For many centuries, humankind’s most stable form of currency has been precious metals. As they are rare, they offer a method of hedging against any pitfalls that come with the ownership of fiat currencies or government-issued money. The money issued by the government is subject to becoming diluted in value due to the printing of notes, forcing sensible long-term investors to move towards precious metals to preserve their wealth.
However, this wealth is slowly eroded by the fees that come with the storage of precious metals. This includes expenses such as management fees and storage fees, and thus decreases the economic viability of storing gold for an extended period of time.