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The Basel Framework and regulatory status of gold – clarifying the status quo

Bars of gold in the vault of the Bank of New York.
Photo: Michael Norcia/Sygma via Getty Images

Prudential rules that apply to gold under the domestic regimes which implement the Basel Framework in the EU, UK, and US.

Gold is a commodity like no other. With its monetary function, gold is commonly used as an alternative to foreign exchange (FX) and performs the role of a safe harbor asset for professional and retail investors to hedge against uncertainty and volatility in the markets. Gold’s role in the heavily