I have ask that question myself several times, if gold was demonetized why do central banks still hold it (especially the US which is the worlds largest holder) and why are they now buying? Some central banks did get rid of a lot of their gold, some of them are now trying to buy back, and the ones that sold I'm pretty sure are sorry they did now. Why are several countries insisting that the world get away from the USD being the major world trade currency and instead use a basket of currencies which would include gold? Why is the US still keeping gold when we have such a large deficit? Why not just meter it out in sales and spend it on what we owe? If it is only a worthless relic monetarily and simply a commodity why does the US hold it as a reserve?

I think those are valid questions.

John