Precious metals versus fiat currencies? Given the choice between coins made of gold and coins not made of gold, people traded coins not made of gold. Gold is not a currency for the majority of day to day transactions anywhere on Earth, despite having once seen widespread use. Even when currency was backed by gold, people did not actually trade gold; gold was (and remains) stored in vaults. Governments realized that they could issue money that contained less and less precious metals, even no precious metals at all, and there was no revolt at all, just widespread acceptance and use of the new currency.