I've noticed in my short time here that people are often criticized and considered crazy when talking about silver skyrocketing to levels never seen before. I think a common name for them on here is 'Malooneys'. Well, maybe I just jumped on board the sucker train but I'll admit I am also getting into this from (mainly) reading an article written by Mike Maloney. I've read a lot of other stuff since then, but that was the first thing that sparked my interest and enthusiasm, because what he said made sense to me. He didn't seem like some crazy predicting the end of the world, but rather presented some very intriguing information and history. I'll give some examples of the information that made me jump on board. Like how for decades now we've consumed more silver each year than we've mined, which means we're quickly going through surplus supply. There is more (mined) gold in existence than silver, due to the fact that gold has been hoarded while silver has progressively been used for more and more industrial applications each decade. Then there's the out-of-whack GSR of 1:65, while historically it was somewhere around 1:15 since that is the ratio at which it is mined. Our current ratio is despite the fact that there's more available gold than silver, which obviously makes no sense. Those are just a few of the main things that stood out to me. Then there's the possible fiat-failure scenario to take into consideration. I've never had faith in the dollar, since it's just imaginary debt based numbers with no backing, and I'm happy to have found something that I can finally put my faith into. A massive dollar collapse has always felt inevitable to me, and many even say that it is a "mathematical certainty", which could very well be true, due to its ever-increasing levels of debt. There is money owed on each dollar produced and so likewise there is more money being owed at all times than there even is money in existence. It doesn't make any sense to assume that you can just keep racking up the debt without the ceiling eventually collapsing. So if the majority, or maybe even all of this is true, then what am I missing? Why is it so absurd to naturally assume, after considering all of the above, that silver WILL skyrocket in a matter of time? Is it because if you've been a silver stacker for a long period of time, and this hasn't happened YET in all of your time involved, you think from your own past experiences that it never will happen? If so, then that's like saying the sun will never go supernova and destroy our planet, simply because in all of humanity's time on Earth, this has never happened. But that is ignoring an inevitability. The sun WILL go supernova and destroy Earth, even if it is millions of years from now. If the value of gold goes up to where it should be, and the GSR returns to where it belongs (technically it should and possibly could go higher than the historical average due to the supply and demand issues) then of course silver is going to go to the moon! One way to look at it is it's not going to "go to the moon" but rather, it's going to go to where it rightfully should be, which would be ridiculously high in comparison to how ridiculously low it is now. So I'd like to hear from people that I'm sure are far more educated in this matter than me, for any specific reasons you personally have (not beliefs, but reasons) that this will never happen or cannot happen. Give me a reason for thinking that all of the above is ridiculous and that I should put the idea out of my head.
One of the biggest issues for me, is not the currency I have invested in precious metals, (I will always be well fed), but who and where will I sell to when the time comes. With the stroke of a pen, legislators will move the goal posts, mostly by stealth, in the blink of a weekend. Also, of note, is my inexperience with long term stacking. It is cool to be informed, but time will tell.
My only concern is a run to sell off paper silver when the fact it is not actually real is revealed to the broader market. This would likely affect the price of physical silver too in the short term before it's intrinsic value returns.
Baby Silver is going to skyrocket one day! That's for sure imo. When is another matter. But it will happen this decade or the next. I'm prepared to wait for my baby to skyrocket!
Why would it be hard to offload after it skyrockets if what it is worth is what it is worth? There must be a demand for it for it to be worth $200 for an example. It don't matter anyway coz at that price I can afford to offload it $20 under spot and still make a killing. I remember Gold for 20 years used to always be worth around $300-400 an ounce. Then it slowly skyrocket up to $1800. Did people have trouble unloading it then?
Well if people return to PMs after a dollar collapse then it shouldn't be any different selling it than the way you do now. I think a potential dollar collapse doesn't necessarily mean rioting in the streets and only bartering with no established currency. That scenario is possible, but it probably wouldn't last long and it would be a big motivator for the world to return to PMs.
What has that got to do with the question you asked me?? - "Who are you going to offload to, and how ?"
I will try to unload it privately first, bit by bit. Even through places like this. I do not know how capital gains affects profits on physical PM's. But if one has to pay capital gains on some of it, then so be it. They still make a profit. Are you trying to give reasons why it is NOT good to invest in PM's (or anything else) if it may skyrocket one day? Your not making sense to me? What are you trying to say - that one should put their money into something that will NOT go anywhere skywards one day? Stay away from profits???
Not fully understand yet because I only recently started stacking PM's. I will worry about capital gains after it skyrockets! Perhaps you could briefly fill me in now? And any sneaky ways/tips around NOT paying it would be greatly appreciated!
