A global silver shortage is spreading from the UK to Canada and Asia, as dealers run out of coins and bars amid record demand and falling inventories.
A growing storm is engulfing the global silver market. From the UK to Australia, and from Canada to Vietnam, reports are surfacing of silver coins, bars, and raw materials vanishing from dealers’ inventories – a squeeze reminiscent of the 2008 financial crisis.
According to Mike Maloney, founder of GoldSilver.com and a long-time analyst of the precious metals market, “This is not a drill. Silver is on its way to unobtanium.”
Shelves Are Empty Across Continents
Across multiple continents, investors and dealers are reporting a sudden, synchronized shortage. In South Africa, the Rand Refinery has officially announced it is “sold out.” In Canada, major retailers including Costco and even the Royal Canadian Mint have depleted their silver stock.
In the United Kingdom, leading bullion sites such as Gold.co.uk are showing the same warning banners: “Awaiting stock” and “Create stock alert.” One-kilogram silver coins – a staple for British investors – are completely unavailable, with customers asked to register for alerts when inventory returns.
“This is not isolated,” said one London dealer. “There are no 250-gram bars left, and allocations are being rationed. What we have now might be the last available batch for weeks.”
A Repeat of 2008?
Maloney, who opened his bullion business in 2005 and witnessed the 2008 metals shortage firsthand, sees troubling similarities. “When supply ran dry back then, dealers went on allocation – small shops like mine could only get a few percent of normal supply,” he explained. “At one point, I had nothing left to sell but kilo bars of gold.”
He recalls a time when 100-ounce silver bars sold for more than double spot prices, and Silver Eagles on eBay commanded 300% premiums – a scenario that may not be far off today.
Spot Prices Diverge from Reality
The current market imbalance is causing an unusual divergence between spot prices and physical prices – a phenomenon that occurs when futures trading no longer reflects actual demand. “Silver is no longer following spot,” said Maloney. “It’s becoming unaffordium.”
Data from BullionStar, a major Singapore-based dealer, reveals that buyers now outnumber sellers by a ratio of 3 to 1, with September marking one of the strongest months for precious metals purchases this year.
Central Banks Quietly Buying Silver
Adding to the pressure, central banks – long-time buyers of gold – have reportedly begun accumulating silver as well. Analysts suggest that Russia and several Asian countries are exploring silver as a strategic monetary asset amid increasing distrust in Western fiat currencies.
“The silver market has shifted from years of surplus to persistent structural deficits,” said Maloney, pointing to a chart showing rapidly depleting above-ground stockpiles. “This is why supplies are drying up – the world is consuming more silver than it produces.”
The SLV Alarm
The squeeze extends even to paper silver markets. Financial analyst Bob Coleman recently reported that the borrowing fee to short SLV (the major silver ETF) nearly tripled in a week – with zero shares available to borrow as of October 7.
“The system is being squeezed from all sides,” Coleman noted. “When ETF liquidity dries up and no physical metal is available, volatility follows – often violently.”
A Wake-Up Call
Despite record prices, demand for physical silver remains relentless. As Maloney warns, “You can print dollars – you can’t print silver.”
With supply chains faltering and institutional players competing with private investors for the last available ounces, the global silver shortage may not just be a market story – it could be a monetary turning point.
Source: GoldSilver, YouTube (Mike Maloney), October 2025
