• Tim Knight from...
    04/28/2016 - 00:27
    I was expecting a few boring candidate statements of the U.S. Senate - AKA the World's Most Exclusive Club - but, boy, was I wrong. Just take a look at some of these gems.
  • Tim Knight from...
    04/28/2016 - 00:27
    I was expecting a few boring candidate statements of the U.S. Senate - AKA the World's Most Exclusive Club - but, boy, was I wrong. Just take a look at some of these gems.

As Confidence In Dollar Wanes, Over A Dozen States Push For Gold As Legal Tender

Tyler Durden's picture




 

In more than a dozen states, legislators are pushing for a movement back to a world where gold is considered money. As Bloomberg reports, lawmakers in Arizona are poised to follow Utah, which authorized bullion for currency in 2011. Similar bills are advancing in Kansas, South Carolina and other states to recognize gold and silver coins as legal tender. "The legislation is about signaling discontent with monetary policy and about what Ben Bernanke is doing," which seems confirmed by the recent shift in Texas to bring its gold back from the New York bank warehouse. The new measures would give "people the option of using money that won’t lose any purchasing power to inflation," one supporter of the bill explained, with another adding, "there is a fear that the government, or Bernanke in particular and the Federal Reserve, is pursuing a policy that will lead to the collapse of the dollar." The U.S. Constitution bars states from coining money and also forbids them from making anything except gold and silver coin tender for paying debts. Advocates say that opens the door for the states to allow bullion as legal tender.

 

Via Bloomberg,

Distrust of the Federal Reserve and concern that U.S. dollars may become worthless are fueling a push in more than a dozen states to recognize gold and silver coins as legal tender.

 

Lawmakers in Arizona are poised to follow Utah, which authorized bullion for currency in 2011. Similar bills are advancing in Kansas, South Carolina and other states.

 

...

 

“The legislation is about signaling discontent with monetary policy and about what Ben Bernanke is doing,” said Gatch, who studies alternative currencies at the Edmond, Oklahoma-based school. “There is a fear that the government, or Bernanke in particular and the Federal Reserve, is pursuing a policy that will lead to the collapse of the dollar. That’s what is behind it.”

 

...

 

In Texas, lawmakers are considering a measure supported by Republican Governor Rick Perry to establish the Texas Bullion Depository to store gold bars valued at about $1 billion and held in a New York bank warehouse. The gold is owned by the University of Texas Investment Management Co., or Utimco, which took delivery of 6,643 bars of the precious metal in 2011 amid concern that demand for it would overwhelm supply.

 

The proposed facility would also accept deposits from the public, and would provide a basis for a payments system in the state in the event of a “systemic dislocation in a national and international financial system,” according to the measure.

 

...

 

“We are seeing a distinct movement back to a world where gold is considered money,” ...

 

The measures give “people the option of using money that won’t lose any purchasing power to inflation,” said Rich Danker, economics director at the American Principles Project. The Washington-based public-policy group supports the steps as well as a return to the gold standard, which pegged the dollar’s value to bullion. President Richard Nixon formally ended the convertibility of U.S. currency to the precious metal in 1971.

 

“People in these states find the idea of having the option to use hard currencies appealing over these policies they have no control over,” Danker said.

 

The U.S. Constitution bars states from coining money and also forbids them from making anything except gold and silver coin tender for paying debts. Advocates say that opens the door for the states to allow bullion as legal tender. The measure being considered in South Carolina would recognize foreign or domestic minted coins as legal tender.

 

...

 

In Utah and some other states, the measures also eliminate state capital gains or other taxes on the coins.

 

...

 

Critics say... “It is simply grandstanding to get people afraid that somehow President Obama’s agenda is going to drive us into hyperinflation and economic collapse,” Farley said. “We have enough real problems to deal with. I don’t see undercutting our entire financial structure as a priority.”

 

...

 

The bill’s sponsor, Senator Chester Crandell, 66 of Heber, said he is convinced the move is the “logical thing for the state of Arizona to do.”

 

“I think you look at some of the things that are happening and the amount of money printed by the Federal Reserve and who has control of that money, and I think anybody would be concerned,” Crandell said. “Gold and silver have been around a long time and people are secure with it and we should give them an opportunity to use it.”

0
Your rating: None
 

- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Mon, 04/08/2013 - 09:55 | 3421601 GetZeeGold
GetZeeGold's picture

 

 

In lieu of gold....we'll take ammo.

