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Writing's On The Wall: Texas Pulls $1 Billion In Gold From NY Fed, Makes It "Non-Confiscatable"

Tyler Durden's picture




 

The lack of faith in central bank trustworthiness is spreading. First Germany, then Holland, and Austria, and now - as we noted was possible previously - Texas has enacted a Bill to repatriate $1 billion of gold from The NY Fed's vaults to a newly established state gold bullion depository..."People have this image of Texas as big and powerful … so for a lot of people, this is exactly where they would want to go with their gold," and the Bill includes a section to prevent forced seizure from the Federal Government.

From 2011:

"The University of Texas Investment Management Co., the second-largest U.S. academic endowment, took delivery of almost $1 billion in gold bullion and is storing the bars in a New York vault, according to the fund’s board."

 

The decision to turn the fund’s investment into gold bars was influenced by Kyle Bass, a Dallas hedge fund manager and member of the endowment’s board, Zimmerman said at its annual meeting on April 14. Bass made $500 million on the U.S. subprime-mortgage collapse.

 

“Central banks are printing more money than they ever have, so what’s the value of money in terms of purchases of goods and services,” Bass said yesterday in a telephone interview. “I look at gold as just another currency that they can’t print any more of.”

And now, after we noted the possibility previously, as The Epoch Times reports, Texas Governor Greg Abbott signed a bill into law on Friday, June 12, that will allow Texas to build a gold and silver bullion depository. In addition, Texas will repatriate $1 billion worth of bullion from the Federal Reserve in New York to the new facility once completed.

On the surface the bill looks rather innocent, but its implications are far reaching. HB 483, “relating to the establishment and administration of a state bullion depository” to store gold and silver coins, was introduced by state Rep. Giovanni Capriglione.

 

Capriglione told the Star-Telegram:

 

“We are not talking Fort Knox. But when I first announced this, I got so many emails and phone calls from people literally all over the world who said they want to store their gold … in a Texas depository. People have this image of Texas as big and powerful … so for a lot of people, this is exactly where they would want to go with their gold.”

 

But isn’t New York, where most of the world’s gold is stored, also big and powerful? Why does the state of Texas want to go through the trouble of building its own storage facility?

There are precisely two important reasons. One involves distrust in the current storage system. The second threatens the paper money system as a whole.

“In a lot of cases with gold you may not have clear title to the metal. You may have a counterparty relationship that makes you a creditor. If the counterparty has a problem unrelated to gold, they can default and then you become an unsecured creditor in bankruptcy,” said Keith Weiner, president of the Gold Standard Institute.

 

This means you get whatever is left after liquidation, often just a fraction of the initial value of your holdings.

 

“This exact scenario happened with futures broker MF Global. I knew people who had warehouse receipts to gold bars with a specific serial number. But that gold had an encumbered title and they became unsecured creditors in bankruptcy,” said Weiner.

 

In Texas, two big public pension funds from the University of Texas (UoT) and the Teacher Retirement System (TRS) own gold worth more than $1 billion.

 

Being uncomfortable with holding purely financial gold in the form of futures and Exchange-traded Funds, University of Texas actually took delivery of the gold bars in 2011 and warehoused it with HSBC Bank in New York.

 

At the time pension fund board member and hedge fund manager Kyle Bass explained: “As a fiduciary, which I am in that position to the extent you own gold and you are going for a long time, and it’s not a trade. … We looked at the COMEX at the time and they had about $80 billion of open interest between futures and futures options. And in the warehouse they had $2.7 billion of deliverables. We are going to own it a long time. You are on the board, you are a fiduciary, so that’s an easy one, you go get it.”

 

Bass is implying that there is much more financial gold out there than physical, and that it is prudent to actually hold the physical.

 

Taking the gold to Texas would then also solve the counterparty risk. “In this case it’s going to be a depository, the gold is going to be there, they are not going to be able to lend it out and it won’t serve as collateral for other transactions of the bank.” said Victor Sperandeo of trading firm EAM Partners. “Because if the bank closes, you are screwed.”

 

“I think that somebody was looking at that, we better have this under our complete control,” said constitutional lawyer and gold expert Edwin Vieira, of the Texas bill. “They don’t want to have the gold in some bank somewhere and in two to five years it turns out not to be there.”

So far most of the attention has focused on the part of the depository and the big institutions. However, the bill also includes a provision to prevent seizure, which is important for private parties who want to avoid another 1933 style confiscation of their bullion by Federal authorities.

Section A2116.023 of the bill states: “A purported confiscation, requisition, seizure, or other attempt to control the ownership … is void ab initio and of no force or effect.” Effectively, the state of Texas will protect any gold stored in the depository from the federal government.

 

And free from the threat of confiscation, private citizens can use gold and silver as money, completely bypassing the paper money system.

 

“People can legally do that with gold contracts. The difficulty is the implementation. Now Texas has set up a mechanism with the depository. We have accounts in that institution and can easily transfer back and forth certain amounts. So we can run our money system a gold or silver basis if we were so inclined,” said Vieira.

 

This would not be possible if the gold is stored in a bank because of the risks of bank holidays and bankruptcies. It would also not be possible if the federal government could confiscate gold.

 

According to Vieira, this anti-seizure provision rests on Article 1, section 10 of the Constitution of the United States, which obliges the States to not make anything tender in payment of debts apart from gold and silver coin. 

