The Bank of Korea's decision to purchase gold is not an isolated event, but a continuation of the global central bank "gold accumulation wave" from 2022 to 2026: in 2022, global central banks purchased a record 1,136 tons of gold, with continued net buying expected from 2023 to 2025. Central banks from China, India, Turkey, Poland, and others have significantly increased their holdings, with South Korea becoming the latest participant in 2026.

A comparable case can be drawn from the last gold purchasing cycle of the Bank of Korea from 2011 to 2013, during which it bought 90 tons of gold (increasing its total from 14.4 tons to 104.4 tons) against the backdrop of the European debt crisis and concerns over "dollar credit" due to the Federal Reserve's QE. The resumption of gold purchases in 2026 is influenced by geopolitical risks (U.S.-China rivalry, Russia-Ukraine conflict) and a strengthened narrative of "de-dollarization."

In terms of capital strategy, the Bank of Korea has chosen a dual-track approach of "ETFs + physical gold": rapidly building positions through overseas ETFs in the short term, while steadily increasing holdings through local procurement (4-5 tons/year) in the long term. This reflects a balance between "liquidity + safety": ETFs provide immediate exposure, while physical gold serves as the "ultimate means of payment in extreme scenarios."

Essentially, this represents a "paradigm shift in reserves" amid regulatory changes: moving from a "dollar asset dominance" to "diversified reserves." The underlying mechanism is the global sanction risks (e.g., frozen foreign exchange reserves of Russia) that make "frozen dollar assets" no longer risk-free assets. Gold, as the ultimate reserve asset with "no sovereign counterparty risk," has regained favor among central banks.

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