Gold vs Crypto: A 30-Year Lesson in Wealth Preservation

Last week, a close friend of mine, whom I’ve known since my army days, cashed in one of his gold coins because he needed some extra cash. I never ask questions about people’s investments since I feel that’s private, but while chatting he mentioned that his coin paid him R57,500.

What stood out to me wasn’t the price itself, but the story behind it. He bought that coin back in 1996 for R1,900. That means, over just under 30 years, he’s seen a return close to 30x. That works out to doubling his money every few years without doing anything except holding.

Of course, this is the simple version on paper. In reality, the Rand has depreciated by around 600% over the same period. His R1,900 in 1996 would be worth about R12,000 in today’s buying power, which makes the gold coin’s sale value even more impressive—it has outperformed inflation almost fivefold. That’s why many smart investors choose gold: it preserves wealth against currency depreciation.

What makes this investment powerful is time. Thirty years is long enough for any solid asset to shine, but when you’re buying, it’s difficult to imagine that far ahead. If we all knew what an investment would be worth 30 years later, none of us would leave money in a bank account.

Interestingly, some of the gains from this gold sale are now being penciled into crypto investments to catch the peak of this cycle. Unlike gold, crypto doesn’t have decades of history behind it—it’s still uncharted territory. Yet the principles overlap. Gold is a hedge, a safe haven. Crypto, on the other hand, is volatile but offers opportunities to outperform, especially if you understand cycles, staking, and APR rewards.

The key, as always, is time and strategy. Accumulate patiently, take profits near the top, and buy back in during the bear market. Add good research on top of this, and you reduce risk—because not every crypto project will succeed, but some will boom spectacularly.

Here’s the funny part: a 30x return over 30 years sounds incredible when we talk about gold. But if someone offered us a crypto investment with those same returns, most people wouldn’t even be interested—because in crypto, we expect far more, much faster. The reality is that volatility can give us outsized gains, but it comes with equally outsized risks.

At the end of the day, whether it’s gold or crypto, the lesson is the same:

Time in the market beats timing the market

Wealth grows when money works for you

Research and patience separate success from failure

Gold proved itself over decades. Crypto is still writing its history—but the opportunities are there for those who play the long game.

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