 

If someone from the Department of Justice comes along you are going to see legal and political fireworks. The state is going to say ‘we need to have a mechanism to make gold and silver money. This is pursuant to the constitutional provision we have. You can’t touch this. Our state power on the constitutional level is more powerful than any statute you may pass,'” said Vieira.

 

Because one of the litigant parties is a state, the case would go directly to the Supreme Court.

 

“We are talking about something completely new in terms of the legal playing field. This is no longer a fringe concept,” he adds, but cautions about a possible fight with the federal government: “We will have to see how committed the governor and the attorney general are.”

 

Official Statement from Governor Abbott:

Governor Greg Abbott today signed House Bill 483 (Capriglione, R-Southlake; Kolkhorst, R-Brenham) to establish a state gold bullion depository administered by the Office of the Comptroller. The law will repatriate $1 billion of gold bullion from the Federal Reserve in New York to Texas. The bullion depository will serve as the custodian, guardian and administrator of bullion that may be transferred to or otherwise acquired by the State of Texas. Governor Abbott issued the following statement:

 

“Today I signed HB 483 to provide a secure facility for the State of Texas, state agencies and Texas citizens to store gold bullion and other precious metals. With the passage of this bill, the Texas Bullion Depository will become the first state-level facility of its kind in the nation, increasing the security and stability of our gold reserves and keeping taxpayer funds from leaving Texas to pay for fees to store gold in facilities outside our state."

*  *  *

Is this the first step down a road to secession? Notably, they'll need that gold to establish their own country once they win the potentially imminent war with the US military which starts on Monday (Jade Helm).

*  *  *

This implicit subordination of The Fed's gold sends a more ominous signal of rising fears of confiscation and leaves us wondering just how long before every state (and or country) decides to follow Texas' lead?

 

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Sun, 06/14/2015 - 14:01 | 6195731 sgorem
sgorem's picture

Hi Fed, Fuck You! Along with the NSA................

Sat, 06/13/2015 - 17:40 | 6194036 Fred Garvin
Fred Garvin's picture

"Hi Texas...Two words Jade Helm, Da Feds"

Hi Fed...Two words, Gold Held

Da Texans

Sun, 06/14/2015 - 00:28 | 6194829 tenpanhandle
tenpanhandle's picture

Hi Texas...Six words, gold still in new York Vault.

Da Fed

Sat, 06/13/2015 - 17:12 | 6193971 BanksterSlayer
BanksterSlayer's picture

You can take Texas out of the Republic, but you can't take the Republic out of Texas. They've got oil, militia, football, gold and even vineyards. What else do you need?

Sat, 06/13/2015 - 17:28 | 6194009 two hoots
two hoots's picture

and ports, shoreline, agriculture, border with a trading county and not a land locked state which frees up air space/access etc.  If any state is positioned correctly it's Texas.

Sat, 06/13/2015 - 18:23 | 6194140 Headbanger
Headbanger's picture

And the hottest women in the US.

Sat, 06/13/2015 - 20:11 | 6194352 Thirtyseven
Thirtyseven's picture

Wisconsin, Minnesota and North Dakota.  Sorry bub.

Sat, 06/13/2015 - 20:49 | 6194430 TheMeatTrapper
TheMeatTrapper's picture

Ya'll ain't been to Alabama.  

Shit Southern Women Say

Sat, 06/13/2015 - 22:13 | 6194583 cornflakesdisease
cornflakesdisease's picture

Q: Hows you momma and your sister?

 

A: She's fine.

Sat, 06/13/2015 - 22:57 | 6194666 TheMeatTrapper
TheMeatTrapper's picture

Spoken like a Yankee that has to go home to a fat, rude cow every night. 

lol. 

Sun, 06/14/2015 - 12:43 | 6195532 duo
duo's picture

I'm glad I have dual citizenship, TX and WI.

Sun, 06/14/2015 - 13:48 | 6195690 post turtle saver
post turtle saver's picture

those who downvoted you a) have poor taste in women, and b) have obviously never been to Texas

Sat, 06/13/2015 - 20:29 | 6194390 SilverDOG
SilverDOG's picture

Texas has their own power grid as well.

 

Sat, 06/13/2015 - 23:59 | 6194792 waterwitch
waterwitch's picture

And Texas gets its coal from where?

 

https://en.wikipedia.org/wiki/List_of_power_stations_in_Texas

Sat, 06/13/2015 - 23:07 | 6194687 TwoHoot
TwoHoot's picture

Imitation is the sincerest form of flattery.

Sun, 06/14/2015 - 00:57 | 6194858 PrecipiceWatching
PrecipiceWatching's picture

Indeed.

 

But rest ASSURED, Texas won't need to go it alone.  Geographically, it won't take much for my Missouri to link up.

 

They are certainly the ideal catalyst and leader,  for reasons elucidated above.

Sat, 06/13/2015 - 17:42 | 6194041 patb
patb's picture

FEMA money every time it rains in Houston...

If they want their gold back, then stop picking our pockets for rain.

Sat, 06/13/2015 - 20:06 | 6194340 Rusty Shorts
Rusty Shorts's picture

Well get ready, the rains-a-coming.

https://www.youtube.com/watch?v=M--L414H6ko

Sat, 06/13/2015 - 22:14 | 6194587 cornflakesdisease
cornflakesdisease's picture

Man, you are miss-informed.

