gt55 is correct and also shortages of minted silver products are normal in extreme demand
with regard to the futures and options markets speculators take the risk and hedgers offload their price risk. Short positions often are held by hedgers long the physical metal
the question to ask now is whether the counterparties to paper contracts are still solvent!
It has been assumed since the 1850’s that you can hedge your risk using a variety of paper instruments , whether it is commodities, metals, interest rates, currency.
The assumption is the counterparty can honour the contract and settle in cash. That assumption will now be tested by the unprecedented volatility and instability in markets.
