone else store it for you, consider a self-directed IRA (individual retirement account). The best way to get the most bang for your buck out of this investment strategy is to diversify your holdings and stick with reputable companies like 7k Metals.

The value of gold is determined by the market, which is the collective buy and sells decisions of all market participants. So, if you want to know the value of your gold, you need to follow the market closely. Since it's supply-and-demand driven, it can be difficult to predict.

But as with any commodity, when supply exceeds demand, prices go down. And when demand exceeds supply, prices go up.

Gold always goes up in price over time because there are a finite number of physical ounces that exist on earth. However, its rate of increase will vary from year to year because the market's perception changes from time to time.

If you're thinking about investing in gold, you might be wondering if it's really money. After all, doesn't money need to be backed by something like the government? In short, the answer is no. Gold is money because it has been used as a form of money for centuries.

While it's true that gold isn't used as much as it once was, it's still an accepted form of payment in many parts of the world. Countries like China and India continue to use gold in their day-to-day transactions. However, while gold may not be used on a daily basis anymore, it can still function as money when you're talking about large sums of wealth or when there are financial emergencies.

The most common example of this is people who buy gold coins or bullion bars with cash from time to time and then store them away for emergencies or future purchases.

With gold, they know they have something they can trade easily and quickly at any point. It's also important to keep in mind that while gold isn't backed by any other asset, it does provide its own intrinsic value. As such, investors should think about how much weight the product holds before deciding whether or not to invest in it themselves.

There are a number of reasons why you might want to take physical delivery of your gold, instead of having it stored in a vault somewhere.

First, you have control over it and can do with it as you please.

Second, it's a tangible asset that you can see and touch.

Third, if there's an economic collapse or some other disaster, you'll have your gold to barter with.

Fourth, it's a good way to hedge against inflation.

Fifth, it's just plain fun to own!

Sixth, it looks great hanging on the wall.

Seventh, many people like to purchase coins or bullion and store them at home for safekeeping.

Eighth, you're not at the mercy of an unscrupulous storage company that may go bankrupt while holding your gold.

Ninth, by taking possession of your metal you increase its liquidity and marketability.

Tenth, by taking possession of your metal you decrease its cost basis (a measure of how much taxes need to be paid).

And finally, when you take possession of your metal, you will know exactly what it is worth at any given time since its worth changes according to spot prices.

When it comes to gold, there are a few different ways that you can invest. You can purchase physical gold, which is what most people think of when they think of investing in gold. You can also invest in ETFs, futures, and paper.

Each has its own advantages and disadvantages.

Physical gold will provide the highest return on investment, but ETFs provide an easy way to trade with leverage.

Futures trading offers the ability to make money off of small price movements as well as short.

Paper gold does not have the same security risks as other forms of investments do and will offer higher liquidity than physical gold for those who don't want to store their investment at home or don't have the space for it.

For investors looking to get into gold without paying high premiums, paper gold is a good option. Mining stocks might be worth your consideration if you're more interested in company profits rather than the value of the metal itself. Gold miners might be worth your consideration if you're more interested in company profits rather than the value of the metal itself.

In the current economic climate, many people are looking for ways to protect their savings from inflation. Gold has traditionally been seen as a good way to do this, but recent years have seen it outperformed by other assets such as stocks and real estate.

So, is gold really money?

We would argue that all of these investments can be considered money because they fulfill the three primary functions of money: store of value, unit of account, and medium of exchange. When you buy any asset - whether stocks or property - you are exchanging your currency in return for an asset that will provide performance (i.e., returns) over time.

What differentiates one investment from another is the level of risk associated with it.

For example, if you invest in high-yield bonds (medium risk), then your expected performance is around 6%. If you invest in long-term government bonds (low risk), then your expected performance is around 2%.

Which option makes more sense for someone who wants protection against inflation?

Again, it depends on what level of risk you're willing to take on. And there's no right answer!

As always, make sure you understand how much risk you're willing to take on before making any decisions about what type of investment might be best for you.