How is this true. Gold has no use to the average person. The only real use for gold is in semi-conductors. Other than that gold derives its worth from the fact that is very scarce, like bitcoins.
The answer is: we, as a species, value gold far beyond its usefulness as a metal.
Do you remember the article posted earlier this year about how DeBeers literally invented the market for diamonds out of thin air? Before their campaign, diamonds were relatively cheap and not considered to be that special.
Like the dollar, or Euro, or gold, or even Bitcoin, the value of something is set by those who desire it.