Sat, 06/13/2015 - 17:52 | 6194067 Vincent Vega
Vincent Vega's picture

Pussy would be a nice addition to the list...for me anyway.

Sat, 06/13/2015 - 18:30 | 6194151 FreeShitter
FreeShitter's picture

There's two kinds of women left in texas. Those that want a gram of meth and the other a side of beef.

Sun, 06/14/2015 - 08:36 | 6195149 IRC162
IRC162's picture

.ouch

 

Sat, 06/13/2015 - 22:14 | 6194589 cornflakesdisease
cornflakesdisease's picture

How come you never paid hour child support? 

Sat, 06/13/2015 - 18:05 | 6194092 Berspankme
Berspankme's picture

Also ports and beef cattle. Texas is one state that could probably make it on their own but they's have to clean out Austin first. Too many California fruitcakes migrating there

Sat, 06/13/2015 - 19:47 | 6194297 Son of Loki
Son of Loki's picture

Austin turned into a shithole, sadly. The knockout punch is so prevalent there hard to go downtown after dark my friends tell me. And the police are too pressured by the ultra-far liberalties there to prevent crime.

 

RIP, Austin

Sat, 06/13/2015 - 23:45 | 6194776 FreeShitter
FreeShitter's picture

RIP houston as well.....sure it has good titty bars and resturants, but if you dont live in River Oaks, Memorial, or some other affluent hoods, its basically mexico.

Sun, 06/14/2015 - 08:10 | 6195128 847328_3527
847328_3527's picture

si, si Senor.

Sat, 06/13/2015 - 23:28 | 6194737 Buster Cherry
Buster Cherry's picture

Worlds best medical center in Houston

Sat, 06/13/2015 - 17:13 | 6193974 Meat Hammer
Meat Hammer's picture

Gold is racist. Must invade Texas. Oh wait...

Sat, 06/13/2015 - 17:32 | 6193975 trader1
trader1's picture

chumbawumba,

is this also part of Jade Helm ?

Sat, 06/13/2015 - 17:43 | 6194042 Billy the Poet
Billy the Poet's picture

Helmet covered in heavy gold florets with star top, visor front, Jade pearls.

 

https://www.pinterest.com/pin/145593000428908992/

Sat, 06/13/2015 - 17:14 | 6193976 tangent
tangent's picture

The most blatant disregard for the US constitution would be the requirement that US states pay their debts in gold and silver only. When is the last time any US state paid any debt in gold or silver? Perhaps this bill will be the first major piece of state legislation that moves US states back to one of their agreed duties.

Sat, 06/13/2015 - 17:40 | 6194037 SirBarksAlot
SirBarksAlot's picture

To which debts are you referring? 

Sat, 06/13/2015 - 17:54 | 6194072 Antifaschistische
Antifaschistische's picture

Tx to start accepting RMB AND EUROs and Gold for Oil

Sat, 06/13/2015 - 17:17 | 6193982 Max Steel
Max Steel's picture

FRom lemonade to gold .

Sat, 06/13/2015 - 17:17 | 6193984 p00k1e
p00k1e's picture

I wonder what the gold will be priced in/at.

$1 billion in today’s dollars, 1845 dollars...

 

Rumor is an EMP for Texas is coming. 

Sat, 06/13/2015 - 18:37 | 6194158 Dewey Cheatum Howe
Dewey Cheatum Howe's picture

And pray tell how would a false flag aerial EMP only stop at the borders of Texas when it went off?

The US will not EMP itself or anything geographically close enough to knock out their own grid except for one reason and Texas secession is not that reason.

Sat, 06/13/2015 - 20:15 | 6194360 nmewn
nmewn's picture

lol...the good news is an EMP has zero effect on gold. However its a little more pronounced in a cashless society.

Gimme some-a-dat bit shit love ;-)

Sun, 06/14/2015 - 08:51 | 6195165 IRC162
IRC162's picture

Well....... No direct  effect on gold..... But when the radioactive isotopes from the domestic Fuku'd nuclear power plants start being absorbed by Ag, the wearer/holder of the gold may soon start falling ill. 

The gold itself should be 'clean'  again in a couple thousand years?

 

Edit- gold only has one isotope with a half life of several days.... You are free to pick up gold off of rotting carcasses about 30-40 days after the extinction level event.  

Sat, 06/13/2015 - 23:38 | 6194756 bilbert
bilbert's picture

That's O.K. - Physical Gold will easily withstand an EMP event.   Paper Gold, not so much............

Sat, 06/13/2015 - 23:46 | 6194780 Calmyourself
Calmyourself's picture

The ONLY EMP TO WORRY ABOUT is a religous emp.  All other EMP's over highly industrialized 1st world countries tend to end life on earth

Sat, 06/13/2015 - 17:20 | 6193990 Lea
Lea's picture

Good. We'll be able to see if there is actual physical gold left at all at the Fed. At last.

Sat, 06/13/2015 - 18:46 | 6194186 SillySalesmanQu...
SillySalesmanQuestion's picture

Aaaaaaaaaaannnnnnnnnnnnd....It's gone.

Sat, 06/13/2015 - 17:21 | 6193993 Doug
Doug's picture

The question that strikes me is, isn't this akin to a run on the bank?

Sat, 06/13/2015 - 23:43 | 6194768 bilbert
bilbert's picture

Yes, yes, it is - the earlybirds get Gold, the rest get Jack Shit.

