How does the Gold scam work?

[wrapper]

I don’t have any gold. I did noticed the “buying gold” companies / adverts in the UK people were investing - was one racket. Here’s the other.

In fact, it’s estimated that the paper gold market â€" which should be a derivative of the physical market â€" is actually some 100 times larger than the physical market â€" ie, if everyone holding paper gold ‘stood for delivery’ at the same time, it would be impossible for every party to fulfil their obligations.

http://moneyweek.com/right-side-something-fishy-in-the-gold-market/?utm_source=taboola&utm_medium=cpc&utm_term=There%E2%80%99s+Something+Fishy+Going+On+In+The+Gold+Market&utm_content=aoluk-hotsearch&utm_campaign=gold

[daimyo]

same thing as paper money in banks:) Who would buy paper gold?

[mirrax]

That is the main reason why Golden standart was canceled by Nixon.

People were actually claiming their gold :)

Yes both Gold and Silver price means nothing untill you have it physicaly on your desk.

[Guest]

yes nowadays many gold scammer are now start business.