All about gold
Gold is one of the most prized materials on the planet and in recent years the price of this attractive yellow metal has soared. Gold is found all over the world and traded between countries, companies, families and individuals. We exchange gold rings as a symbol of love and commitment, use it as a store of wealth and for it’s practical abilities.
What is gold
Gold is an element, Au on the periodic table and is described as a very stable, dense, yellow coloured metal. It is a very heavy element.
Gold in electronics
Gold is a very dense and stable material and it's a good conductor of electricity. This good conductivity, coupled with the fact that it doesn't oxides makes it excellent for use in small electrical circuits. The percentage of gold that is used in electronics yearly is increasing and account for roughly 10% of gold demand annually.
As it is a very stable element, gold does not corrode, oxidise or decay which means it has been used as a store of wealth for centuries. You can put a gold bar in a vault and come back in 100 or a 1000 years and your bar will be exactly as you left it.
Gold melts at 1064
What do people get wrong about gold?
Gold has a reputation for being soft, which, compared to other metals like titanium, it is, but it's also very dense, which makes it durable. In its pure form, gold is relatively soft, but then so are many other metals, and this all boils down to their atomic structure. In a pure material, all of the atoms are the same size, which mean they slide over each other relatively easily. When you alloy metal, you introduce atoms of different sizes and this can significantly change the material's properties, such as hardness and strength. The difference size between atoms increases resistance, essentially creating obstacles for the other atoms to navigate.
How hard is gold?
Gold measures a 2.5 on the Mohs scale of mineral hardness, which is relatively soft and this the same as silver. For comparison, Platinum measures 4.5, Titanium is 6, Tungsten is 7.5 and the hardest metal Chromium, is 8.5. All of these metals in their pure form are significantly softer than when they are alloyed.
9ct gold, 37.5% - Mohs scale 3.5/4
14ct gold, 58.5% - Mohs scale 3/4
18ct gold, 75% - Mohs scale 3/4
22ct gold, 91.6% - Mohs scale 3
What is it used for?
Gold has many uses and is in electronics and consumer goods that you may not consider.
The main uses for gold are in jewellery and as an investment. A lot of gold goes from being mined from the ground then back into secure underground vaults for storage. Notable underground storage locations include Fort Knox in the US and the Bank of England vaults in London. (though one is considerably more full than the other). Almost all countries have some gold in storage and it has traditionally been a good indicator of a nation's power and stability.
Gold jewellery
Around 45-50% of gold mined annually goes into the production of jewellery. Globally, the jewellery industry swallows up roughly 2,000 tons of gold every year. A large chunk of this demand comes from India and China. Not only are these two countries the most populous on earth, gold is also significant culturally, often given as gifts at births and weddings.
India especially has a cultural obsession with gold, where the gold jewellery given at wedding plays a role as both gift and store of value, usually being of a high percentage, 22 or 24ct.
As pure gold (24ct) is relatively soft, it is often alloyed with other metals to make it more suitable to be worn, often everyday. Gold can also be alloyed to change its colour, for instance white gold or rose gold. Alloying is the process of mixing gold other metals, in varying proportions, to change its properties.
Gold alloys are known as carats, and the carat refers solely to the amount of gold present in the alloy. Below is a list of gold alloys and which countries they are widely used in.
8ct gold - 33.3% pure, used in Germany, the Netherlands and other central EU countries. Not legal in UK
9ct gold - 37.5% pure, used widely globally
10ct gold - 41.7 pure, US & Canada
14ct gold - 58.5% pure, standard in EU and US. Becoming more popular in UK
18ct gold - 75% pure, used widely globally
22ct gold - 91.6% pure, used globally, more common in India
24ct gold - 99.9% pure, widely used in India
Gold as currency
There are examples of cultures that have literally used gold as a currency, such as the Lydians, however, there are substantially more examples where gold has been used as a proxy or as backing of a fiat currency.
Where does it come from?
On a cosmic scale, gold is literally created in stars. But here on earth, gold is found in many places, though some places are known for particularly rich deposits. China is the worlds largest gold producer and consumer, and South Africa has some of the largest concentrations of gold in the world.
Many places in Africa and South and North America have viable gold deposits that are commercially exploited and Australia has some of the largest open-pit gold mines.
How is it extracted?
Gold is mined from geological deposits. This essentially means digging into the ground to get it out. There are various types of mines and gold can also be collected from natural alluvial deposits.
If someone is ‘panning for gold’ they are alluvial mining.
How much is it worth?
The price of gold goes up and down, but it's fair to say that it's always been a valuable material. In 2025 it reached an all-time high and climbed almost 60% in a year and 12% from August to September.
Can it be recycled?
Yes, gold is widely recycled, and there is a well-established industry for the refining and reusing of gold. The cost of gold reclamation varies depending on which products it comes from. The refining of gold from jewellery is substantially simpler than extracting gold from electronics and in most cases it costs less to ‘recycle’ gold than to extract it. Despite this, the buoyant global demand for gold
The term ‘recycled’ is a loaded one and is frequently used to market jewellery in an attempt to make it seem more environmentally friendly. The fact is that people have never thrown away gold, its always been kept or reused.
Is gold an investment?
Yes, many people invest in gold and it is known as a stable ‘safe haven’ investment that performs well in times of volatility and uncertainty (like now).
There are different ways to invest in gold. You can buy physical gold, like coins or bars and store it in a safe or under your mattress. You can buy gold futures and trade it as a commodity.
