Wanna get physical?

Can't waiit 'til texas has a gold depository... lol...bwahahhahahaa! bring us your gold, we'll keep an eye on it...;)
 
Ah nice NL's #1 favorite bailout bank presented by Rijkman Groenink and Gerrit Zalm strikes again!
 
I think I know how this "business model" works. Basically they are using legal tender to make a quick buck.

For those of you who don't know - most of the banks notes you carry around are not money as such but legal tender which means that you can use them to dismiss debts if you are not able to satisfy a debt in the way initially agreed. Now, most people negotiate debts initially in terms of their national currency - which is also usually the legal tender in that jurisdiction. However, if I do work for you or give you some other thing of value on the understanding that you are then indebted to me for a ton of tomatoes, for example, then if you can't get me the ton of tomatoes you may legally discharge the debt to me by paying me the value of that ton of tomatoes in legal tender (which hopefully I will then be able to use to get my tomatoes).

So, if you were able to sell someone an ounce of gold (which you would then store for them) you would own them that ounce at such time as they demanded it - your debt is one ounce of gold. Let's say you sold that gold for $1600 last year and someone now wants their ounce (and the current price is $1700), then you ship them their ounce.
On the other hand, if the value of the gold has dropped to $1500, then you can just shrug, say that there is no gold to deliver and hand over the legal tender equivalent of an ounce of gold leaving you with the gold and a profit.
Another advantage (especially if you don't actually have the gold on hand) is that it means you don't have to go out and find the and purchase the gold and risk the price of gold rising because you are buying it.
 
For Americans, financial and economic Armageddon might be close at hand. The evidence for this conclusion is the concerted effort by the Federal Reserve and its dependent financial institutions to scare people away from gold and silver by driving down their prices. - Paul Craig Roberts
 
robert l. bentham said:
nothing happens by accident... here's your next cypress...

http://www.guardian.co.uk/uk/2013/apr/03/offshore-secrets-offshore-tax-haven
Click to expand...
An estimated 32 trillion bucks hidden away in tax havens and that's a big part of the reason that we are in the crisis we are in. Governments borrow money into existence (simply because issuing it into existence is out of fashion and the bankers prefer it that way) but it all gets siphoned off and stashed away where it can't be taxed back to cancel the debt.
 
FluffyMcDeath said:
An estimated 32 trillion bucks hidden away in tax havens and that's a big part of the reason that we are in the crisis we are in. Governments borrow money into existence (simply because issuing it into existence is out of fashion and the bankers prefer it that way) but it all gets siphoned off and stashed away where it can't be taxed back to cancel the debt.
Click to expand...
i think theyre about to get no vote in the matter... the chinese been buying gold only pretty much for a while now... they want hard assets... we cant give em that really cause we only have mostly paper iou's covering the bulk of the alleged "hard" gold... mostly worthless options... we could however pull an eu style holdup and shave 10% of everyones accounts and burn the money making the dollar stronger... that'd help china for two years prolly ...
 
You must log in or register to reply here.
Back
Top