Arizona Becomes 2nd State To Make Gold & Silver Legal Tender

Tyler Durden's picture




 

Just under a month ago we raised the prospect of a number of states following Utah (which authorized bullion for currency in 2011) down the path of gold and silver as legal tender. "The legislation is about signaling discontent with monetary policy and about what Ben Bernanke is doing," was how this shift was previously described and as Yahoo reports, the Arizona Senate on Tuesday approved a measure to make gold and silver legal currency in the state, in a response to what backers said was a lack of confidence in the international monetary system. The bill will make gold and silver coins legal tender as of mid-2014 and more than a dozen other states continue to mull the transition. Those against the bill argue somewhat ironically, "anybody who thinks gold or silver is a really safe place to put your money had better think again," anchored on the last two weeks, but as one supporter of the bill added, a "sound and honest money system such as gold and silver" is needed to bring stability.

 

Via Yahoo,

The Arizona Senate on Tuesday approved a measure to make gold and silver legal currency in the state, in a response to what backers said was a lack of confidence in the international monetary system.

 

...

 

The bill calls for Arizona to make gold and silver coins and bullion legal tender beginning in mid-2014, joining existing U.S. currency issued by the federal government.

 

If signed into law, Arizona would become the second state in the nation to establish these precious metals as legal tender. Utah approved such legislation in 2011.

 

More than a dozen states have considered similar legislation in recent years, according to the National Conference of State Legislatures.

 

...

 

He also pointed to the recent decline in the value of gold - which sank to $1,321.35 per ounce on April 16, its lowest price in more than two years - noting that "anybody who thinks gold or silver is a really safe place to put your money had better think again."

 

The push to establish gold and silver as currency has become increasingly popular in the United States in recent years

 

...

 

... the legislation was needed to counter what he sees as insolvency in the global monetary system.

"The dollar system and all of the other derivative currencies, including the euro, are a recipe for worldwide bankruptcy," Weiner told lawmakers at an earlier hearing, adding that a "sound and honest money system such as gold and silver" was needed to bring stability.

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Wed, 05/01/2013 - 10:42 | 3517782 vmromk
vmromk's picture

That's another COCK Arizona just jammed up Bernanke's ass.

Hahaha Bernanke, you will go down as the most incompetant criminal the "Fed" has ever had.

Some legacy the Bernanke name will hold in history.

Wed, 05/01/2013 - 10:53 | 3517843 Manthong
Manthong's picture

The feds will ferociously fight this fiduciary infringement on their fiat fiefdom.

But.. if you think this situation through you will discover how badly the country was f’d in 1913 with the 17th Amendment.

The state legislatures should control the Senate as the founders intended.

The Senate should not be the beauty contest for special interests that it has become.

Wed, 05/01/2013 - 10:56 | 3517864 LawsofPhysics
LawsofPhysics's picture

Texas will be the next, then New Mexico, then Montana, then...  Civil war 2.0.  Bring it, fuck the criminals in D.C.

Wed, 05/01/2013 - 11:10 | 3517884 freewolf7
freewolf7's picture

Come on, Colorado, grow a pair.

Wed, 05/01/2013 - 11:14 | 3517932 Pinto Currency
Pinto Currency's picture

 

The Chinese seem to be ahead of us all on gold - they aren't waiting for a law.  They just do it.

 

Data for the Shanghai Gold Exchange physical delivery statistics (compare these numbers to the Comex):

http://www.goldminerpulse.com/v/shanghaiGoldExchangePhysicalDelivery.php

 

  • Peak One Day Delivery: 35.7 tons of gold, 22 March 2013.

  • Current Month Delivery: 208.6 tons of gold as of 26 April 2013.

  • Peak One Month Delivery: 328 tons of gold, March 2013.

  • Gold Delivery Since 1 January 2013: Gold delivery (year to date): 1030 tons.

Wed, 05/01/2013 - 11:17 | 3517943 bernorange
bernorange's picture

The Governor still needs to sign the Arizona bill.  It's passed the state House and Senate, but it's not official yet.

Wed, 05/01/2013 - 11:22 | 3517953 Manthong
Manthong's picture

"Chinese seem to be ahead of us "

..and how many grains are allegedly sitting in the Comex closet?

Wed, 05/01/2013 - 11:29 | 3518032 Pinto Currency
Pinto Currency's picture

 

The Comex alleges billions of grains.  But their rulebook has numerous outs.

