Virginia Creates Subcommittee To Study Monetary Alternatives In Case Of Terminal Fed "Breakdown", Considers Gold As Option

Tyler Durden's picture

In what may one day be heralded as the formal proposal that proverbially started it all, the Commonwealth of Virginia introduced House Resolution No. 557 to establish a joint subcommittee to "to study whether the Commonwealth should adopt a currency to serve as an alternative to the currency distributed by the Federal Reserve System in the event of a major  breakdown of the Federal Reserve System." In other words, Virginia will study the fallback plan of a "timely adoption of an alternative sound currency that the Commonwealth's government and citizens may employ without delay in the event of the destruction of the Federal Reserve System's currency" and avoid or "at least mitigate many of the economic, social, and political shocks to be expected to arise from hyperinflation, depression, or other economic calamity related to the breakdown of the Federal Reserve System." Most importantly as pertain to the currency in question, "Americans may employ whatever currency they choose to stipulate as the medium for payment of their private debts, including gold or silver, or both, to the exclusion of a currency not redeemable in gold or silver that Congress may have designated 'legal tender'." Whether this resolution will ever get off the ground, and actually find that the world is at great risk should gold not be instituted as a backstop currency, is irrelevant. The mere fact that it is out there, should provide sufficient impetus to other states to consider the ultimate Plan B.

We urge all legislators to carefully read this resolution.

Full proposal (pdf):

 

h/t infocyde

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Rainman's picture

Shit, and here we were worrying about the breakdown of the Euro.

midtowng's picture

Even if they don't adopt gold and silver, I'm all for breaking the back of the power of the Fed.

I think even a local, unbacked currency is an improvement, as long as it isn't debt-based like our current currency.

chopper read's picture

amen, midtowng.  spot on, mate!!!

66Sexy's picture

silver would make an excellent states reserve currency, and would remain constitutional. bottled water, spam, ammo for barter.

chopper read's picture

SANITY, SANITY, SANITY, SANITY, SANITY!!!!!

flacon's picture

Intellectual PhD graduates: "But what will people eat. They can't EAT GOLD! Keynes said gold is a barbarous relic and we are all Keynesians now - aren't we?" /sarcasm

 

 

nmewn's picture

Virginians bitchez ;-)

Fish Gone Bad's picture

I would like to think that someone finally liked my idea of "create different money", but my guess if that someone else came to the same conclusion I did.  The dollar is a fucked currency.  Gold and silver will really work just fine.  So will other items of accepted value.  If and when we finally get a really nasty flu bug that decimates a lot of people, money as we know it will not be important. 

LudwigVon's picture

It is not passed yet into law. Remember this is a state where you can make video in public and recieve jail time.

Bendromeda Strain's picture

Yes Santa Claus, there is a Virginia...

Aknownymouse's picture

I know - this is nuts!!!  Of course you can't eat gold! unlike those edible 5 dollar bills...  /sarcasm

snowball777's picture

Do let us know how your "chickens for cancer meds" plan pans out.

Bendromeda Strain's picture

Ever since the invention of medicine in 1913, it's been all downhill...

Pope Clement's picture

After seeing the farcockt results of chemo and radiation I'll take the chicken soup thank you...

Dr. Porkchop's picture

goldschlager bitchez.

Tradeable, and drinkable. 

yabyum's picture

Cheap whiskey & Drum tobacco.

StychoKiller's picture

I seem to recall some Tire Coupons being used as money in Canada somewhere...

johngaltfla's picture

Euro hell, I want to own a printing press!

Chappaquiddick's picture

It'll be domino like and in very quick succession.  We are all aware of the underlying fundamentals of the dollar, the euro and the yen.  They are FUBAR.  The debt maze is so entangled if one goes they'll all get dragged into the vortex.

What choice are we now seeing time and time again - gold and silver as the alternative.

A word on the trend though.  If hyper inflation were to occur transactions in PMs before that was completed would prove very costly.  Far better to exhaust all fiat before switching to the good stuff.

