by James Buchanan
A recent news article reports “Utah legislators want to see the dollar regain its former glory, back to the days when one could literally bank on it being as good as gold. To make that point, they’ve turned it around, and made gold as good as cash. Utah became the first state in the country this month to legalize gold and silver coins as currency. The law also will exempt the sale of the coins from state capital gains taxes. Craig Franco hopes to cash in on it with his Utah Gold and Silver Depository, and he thinks others will soon follow. The idea is simple: Store your gold and silver coins in a vault, and Franco issues a debit-like card to make purchases backed by your holdings. He plans to open for business on June 1.”
Keep your eyes open for truly ruthless measures by the federal government against anyone who does establish a currency with real value versus the increasingly worthless federal reserve notes. An article from the Daily Paul notes “starting on January 1st in 2012, U.S. federal law will require coin and bullion dealers to report to the Internal Revenue Service all gold and silver coin purchases and sales greater than $600. The report is written by David L. Ganz and is headlined ‘$600 Sale? Get Ready for Tax Form.’ Apparently this little jewel was an add-on to the national health care legislation.” Apparently the Feds want to snuff this out with excessive paperwork.
The first article notes “The idea was spawned by Republican state Rep. Brad Galvez, who sponsored the bill largely to serve as a protest against Federal Reserve monetary policy. Galvez says Americans are losing faith in the dollar. If you’re mad about government debt, ditch the cash. Spend your gold and silver, he says. Earlier this month, Minnesota took a step closer to joining Utah in making gold and silver legal tender. A Republican lawmaker there introduced a bill that sets up a special committee to explore the option. North Carolina, Idaho and at least nine other states also have similar bills drafted.”
It’s nice to know some states actually care about the federal reserve notes inflating more and more and they’re already thinking about a gold or silver based currency to avoid the looming disaster that Obama’s runaway spending is causing. The most practical way to use silver and gold would be to have specific weight coins such as one ounce, half ounce and a tenth of an ounce and then calculate the grocery bill in dollars or ounces of silver.
Notice that most of the states doing this have large White majorities, where intelligent people with foresight still have an influence on government –in contrast to Obama and his regime, who are following in the hyperinflationary footsteps of Robert Mugabe and his Zimbabwe regime.