Russia gold backed Rouble trading.

[Court Jester]

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.

again all your examples are irrelevant as they are not accepted as currency in general circulation and wont be.

and there was once a gold standard we wont go back to the past and bring it back, it is too impractical in this day and age, where they are trying to REMOVE circulating currency.

I am so certain of this, if you disagree care to take my bet above?

 

[Jislizard]

Fiat is fine for transactions and as a unit of account but it is not a fantastic store of wealth. At any time the government can revalue the money (e.g. Belarus) or decide to switch to something else (Eurozone, Amero).

At the moment people are happy to use fiat as a store of wealth because it seems to work quite nicely, you put it in a bank and not only is the wealth stored but it is actually going up.

However we haven't suffered the bank bail-ins of the cypriots, we haven't suffered massive hyperinflation such as most of Latin America, we haven't been invaded by a foreign country and had our money replaced.

We are pretty complacent, we don't even care how our banks work or who is running them, we just give them our entire wages and life savings without a second thought.

People I work with still find it amazing that until recently money used to be made out of something as expensive as silver. The idea that it had actual value rather than a nominal value makes no difference when buying a pint of milk, $2 worth of silver or a lump of brass with $2 stamped on it both buy you the same amount.

Within our own area that works nicely but we don't want to accept a bit of brass with $2 stamped on it from New Zealand in exchange for milk. Because we know that it isn't really worth $2 unless you happen to be in New Zealand, or you have a lot of faith that someone else will accept it at face value.

A currency with intrinsic value would be much handier for international trades, at the moment people are using the US dollar but they are starting to discuss whether this is the best option.

 

[boston]

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.

It is a very tempting offer.

However, prior to someone taking up this wager, who will hold the 2 x 1000 oz of AG in the meantime?

May I suggest GoldStackers, provided they agree to it?

 

[col0016]

Well this will be interesting. Personally I think CJ talks a lot of shit and won't actually go through with it... but it'd be interesting to see how much that 1000oz is worth in 10 years.

 

[Jislizard]

... but it'd be interesting to see how much that 1000oz is worth in 10 years.

Same as it is today

<--------------------------------------------------------- SIDEWAYS --------------------------------------------------------->

 

[col0016]

... but it'd be interesting to see how much that 1000oz is worth in 10 years.

Same as it is today

<--------------------------------------------------------- SIDEWAYS --------------------------------------------------------->

So in real terms half of what it is today lol.

 

[mmm....shiney!]

and there was once a gold standard we wont go back to the past and bring it back, it is too impractical in this day and age, where they are trying to REMOVE circulating currency.

Well you got one thing right.

But there is nothing impractical about a gold backed currency.

 

[lshallperish]

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).

Russia can also do one more thing to Europe.. turn off the Gas.. you watch what happens if russia turn's off the gas in europe.. everyone in europe will be crying like big babys

 

[lshallperish]

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.

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.

I call that bullshit. I bet you 1000 oz that american dollars will collapse in the next 10 years.. you would agree why would you bet right? well if I said that to you in the 80's you'd be like "NAAA BRAAH IT'LL NEVER COLLAPSE" Maybe it wont be backed 100% with gold but there is a chance that it could be backed with gold even 20-30%... you will not be able to trade you're fiat for gold.. that is correct because first...you wont be able to afford it since it'll be thousands just for an ounce, 2nd why would the government trade the very thing backing the fiat? The government would want you to go buy it from retail stores... you think you can walk into a government building now and go "hey I got 1 million dollars, gimme 20kilo's of gold" nope.. same thing will apply

 

[Court Jester]

*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.

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.

I call that bullshit. I bet you 1000 oz that american dollars will collapse in the next 10 years.. you would agree why would you bet right? well if I said that to you in the 80's you'd be like "NAAA BRAAH IT'LL NEVER COLLAPSE" Maybe it wont be backed 100% with gold but there is a chance that it could be backed with gold even 20-30%... you will not be able to trade you're fiat for gold.. that is correct because first...you wont be able to afford it since it'll be thousands just for an ounce, 2nd why would the government trade the very thing backing the fiat? The government would want you to go buy it from retail stores... you think you can walk into a government building now and go "hey I got 1 million dollars, gimme 20kilo's of gold" nope.. same thing will apply

your a fool and obviously cant read

I bet 1000oz that no GOLD BACKED currency will ever again be issued by a government. Nothign to do with weather the USD will collapse or not.

it may collapse in 10 years or never -- but so what if it does they wont reintroduce a gold backed currency to replace it-- which is what this thread was about.

they will reboot another fiat currency -- call it USD 2.0 and continue on the same cycle

That is what has happened in all recent examples of local currency collapses. Gold will never again be used as a government backed currency.

 

[raven]

I'll take that bet !