For thousands of years, people have used gold (GC=F) as a currency and store of value. An estimated 219,880 tons of gold have been mined throughout history, according to the World Gold Council.
Today, governments, corporations, and individual investors own gold. Given the spread of gold, if everyone were to sell their gold holdings tomorrow, it would have dire consequences for the global economy and finances.
Gold has been mined for thousands of years, so it is difficult to get an accurate estimate of how much gold there is. The World Gold Council estimates that the following gold is above ground:
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About 98,000 tons of gold is jewelry, which makes up 44% of the gold market.
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About 51,000 tons, or 23% of the world’s gold, is in gold bars, coins, and gold-backed exchange-traded funds (ETFs).
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About 38,600 tons are held by major banks, making up 18% of the world’s gold.
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54,000 tons of gold are stored in reserves
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32,600 tons are in another category, making up 15% of the world’s gold.
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132,000 tons are gold resources
Unlike investments such as stocks and bonds, gold is not traded regularly. Most gold is gold jewelry or coins, which people hold on to for years (or even decades).
Read more: Gold IRA: Benefits, risks, and how it differs from a traditional IRA
If all investors decide to sell their gold tomorrow, the impact could be huge, causing the biggest financial shock in history. Here’s what to expect:
As of March 2, 2026, gold was around $5,300 per ounce. A large gold sale can have a dramatic effect on the price of gold.
Dumping 200,000 tons of gold on the market will exceed demand. As gold flooded the market, prices could fall. The spot price of gold will fall, and some exchanges may suspend trading or reduce gold sales to control market volatility.
If you own physical gold, such as bullion or coins, the price of those assets will fall. Gold dealers may temporarily stop buying gold, so it may be difficult to liquidate your property.
Related: How much gold can $1 million buy at different points in history?
The chaos would not last long. Eventually, investors who want to make a profit will not be able to ignore this opportunity, and will start buying gold again. As more buyers enter the market, gold prices will rise.
Central banks hold the majority of the world’s gold, and 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 may agree to buy gold to support higher prices.
If the price of gold falls, it can affect other currencies and industries. Mining companies, jewelry manufacturers, and manufacturing facilities that use gold components will be affected, and gold-related stocks and ETFs will experience a drop in prices. Overall, prices may face lower conditions.
Although not sold out completely, the same thing happened in silver in 1980, 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 metal, silver was about $2 an ounce. By the end of 1979, they owned one-third of the world’s silver, and prices were close to $25 per ounce.
However, the Commodity Exchange (COMEX) implemented a new rule to prevent investors like the Hunt brothers from buying things like silver on margin (borrowing money to invest). As a result, the merchant companies issued foreclosures, forcing the Hunt brothers to pay some of the money they had borrowed, but they were unable to pay the debt.
On Thursday, March 27, 1980, Silver Thursday, the Hunt brothers missed a call, and the price of silver plummeted. Its price fell below $11, a 50% drop in one day.
If gold prices drop tomorrow, it may take time to recover, but gold has historically recovered within months after market disruptions (in extreme cases, it can take years). Lower prices will attract new buyers, and mines will reduce gold mining, thereby limiting supply and increasing demand.
Gold also has a long-term reputation for holding value. And in times of economic uncertainty, investors turn to gold and other precious metals, such as palladium, as a store of value. Individual investors may be tempted to buy more gold, to help restore gold prices.
Among central banks, the US, Germany, and Italy are the largest holders of gold reserves in the world.
About 54,000 tons of gold are estimated to be unmined gold reserves, according to the World Gold Council.
It is almost impossible for gold prices to reach zero. Gold has historically been viewed as a tangible asset with intrinsic value for industries and consumer needs. Although prices can fluctuate, gold tends to hold its value.
