Top 3 Reasons to Invest in Silver
Human beings have been on the hunt for precious metals since time immemorial. One of these precious metals is silver. Although silver doesn’t command the same prices with metals such as gold, it still remains to be one of the world’s most precious metals. For an investor, the question remains as to whether or not silver is a profitable venture and if someone should use their resources on it. Therefore, here are some of the top reasons why silver is still a valuable investment opportunity.
Silver is Money
We might have stopped using silver coins as our primary currency, but silver together with gold are the ultimate forms of money. This is so because unlike paper or digital money, they cannot be created out of anything. Silver is valuable because it has no default or counterparty risk. This means that if you have silver, there is no risk of its value being dependent on other external factors. In ancient times we see that silver has been used more than gold as a currency.
A Physical Asset
As our world has evolved, so has our money. Today money is digital, and all you probably have to do is have a card via which you can access the funds. However, when it comes to silver, we find that it’s impervious to the security risks digital currency is facing such as cybercrime, fraud, and hacking.
Silver Inventories are Falling
Earlier, government and other institutions have been the keepers of silver. However, today we find that governments don’t hold as much of the precious metal as they once did. As such, only three countries stockpile silver, and that is the US, Mexico, and India. As coin production continues to fall and industrial use of silver continues to increase, silver will still remain relevant. Since there this is a precious metal, its value will always be recognized the world over.