 

 

Sat, 06/13/2015 - 17:23 | 6193996 CHC
CHC's picture

Hey Texas - so you passed a law that says in effect the U.S. government can't confiscate your gold? Bwahhaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa

Sat, 06/13/2015 - 17:23 | 6193997 WTFUD
WTFUD's picture

You can have your gold but due to transit issues we will deliver 5 bars every 3 months. God Bless you all.

Sat, 06/13/2015 - 17:27 | 6194005 One And Only
One And Only's picture

Non confiscatable huh? Tell FDR and Hitler all about that non confiscatable gold.

Sat, 06/13/2015 - 17:50 | 6194063 A82EBA
A82EBA's picture

oh we got somethin for fdr & hitler, name's Abbott..Greg Abbott

Sat, 06/13/2015 - 17:51 | 6194064 Billy the Poet
Billy the Poet's picture

Can I borrow your Ouija board?

Sat, 06/13/2015 - 17:29 | 6194010 sunkeye
sunkeye's picture

"Y'all can go to Hell I'm going to Texas."

Wish I could say I came up with this but read it somewhere.  Would gladly quote the statesman's name if known.

Sat, 06/13/2015 - 17:33 | 6194021 Absalon
Absalon's picture

Davy Crockett

Sat, 06/13/2015 - 22:05 | 6194567 Urban Roman
Urban Roman's picture

"If  I owned hell and Texas, I'd rent out Texas and move to hell."

That was the quote. It was about the weather ... can be hotter than Mexico some times, some places. Crockett didn't have air conditioning.

Sun, 06/14/2015 - 13:01 | 6195186 IRC162
IRC162's picture

Davy Crockett told his fellow Tennesseans, after his political defeat for his federal TN congressional seat,  that he was going to Texas and they (TN)  could all suck his balls. 

Then he came to Texas to fight and die alongside Texans and refused to leave when given the opportunity. 

The battle  of the Alamo is an amazing recount of real courage and bravery. These Men knew they were signing up for death.   Davy Crockett makes Chuck Norris look like Barry Soetoro. 

Sun, 06/14/2015 - 13:29 | 6195640 SilverRhino
SilverRhino's picture

THAT quote was from the Yankee occupier General Sheridan

Sat, 06/13/2015 - 17:29 | 6194012 Absalon
Absalon's picture

The Royal Canadian Mint will sell you a deposit receipt for physical gold and the receipts trade on the TSE under MNT (in Canadian dollars) or MNT.U (trades in US dollars)  These are likely to be a better bet than physical gold for small investors who cannot afford to buy a whole gold bar.

Sat, 06/13/2015 - 17:32 | 6194019 NoWayJose
NoWayJose's picture

The Royal Canadian Mint gold vaults are EMPTY! Canada has NO phyzz!

Sat, 06/13/2015 - 17:37 | 6194030 Billy the Poet
Billy the Poet's picture

Canada has NO phyzz!

 

Carbon cutting has its price.

Sat, 06/13/2015 - 17:41 | 6194038 NoWayJose
NoWayJose's picture

I get the Canadian TV channel - CBC. They did a report on the missing gold and went inside the vault. It was empty! The Royal Canadian Mint buys what they need for coinage on the open market whenever they need it.

Sat, 06/13/2015 - 19:50 | 6194310 Rock On Roger
Rock On Roger's picture

Canada has plenty of gold.

 

In deep storage.

 

Sat, 06/13/2015 - 20:06 | 6194339 WTFUD
WTFUD's picture

Yes true BtP
However, Canadian private miners worldwide are the biggest aggregate producers of gold. Trust me they are mining everywhere, off the books with select corrupt governments.

Sat, 06/13/2015 - 17:38 | 6194033 Absalon
Absalon's picture

I believe there is physical gold but even if there isn't:

1)  would you rather take "paper" gold from the government of Canada or from a New York bank?

2)  a deposit receipt that trades freely for prices under $20.00 per share is a lot more liquid and a lot easier to trade in than bars of gold that will cost tens of thousands of dollars per unit.

Sat, 06/13/2015 - 20:56 | 6194438 TheMeatTrapper
TheMeatTrapper's picture

I'd rather have physical gold in my safe. 

My current preference is the Maple Leaf. In hand, in my safe. I'm not interested in collecting receipts. I get those from Walmart and the gas station.

Sun, 06/14/2015 - 01:00 | 6194862 Tall Tom
Tall Tom's picture

Don't you like the False Dilemma arguments proposed by the anti-Gold apologists?

 

Notice that they never offer the obvious choice of possessing Physical Gold.

 

It is laughable.

Sun, 06/14/2015 - 02:23 | 6194907 Rock On Roger
Rock On Roger's picture

Speculators stack paper.

 

Physical gold is wealth preservation.

 

Sun, 06/14/2015 - 14:54 | 6195866 God
God's picture

At 235 usd's, 1 Bitcoin will preserve your future.

1000 Bitcoins will indemnify your future.

Sat, 06/13/2015 - 18:09 | 6194105 opport.knocks
opport.knocks's picture

Correction, like any prudent business, the Royal Canadian Mint has enough gold to satisfy consumer demand for the product (coins and bars).

It is our Canadian Central Bank that has dumped almost all of it's physical gold beginning in 1965. It went from over 1000 tons to 3.4 tons in 40 years.

http://www.24hgold.com/english/stat_country_detail.aspx?pays=Canada&deid...

