Silver steps out of gold’s shadow

Despite its recent hot streak, the prevailing opinion is that silver remains undervalued – and that presents an opportunity for investors. “Silver has been significantly undervalued,” says Jacques le Roux, Chief Commercial Officer at SilverBits. “The gold-to-silver ratio hasn’t been a true reflection of the metal’s value, and as a result, some advisors and managers have battled to build an investment case for it.”

The gold-to-silver ratio is, in very simple terms, the price of gold divided by the price of silver. It represents the amount of silver ounces you would need to buy an ounce of gold. Historically, that ratio has averaged around 60:1, where 60 ounces of silver bought you one ounce of gold. However, in April 2025 that ratio hit 104:1, before dropping just below 90:1 in July.

That’s still high, though – and, even at 80:1, it’s far higher than the traditional benchmark and a clear sign that silver is undervalued relative to gold. That’s a compelling argument for Silverbits SLVR, a tokenised financial asset fully backed by 99.9% fine silver (.999-fine silver), securely stored at Union Vault and insured by Lloyd’s of London.

SLVR tokens are currently available on Mesh.trade, in fractional ownership down to 7 decimal places. This means you can start small and build your holdings over time.

The reason for the gap in the gold-to-silver ratio has partly to do with gold’s record-breaking performance in 2025. At a time of global economic volatility, a weakening US dollar and uncertainty around interest rate hikes and cuts, investors have flocked to gold as a safe-haven asset.

Silver – which traditionally takes second place to gold – has been slow to catch up. But not for long, says le Roux. “Investors need to drop this sentiment of silver following gold,” he says. “Silver has its own distinct fundamentals and should not be viewed merely as a derivative or secondary measure of gold.”

Over the past 12 months or so, silver has become more dynamic. This has led to a perception that it has grown more volatile, but that is not accurate,’ says le Roux. ‘Silver has always been volatile and continues to be. The shift in perception is simply due to increased investor attention.

Previously, silver received less focus compared to gold, but recently, gold has become more expensive – it hit an all-time record high of $3 790.74 per troy ounce in September 2025, “and that has made silver more accessible, and more attractive.”

“Investors and portfolio managers will tell you that you shouldn’t invest in a commodity for its own sake, but rather for its place in an industry,” says le Roux. “In that respect, industrial demands have really been pushing up the demand for silver. Understanding a commodity’s industrial demand helps assess its long term value and price potential. This approach encourages a fundamentals-based approach investment, rather than pure speculation.”

Silver, as a commodity, is central to the technologies that are building our modern industrial world. Silver boasts the highest electrical and thermal conductivity of all metals, which makes it a vital component in computers, circuit boards, mobile phones and photovoltaic solar panels. “Electronic goods, data centres, artificial intelligence… Silver drives all of that,” explains le Roux.

“The high price of gold is largely associated with it being a popular store of value,” he says. “But investors are now looking beyond that, towards other metals. That’s where we’ll see silver emerging – not as a laggard, but as a complementary asset to hold with your gold. If you already have gold in your portfolio, silver is a great additional asset in a portfolio that holds alternate assets.”

Even on its own, silver makes a compelling case for an investment asset. After all, it can’t stay undervalued for much longer. “That’s for each investor to judge for themselves in accordance with their financial and investment goals,” le Roux concludes. “But from where we’re sitting, the investment case for silver has always been strong… and it’s only getting stronger.”

* To invest in SLVR, sign up on Mesh.trade and view the asset overview.