 

See this note :

 

Week of 26 April -- strange drop off in physical delivery? As of 25 April, physical deliveries on the SGE have been 1 ton (0 tons 22 April, 24 April and 25 April). The last time the SGE has a week of just limited deliveries as base in January 2011, a month that saw 21 days with less than 1 ton of gold delivered per day. Is this due to lack of inventory for delivery?

http://www.goldminerpulse.com/v/shanghaiGoldExchangePhysicalDelivery.php

Wed, 05/01/2013 - 11:37 | 3518076 fonzannoon
fonzannoon's picture

I saw ZH did not do much in the way of inventory reporting yesterday. My guess is the numbers went into fudging overdrive and ZH moved on.

Wed, 05/01/2013 - 11:36 | 3518064 Kirk2NCC1701
Kirk2NCC1701's picture

Chinese are hoarding WMDs?  Weapons of Monetary Destruction?

Must have proxy country (Japan) engage them in cold currency war, then hot war.  Good for Japanese economy. /s

Wed, 05/01/2013 - 11:42 | 3518121 Pegasus Muse
Pegasus Muse's picture

I bought silver today.  Did you?

====

Buy Silver on May 1 And Break The Cartel

http://www.24hgold.com/english/news-gold-silver-buy-silver-on-may-1-and-break-the-cartel.aspx?article=4353903054G10020&redirect=false&contributor=Ranting+Andy

http://bullion.nwtmint.com/silver_nwtmintbullion.php   -- competitive prices but long wait.  order-to-ship time 10 - 14 weeks, sometimes longer

Wed, 05/01/2013 - 12:46 | 3518464 Its_the_economy...
Its_the_economy_stupid's picture

10-14 weeks? That is suspiciously akin to purchasing a derivative.

Wed, 05/01/2013 - 13:21 | 3518662 traderjoe
traderjoe's picture

Do not buy from nwtm. Unreliable.

Wed, 05/01/2013 - 15:03 | 3519217 SilverDOG
SilverDOG's picture

So right.

They LOVE to hold your fiat currency AND your Precious Metals.

I was forced to send a legal request for sales to be completed, by delivery.

We are not talking a pallet of silver.

They did send, a poorly packed, disheveled order.

Looked as though it was hastily stolen from a pile in the basement.

 

 

Wed, 05/01/2013 - 11:39 | 3518092 SV
SV's picture

Seriously - Knowing their legislature they'll advise you to ward off someone presenting precious metals for payment by "vomiting or urinating" on them.

Wed, 05/01/2013 - 11:58 | 3518228 Nobody For President
Nobody For President's picture

Common FreeWolf, Colorado just made weed legal. One thing at a time...

Wed, 05/01/2013 - 12:17 | 3518350 debtor of last ...
debtor of last resort's picture

What's DC? Your Brussels? Their Waterloo?

Wed, 05/01/2013 - 11:10 | 3517910 McMolotov
McMolotov's picture

BREAKING NEWS (AP): Obama says the probable use of metallic weapons by the Utah and Arizona governments "has crossed the red line," and an appropriate response will be forthcoming.

Wed, 05/01/2013 - 11:15 | 3517927 freewolf7
freewolf7's picture

Got a link, please?

Wed, 05/01/2013 - 11:25 | 3517937 Precious
Precious's picture

Just Google "Weapons of Class Destruction"

Wed, 05/01/2013 - 11:27 | 3517998 GoldForCash
GoldForCash's picture

Weapons of mass construction.....

Wed, 05/01/2013 - 11:55 | 3518222 freewolf7
freewolf7's picture

When I Google "Weapons of Class Destruction", all I get is CNBC, Boston bombing, and ways to sell my gold bars. 

Wed, 05/01/2013 - 11:13 | 3517928 fonzannoon
fonzannoon's picture

BREAKING NEWS SOME MORE (Ruters) Boston Bombing older brother was from Utah and younger Brother was from Arizona. They purchased bomb components by using precious metals as currency and detonated the bomb using bitcoin.

Wed, 05/01/2013 - 11:21 | 3517949 McMolotov
McMolotov's picture

Uh oh:

http://www.zerohedge.com/news/2013-05-01/boston-police-announces-three-m...

Bet the three new suspects were from Texas.

Wed, 05/01/2013 - 11:24 | 3517961 Precious
Precious's picture

... under alien instructions that taxes are causing human extinction.

Wed, 05/01/2013 - 13:08 | 3518594 akak
akak's picture

In further news, both BBBs (Boston bombing brothers) have been linked to West African gold mining child slave labor exploitation.  Child slave laborers were themselves unavailable for comment, being chin-deep in mercurious mud deep in the bowels of the earth.