Cursive's picture

This will fail, the almighty US$ will reign supreme.

 

Troll much?

Red Neck Repugnicunt's picture

     Troll much?

 

No. Just wait. V for Vindication.

Cursive's picture

???

Anyway, it's only by actions like this that we may yet save our beloved dollar.  Remember, there were dollars before there were FRN's.  The two are mutually exclusive and a fallback currency might help to strengthen our current one.

akak's picture

Look carefully --- this is just another imposter troll, using the same avatar and just one letter removed from RedNeckRepugnicant.  Asshole.

Hedge Jobs's picture

yeah ive noticed alot of this recently aswell akak. this douche is a member for 5 days. Like Hamy Wanger.

the trolls are out to infect the site and confuse the debate and take discussions off the subject.

Quinvarius's picture

Yeah!  I had to wait 5 days on the porch to get an ID.

CrazyCooter's picture

Thank you. I will just scroll down.

To ZHers, just point out the facts like this, and all is well.

Cooter

buzzsaw99's picture

Awesome moniker, avatar. I like your style.

Treeplanter's picture

Silver certificates.  My dad showed me one when I was a tyke.  Said this is real money. Said the Federal Reserves Notes are fake. We still have that, plus a dozen silver dollars, a pile of old Indian head pennies from his coin collection.  

chopper read's picture

there was a day where you could slap that (Kennedy) silver certificate down on the bank countertop and they would hand you back a silver dollar.  If you were a shopownever, you could accept a silver certificate or a federal reserve note (backed by nothing).  which one would you have preferred?  They were taken directly back out of circulation after JFK's death by LBJ.  Now you know why Kennedy was shot.   ;)

Hearst's picture

I love getting handed junk Silver for change.  I got handed a '63 quarter a few months back at a sandwich joint.  It covered my lunch.  

ZEITGEIST's picture

your avatar says all we need to know about you...learn much history ever...didnt think so....

Calmyourself's picture

or vicious, vicarious and currently unvindicated

inkt2002's picture

No it is true Cursive, as odd as it may seem.  Karl Denniger got one thing right in his last 400 predictions- that gold will not partake in the global reserve currency.  The dollar is the best of the worst, and it is mathematically impossible for other major countries to unwind thier dollar denomiated debt without sending their country into oblivion.  These intracountry trades with other currencies is only scare tactics to make the US increase the value of thier currency  King dollar is here to stay

akak's picture

Fiscal reality is going to have the last word here, not your neoKeynesian, pro-Ponzi fantasies.

ZEITGEIST's picture

get back to us from whatever alley you end up living in..oh... .and by the way..keep the bag..you will need it....

High Plains Drifter's picture

Go back to Karl and give him a message.

 

Valdez is coming.

Bastiat's picture

Yeah it has to reign supreme:  it says "God" right on it!  Loaves and fishes, bishes! 

Red Neck Repugnicunt's picture

No, it will reign supreme because it says "Federal Reserve". The agent of the bankers will not fail, it will be forever ingrained in the american society and so will the US$ dollar.

akak's picture

I met a traveller from an antique land
Who said: Two vast and trunkless legs of stone
Stand in the desert. Near them, on the sand,
Half sunk, a shattered visage lies, whose frown
And wrinkled lip, and sneer of cold command
Tell that its sculptor well those passions read
Which yet survive, stamped on these lifeless things,
The hand that mocked them and the heart that fed.
And on the pedestal these words appear:
"My name is Ben Bernanke, king of kings:
Look on my works, ye Mighty, and despair!"
Nothing beside remains. Round the decay
Of that colossal wreck, boundless and bare

The lone and level sands stretch far away.

asdasmos's picture

Not trying to push any buttons here but.....

 

What about the money elite and banker's hold of the reigns of civilization. There has always been the controlled and controllers.

Even though the Fed and this system falls.... another, similar in structure, will eventually take its place.

What if this is part of the human condition, as there will always be lemmings (the masses), and the informed minority can only watch it burn?