Check out the price of silver on CNBC:
https://www.cnbc.com/quotes/@SI.1
Now, try to buy an ounce on SD Bullion:
https://www.moneymetals.com/buy/silver/coins/american-silver-eagle
Don't let Wall Street play games with your bitcoin.
The spread between paper and physical silver is truly amazing right now - around $12 an ounce. Some people believe we are witnessing the end of the paper silver market in real time.
You know what silver stackers are saying now? If you don't hold it in your hand, you don't own it.
Sound familiar?
I think this is akin to paying a premium for no KYC sats.
Ordinarily. But not 16%. Arbitrage would eat up at least half of that gap. It's a lack of trust. The market no longer believes the bullion banks hold the silver they claim they do.
It might be a temporary hype effect because of the recent rapid price run up. When something comes to the attention of the masses they scramble to buy in and suppliers can't source physical coins fast enough to meet demand. But once the hype subsides the premium will go back to historical norms. Somehow I doubt that this is a secular change in trust levels regarding paper silver
Nevertheless if you have held silver as a speculative SoV and used paper silver perhaps you cannot now liquidate your stack at same price and profit as someone holding physical silver can.
Looks like the markup is around 7% here in Canada.
Because of the processing?
It's crazy that people were actually paying a premium for paper bitcoin compared to the real thing.
Some tax advantages and ease of storage.
People are greedy and lazy.
You can hold non KYC bitcoin in an IRA and hold 2 of the 3 keys. I think lazy is the big culprit.
They are a little bit correct in mentality, but they’ll not use it as MoE or daily transactions. If the correct mentality and the real cash they are fine.
The disconnect between paper silver and physical silver is not new but right now it is glaring many people are seeing premiums that make them question the integrity of the futures and ETF pricing mechanism When physical supply runs tight the paper price becomes little more than a theoretical number You cannot take delivery of spot priced silver without paying the real world premium and that gap says a lot about how markets really work
Particularly after the LME silver debacle. Commodities markets are suspect. I think Larry Lepard got burned on a silver trade.
Common sensical, obvious, and just plain reasonable.
Now, will the silverbugs please apply this same principle and try to make silver—which I admit is a mighty fine metal, very much worth holding in your hand—the basis of the global cybereconomy... how will you hand silver to your friend in Japan, while you're in Texas, without leaving Texas?
I feel like this has been a long standing mantra of precious metals people. They like the property that gold and silver are amongst the only assets that are not someone else's liability.