{"id":1531381,"date":"2025-04-20T13:20:00","date_gmt":"2025-04-20T17:20:00","guid":{"rendered":"https:\/\/bugaluu.com\/news\/?p=1531381"},"modified":"2025-04-20T13:20:00","modified_gmt":"2025-04-20T17:20:00","slug":"the-global-safe-haven-is-slowly-breaking-why-central-banks-are-turning-to-gold","status":"publish","type":"post","link":"https:\/\/bugaluu.com\/news\/the-global-safe-haven-is-slowly-breaking-why-central-banks-are-turning-to-gold\/1531381\/","title":{"rendered":"The Global Safe Haven Is Slowly Breaking: Why Central Banks Are Turning To Gold"},"content":{"rendered":"

The Global Safe Haven Is Slowly Breaking: Why Central Banks Are Turning To Gold<\/span><\/p>\n

\n

Authored by Alex Deluce via GoldTelegraph.com,<\/em><\/a><\/p>\n

The global financial system is not just shifting, it is starting to breakdown.<\/strong><\/p>\n

<\/a><\/p>\n

On April 1st, I wrote:\u00a0\u201c<\/strong>The erosion of trust: the times are changing.\u201d<\/strong><\/a><\/p>\n

That warning has since become a headline.<\/p>\n

What was once dismissed as contrarian commentary by many is now being echoed by mainstream media across the world: the dollar\u2019s role as the global reserve currency is no longer unquestioned.<\/p>\n

For years, I\u2019ve documented the growing dangers of the West\u2019s overreliance on financial warfare:<\/p>\n

Sanctions<\/p>\n

Reserve freezes<\/p>\n

The weaponization of SWIFT<\/p>\n

These weren\u2019t strategic tools of diplomacy. They were early signs of something deeper: desperation, fragility, and a crumbling world order.<\/p>\n

In just the past year, the U.S. dollar has lost over\u00a035% of its purchasing power against gold<\/strong>, driven by record central bank gold buying. This isn\u2019t a trend, it\u2019s a signal.<\/p>\n

<\/a><\/p>\n

Meanwhile, the BRICS nations are growing more coordinated, even as fractures widen among traditional Western allies.<\/p>\n

Across Europe and Asia, leaders are reassessing their exposure to a system that no longer feels stable.<\/p>\n

Increasingly, nations are recognizing that\u00a0true sovereignty begins with one principle: zero counterparty risk.<\/strong>\u00a0That path leads directly to gold.<\/p>\n

These developments aren\u2019t isolated, they are symptoms of a deeper monetary fracture.<\/p>\n

With trust evaporating, gold is no longer just a hedge. It\u2019s becoming the\u00a0foundation of a new system<\/strong>.<\/p>\n

That\u2019s why my recent conversation with Matthew Piepenburg, Partner at VON GREYERZ, couldn\u2019t have come at a more important time.<\/p>\n

His perspective on gold, debt, the BRICS realignment, and the unravelling confidence in U.S. Treasuries offered rare clarity in a world clouded by confusion and revealed what many are only just beginning to understand.<\/p>\n

Let\u2019s break it down. \u00a0<\/p>\n

The Treasury Market\u2019s Safe Haven Status is Eroding and Gold is the Refuge<\/strong><\/h2>\n

For decades, U.S. Treasuries have functioned as the cornerstone of global finance, seen by investors and institutions as the ultimate safe haven. That narrative is now fraying.<\/p>\n

\u201cThere is a liquidity crisis,\u201d Piepenburg told me. \u201cThere\u2019s simply not enough grease to keep this system going.\u201d<\/p>\n

Rather than providing stability during periods of volatility, U.S. government bonds have started to behave more like risk assets. In recent market turmoil, yields rose when they typically would have declined, highlighting the growing fragility of the system. \u00a0<\/p>\n

<\/a><\/p>\n

\u201cYields have actually been going up, not down, in times of stress,\u201d he explained. \u201cWhy isn\u2019t the U.S. Treasury acting like a safe haven anymore?\u201d<\/p>\n

The answer, he says, lies in debt, which has buried the American economy.<\/p>\n

With over $37 trillion in federal debt and more than $100 trillion when household, corporate, and long-term entitlement obligations are included, the system is buckling under the sheer weight of its own promises. \u00a0<\/p>\n

\u201cSanta Claus can\u2019t solve a liquidity crisis when you\u2019re buried under this much debt,\u201d Piepenburg warned. \u201cThere\u2019s not enough grease to keep those debt wheels spinning without bazooka money, without debasing the currency.\u201d<\/p>\n

That\u2019s why, he added, gold is being quietly re-monetized by central banks around the world, not as a hedge, but as a foundational reserve asset.<\/p>\n

\u201cGold is now a Tier 1 asset. Central banks are net settling in it. They\u2019re moving away from Treasuries,\u201d he said. \u201cThis isn\u2019t about getting rich. It\u2019s about not getting poor.\u201d<\/p>\n

The Rise of BRICS and the Global Move Away from the Dollar<\/strong><\/h2>\n

The de-dollarization trend, long discussed in policy circles, has become an observable reality in the wake of U.S. sanctions against Russia. What began as an assertion of geopolitical power has accelerated a multipolar financial realignment.<\/p>\n

