LANGERIUS
Founder of Hunters of Web3, Attorney/Adviser, Investor & Trader
Central-bank gold accumulation may be an early warning of inflation, adding to gold's reserve-demand case. Gold's share of non-US central-bank reserves has risen to 24%; the last comparable surge preceded double-digit inflation. Inflation is nowhere near that level today, but central banks buying about 1,000 tonnes a year suggest they do not consider it settled and see debt rising. x.com x.com x.com x.comÂ
Record central-bank buying supports gold. Gold now accounts for over 20% of central-bank reserves, near a multidecade high; notice the trend and adjust accordingly. x.comÂ
Gold's scarcity is vulnerable to synthetic creation. Marathon Fusion says it demonstrated high-rate conversion of mercury into stable gold. By contrast, no 21,000,001st ZEC can ever be made; Zcash is the 21st century's store of value. x.comÂ
Marathon Fusion's reported gold-from-mercury demonstration sets up what should be an amazing liquidity flow from gold to Bitcoin. The company says it made stable gold at ten times CERN's previous record. x.comÂ
Central-bank stockpiling adds demand for gold amid market weakness. WatcherGuru, citing Fortune, reports central banks buying four times more gold than usual and moving it out of the US. Similar silver buying is suspected, not established; both metals remain favored. x.comÂ
Marathon Fusion's claim that it made stable gold from mercury is a reason to prefer Bitcoin to gold. The company says the demonstration beat CERN's record by a factor of 10. Sell gold and buy Bitcoin. x.comÂ
Gold has become a structural bid as central banks gradually diversify reserves away from US Treasuries. They have bought about 1,000 tonnes a year for several years, and 95% expect to add more while 73% expect lower dollar exposure. Gold carries no counterparty or sanctions risk and can be held domestically. Central bank gold, worth $4.5-5 trillion, now exceeds their roughly $3.9-4 trillion of Treasuries, mainly from price gains, not selling; the dollar still holds about 58% of reserves. x.comÂ
Gold is set to take off as energy-driven stagflation traps the Fed and negative real rates favor it. Today's dovish hold was likely its last chance to hike: once the AI bubble bursts, the Fed loses that option, while current debt-to-GDP rules out Volcker-style hikes without fiscal insolvency. Per Macrotrends' chart, gold rose eightfold from its 1976 low to its 1980 high, equivalent to $32,000 gold over five years in today's terms. x.com x.com x.comÂ
Gold-making machines are real, undermining gold's scarcity. Gold goes to zero; unlike Bitcoin, whose supply is fixed at 21 million, new gold can be made. x.comÂ
Gold keeps getting bought because central banks are slowly shifting reserves into gold and other currencies alongside the dollar. Per IMF data, the dollar's share of reserves is near 57%, down from about 66% in 2015, not the 42% a quoted post claimed; the trend is real, though smaller. x.com x.comÂ