Figure of the month: 2,966

Gold has various special characteristics that make it indispensable, even apart from its important function as a store of value and protection against inflation. These characteristics are the reason why neither space travel, the automotive industry, modern information and communication technologies nor medicine could do without gold. A space suit, UV filters in windowpanes, smart wearables or coronavirus rapid tests: without gold, none of these products would work.

Indestructible and extremely flexible

Gold is considered imperishable and has proven virtually indestructible. Its boiling point is at 2,966 degrees Celsius. And although pure gold can be shaped with bare hands, its melting point is not below 1,064 degrees Celsius. Another unique gold characteristic: unlike other metals, it does not corrode. Pure gold is also one of the few non-toxic metals, making it suitable for medical use – in diagnostics as well as in therapy, e.g. for rheumatism. It is considered indispensable in all modern communication technologies for another reason: the precious metal is not only malleable, but can also be expanded almost infinitely. For example, a single ounce of gold – 31.103 grams – can be stretched to make a wire 80 kilometres long.

Gold also extremely valuable as raw material

The importance of gold as a commodity ensures that the value of the precious metal cannot decrease below a certain minimum price – the so-called floor – in the long term. It is the price that gold producers must achieve for the operation of existing gold production sites to extract or recycle gold to be worthwhile – currently around 1,300 US$ per ounce. The price, however, needs to be much higher for the cost-effective discovery and development of entirely new gold deposits: already years ago, a study by Metals Focus placed it at a minimum of 1,500 US$.