\u201cSince the weaponization of the U.S. dollar in 2022, 45 countries are now trading outside of it,\u201d Piepenburg told me. \u201cThirty countries have repatriated their physical gold. That\u2019s not a coincidence, it\u2019s a reaction.\u201d<\/p>\n

He pointed to the critical shift that occurred when the U.S. froze Russian central bank assets. For many governments, that action shattered the illusion of the dollar as a neutral global reserve. \u201cWhen you weaponize the world reserve currency,\u201d he said, \u201cyou undermine the very trust it depends on.\u201d<\/p>\n

Nowhere is this shift more evident than among the BRICS nations, Brazil, Russia, India, China, and South Africa.<\/p>\n

While rumors of a BRICS currency circulate around the world, Piepenburg clarified the group\u2019s actual intention: \u201cThey don\u2019t trust each other\u2019s fiat currencies either but they trust gold.\u201d<\/p>\n

The BRICS plan, he noted, isn\u2019t to launch a single currency, but rather to use a settlement system backed 40% by gold and 60% by local currencies kept in escrow.<\/p>\n

\u201cThis isn\u2019t about replacing the dollar overnight,\u201d he said. \u201cBut it is a definitive move away from it.\u201d<\/p>\n

Fort Knox: The Taboo That Exposes the System<\/strong><\/h2>\n

No discussion of gold\u2019s resurgence would be complete without addressing America\u2019s own reserves.<\/p>\n

The United States claims to hold over 8,100 tonnes of gold largely stored at Fort Knox.<\/p>\n

<\/a><\/p>\n

Former Treasury Secretary Steve Mnuchin at Fort Knox in 2017<\/em><\/p>\n

Yet, a full, independent audit hasn\u2019t been conducted in over six decades. Now, calls for transparency are gaining momentum. The President of the United States Donald Trump and Elon Musk have floated the idea of a livestreamed audit of Fort Knox.<\/p>\n

But according to Piepenburg, transparency carries risks. \u201cBe careful what you ask for,\u201d he said. \u201cI wouldn\u2019t go into combat unless I knew how many bullets I had. And I wouldn\u2019t want to show my hand unless I knew what was there.\u201d<\/p>\n

He believes the U.S. may not be as dominant in gold holdings as it claims and he suspects that China\u2019s reserves are vastly underreported.<\/p>\n

\u201cI\u2019m fairly confident China has at least ten times more gold than the World Gold Council says it does,\u201d he said. \u201cAnd probably more than the United States unless we\u2019ve been hiding a best-kept secret.\u201d<\/p>\n

What\u2019s at stake is more than optics. \u201cGold is the ultimate BS detector,\u201d Piepenburg told me. \u201cIt\u2019s a mirror held up to the system and that\u2019s why they don\u2019t want to talk about it. Because it holds its value while everything else melts.\u201d<\/p>\n

A Moment of Reckoning<\/strong><\/h2>\n

We are not witnessing the end of the U.S. dollar but we are witnessing the end of its unchallenged supremacy.<\/p>\n

The petrodollar framework is fracturing. Gold is being quietly repurposed as a strategic reserve asset. And U.S. Treasuries the once untouchable cornerstone of global markets are being reassessed by the very institutions that once depended on them.<\/p>\n

The implications are profound. Central banks are no longer being quiet about what they doing\u2026 they are moving quickly and deliberately toward gold.<\/p>\n

The real question isn\u2019t whether gold will rise, but whether the public will grasp what\u2019s driving the move.<\/p>\n

WATCH THE FULL CONVERSATION:<\/strong><\/p>\n

GOLD TELEGRAPH CONVERSATION #7
\nMATTHEW PIEPENBURG<\/p>\n

\u201cI’m confident that China has at least 10x more gold than the WGC says it does\u2026 I also think they have a lot more than the United States.\u201d<\/p>\n

Matthew is a prominent voice in global finance. He began as a transactional attorney and\u2026 pic.twitter.com\/m1PIAG0oJq<\/a><\/p>\n

\u2014 Gold Telegraph \u26a1 (@GoldTelegraph_) April 12, 2025<\/a>\n<\/div>\n

Tyler Durden<\/a><\/span>
\nSun, 04\/20\/2025 – 09:20<\/span><\/p>\n

\u200bhttps:\/\/www.zerohedge.com\/precious-metals\/global-safe-haven-slowly-breaking-why-central-banks-are-turning-gold<\/a>\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"

The Global Safe Haven Is Slowly Breaking: Why Central Banks Are Turning To Gold Authored by Alex Deluce via GoldTelegraph.com, The global financial system is…<\/p>\n","protected":false},"author":0,"featured_media":1531382,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[1],"tags":[],"class_list":["post-1531381","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","wpcat-1-id"],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/pbimBl-6qnH","jetpack_featured_media_url":"https:\/\/bugaluu.com\/news\/wp-content\/uploads\/sites\/3\/2025\/04\/image-for-gold-gt-article-sJiiNo.jpeg","_links":{"self":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts\/1531381","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/comments?post=1531381"}],"version-history":[{"count":0,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts\/1531381\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/media\/1531382"}],"wp:attachment":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/media?parent=1531381"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/categories?post=1531381"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/tags?post=1531381"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}