Used Gold Is Very Valuable!
Used gold will never lose its shine. No matter how old or damaged the piece is; it’s due to the intrinsic value of this precious metal, that it maintains it high value. The ease of using scrap gold, the term for describing used gold, to produce brand new products is the critical factor. Imagine having a pile of old jewelry pieces: bracelets, rings, necklaces, etc. and after a relatively simple operation, ending up with a bar of pure 24 karat gold. All it takes is the process of segregation by the karat values (every piece can be assayed if needed), and then melting in a furnace. If the purest form is required, refining technology will be used to deliver the end product in its desired form.
Similarly with gold coins, nuggets, dental gold and industrial used gold.
As the price of gold rises, more attention is turned into searching for economical ways of obtaining gold from its used forms. New technologies are being developed, making the recovery process more efficient. This presents a viable alternative to considering used gold as an additive to the “regular” one, or as a total replacement. After all, it all boils down to the chemical analysis; no matter what the origins.
The above never actually posed a dilemma, as the amount of gold in circulation was sufficient to cover the demand. When gold lost its status as the USA Federal Reserve guarantee, for the dollar currency in circulation, it became more easily traded. Following annulations of the restrictions on gold ownership amongst the American population, more citizens started to locate their savings in gold.
When times are politically unstable, and the threat of war is only too real, people tend to put their faith and savings in gold. This use as a form of “wealth storage” seems to withhold the challenges of millennia. For very few people a swathe of banknotes holds any real meaning of value. Not so with gold. In whatever form it is, be it scrap, antique jewelry, coins straight for the mint, or nuggets from the gold digger, it has its real value. Not surprisingly, using gold as the property of most stable value has a long tradition. Nothing is going to change here, unless some government regulations prevent its citizens from emulating their forefathers that have used gold to protect their economical independence.
As the number of ways in which gold is used increases, the demand will rise too. Industry in particular finds gold a tremendously versatile material. While the health sector - dentistry, used gold for many years, new sectors like electronics and space exploration demand more precious metals just to take advantage of the cutting edge technological improvements and discoveries. This alone will define the commercial reality of gold trade in the foreseeable future. 
Scrap Gold
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