Sat, 06/13/2015 - 18:58 | 6194205 Kirk2NCC1701
Kirk2NCC1701's picture

"The Royal Canadian Mint gold vaults are EMPTY! Canada has NO phyzz!"

That's deliberate, according to my reliable sources in Canada.  It's to prevent the Parasites and Usurpers from transferring (stealing) mined, processed and stored gold.

Sat, 06/13/2015 - 22:58 | 6194668 Clarabell
Clarabell's picture

The Bank of Canada presently has about a pathetic 3 tons of gold, down for it peak holdings of 1,023 tons in 1965. The sell off was one of the greatest scams in Canadian history. It's seldom talked about.

Sat, 06/13/2015 - 17:37 | 6194024 Moccasin
Moccasin's picture

Not likely.... I always prefer the physical over paper. I was doing business in Western Canada last week and stopped into a Canadian Imperial Bank of Commerce and they were offing physical silver from the 1oz maple leaf to 10oz bar, 100oz and 1000oz bars of silver at a 15% premium over the current spot price. Gold was also offererd in the small quantities. You need to have an account with them and a Canadian address for delivery.

Sat, 06/13/2015 - 17:42 | 6194040 Absalon
Absalon's picture

The Royal Canadian Mint has retail outlets in several Canadian cities.  I think they are cash and carry. 

 

http://www.mint.ca/store/mint/visit-the-mint/vancouver-location-5600004#...

Sat, 06/13/2015 - 19:47 | 6194301 Rock On Roger
Rock On Roger's picture

Gold and silver coins with the likeness of queen elizabeth on them belong to the crown.

 

Your maple leafs belong to zion.

Sat, 06/13/2015 - 20:04 | 6194332 Absalon
Absalon's picture

If you were really concerned about that you could "fix" the problem with a blow torch.

Sat, 06/13/2015 - 20:57 | 6194442 TheMeatTrapper
TheMeatTrapper's picture

My maple leafs belong to me. Who is zion and how is he going to get in my safe?

Sun, 06/14/2015 - 01:17 | 6194875 Tall Tom
Tall Tom's picture

Zion is backed by the Police and Military Forces of the United States. They will use the law, perhaps, to STEAL LEGALLY that which is in your safe.

 

And Jesus asked, "Whse inscription is on the Coin"

 

The Pharasees answered, "Caesar".

 

Then Jesus answered them, "Render unto Caesar that which is Caesar's and to God that which is God's."

 

The inscription upon American Eagles is that of Lady Liberty.

 

So, likewise, any dues owed are to Liberty and not to the Caesar's inscribed upon today's coins.

 

Lady Liberty's inscription was eliminated from most US Coinage beginning in 1909 and this was completed in 1948. Her inscription was replaced by past American Caesars. Incrementalism.

 

Yet I digressed. THERE IS A BETTER WAY TO AVOID CONFISCATION AND THEFT...

 

See... If it ever comes down to confiscation you can dissolve those Gold Coins in Aqua Regia and then drop it out with Sodium Pyrosulfite.

 

It appears as a brown MUD...DIRT.

 

Here is a picture and it is the best way to hide Gold.

 

https://en.wikipedia.org/wiki/Aqua_regia#/media/File:Golddust.jpg

 

To bring it back to its rich Gold luster one just melts it with a torch.

 

Enjoy.

 

 

 

 

Sun, 06/14/2015 - 22:22 | 6196777 Ginsengbull
Ginsengbull's picture

No, best way to hide it is to cast it into fishing sinkers, then spray paint them silver and keep them in a rusty coffee can next to some broken fishing poles.

 

Immediately retrievable.

 

Thoroughly hidden.

Mon, 06/15/2015 - 02:39 | 6197066 Tall Tom
Tall Tom's picture

My "dirt" assays at .999 Fine.

 

What does your painted stuff assay at? (Paint adds both weight and impurity...)

 

If you have to put in in solvent then it is not immediate...is it?

 

Mine is immediate for those in the know.

 

LEARN IT.

Wed, 06/17/2015 - 01:29 | 6204613 Ginsengbull
Ginsengbull's picture

If you spill your dirt, it becomes dirt.

 

Then you have to pan it, and or melt/smelt it all over again.

 

My sinkers all weigh the same.

Sun, 06/14/2015 - 01:32 | 6194883 El Vaquero
El Vaquero's picture

So Queen Elizabeth is going to come to the US, get into the safe of a goldbug, who is probably also a gun nut and take "her" maple leaves back?  LOL.  If you hold it, and you can keep it, you own it.  Period. 

Sun, 06/14/2015 - 02:10 | 6194899 Rock On Roger
Rock On Roger's picture

Just saying that's the way the law is.

She's gonna have to swim for mine.

 

It is also illegal, here, to deface images of the old cunt.

So melting my maple leafs is unlawful too.

I switched to bars for my stack.

 

Zion is one name of the god that wants to dominate Earth.

Sat, 06/13/2015 - 17:30 | 6194015 debtor of last ...
debtor of last resort's picture

Professor Bass in the American equivalent of SGE. Smart guy, but we knew that already.

Sat, 06/13/2015 - 17:32 | 6194020 MEFOBILLS
MEFOBILLS's picture

Texas also has its own power grid:

http://www.slate.com/articles/news_and_politics/explainer/2003/08/why_te...

Texas does not have a lot of Federal owned property like other Western states.  The people of Texas own their lands.  Texans pay property taxes which helps keep property from bubbling, and hence their economy tends to be more efficient.

