Check out how $100 put in bank deposits or S&P500 have done versus gold over the last 50 years. You will find that these do not generate real returns when measured against sound currency either.

I'm not sure how you reached this conclusion. I did as you suggested. $100 invested 50 years ago into gold would be worth $3000 today. $100 invested into the S&P500 50 years ago would be worth $6870.

https://www.macrotrends.net/2324/sp-500-historical-chart-dat... https://www.macrotrends.net/1333/historical-gold-prices-100-...

$100 put into S&P 500 in 1975 would be about $7500 today, or about $1250 in 1975 dollars.

$100 put into gold in 1975 would be about $2600 today, or about $440 in 1975 dollars.

S&P 500 would have had 3x the returns of gold.

check your numbers with a purchase date of 1971.

Usually, yes. But the government can still tank the economy in all sorts of ways. It happens more frequently in some countries than others, but it can happen anywhere.

Indeed. The crypto crowd seems to assume that the options for your savings are cash or bank deposits, or crypto. That's nonsense. A balanced portfolio of stocks (with some bonds maybe to reduce vol and improve your Sharpe Ratio) handily beats inflation. Heck, even bonds alone have mostly had positive real yields.

This also supports and funds the productive economy, unlike crypto.

Until you hold a passport of one of the US enemy states, which are plenty of and have permanent risk of getting your account frozen and money stolen.

Crypto doesn't have this issue.

Not using your cash also helps the economy. More exchange of money means more velocity means decrease of value of the money.

By not using your cash (by for example holding crypto) you’re making the money that circulates higher value