How did gold become so important?
Gold doesn't seem to be a terribly useful mineral. It's too malleable to produce any sort of tools, so why did it become so valuable? Is it just because it's attractive? Today, of course, we use it for jewelry, currency, and in electronics, but this certainly wasn't the case when gold was first mined.
Answers ( 1 )
I'm just speculating, but once the idea of money first caught on (see Harari's book, "Sapiens") and people got tired of usung cowry shells (they break too easily; then you've lost some wealth!) early humans had to look around for something more permanent, versatile and (of course) scarce. Gold fills all those bills. It's the only metal that doesn't tarnish or react with various chemicals (except of course aqua regia, a mix of concentrated hydrochloric and sulfuric acids). It's pretty and shiny and easily recognized. It's soft and malleable, which makes for versatility and easy coin-making. And it's rare as hell, so people immediately accept it as "valuable" even before we made up the fantasy of "money". What's not to like?
Gold is sort of like BitCoin, but real.
These days, of course, money is no longer even remotely based in physical reality.