Wed, 05/01/2013 - 13:59 | 3518834 Miffed Microbio...
Miffed Microbiologist's picture

What duplicitous and disingenuous assholes! Well, at least they are not deflationary. ;-)

Miffed;-)

Wed, 05/01/2013 - 14:14 | 3518920 akak
akak's picture

"At least they are not deflationary flat-earthers", you mean.

You must get your terminology of disingenuousness straight.

Wed, 05/01/2013 - 14:22 | 3518981 Miffed Microbio...
Miffed Microbiologist's picture

My mistake! Crap, you have to restart your 30 day timer because of me. My apologies. ;-)

Miffed;-)

Wed, 05/01/2013 - 11:30 | 3518047 Stoploss
Stoploss's picture

Paul is definitely NOT going to like this..

Wed, 05/01/2013 - 10:56 | 3517852 ziggy59
ziggy59's picture

Incompetent criminal is redundent when referring to the FED

Wed, 05/01/2013 - 10:55 | 3517858 Dr. Richard Head
Dr. Richard Head's picture

The true lesson will be taught to the people of Arizona when the shop keepers have prices listed in DUHllars and Gold/Silver.  When people see that the ounces/fractional ounces stays consistent with each good, but the DUHllars fluctuate they will start to finally ask some questions....I hope in one hand while shitting in the other.

Wed, 05/01/2013 - 11:03 | 3517895 CheapBastard
CheapBastard's picture
Gresham's law in action.
Wed, 05/01/2013 - 14:56 | 3519136 Cathartes Aura
Cathartes Aura's picture

have they changed the rules then, the coins are being "valued" at spot, not "face value"?  because I believe that's the Utah ruling, "face value" for usage.

either way, making laws that allow for gold/silver coin usage still includes a bank/market manipulation on their value, so it's hardly the big freedom from the bankers that's being touted. 

who's making the rules for valuation?

edit: did a bit of a search, THIS is very interesting - Utah has a plan:

Ryssdal: So I can have some 1792 gold, double-eagle, walking liberty coin, whatever they call 'em -- because you guys do special stuff, right? -- and plop it down on the counter?

Franco: Theoretically, yes. Now practically, that's impossible to do. So what we've done at the Utah Gold and Silver Dispository is we have developed a debit card that allows for people to deposit their gold and silver like you would deposit cash in a bank. And we can issue a debit card against the value of your gold or silver holdings.

uh yeah, cool story bro.

of course, the banks still control the price. . .

Wed, 05/01/2013 - 11:23 | 3517967 Aeternus
Aeternus's picture

Section. 10.

No State shall enter into any Treaty, Alliance, or Confederation; grant Letters of Marque and Reprisal; coin Money; emit Bills of Credit; make any Thing but gold and silver Coin a Tender in Payment of Debts; pass any Bill of Attainder, ex post facto Law, or Law impairing the Obligation of Contracts, or grant any Title of Nobility.

 

http://www.youtube.com/watch?v=deuC8GPr31A

Wed, 05/01/2013 - 11:34 | 3518073 Moe Howard
Moe Howard's picture

I'm a Kentucky Kernal, does that count as a title of nobility? Oh, wait, Kentucky isn't a state, it's a commonwealth, so we are exempt. Never mind.

Wed, 05/01/2013 - 12:23 | 3518377 Kirk2NCC1701
Kirk2NCC1701's picture

Your is a title of military RANK.  But you do raise an interesting point:

Do 'noble titles' bestowed to people (99.9% men) in secret societies and the life-long ties they represent, not constitute "titles of nobility"?  Even though these 'titles' are technically not passed to their children (sons), these children (sons) are virtual shoe-ins for obtaining these title also.  So it becomes a "re-affirmation ritual" from one generation to the next.  Case in point:  Bush Sr and Bush Jr, and Yale's "Skull & Bones".

Wed, 05/01/2013 - 12:52 | 3518505 Diogenes
Diogenes's picture

Those aren't granted by the state. A private club can call its officers whatever it likes, no one is obliged to recognize them outside the club.

The most prestigious titles are those awarded by the people e.g. Elvis = The King.

Wed, 05/01/2013 - 14:50 | 3519170 Joe Sixpack
Joe Sixpack's picture

You mean, Sir George Bush? Don't forget Sir Colin Powell, too.

Wed, 05/01/2013 - 12:15 | 3518338 Kirk2NCC1701
Kirk2NCC1701's picture

How are these working out for us -- in terms of being adhered to, per http://www.usconstitution.net/xconst.html

Article I, Sec. 8:  To declare war... To coin Money, regulate the Value thereof, and of foreign Coin...

