The collapse of the Chinese trading platform JWR left investors with losses exceeding 10 billion yuan (approximately US$1.4 billion) after the company stopped honoring withdrawals due to liquidity problems.
Many investors believed they owned gold, but in reality they only held a financial claim through the platform. When it ran into trouble, they lost access to both their money and their gold.
That’s one of the main reasons many long-term investors prefer physical gold and silver. If you own the metal directly, you’re not dependent on a platform or intermediary being able to meet its obligations.
explore our latest analysis & market notes
Connect with Silver Dominion:
Leave a Reply