Tokenisation in the commodities market: silver impresses, copper disappoints
In times of inflation, banking crises and geopolitical uncertainty, investors are looking for stable assets. Precious metals are traditionally highly valued – but while gold maintains its reputation as a ‘safe haven’, some providers are increasingly trying to establish copper as an investment metal. This is a dangerous development, as copper is simply unsuitable for preserving value – unlike silver, which offers far more convincing arguments, both historically and objectively.
Silver: gold’s little brother with a big impact
Silver is a precious metal with a history stretching back thousands of years as a form of currency, a medium of exchange and a store of value. It enjoys trust, is internationally tradable, available in physical form as coins and bars, and is also required in numerous industries, such as solar energy, medical technology and electric mobility. This dual demand – as an investment and as a raw material – ensures long-term stability.
Investing in silver means investing in a proven precious metal with real substance that demonstrates its strength in times of economic turmoil. Although physical silver is subject to VAT in the EU, it remains an attractive alternative to gold for many investors.
Copper: no precious metal, no stability
Copper, on the other hand, is a pure industrial metal – heavy, susceptible to oxidation and dependent on the economy. It has never been part of a stable monetary system, there are hardly any established investment opportunities for private investors, and its price fluctuates wildly with the global economy. In a recession, the price of copper can plummet – a total loss for investors who are looking to preserve value.
Warning against tokenised copper investments
Projects that offer tokens supposedly ‘backed’ by copper reserves – such as the Copper.One model – are particularly critical. This raises serious questions: Where exactly is the copper stored? Does it actually exist and is it mineable? Who controls the backing? And why is it distributed via structured sales systems such as MLM?
Such constructs combine the volatility of an industrial metal with the opacity of questionable financial products – a toxic cocktail for anyone seeking to secure their capital.
Conclusion: stay away from copper – silver remains the better choice
Silver offers a real, proven and internationally recognised way to secure your assets. Copper, on the other hand, remains a speculative commodity with no historical monetary significance, high logistical hurdles and a growing risk of abuse through dubious token models. If you want to preserve your money in the long term, you should stick with precious metals – and clearly avoid copper as an investment.
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