Any idea if they will be producing actual gold roubles or just electronic roubles backed by gold? I wouldn't mind a gold rouble.
I have a ten rouble coin from the Tzarist era. Nice little coin. I'm not sure how easy they are to come across as the Bolshies hated gold and confiscated it. I wouldn't think the Russian government is looking to introduce a convertible gold-backed currency. As a percentage of forex/reserves gold is still a small percentage.
they don't have any roubles backed by gold and there is almost 0 chance that there will ever again be roubles backed by gold that is 100% fantasy pipe dream.
The current political crisis between the West and Russia can backfire. The West is sanctioning Russia financially and this will inevitably lead to a trade war/financial war. The Russians may start shopping their dollars away and acquiring gold/yuan/etc. The euro and US dollar currencies would then be doomed. Russia could team up with the BRICs to create that long-predicted gold-backed currency. Even more: creating a petro-gold system, which would destroy the petrodollar system. What I find very interesting is that Russia bought 25 % more gold during the past decade than China: http://www.primevalues.org/market-watch/russia-biggest-buyer-gold.htm One thing is buying and another thing is mining. I would be VERY curious to see how much China and Russia actually mine out to stockpile for themselves. The gold accumulation fever is no joke, it's a trend and it will lead somewhere. And I reckon the dollar will be on the losing sign. Unless... the US starts accumulating gold as well. Perhaps the US does indeed have the German gold, but they're too afraid to release it (probably expecting a dollar crisis).
Not saying that this isnt true but a new fiat currency backed by gold will NEVER EVER EVER EVER EVER EVER EVER again happen anywhere on the planet, even if the USD / Euro collapse and are worth less than Zimbabwe dollars.
your banking overlords would loose their power and they wont let that happen, and it is too impractical now to have a gold backed currency. Also past examples allready show what will happen when currency collapses.
*our banking overlords Can't see how it would be impractical, could easily just be fractionally backed by gold. Which past examples? Pretty sure they didn't involve the reserve currency holder owing $17tr, a $600tr derivatives market or China importing huge amounts of physical gold and striking significant trade deals left, right and centre. Don't forget that everything is computerized and globalized so it would all happen in mere milliseconds. Different environment, different outcome.
If they have no intention of using gold, then why are they accumulating so many reserves? Why is the IMF the 3rd biggest holder of gold? You'll be very amazed is any sort of new gold standard appears. Even in not a currency-related standard... it could be petro-gold, gold-debt etc. etc.
They accumulate gold as it is a good store of wealth. Maybe but I do know there wont be a currency backed by gold ever again, where I can turn in a note and get a predetermined set ampount of gold.
an how do you think they got to those figures, it was only because the currency was not backed by gold If they back it by gold they simply cant print money to get them selves out of trouble there is absolutely zero chance that there will ever be another gold backed currency. Maybe trade will occur in other curriencies or commodities e.g. Gold for oil but there will never be again another gold backed circulation currency. Where I can trade my worthless paper for a predetermined set amount of gold. I will bet you 1000 oz of silver that in the next 10 years any where in the world no one will re introduce a gold backed currency. I would make it 100 ears but that is impracticable.
http://www.zerohedge.com/news/2014-04-04/us-threatens-russia-sanctions-over-petrodollar-busting-deal On the heels of Russia's potential "holy grail" gas deal with China, the news of a Russia-Iran oil "barter" deal, it appears the US is starting to get very concerned about its almighty Petrodollar *U.S. HAS WARNED RUSSIA, IRAN AGAINST POSSIBLE OIL BARTER DEAL *U.S. SAYS ANY SUCH DEAL WOULD TRIGGER SANCTIONS *U.S. HAS CONVEYED CONCERNS TO IRANIAN GOVT THROUGH ALL CHANNELS We suspect these sanctions would have more teeth than some travel bans, but, as we noted previously, it is just as likely to be another epic geopolitical debacle resulting from what was originally intended to be a demonstration of strength and instead is rapidly turning out into a terminal confirmation of weakness. As we explained earlier in the week, Russia seems perfectly happy to telegraph that it is just as willing to use barter (and "heaven forbid" gold) and shortly other "regional" currencies, as it is to use the US Dollar, hardly the intended outcome of the western blocakde, which appears to have just backfired and further impacted the untouchable status of the Petrodollar. ... "If Washington can't stop this deal, it could serve as a signal to other countries that the United States won't risk major diplomatic disputes at the expense of the sanctions regime," And here is Voice of Russia, "Russia prepares to attack the Petrodollar": The US dollar's position as the base currency for global energy trading gives the US a number of unfair advantages. It seems that Moscow is ready to take those advantages away. The existence of "petrodollars" is one of the pillars of America's economic might because it creates a significant external demand for American currency, allowing the US to accumulate enormous debts without defaulting. If a Japanese buyer want to buy a barrel of Saudi oil, he has to pay in dollars even if no American oil company ever touches the said barrel. Dollar has held a dominant position in global trading for such a long time that even Gazprom's natural gas contracts for Europe are priced and paid for in US dollars. Until recently, a significant part of EU-China trade had been priced in dollars. Lately, China has led the BRICS efforts to dislodge the dollar from its position as the main global currency, but the "sanctions