Texas legislature only meets every other year, on odd numbered years.  This helps prevent bad legislation.  No, quick...pass the bill, so we can read the bill type of behavior.

Of course, high immigration from Mexico and South America is changing the demographics of Texas.  It is a relevant question, What will happen to Texas when founding stock is replaced?

Texas was never really Mexico, there were mostly Indians in Texas.  Aztecs would never venture North for fear of getting slaughtered by Apache. 

Sat, 06/13/2015 - 17:46 | 6194047 Billy the Poet
Billy the Poet's picture

What will happen to Texas when founding stock is replaced?

 

Indians > Hispanics > Anglos > Hispanics?

Sat, 06/13/2015 - 21:01 | 6194453 TheMeatTrapper
TheMeatTrapper's picture

We fought that battle once, we'll fight it again. Need I remind you who won?

Sat, 06/13/2015 - 23:00 | 6194671 Billy the Poet
Billy the Poet's picture

The Yankees?

Mon, 06/15/2015 - 11:04 | 6197834 Citium
Citium's picture

You are spamming every page of comments... Why don't you recognize that Texas is trying to do something good and stop being a hater.

Sat, 06/13/2015 - 19:11 | 6194234 StolenFuture
StolenFuture's picture

Texas also has a fuckton of nuclear weapons in Amarillo. Sure, they're sited at a US DOE facility, but still...

Sun, 06/14/2015 - 09:08 | 6195103 Lumberjack
Lumberjack's picture

 I highly doubt secession is on the table.

Sat, 06/13/2015 - 22:24 | 6194605 cornflakesdisease
cornflakesdisease's picture

Yes, but many of the illegals head out of Texas for greener grass north. 

Sat, 06/13/2015 - 17:36 | 6194025 tlnzz
tlnzz's picture

They don't have the gold until they have the physical gold. A lot could go wrong with there plans until they have it. You can count on the Federal Government will make as many obsticles as they can.

Sat, 06/13/2015 - 17:38 | 6194034 NoWayJose
NoWayJose's picture

A billion in gold will fit into a Texas sized pickup truck!

Sun, 06/14/2015 - 06:06 | 6195052 Tall Tom
Tall Tom's picture

By volume perhaps....

 

But a One Ton rated Pickup Truck would crush under that weight.

 

At roughly $38/gram, one Metric Ton (1.1 Standard Tons) is worth roughly $38 Million.

 

(1000 kg/Metric Ton)(1000 grams/ kg ) = 1,000,000 gms/Metric Ton. Multiply by $38gm...

 

That Truck would have to hold roughly 26 Metric Tons to be near $1 Billion. (Doing this in my head...do not be pedantic.)

 

No One Ton Pickup Truck could handle 29 times the weight of its rating. (A Metric Ton is heavier than a Standard Ton. That 29 times was not a typo.)

 

Gold is very, very dense.

Sat, 06/13/2015 - 18:14 | 6194118 e_goldstein
e_goldstein's picture

Yes, so when do we take delivery of our tungsten, anyway?

 

Sat, 06/13/2015 - 17:36 | 6194027 NoWayJose
NoWayJose's picture

As soon as the first state goes, another dozen will follow - leaving the liberal states to go belly up!

Sun, 06/14/2015 - 09:59 | 6195265 RaceToTheBottom
RaceToTheBottom's picture

As long as they can tax and print, can they really go belly up?

They just go from semi authorised taxation to fully unauthorized taxation via inflation and debasement.

 

Sat, 06/13/2015 - 17:43 | 6194043 Moccasin
Moccasin's picture

I have never thought Texas was that great but if they secede with their gold, that would be great!

Sat, 06/13/2015 - 17:49 | 6194057 Tinky
Tinky's picture

Ah, but will they succeed seceding?

Sat, 06/13/2015 - 17:54 | 6194073 Billy the Poet
Billy the Poet's picture

If at first you don't secede....

Sat, 06/13/2015 - 19:50 | 6194309 Son of Loki
Son of Loki's picture

I read the Texas Troopers are training Attack Armadillos that can rip a predator's foot off.

Sat, 06/13/2015 - 17:53 | 6194069 kiwimail
kiwimail's picture

I was living in Alaska in the late seventys when the Alaska permanent fund was being set up.   I recall one provision was that a certain percentage of the fund (10%?) must be invested in Gold.  Does anyone know if this actually happened and if so how much gold they now own?

Sat, 06/13/2015 - 17:55 | 6194077 Dixie Flatline
Dixie Flatline's picture

"non confiscatable" means lots of guns and lots of men using those guns.  If you can't stand in front of it and defend it...

Sat, 06/13/2015 - 18:27 | 6194143 Polymarkos
Polymarkos's picture

If you are unwilling to fight for what is yours, then it will not long be yours.

Sat, 06/13/2015 - 18:05 | 6194091 user2011
user2011's picture

Not gold.  just yellow colored tungsten.

Sat, 06/13/2015 - 21:19 | 6194472 Hope Copy
Hope Copy's picture

Don't knock that.  Better than copper.

 

Silver is only at $512.90 something a kilo.

