Pressed Paper Gold Dollars as American Currency Is a Beautiful Dream: Why Not?

Literal paper gold dollars, honestly produced, in the hands of impeccably managed private enterprise, is like an answer to a prayer that the American people ought to have been praying for at least the last 60 years.” – Screenshot news blog

I had been hearing adverts from “Papergold.com” on Coast radio off and on for several days before I found time to stop by their website and see what all the fuss was about. I went NUTS over this concept and when you pause to consider the full implications, I bet you will too.  I had been following Bitcoin earlier with great interest for the last couple of years, as an alternative universal currency and means of exchange. But sadly, Bitcoin is now corrupted by some of the very people who helped it rise to prominence.  The recent theft of hundreds of thousands of Bitcoins by the owner of the prestigious overseas storage company who held vast reserves of the digital currency for his clients put the final chill on Bitcoin for me as an investment option. Bitcoin also has an “obscurity” problem for Joe the Man on the Street, as it is almost impossible to explain what it is – just exactly – that gives it it’s perceived worth.  You did what? Your computer solved math problems? WTF? These coins are worth WHAAAT? Etc.

https://i0.wp.com/amspec.s3.amazonaws.com/image002.jpg

The US dollar is already technically in ruins, based on the massive 18 trillion dollar debt load our nation now carries. This kind of deficit spending cannot go on forever. One must pay the piper at some point very soon. Everyone knows this. Why no one  in Big Media discusses it much is as much mystifying as it is infuriating, possibly even criminal.  It’s a “karma comes calling” mega-debt tsunami of dire consequences which will soon be in everyone’s living room in the United States, flooding their lives with the awful truth that our nation’s leaders played with fire for too long, eventually setting the entire country aflame with vicious cycles of hyper-inflation and deflation, placing our entire future as a nation in jeopardy, ruining the financial lives of millions of young struggling families and retirees alike, the former being robbed of all hope, the latter being robbed of a decent livable retirement which would render them immune from possible destitution.

Imagine this:  You are standing in a huge room at a live auction, ready to bid. You have 10,000 dollars in cash in a bucket that you are holding, ready to bid on items you like. As the bidding begins, you look down and notice that someone has walked by and discreetly dropped another $8,000 into your bucket. Suddenly, you have more money to bid with. So you bid some items higher. While you are bidding on other items, someone [ The FED money supply guy, aka the people who make currency out of thin air, like magic, via bookkeeping entries and printing presses ] walks by and drops another $25,000 into your bucket. Now you have an even larger sum to bid with, and so do others, as the magic money guy is adding more cash to their buckets too. The room comes alive with bids and bidders, as 98% of those in the room have had magic money dropped into their buckets while they were bidding.  The base value of the item up for bid hasn’t changed. The appraiser had looked it over and signed off on it right before bidding began. But the fact that everyone in the room suddenly has more than twice the cash that they came in to bid with, has changed the auction entirely.  $50 vase sells for $125. A $2500 painting sells for $7,000. A $4,500 necklace sells for $9,200. And so on. That’s what inflation [ aka visits from the magic money guy]  does to retail prices of anything – cars, houses, stocks, ETFs, and that’s what has happened to the US stock market in the past 5 years.

So you leave the frantic big auction with all of your overpaid, overblown pricey wins, and a few months later you stroll down the street to the local pawn shop / antique dealer to liquidate your wins, hoping for a real nice pay-out. You discover to your dismay that the actual REAL base value of what you bought at auction is about half what you paid for it. You just lost all that “magic money” that got dropped into your bucket while you were bidding.  In contemporary vernacular, this is known as a “price correction” in Wall Street terms, or a “fiscal reality check” on the street. Nothing will sober one up like as visit to any prestigious pawn and antique dealer, who 9 times out of 10 will stun the financial pants off their customers by informing them of the TRUE lack of worth of their cherished personal treasures.

But what about the recent meteoric rise of Wall Street stocks?  Wall Street stocks have, for the most part, been hyper-inflated during the Obama presidency with obscene tonnage of injected near worthless dollars, which have spewed like geysers from the FED during their cleverly worded “quantitative easing” program, which is only now beginning to wind down just a little. Injecting a stale investment environment with degrading / inflating currency might make it SEEM that stocks are actually rising, but in fact, the base value of the stock or commodity in question actually has not changed much.  Aside from oil, Walmart and marijuana, America produces less in the way of manufacturing, retail profits and real services of value than she ever has. No one ever talks about this very much either. Most everyone is now running around with a smart phone in their hand, riding in an Uber taxi while they sip lattes and watch a movie online vat once. What America produces in grotesque, nearly unimaginable quantities in 2014, is entertainment. Movies, TV shows, video games, role-playing games, rock stars, pop stars, vapid celebrity feifdoms, mini-series, film franchises, new and ever more disgusting music videos, the appalling parade of depraved end times entertainment which the American population feasts on is so enormous, it would take another 30 pages just to describe it. But you get me. The American public is gorging itself on new infotainment and entertainment 24-7, 365 – and there is no end in sight. The problem is – when you boil it all down to the essentials – it’s all worthless. The only perceived value of all this fantasy is that it keeps Average Joe from ever looking up from his tablet and musing: “What’s really happening? and / or “Why aren’t we being told [ what’s really happening? ]. Hmmmmm.”

Enter gold. You know all the positives on the coveted precious metal already. It’s the oldest currency and means of exchange on earth. It survives inflation, hyper-inflation, nations go to war over it, escalating demand for it never expires, and there is only so much of it on planet earth to go around. The future supply of gold on earth is definitely limited, unless we discover another planet somewhere which is caked in it.  Up until now, the practical tendering of micro-units of gold in 10ths of a gram as a universal means of exchange left much to be desired, as it usually appears as a speck, laminated into a paper certificate of authenticity, and it’s pretty hard to get excited about exchanging tiny grains of gold in barter units.

BUT consider what would happen if just 15% of America’s population began using literal paper gold as a unit of barter and a means of exchange, pegged to the daily universal spot gold price, with added value rolled into the literal gold dollar for it’s desirability as a universal US currency which was not based on our faith in a failing and bloated government, but our faith instead in the ancient durability of gold to settle debts, raise failing nations, settle squabbles and secure units of personal wealth?

IF – and that is a very big IF – this “gold in paper money form” concept takes off, it could be the beginning of the end of the awful financial debauchery and tyranny of the FED. When enough people have converted their wealth into paper gold dollars, the greenback will no longer be needed, and We the People will hold the reigns of power in this nation once again. It’s a concept worth considering.

Advertisements

I'd love to hear you sound off. Thanks!

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s