A myriad of gold bugs like to compliment the yellow precious metal for its ostensible scarcity, as estimates say only 2,500 to 3,000 tons of new gold is produced annually. While new gold discoveries have seemingly slowed, investigative studies also show that in some areas, gold is being smuggled into the economy by the ton, and often never accounted for as far as per annum issuance estimates. Recently, reports show a whole mountain of gold was discovered in the Congo, as the Democratic Republic of the Congo is well known for being a region that sees tons of smuggled gold filtered into the global financial system unreported.
Surprise Gold Deposits Continue to Crack the Precious Metal’s Scarcity Proposition
It has always been said that the precious metal gold (Au) is scarce, and some reports even say that gold mining on earth will end by the year 2050. Additionally, estimates also show that there’s roughly 2,500 to 3,000 tons of new gold that is accounted for and enters into the financial economy every single year.
However, one unfortunate thing for those who believe gold is very scarce is the fact that surprise discoveries happen all the time. Lots of these gold discoveries go unaccounted for exceeding the so-called 3,000 tons of new gold dug up every year.
In recent times, analysts have questioned gold’s safe-haven status, as central banks worldwide hoarding bullion could flood the market. Data from 2008’s economic crisis shows that central banks oversaturated bullion markets during the subprime mortgage disaster.
Surprise gold deposit finds and underreported issuance by artisanal miners also make it hard to prove gold is truly scarce. For example at the end of October 2020, Bitcoin.com’s newsdesk reported on a surprise find of approximately 40 million troy ounces of gold in Russia’s Siberian region.
The only reason the public hears about these discoveries, is if the gold find was discovered by local media sources….