 

.22LR and .223 are like gold anymore.

Mon, 04/08/2013 - 09:54 | 3421618 Enslavethechild...
EnslavethechildrenforBen's picture

If you want freedom, just end property taxes.

Mon, 04/08/2013 - 10:02 | 3421631 BaBaBouy
BaBaBouy's picture

Don't Listen To BEN Shalom ...

GOLD $50K (Eventually) ...

... And Not Printed By Anyone

Mon, 04/08/2013 - 10:06 | 3421672 malikai
malikai's picture

Re-monetization of gold will ultimately lead to confiscation once again.

Be careful what you ask for..

Mon, 04/08/2013 - 10:15 | 3421702 GoldenDragon
GoldenDragon's picture

Molon Labe

Mon, 04/08/2013 - 10:42 | 3421866 HoofHearted
HoofHearted's picture

If gold, silver, and amm all become legal tender, don't think we'll be throwing the PMs at the people coming to confiscate. 

Hell, why is there even an if clause here...you try to confiscate, and we are sending the most base of our metals at you, bitchez.

(By the way, I'm finding .223 again, but it is EXPENSIVE. My LGS wants $75 for 100 rounds of Federal's American Eagle brand. The 22LR standard velocity that they had for a week was $4.95 for a box of 50, daily limit of two. I picked some up for my son's bolt action, not wanting to waste my tactical stuff.)

Mon, 04/08/2013 - 11:00 | 3421949 fonestar
fonestar's picture

Ask yourself the more likely scenario...

A) A responsible treasury secretary breaks with the Fed and decides to re-issue gold and silver certificates.

B) The world just forgets the treasury, the USD, the Fed, all of their laws and moves on to decentralized crypto currencies.

 

Think hard now....

