Where would this gold be fenced?
Definitely not at the border.
Gold would probably not have to be "fenced" in the classic sense. Fencing implies that the buyer knows the goods are stolen, and is prepared to deal with that. For jewels that means remounting or even recutting. For gold, that's unlikely to be an issue. There is probably no way to tell the gold is stolen, as few gold coins have serial numbers. So you could just go into any pawn shop or coin store and exchange it for cash, or sell on e-bay.
In that sense gold is like cash, or more precisely coins. (only US bills have serial numbers, coins don't.)
The same place all coin dealers deal with. Got any Franklin Mint gold or silver coins you want to sell? I'm sure there's a couple dealers in your area.
You take your coins to them and they give you the value of the gold or the silver in the coins, not the Franklin Mint elevated value that was promised you. The same thing goes with any old silver coins such as dimes, nickels, quarters, you name it.
What do they do with it? They melt it down and sell it in bulk.......
“Where would this gold be fenced?”
It would be funny if they went to melt it down and discovered it was that Chinese fake gold...
Same scrap metal buyers that people are taking all of the stolen wiring from inhabited homes and businesses...