Why Central Banks Are Doubling Down on Gold in 2025 (And What It Means for You)
Introduction: Gold has always been a symbol of wealth and stability, but in recent years, it’s become something even more: a strategic asset for central banks and investors alike. In 2024, gold hit all-time highs 40 times , yet that didn’t slow down central banks from buying. In fact, 2024 marked their third straight year of massive gold accumulation , with over 1,450 metric tons added to their reserves. But why are central banks—and increasingly, individual investors—turning to gold? Let’s dive into the reasons behind this trend and what it means for you. The Rise of Gold as a Hedge Against Uncertainty 1. Moving Away from the US Dollar One of the biggest drivers of gold demand is the shift away from the US dollar. With roughly one-third of the world’s countries under US sanctions , many central banks are seeking politically neutral assets. Gold, with its universal appeal and lack of correlation to any single currency, has become the go-t...