war" between Washington and Moscow gave an impetus to the long-awaited scheme to launch the petroruble and switch all Russian energy exports away from the US currency . The main supporters of this plan are Sergey Glaziev, the economic aide of the Russian President and Igor Sechin, the CEO of Rosneft, the biggest Russian oil company and a close ally of Vladimir Putin. Both have been very vocal in their quest to replace the dollar with the Russian ruble. Now, several top Russian officials are pushing the plan forward. First, it was the Minister of Economy, Alexei Ulyukaev who told Russia 24 news channel that the Russian energy companies must should ditch the dollar. " They must be braver in signing contracts in rubles and the currencies of partner-countries, " he said. Then, on March 2, Andrei Kostin, the CEO of state-owned VTB bank, told the press that Gazprom, Rosneft and Rosoboronexport, state company specialized in weapon exports, can start trading in rubles. " I've spoken to Gazprom, to Rosneft and Rosoboronexport management and they don't mind switching their exports to rubles. They only need a mechanism to do that ", Kostin told the attendees of the annual Russian Bank Association meeting. Judging by the statement made at the same meeting by Valentina Matviyenko, the speaker of Russia's upper house of parliament, it is safe to assume that no resources will be spared to create such a mechanism. " Some 'hot headed' decision-makers have already forgotten that the global economic crisis of 2008 - which is still taking its toll on the world - started with a collapse of certain credit institutions in the US, Great Britain and other countries. This is why we believe that any hostile financial actions are a double-edged sword and even the slightest error will send the boomerang back to the aborigines," she said. It seems that Moscow has decided who will be in charge of the "boomerang". Igor Sechin, the CEO of Rosneft, has been nominated to chair the board of directors of Saint-Petersburg Commodity Exchange, a specialized commodity exchange. In October 2013, speaking at the World Energy Congress in Korea, Sechin called for a "global mechanism to trade natural gas" and went on suggesting that " it was advisable to create an international exchange for the participating countries, where transactions could be registered with the use of regional currencies ". Now, one of the most influential leaders of the global energy trading community has the perfect instrument to make this plan a reality. A Russian commodity exchange where reference prices for Russian oil and natural gas will be set in rubles instead of dollars will be a strong blow to the petrodollar. Rosneft has recently signed a series of big contracts for oil exports to China and is close to signing a "jumbo deal" with Indian companies. In both deals, there are no US dollars involved. Reuters reports, that Russia is close to entering a goods-for-oil swap transaction with Iran that will give Rosneft around 500,000 barrels of Iranian oil per day to sell in the global market. The White House and the russophobes in the Senate are livid and are trying to block the transaction because it opens up some very serious and nasty scenarios for the petrodollar. If Sechin decides to sell this Iranian oil for rubles, through a Russian exchange, such move will boost the chances of the "petroruble" and will hurt the petrodollar. It can be said that the US sanctions have opened a Pandora's box of troubles for the American currency. The Russian retaliation will surely be unpleasant for Washington, but what happens if other oil producers and consumers decide to follow the example set by Russia? During the last month, China opened two centers to process yuan-denominated trade flows, one in London and one in Frankfurt. Are the Chinese preparing a similar move against the greenback? We'll soon find out. Finally, those curious what may happen next, only not to Iran but to Russia, are encouraged to read "From Petrodollar To Petrogold: The US Is Now Trying To Cut Off Iran's Access To Gold."
Very, very interesting. I'm interested to see how this deal with Iran will unfold. If I was the leader of Iran I would create some big oil deals with Russia and China that involved a mutual aid treaty of some sort.
Correct, which will never ever happen again anywhere in the world ever again. ever best you can hope for is the USD to collapse and a new non US backed FIAT currency becomes the new reserve, but even that wont be backed by gold.
no there are not many of these threads that pop up. Just need to pull some of the people with their heads in the clouds thinking about a gold backed currency back down to earth just like all the people saying silver to da moon more than a year on we are still around the low 20's and my sideways prediction ( low to mid 20's ) is holding up. Another 2 years to go.
Mexico was talking about having a silver currency running alongside the fiat currency as they have a silver mine and at the moment they are selling their silver to the US in return for a rapidly printing US$. If they are selling it for money they might as well just make it into money and cut out the middle man. This was a few years back and obviously yo would hoard the silver and spend the fiat. Canada and the UK have both brought out $20 and 20 coins which you could exchange for the same amount of fiat. Neither of them contained /$20 worth of silver, I think they were 1/4oz. I don't think they were great sellers but Canada has extended the program to include $50 and $100 silver coins. Gibraltar has also joined in. At the moment they do not have any acceptance from banks or shops and in Canada you had to sell them back to the bank to get shot of them. But it is interesting to see them dipping their toes in the water, the difficulty will be in fixing a ratio between Gold and silver when both of their values fluctuate all over the place. Maybe just one metal will be used. People who say something will never, ever happen, with such certainty are either in a position of absolute power and are able to stop it happening or they lack imagination.