Article I, Sec. 9:  The privilege of the Writ of Habeas Corpus shall not be suspended, unless when in Cases of Rebellion or Invasion the public Safety may require it.

Article I, Sec. 9:  No Tax or Duty shall be laid on Articles exported from any State. ... No Money shall be drawn from the Treasury, but in Consequence of Appropriations made by Law; and a regular Statement and Account of the Receipts and Expenditures of all public Money shall be published from time to time.

Article I, Sec. 10No State shall enter into any Treaty, Alliance, or Confederation; grant Letters of Marque and Reprisal; coin Money; emit Bills of Credit; make any Thing but gold and silver Coin a Tender in Payment of Debts; pass any Bill of Attainder, ex post facto Law, or Law impairing the Obligation of Contracts, or grant any Title of Nobility.

Amendment 10: The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people.

 

What HAS happened to these Articles & Amendments?  Well...

Art.I, Sec. 8 (declare war) has not been used in decades.

Art.I, Sec. 9  Has not been used (much) since 9/11/2001

Art.I, Sec. 9: If you're not careful, some vendors will slap you with their state tax, even if you're buying from out of state

Art.I, Sec. 10: No State shall... make any Thing but gold and silver Coin a Tender in Payment of Debts

  It say NOTHING about any other entity -- especially a private (banking) cartel, i.e. 'The Federal Reserve System' (aka The Fed) issuing money -- which they do!

Amendment 10:  If it isn't forbidden, it's allowed!

So, F.Y. Fed!

p.s. Note that the law enforcement of fraudulent coinage (real money!) should fall to the Treasury or a National law enforcement agency under the Treasury.  This has also been usurped by private cartel of The Fed, since the Secret Service reports to them.  It is note-worthy that the same Secret Service that is responsible for providing (or withdrawing) its security detail to the POTUS also reports to same private cartel, i.e. The Fed.  So, for argument's sake, if a president were to issue an Executive Order (EO) to have the Treasury issue coin (debt-free money!), then the POTUS and his EO would be in direct 'conflict' with The Fed and its mission.  It's a lucky thing that no POTUS has ever issued such an order or had his presidency shortened by political or 'other' means.


 

Wed, 05/01/2013 - 12:24 | 3518380 midtowng
midtowng's picture

Sorry, but Greenspan is still worse.

Wed, 05/01/2013 - 10:43 | 3517783 unwashedmass
unwashedmass's picture

 

meanwhile in Connecticut, they are planning on tracking down anyone who buys or sells gold. guess we know where all the folks working at the Comex live. 

Wed, 05/01/2013 - 11:08 | 3517911 Rustysilver
Rustysilver's picture

unwashedmass,

I'm in Ct; I did not hear anything.  Some gun manufacturers are moving out b/c of the silly laws they just passed. None would stop Nancy Adams form buying guns. But that isn't the point, is it?

Wed, 05/01/2013 - 12:27 | 3518393 Kirk2NCC1701
Kirk2NCC1701's picture

A friend in NYC tells me the same thing.  Can this be confirmed?

Although, with the recent PM smack-down and ensuing bullion rush, people have had to leave a paper trial by issuing a check, to cover the ordering of PM at bullion/coin dealers.  It's a defacto equivalent:  "If you can't beat them on principle, beat them on procedure".  A trial lawyer's favorite tactic.

Wed, 05/01/2013 - 10:42 | 3517788 fonzannoon
fonzannoon's picture

Fuck you McCain.

Wed, 05/01/2013 - 10:50 | 3517828 Dr. Engali
Dr. Engali's picture

I have never liked that greedy old fuck, and I never understood people's infatuation with the lying bastard.

Wed, 05/01/2013 - 11:14 | 3517936 HelluvaEngineer
HelluvaEngineer's picture

I think the media just pretends that people take him seriously, but I don't know a single person in real life who does.  Strange how that works.

Wed, 05/01/2013 - 11:45 | 3518155 Buckaroo Banzai
Buckaroo Banzai's picture

Oddly, his 2008 primary campaign was days from shutting down due to lack of money and voter interest, then somehow all of a sudden he started winning primaries.

Wed, 05/01/2013 - 11:50 | 3518195 Moe Howard
Moe Howard's picture

He had to carry his own suitcases at the airport and catch a cab to the hotel. I remember it. Suddenly, he was a winner that became a doggies dinner.

Wed, 05/01/2013 - 12:02 | 3518235 Buckaroo Banzai
Buckaroo Banzai's picture

+1 for Nick Lowe reference

https://www.youtube.com/watch?v=c3dTc4kyIOU

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