 

Ferro Tungsten: USD/kg 34.31

http://www.infomine.com/investment/metal-prices/ferro-tungsten/

 

Nickel: USD/lb  6.11

 

 

Sun, 06/14/2015 - 01:34 | 6194885 El Vaquero
El Vaquero's picture

It would be easy to test for.  Tungsten is hard and inflexible.  Gold is the most malleable substance known to man.  You could use resonant frequency inspection, or just a hammer and a nail to test for gold plated tungsten. 

Sat, 06/13/2015 - 18:59 | 6194101 Kirk2NCC1701
Kirk2NCC1701's picture

The States can and should hold their own gold reserves. 

The States can (by Constitutional Law) "issue coin".

As I've said 2x before, said Coinage suggested is: $1, $5, and $20 in Silver, and $100, $1,000 and $10,000 in gold.

The State and Local Police can and should be responsible for intra-state coin transfers of large amounts, using the DOD vehicles.

Sat, 06/13/2015 - 21:08 | 6194465 Not My Real Name
Not My Real Name's picture

Ag and Au coinage should be issued in fractional and whole troy-ounce denominations -- not $ values.

Sun, 06/14/2015 - 01:27 | 6194880 Kirk2NCC1701
Kirk2NCC1701's picture

Yes, that would be the smart thing to do, to prevent diluting the PM amounts. 

They would thus be hard currency reference points, given the slippery nature of politicians. 

Sun, 06/14/2015 - 07:37 | 6195104 Husk-Erzulie
Husk-Erzulie's picture

Grains.

Sat, 06/13/2015 - 18:11 | 6194109 Ms No
Ms No's picture

Texas has set avery dangerous precedence, obviously people will ask why they want their gold and why are they worried about confiscation?  Where is our gold, do we have any?  The armored van fiasco will steal media coverage of this development.

Texans better brace themselves for relaliation, they will certainly be made an example of.  The Fed can't allow other states to follow suit, assuming any other states actually have gold.

Sat, 06/13/2015 - 18:21 | 6194134 SirBarksAlot
SirBarksAlot's picture

Ms. No - You're not from Texas.

https://youtu.be/fLU_IYflUkQ

 

Sun, 06/14/2015 - 01:17 | 6194874 Alvin Fernald
Alvin Fernald's picture

How many more false flags until it is retaliation?

Sun, 06/21/2015 - 20:47 | 6220473 TheGreatRecovery
TheGreatRecovery's picture

I think one must be responsible and prudent, even in the face of danger.  The State of Texas has a fiduciary DUTY in regard to those hard assets.

Sat, 06/13/2015 - 18:13 | 6194113 buzzsaw99
buzzsaw99's picture

this is the only wtg. it's not like they can trust hsbc either.

Sat, 06/13/2015 - 18:14 | 6194116 Dodgy Geezer
Dodgy Geezer's picture

 Is this the first step down a road to secession?

I understand that the Brits are making a film about Mirabeau B. Lamar, called "Braveheart of the West".  They will also be contributing to an internal Texas Independence movement....

Sat, 06/13/2015 - 18:14 | 6194117 'argar the 'orrible
'argar the 'orrible's picture

'Hello, Jade Helm' coming to a bank gold depositry near you.

Sat, 06/13/2015 - 18:17 | 6194124 WTFUD
WTFUD's picture

Jamie Dimon and Floyd Bankfiend are holding all your gold in their Presidential cufflinks. That's why they're richer than us.

Sat, 06/13/2015 - 18:22 | 6194136 going to canada
going to canada's picture

Fabulous! Texas can take everything south of the Mason-Dixon with them.

Sat, 06/13/2015 - 21:03 | 6194455 TheMeatTrapper
TheMeatTrapper's picture

And we won't let you fuckers in. No matter how bad you beg.

Sun, 06/14/2015 - 01:10 | 6194872 PrecipiceWatching
PrecipiceWatching's picture

There are a NUMBER of states north of Mason-Dixon who would want to join the party.

 

Disdain for RaceMarxism ain't just a southern thing.

Sat, 06/13/2015 - 18:27 | 6194145 DutchBoy2015
DutchBoy2015's picture

As I recall, Texass has lots of military installations.  I spent 6 weeks at Lackland AFB back in 1964.  Never left the base.  Been thru Dallas a few times since flying out to Honolulu.

Sat, 06/13/2015 - 22:26 | 6194608 cornflakesdisease
cornflakesdisease's picture

And you lost your penis in a rotor-tiller accident.  Who cares?  As I recall, you are a peeny-spasm.

Sat, 06/13/2015 - 23:01 | 6194675 Buster Cherry
Buster Cherry's picture

And we're damn glad you're gone.

Sat, 06/13/2015 - 18:28 | 6194149 SirBarksAlot
SirBarksAlot's picture

Sign Governor Greg Abbot up for Mark Dolan's top 5 "balls of steel" moments!!!

https://www.youtube.com/watch?v=sTXbn63yaec

Sat, 06/13/2015 - 18:30 | 6194152 taggaroonie
taggaroonie's picture

Sheesh, it's almost as if they don't trust the fed.

Sat, 06/13/2015 - 18:31 | 6194153 Polymarkos
Polymarkos's picture

I wish my state, Alaska, would do this. Instead, Juneau is filled with sycophants ready to suck the Fed dick every change they get.

Sat, 06/13/2015 - 18:31 | 6194154 smacker
smacker's picture

Secession? Go for it Texas :-)

As an old American buddy once said to me: "I wasn't born in Texas, but I got here as fast as I could."

