A large number of gold bugs like to compliment the yellow precious metal on its alleged scarcity, since it is estimated that only 2,500 to 3,000 tons of new gold are produced annually. While new gold discoveries seem to have slowed, research studies also show that tonnes of gold are being smuggled into the economy in some areas and are often never accounted for in annual emissions estimates. Recently it was reported that an entire mountain of gold was discovered in the Congo, as the Democratic Republic of the Congo is known as a region where tons of smuggled gold is filtered unreported into the global financial system.
Surprise gold deposits continue to crack the scarcity of the precious metal
It has always been said that precious metal gold (Au) is scarce, and some reports even say that gold mining on Earth will end by 2050. It is also estimated that around 2,500 to 3,000 tons of new gold are accounted for and added to the financial system each year.
One unfortunate thing for those who believe that gold is very scarce is the fact that surprising discoveries are made time and again. Many of these gold discoveries are ignored because they exceed the so-called 3,000 tons of new gold that are excavated each year.
Recently, analysts have questioned the status of the safe haven for gold, as central banks worldwide, hoarding gold bars could flood the market. Data from the 2008 economic crisis shows that central banks oversaturated gold bullion markets during the subprime mortgage disaster.
Surprising gold deposit finds and an underreported release by artisanal miners also make it difficult to prove that gold is really in short supply. For example, at the end of October 2020 in the Bitcoin.com news desk reported in a surprising find of about 40 million troy ounces of gold in the Siberian region of Russia.
The only reason the public hears about these discoveries is because the gold find was discovered by local media sources. In August of last year, 5,000 tons of new gold were suddenly discovered in the historical region of Central Europe, which lies in Poland and is called Silesia.
The massive gold deposits in the Silesian village were of course taken over by the country’s Ministry of the Environment. The 350 residents who live in Silesia did not have rights to the tonnage, but the news caught wider interest in the region. News reporter Anne Chatham said no date had been set for ore mining to begin, but local people “expressed their hopes that the discovery will benefit the area or attract tourists”.
Last week, villagers from the Congo discovered a mountain filled with gold
In the first week of March 2021, a freelance Yemeni journalist from the capital Sana’a, Ahmad Algohbary, reported on a giant gold mountain that was discovered in the Congo. There are no confirmed estimates of how much gold was found in the area, but the country’s authorities have banned artisanal mining throughout the South Kivu province of the Congo.
“A video from the Republic of the Congo documents the biggest surprise for some villagers in this country when a mountain of gold was discovered,” Algohbary tweeted. “They dig the ground in the gold deposits and bring them to their homes to wash off the dirt [and] extract the gold. “
Algohbary shared another video of Republic of Congo residents prospecting for gold and finding significant deposits from the mountain.
Yemeni freelance journalist Ahmad Algohbary from the capital Sana’a shared a video from the Congo that went viral last week. The video shows people who streamed into the village in South Kivu Province in the Congo because of a mountain found there and showed that the ground was littered with gold deposits.
The problem with gold in areas like the Congo is that a recent United Nations (UN) report found that gold production in the Democratic Republic of the Congo “continues to be systematically underreported.”
According to the latest UN report, the Congo and other countries along the eastern border are known to be important gold regions valued at billions. The gold is mined from the earth by the so-called “artisanal” miners. Artisanal miners have been said to mine using rudimentary means such as the use of shovels, as opposed to larger operations with excavators. In the Congo alone, huge amounts of gold are fed into the underreported financial system and come from regions such as the provincial capital Bukavu, Ituri province and Luhihi.
Bitcoin is rarer than gold and this can be proven in the code. Gold scarcity is based on belief and unreliable estimates
The gold mountain discovered in the first week of March came from Luhihi and caused a considerable gold rush among diggers and artisanal miners. The Goldberg called on thousands of people to rave about the village in South Kivu Province in the Congo. South Kivu Minister Venant Burume Muhigirwa said the gold rush had put pressure on the small village of residents. Muhigirwa and the local authorities forced artisanal miners and even members of the Congolese Armed Forces (FARDC) to leave the Goldberg.
“All mining activities have been suspended until further notice,” said Muhigirwa.
The United Nations report states that gold leaving the Congo and other countries along the eastern border is normally “systematically underreported”.
The stories and the most recent UN report ultimately show that the shiny, yellow precious metal called gold (Au) may not be as rare as we believe or believe.
Discoveries such as the gold mountain in the Congo and the 5,000 tons that were found in August in the Silesian village show that massive gold deposits are regularly found and that many gold discoveries are systematically underreported. The BTC protocol (Digital Asset Bitcoin), on the other hand, has a maximum delivery limit of 21 million. A crypto asset like BTC is considered to be much rarer than gold, and the protocol ensures there are no surprise discoveries or underreported expenses.
New and massive gold deposits in regions around the world, not to mention the untapped ore under the ocean (20 million tons) and the gold that could be extracted from asteroids, make it terribly difficult for anyone to prove that gold does Gold is a tighter asset compared to Bitcoin.
NASA (National Aeronautics and Space Administration) recently considered building a spacecraft called “Psyche”. The spaceship aims to capture images of a metal rock asteroid known as the “16 Psyche”. The 226-kilometer-wide asteroid is made of gold and other metals with an estimated value of around $ 10,000 quadrillion.
What do you think of the gold mountain in South Kivu Province in the Congo? Let us know what you think on this matter in the comments section below.
Tags in this story
Africa, Ahmad Algohbary, artisanal miners, Bitcoin, Bitcoin (BTC), Congo, gold, gold deposits, gold excavation, gold extraction, gold mining, gold scarcity, metal, PMS, Poland, precious metals, Russia, scarcity, scarce gold, scarcity, surprise gold deposits, Venant Burume Muhigirwa
Photo credit: Shutterstock, Pixabay, Wiki Commons, Ahmad Algohbary,
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