For thousands of years, people have used gold (GC=F) as currency and as a store of value. According to the International Gold Council, it is estimated that approximately 219,880 tons of gold have been mined throughout history.
Today, governments, corporations, and individual investors own gold. Given the prevalence of gold, if everyone were to sell their gold holdings tomorrow, it would have devastating effects on the global economy and currencies.
Gold has been mined for thousands of years, so it is difficult to get an exact number of how much gold there is. The International Gold Council estimates that the following gold is above ground:
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About 98,000 tonnes of gold is jewelry, which constitutes 44% of the gold market
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About 51,000 tons, or 23% of the world’s gold, is in gold, coins, and gold-backed exchange-traded funds (ETFs).
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About 38,600 tonnes are held by central banks, accounting for 18% of the world’s gold.
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54,000 tons of gold are kept in reserves
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32,600 tonnes are in the other category, accounting for 15% of the world’s gold
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132,000 tons of gold reserves
Unlike investments like stocks and bonds, gold is not regularly traded. Most gold is in the form of gold jewelry or coins, which people keep for years (or even decades).
Read more: Gold IRA: Benefits, Risks, and How It’s Different from a Traditional IRA
If all investors decided to sell their gold tomorrow, the impact would be significant, creating one of the biggest financial shocks in history. Here’s what you can expect:
As of March 2, 2026, gold was around $5,300 per ounce. A massive selloff in gold will have a dramatic effect on the value of gold.
Putting 200,000 tons of gold on the market will increase demand. As gold flooded the market, prices would likely fall. Local gold prices will fall, and some exchanges may close trading or limit gold sales to control market volatility.
If you own physical gold, such as gold bullion or coins, the value of these deposits will fall. Gold dealers may temporarily stop buying gold, so it will be difficult to lose your savings.
Related: How Much Gold Will $1 Million Buy at Different Points in History?
The confusion will not last long. Finally, investors who are looking for profit will not ignore this opportunity, and will start buying gold again. As more buyers enter the market, gold prices will rise.
Central banks own a significant portion of the world’s gold, and they can play a major role in stabilizing the market. Historically, world governments have worked together to stabilize gold prices and protect the global economy, so governments could agree to buy gold to support higher prices.
If the price of gold falls, it can have implications for other investments and industries. Mining companies, jewelry manufacturers, and manufacturing facilities that use gold components will be affected, and gold-related stocks and ETFs will experience price declines. Overall, prices will face a downward trend.
While there wasn’t a complete sell-off, something similar happened with silver in the 1980s, according to the Scottsdale Mint. The billionaire Hunt brothers – Nelson Bunker Hunt and William Herber Hunt – bought huge amounts of silver. When they started buying the metal, the price of silver was about $2 an ounce. By the end of 1979, they held about one-third of the world’s silver, and the price was close to $25 per ounce.
However, the Commodity Exchange (COMEX) implemented new rules to prevent investors such as the Hunt brothers from buying commodities such as silver on margin (borrowing money to invest). As a result, brokerage firms issued margin calls, forcing the Hunt brothers to repay the borrowed money, but they were unable to repay the loan.
On Thursday, March 27, 1980, Silver Thursday, the Hunt brothers lost a margin year, and the price of silver plummeted. Its price dropped below $11, a 50% drop in one day.
If the price of gold falls tomorrow, it may take some time to recover, but gold has historically recovered within months (in extreme cases, it can take years) after market disruptions. Lower prices will attract new buyers, and miners will stop mining for gold, thus reducing supply and increasing demand.
Gold also has a long-standing reputation for holding value. And in times of economic uncertainty, investors turn to gold and other precious metals, such as palladium, as stores of value. Individual investors will be encouraged to buy more gold, helping to restore gold prices.
Among central banks, the United States, Germany and Italy hold the world’s largest gold reserves.
According to the International Gold Council, approximately 54,000 tons of gold are estimated in non-gold mines.
It is almost impossible for the price of gold to reach zero. Gold has historically been viewed as a physical asset with intrinsic value for industrial and consumer demand. While prices can fluctuate, gold tends to hold its value.
International Gold Council
