Put Yourself on a Personal Gold Standard

Energy and Capital (10/19/2008)
"You might have a hard time believing this, but you can actually put yourself on a personal gold standard with a new kind of currency, and it's rapidly growing among gold bugs.

Understand first, this new currency is not legal tender issued by any government. That means there's no debt, inflation, geopolitical turmoil, or any other considerations normally associated with government-issued currency.

The currency comes in electronic form, but can be used like any other currency in the world today to pay for goods and services, and even settle debt. But there's one major difference that sets this currency apart from every other in the world:

It's 100% backed by gold.

In fact, in most cases you can instantly exchange this currency for physical gold at any time... a feature taken away from the US dollar decades ago.

This currency has a new system fully established, making it as easy to use as the current banking industry's electronic money. Right now, in fact, there are already over 3,000 outfits—and climbing—in which you can pay online using this currency.

How the "Gold Bank" Works

Customers transfer funds from traditional bank accounts into these unique gold-backed bank accounts, and earn interest on their funds prior to placing an order.

Meanwhile, for customers already holding gold and silver in secured (and insured) vaults, their metals are insured and held in specialized bullion vaults. Their metals assets go through an annual audit, and are fully reported to customers.

Once customers' funds are in the database, customers' orders are made through its secure online system. Database servers record all transactions and store currency and metal balances.

The Advantages of Using this Currency?

Being backed by gold, the purchasing power of this currency fluctuates in relation to the price of gold.

This means that as the price of gold increases, the purchasing power of the account increases. On the flip side, however, if the price of gold falls, so does the value of the account. Nonetheless, the risk of significant price fluctuation in gold is small compared to the risk of value fluctuations among fiat currencies, especially the US dollar.

And despite a short-term correction, the price of gold has increased significantly over the past five years. So this factor has worked out to the advantage of anyone holding this currency over that period. And with +$2,000 gold on the horizon, holders of this currency should do quite well in the future."

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