Sat, 06/13/2015 - 18:34 | 6194161 AlchemyFinancial
AlchemyFinancial's picture

And in other news, to help with the national debt, the whitehouse is going to switch to florescent light bulbs to save $7 a month on the electric bill.  What the hell is 1 billion in gold going to help?  Texas has nearly 300 billion in debt just at the state level alone.  Repatriate all the gold in the world, and you still wont even come close to making a noticeable dent.  End result is fucked any way you look at it.

Sat, 06/13/2015 - 21:12 | 6194471 Not My Real Name
Not My Real Name's picture

You're not thinking clearly because you're thinking in dollar terms. Try thinking in terms of troy ounces.

Sat, 06/13/2015 - 18:34 | 6194162 AlchemyFinancial
AlchemyFinancial's picture

And in other news, to help with the national debt, the whitehouse is going to switch to florescent light bulbs to save $7 a month on the electric bill.  What the hell is 1 billion in gold going to help?  Texas has nearly 300 billion in debt just at the state level alone.  Repatriate all the gold in the world, and you still wont even come close to making a noticeable dent.  End result is fucked any way you look at it.

Sat, 06/13/2015 - 21:12 | 6194474 Not My Real Name
Not My Real Name's picture

You're not thinking clearly because ... oh, never mind.

Sat, 06/13/2015 - 22:35 | 6194627 cornflakesdisease
cornflakesdisease's picture

I know of no 300 billion in debt.  Source?

 

Did your mom drop you or was it a circumcision accident?

Sat, 06/13/2015 - 23:22 | 6194726 Vooter
Vooter's picture

"What the hell is 1 billion in gold going to help? Texas has nearly 300 billion in debt just at the state level alone."

I don't think Texas will have to worry about that $300 billion in state debt if it stops being a state...

Sun, 06/14/2015 - 10:09 | 6195278 RaceToTheBottom
RaceToTheBottom's picture

The feds are doing pretty well chasing people who want to give up citizenship, they will not doubt try much harder against states that want to leave....

Sat, 06/13/2015 - 18:40 | 6194174 Zen Master
Zen Master's picture

This means nothing until they threaten and/or close the Texas office in the Hall of States Office Building in Washington DC...until then it's all fotter for the-masses (dumb-asses)!

Sat, 06/13/2015 - 18:44 | 6194183 CHX
CHX's picture

Spontaneously, "Texas chain saw massacre" comes to my mind. Bring it on, T-Rex.

Sat, 06/13/2015 - 18:48 | 6194189 NuYawkFrankie
NuYawkFrankie's picture

Texas is about to find out the real purpose of Jade Helm.

Sat, 06/13/2015 - 20:44 | 6194422 silverer
silverer's picture

Jade Helm will also find out just how armed the average Texan is.

Sun, 06/14/2015 - 10:22 | 6195307 Government need...
Government needs you to pay taxes's picture

I'd be very satisfied if some of those undercover brothers got fucked up by the locals.

https://www.youtube.com/watch?v=S8kPqAV_74M

Sat, 06/13/2015 - 18:49 | 6194191 kchrisc
kchrisc's picture

Texas has WMDs and Niger "yellow-cake" in 3..2..

Liberty is a demand. Tyranny is submission..

 

Operation Iraqi Freedom >> Jade Helm
The tanks will drive right yup to Texas' equivalent of an Oil Ministry.

Sat, 06/13/2015 - 18:55 | 6194201 Duc888
Duc888's picture

 

 

This doesn't mean shit.  Texas gets 33.28% of it's State revenue from Fedgov.

Let's see what happens when Fedgov turns the spigot off.

http://wallethub.com/edu/states-most-least-dependent-on-the-federal-gove...

 

 

Sat, 06/13/2015 - 20:43 | 6194421 silverer
silverer's picture

Texas gets 33.2% of its state revenue from Fedgov.  Really?  And where, pray tell, does the Fedgov get that money to give to Texas?  Maybe you've got the spigot pointed the wrong way?

Sun, 06/14/2015 - 00:05 | 6194808 SirBarksAlot
SirBarksAlot's picture

The 2014 CAFR for Texas states the following:

Total assets of the state as of Aug. 31, 2014, were

$260.3 billion total net assets of Texas, August 31, 2014. 

Check your information.

Sun, 06/14/2015 - 00:05 | 6194809 SirBarksAlot
SirBarksAlot's picture

The 2014 CAFR for Texas states the following:

Total assets of the state as of Aug. 31, 2014, were

$260.3 billion total net assets of Texas, August 31, 2014. 

Check your information.

Sat, 06/13/2015 - 22:36 | 6194629 cornflakesdisease
cornflakesdisease's picture

Folks on welfare get 0%.  That's what happens.

Sun, 06/14/2015 - 02:23 | 6194905 Kprime
Kprime's picture

Let's see what the Fedgov does when Texas turns the spigot off.

Sat, 06/13/2015 - 18:56 | 6194202 q99x2
q99x2's picture

I'll become a citizen of Texas and issue the damn arrest warrants for Blankfein and Dimon myself if I have to. Gosh dang it.

Does Texas have nukes I wonder. 

Sat, 06/13/2015 - 19:13 | 6194244 El Vaquero
El Vaquero's picture

If TX has nukes, they are likely ones that are deployed/ready for deployment.  You want to go one state west of Texas for the nukes.  NM probably has 3,000 of the things within its boundaries right now.  A bunch of them are within 20 miles of me. 

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