Mon, 04/08/2013 - 11:21 | 3422039 francis_sawyer
francis_sawyer's picture

Ask yourself the more likely scenario...

~~~

A) On a long enough timeline the survival rate for fiat drops to zero

B) On a long enough timeline, the survival rate of 'crypto currency' drops to zero

Mon, 04/08/2013 - 12:23 | 3422308 Race Car Driver
Race Car Driver's picture

 

 

Ol' fonestar tries too hard. He's like a salesman with a single lead - he just bangs on it all day long.

Smells funny.

Mon, 04/08/2013 - 13:42 | 3422391 dark pools of soros
dark pools of soros's picture

for all you dual stackers...

http://www.coinabul.com/

 

 just bought a maple and a panda from them...  cash in some bits for gold!

Mon, 04/08/2013 - 13:57 | 3422659 fonestar
fonestar's picture

Sweet!  Take BTC profits in gold & silver!

Mon, 04/08/2013 - 15:53 | 3423331 francis_sawyer
francis_sawyer's picture

(+1) See?... Now THAT I can agree with... Bitcoiners ~ you made a nice trade... Monetize [or should I say 'PHYSICALIZE'] your profits when you see the opportunity...

Mon, 04/08/2013 - 15:17 | 3423159 yrbmegr
yrbmegr's picture

So funny that people here think they know what "gold" is.

Mon, 04/08/2013 - 14:05 | 3422700 fonestar
fonestar's picture

Is it not time, as humans that we issue a formal surrender to the machines? 

The ability to create currency should forever be taken away from humans.  Bankers are humans.  The guy who you think is really good and honest now is human.  Your fanatasies about a new gold certificate would be managed by humans.  Humans are greedy and fallible.

It is time to give our trust over to algorithms and machines and a one world currency.

Mon, 04/08/2013 - 15:22 | 3423189 akak
akak's picture

Sarcasm or stupidity?

Mon, 04/08/2013 - 15:52 | 3423338 fonestar
fonestar's picture

No sarcasm.  Man needs to be able to create fire, that is dangerous enough but he must survive and stay warm.  Give man the ability to create money and watch the world burn.

A world with more equal wealth distribution is a more peaceful world.  Many investors (whether invested in the Dow or silver bars) still believe in American exceptionalism and that's the real reason they hate bitcoin.  A bitcoin in Thailand or Ghana is no more exceptional than a bitcoin in the United States.

Mon, 04/08/2013 - 15:26 | 3423218 Kirk2NCC1701
Kirk2NCC1701's picture

Sarcasm/irony!  If I'm inferring correctly from his past postings.

Mon, 04/08/2013 - 13:36 | 3422531 NidStyles
NidStyles's picture

Reality is not subjugated to just the two alternatives that you alone can think of. Which is why predicting the future doesn't work very well for anyone, and why it's best to just look at historical significance for likely outcomes.

 

Bitcoin is fine and dandy, if you don't mind dealing with potential counter-party risk and the fact that it's still a fake representation of a hard asset.

Mon, 04/08/2013 - 16:15 | 3422987 fonestar
fonestar's picture

So if an object does not have enough mass for you to be able to get a tactile sense from it, it is "fake"?  The internet and oxygen are also "fake"then.

Tue, 04/09/2013 - 22:55 | 3429488 MeelionDollerBogus
MeelionDollerBogus's picture

What foolish nonsense. I get plenty of mass & utility from oxygen – I don’t use 1 atom at a time – and I get plenty of information exchange from the internet including delivery of tangibles like silver using an order.

I think you misunderstand very deliberately.

Mon, 04/08/2013 - 18:38 | 3424049 hmmtellmemore
hmmtellmemore's picture

Bitcoin has no counter party risk, actually.

Tue, 04/09/2013 - 22:57 | 3429492 MeelionDollerBogus
MeelionDollerBogus's picture

Bitcoin is ALL counter-party risk, actually.

I can only be assured if I send btc to transmit that they are gone. I  have no other assurances. No idea if I will receive in return anything, be it fiat or goods. Ever.

Tue, 04/09/2013 - 22:55 | 3429485 MeelionDollerBogus
MeelionDollerBogus's picture

No sarc, A). B) is a dead-end road as the crypto-currency is locked to fiat exchanges being controlled by scammers & central bank agents now.

Mon, 04/08/2013 - 12:08 | 3422256 zapdude
zapdude's picture

I found a local guy doing reloads, 1,000 rounds for .223 @ $0.66 after tax, once-used brass and lead core FMJ. 

That's at least $200 cheaper than quality rounds you can find online (gunbot, ammo crawler, etc) -- plus no delivery and no tracking.

Needless to say I placed my order!

Mon, 04/08/2013 - 13:14 | 3422453 Fedaykinx
Fedaykinx's picture

i'm sure you've heard it before but do it yerself, you might learn something and save even more money.

Mon, 04/08/2013 - 10:32 | 3421808 markar
markar's picture

You mean like bank deposits in FRN?

Mon, 04/08/2013 - 10:38 | 3421848 MFLTucson
MFLTucson's picture

You will lose your 401K before we will lose our gold.

Mon, 04/08/2013 - 13:02 | 3422415 Son of Loki
Son of Loki's picture

"If you don't hold it, you don't own it," is more important then ever. Bankers hate PMs b/c the banks do not hold them....you do (or at least the ones not lost in a boating axcident).

 

Mon, 04/08/2013 - 13:12 | 3422447 Downtoolong
Downtoolong's picture

Possession is nine tenths of the law and 100% of survival.

Mon, 04/08/2013 - 13:37 | 3422549 malikai
malikai's picture

There would have to be a 401k for them to take.

We self-employed do not tend to participate in those corporate slave carrot plans.

Mon, 04/08/2013 - 10:46 | 3421894 fomcy
