I have to ask have you tried it?
“Right now, it is not a regular medium of exchange, (ie you can’t go to most stores and drop down a gold nugget in exchange for a good or service)”
I could understand a vendor not taking an ounce of gold for a $5 purchase where they would have to make change, but If I had a fair amount of gold I would think I can purchase with it, lets say a car, gun ( I know this will work), major home appliance...
I am not saying you can’t in some cases. I’ve heard of a several places that will. That is why I said it can be both. it is, however, not a regular means of exchange. I would venture to say, 99% or more of retail stores or service providers out there would not accept gold for the simple fact, they do not have the knowledge or skill to authenticate it or determine its correct value.
Here is a simple challenge, go to any grocery store in your town with a gold coin and try to buy the bare necessities for living with it.
If you find places that will exchange goods or services for gold, be sure to tell everyone because they are few and far between.