Debt, Currency Debasement, and Why Gold Still Wins in 2026 | David Garofalo

Gold Royalty (NYSE American: GROY) CEO and Chairman David Garofalo joins Kitco Mining’s Paul Harris to outline why the macro forces driving gold higher remain firmly in place as 2026 begins, and how those dynamics are reshaping the royalty and streaming sector.Garofalo links gold’s strength to decades of currency debasement, record global debt, and persistently negative real interest rates, arguing policymakers have few options left beyond devaluing fiat currencies. “Gold is the one monetary instrument that can't be debased,” he said, adding that with real yields still negative, there is little opportunity cost to holding gold versus sovereign debt.Turning to the royalty space, Garofalo says the sector is entering a consolidation phase driven by cost of capital and scale. He outlines Gold Royalty’s evolution from a portfolio-build phase into a free cash flow business, highlighting a debt-free balance sheet, roughly 90% margins, and expectations for approximately 360% growth in attributable gold equivalent ounces over the next five years as key assets ramp up. He also discusses the growing role of new capital providers, including Tether, and why the industry is missing a mid-cap royalty “champion” capable of attracting large institutional investors while still delivering growth.Don’t forget to subscribe to the Kitco Mining & Kitco News YouTube channels to stay up to date on the latest industry news and interviews.00:34 – David Garofalo on Gold, Debt, and Currency Debasement03:15 – Geopolitics, Negative Real Rates, and Gold’s Opportunity Cost05:35 – Royalty Consolidation, Scale, and Cost of Capital09:07 – Gold Royalty’s Free Cash Flow Profile and 360% Growth Outlook16:22 – 2026 Outlook, Deal Discipline, and What Comes Next__________________________________________________________________Kitco Mining is dedicated to reporting on the mining industry. Our mandate is to be the top resource for all mining information and news, offering a clear perspective on where the industry is going through breaking news coverage, mining trends, and in-depth reporting, presented with precious, rare earth, base metals, and industry stock prices.Get important precious and base metal updates while on the go with the Kitco Gold LIVE! app - https://applications.kitco.comStay connected with usX - https://x.com/KitcoMiningInstagram - https://www.instagram.com/kitcominingLinkedIn - https://www.linkedin.com/company/kitco-miningFacebook - https://www.facebook.com/KitcoMiningConnect with the Kitco Mining anchorsPaul Harris - https://x.com/paulharrisgold For more in-depth mining coverage, visit us here - https://www.kitco.com/miningDisclaimer: The views expressed in this podcast are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this podcast do not accept culpability for losses and/ or damages arising from the use of this publication.