fomcy's picture

GOLD screwed by Central Banksters. $10 Gone again since Friday close.

They'll not stop until they finally break that $1520 barrier. I'm sick of watching

this bullshit everyday.

Mon, 04/08/2013 - 11:07 | 3421983 RSBriggs
RSBriggs's picture

WONDERFUL.   When it gets down to $1500, I'll pick up 6 more ounces !

Mon, 04/08/2013 - 11:16 | 3422014 N. B. Forrest
N. B. Forrest's picture

I'm not sick of watching.  I'm quite happy.  That means I get more gold and silver every time I go to purchase more. 

When I go to the grocery store, I'm always happy to see the products I want on sale  Why shouldn't I be happy to see the Fed manipulating the prices down to below replacement.  In the grocery store language that is called a "loss leader".

Time to keep buying with two hands.  All the money I used to stick in my retirement accounts is now going into Precious Metals. 

Mon, 04/08/2013 - 14:52 | 3423009 daveO
daveO's picture

The smaller budget deficit has a lot to with it. Dropping $400-500 Billion this year, if you believe the news. This is just setting us up for the next leg up. A neccessary pullback. Below $1500, at least.  

Tue, 04/09/2013 - 23:02 | 3429518 MeelionDollerBogus
MeelionDollerBogus's picture

not even possible - http://flic.kr/p/dvDHf2 is a lot more like what you should expect.

Tue, 04/09/2013 - 02:35 | 3425259 StychoKiller
StychoKiller's picture

Change your point-of-view.  Consider this:  Au/Ag/Pt/Pd/Rh are wealth insurance, and watch the price of Au/Ag only to determine when TSHTF.

Mon, 04/08/2013 - 10:52 | 3421918 GubbermintWorker
GubbermintWorker's picture

Confiscation was hardly a huge success by the Gov't last time and will likely fail as much or more.

 

Mon, 04/08/2013 - 11:33 | 3422094 Urban Redneck
Urban Redneck's picture

The last time around the US BANKS actually held gold which could be confiscated.  Where is the physical gold now?  I don't think Barry is going to much luck with London, Hong Kong, or Zurich, he might have better luck with JPM (depending on what he offers Jamie in return).

Mon, 04/08/2013 - 11:40 | 3422126 XitSam
XitSam's picture

Yep.  To GubbermintWorker, it was enough of a success that Roosevelt was able to devalue the dollar 75%.

Mon, 04/08/2013 - 19:23 | 3424176 neidermeyer
neidermeyer's picture

Exactly right ,, he didn't actually have to gather it up ,, he just had to make ownership illegal so he could alter the official exchange rate.

Mon, 04/08/2013 - 13:16 | 3422460 Jonas Parker
Jonas Parker's picture

Barry will confiscate tungsten if he can't find the gold...

Mon, 04/08/2013 - 13:28 | 3422506 FeralSerf
FeralSerf's picture

The last time around much of the gold was sent to depositories in Canada and Europe.  There were lots of double eagles available for sale in banks in Switzerland and Luxembourg at around $35/oz.  I was always afraid to buy any and take them back home.

Mon, 04/08/2013 - 13:51 | 3422615 akak
akak's picture

 

Confiscation was hardly a huge success by the Gov't last time and will likely fail as much or more.

PLEASE do not use the dishonest and disingenuous word "confiscation" in the context of Roosevelt's anti-gold policies of the 1930s.  It was an illegalization of privately-held gold (above a limit of $100 face value in coins), but definitely NOT a 'confiscation".  No federal agents went door-to-door searching homes for privately held gold, and in only one or two highly unusual cases was ANY privately held gold actually seized.

This continued (mis)use of the word "confiscation" in place of what actually happened with gold in the 1930s --- illegalization --- implicitly puts more power (if not outright omnipotence) into the hands of the federal government than they actually had, or have today.  And be aware that even in the law-abiding (read: naive) 1930s, the vast majority (>75%) of privately held US gold coins were never turned in to the federal government.

Mon, 04/08/2013 - 11:04 | 3421935 Anasteus
Anasteus's picture

Yes, you're right, and the first whose gold will be confiscated will be that of the Rothschilds.

Mon, 04/08/2013 - 12:58 | 3422405 fourchan
fourchan's picture

lol yeah right.

Mon, 04/08/2013 - 14:15 | 3422763 A Nanny Moose
A Nanny Moose's picture

Why would they confiscate my legal tender junk dimes, quarters, and halves? Doubtful they could even tell the difference.

Tue, 04/09/2013 - 22:55 | 3429479 MeelionDollerBogus
MeelionDollerBogus's picture

You nailed it. Why would anyone sensible send in their gold for taxes?! Send in useless fiat and keep the gold. FOR THAT MATTER if the coin’s price is $1650 and the face value on it is $50 it will count only for $50 for your tax bill! In Utah that’s the law that I know of & I don’t think the others will deviate from this. Unmarked bars are not minted coins and are NOT considered legal currency alongside gold coins! VERY important to know. This is flat out confiscation if you’re fooled.

Mon, 04/08/2013 - 10:12 | 3421690 fonestar
fonestar's picture

And so what if these law makers get their way and have a gold standard if the rest of the world has moved onto a bit standard? 

Tue, 04/09/2013 - 02:38 | 3425261 StychoKiller
StychoKiller's picture

Save me some unicorn-skittles whan that day comes...

Mon, 04/08/2013 - 11:06 | 3421978 Anasteus
Anasteus's picture

Don't Listen To BEN Shalom

Ben or Shalom?..

Do NOT follow this link or you will be banned from the site!