Why Is 925 Silver So Cheap? The Truth About Sterling Silver Pricing

By HEMANT MADANE
February 11, 2026

Introduction: Is Cheap Silver Actually Good Silver?

You pick up a pair of silver earrings or a beautiful silver necklace and notice the price is far lower than you'd expect for a precious metal. Naturally, your first question is: why is 925 silver so cheap? Does that mean it's fake, low quality, or not worth buying? The answer might surprise you.

925 sterling silver is genuinely affordable, and that affordability has nothing to do with poor quality. Let's break down exactly why silver is priced the way it is — and what that means for your jewellery purchases.

1. Silver Is Naturally More Abundant Than Gold

The single biggest reason silver is more affordable is simple geology. Silver is far more abundant in the earth's crust than gold. For every 1 ounce of gold mined globally, roughly 8–10 ounces of silver are extracted. Greater supply means lower prices — it's basic economics.

This doesn't make silver less precious. It is still a finite, naturally occurring element with real value. But its relative abundance keeps the price per gram significantly lower than gold or platinum.

2. Industrial Demand Keeps Silver Accessible

Silver has a massive industrial footprint. It is used in solar panels, electronics, medical devices, photography, and mirrors. This wide industrial usage drives large-scale mining and refining operations globally, which helps keep production costs lower per unit compared to gold, which is primarily demand-driven by jewellery and investment.

Because of this industrial infrastructure, 925 sterling silver jewellery — whether silver rings, silver pendants, or silver anklets — can be produced and sold at accessible prices without compromising on material quality.

3. The Alloy Content Reduces Per-Gram Cost

925 sterling silver is 92.5% pure silver, with the remaining 7.5% typically being copper. Copper is an inexpensive metal, which reduces the overall raw material cost of the alloy. The blend does not diminish the beauty or durability of the jewellery — in fact, it enhances it — but it does lower the cost of production per gram.

4. Currency and Investment Role

Gold has historically served as a global reserve asset, a currency anchor, and a flight-to-safety investment. This institutional demand artificially elevates gold's price beyond its industrial value. Silver, while it does function as an investment asset, plays a smaller monetary role, keeping its price closer to its industrial and commodity value.

5. Silver Does Not Hold Value the Same Way Gold Does

From an investment standpoint, silver is more volatile and generally appreciates less consistently than gold. This lowers its desirability as a pure investment, which suppresses the price premium buyers are willing to pay. For jewellery buyers, though, this is excellent news — you get a real precious metal at a genuinely accessible price.

Does 'Cheap' Mean Low Quality?

Absolutely not. 925 sterling silver is a genuine precious metal used by some of the world's most prestigious jewellery houses. The price of silver is determined by macroeconomic and geological factors, not by the quality or craftsmanship of the jewellery itself.

A high-quality 925 sterling silver god pendant or a beautifully crafted silver necklace can be a luxurious, heirloom-quality piece — simply at a fraction of the price of gold. The affordable price of silver makes it one of the most democratised fine metals in the world.

How Silver Price Compares to Gold

As of recent years, the gold-to-silver ratio — the number of ounces of silver it takes to buy one ounce of gold — typically ranges between 70:1 and 90:1. This means silver is roughly 70 to 90 times cheaper than gold by weight.

For everyday jewellery like silver earrings, silver rings, and silver anklets, this price difference is a huge advantage. You can build a diverse, stylish jewellery collection at a much lower investment than gold would require.

Is 925 Silver a Good Investment?

925 silver jewellery holds intrinsic value as a precious metal. While it may not appreciate in value the way gold bullion does, it retains monetary value and can often be pawned or sold. Its real value lies in its wearability, craftsmanship, and beauty rather than as a financial instrument.

If investment is your goal, consider silver bullion coins or bars. If everyday elegance is your goal, 925 sterling silver jewellery is unbeatable value for money.

Tips for Buying Affordable 925 Silver Wisely

        Always check for the 925 hallmark — affordability should never come at the cost of authenticity

        Buy from reputable jewellers who provide material certifications

        Compare price per gram to assess fair pricing

        Avoid pieces that seem suspiciously cheap — they may be silver-plated, not solid silver

        Look for BIS-hallmarked jewellery in India for verified purity

Whether you're shopping for stylish silver rings, everyday silver earrings, elegant silver necklaces, meaningful silver pendants, trendy silver anklets, or a sacred god pendant — 925 sterling silver gives you genuine fine jewellery quality at an honest price. The affordability of silver is its gift to the everyday jewellery lover.

Frequently Asked Questions

Is 925 silver worth buying?

Yes. 925 sterling silver is a genuine precious metal with real value. It is durable, beautiful, and affordable — making it an excellent choice for jewellery.

Why is some 925 silver extremely cheap online?

Very low prices may indicate silver-plated items being misrepresented as solid silver, or items from low-cost manufacturing regions. Always verify the hallmark and buy from trusted sellers.

Does 925 silver lose value over time?

The silver content retains some value based on the live silver market price. However, jewellery value also depends on craftsmanship, design, and brand.

Is 925 silver better than gold-plated silver?

Yes. Solid 925 silver is superior to gold-plated silver. Gold-plating wears away over time, revealing the base metal, while solid 925 silver maintains its integrity.

HEMANT MADANE

Content Specialist
Our authors combine research, expertise, and creativity to deliver content that informs and inspires. Each piece is carefully crafted to provide genuine value to our readers.