The depository, under the new Texas law, would give Texans a place to store their gold and other precious metals. But it wouldn’t be just for residents. Financial institutions, cities, school districts, businesses, individuals and countries could do business there as well.
At the depository, Texans will be able to open accounts similar to checking or savings accounts at traditional banks — and monitor them online.
Fiat money is not worthless. And unlike gold, its value is predictable.
Levi Lee
>t. mexico, russia, britain, eurozone
James Robinson
Why would I want gold?
Does anyone accept gold as currency?
Can you remind me why the world move away from the gold standard ages ago?
Brody Cooper
the gold standard was abandoned in order to print worthless fiat because there isnt enough gold in existence to cover the money in the system
Daniel James
1. there isn't enough gold in the world to back currency, even for a tiny economy like Texass. 2. Which means any currency backed by gold can only be PARTIALLY backed, making it mostly-not-backed by gold. 3. which is fiat currency. 4. the amount NOT backed by gold is subject to change and manipulation. 5. allowing the price of gold to rise based on it being too scarce to use as a currency creates the same local problem- the price increase doesn't reflect actual market value and collapses outside the area of use.
Gold standard is just an IQ test. Conservatives don't have the brains god gave an earthworm, to borrow their manner of speech. If I had a cow that dumb I'd be afraid to drink the milk.
Christian Wright
>le not enough gold meme
Fucking retarded. If there's "not enough gold" then the price of gold goes up, meaning it takes more dollars to get gold.
Eli Lee
>Fucking retarded. If there's "not enough gold" then the price of gold goes up, meaning it takes more dollars to get gold.
>5. allowing the price of gold to rise based on it being too scarce to use as a currency creates the same local problem- the price increase doesn't reflect actual market value and collapses outside the area of use.
learn to read. your inflated gold standard wouldn't allow trade with other countries so the currency collapses.
Parker Martinez
Gold only holds value because people think it holds value. Fiat currency only holds value because people think it has value.
Gold has no intrinsic value. No more than copper or pallidium or lithium.
Wyatt Clark
this
Samuel Barnes
>Gold has no intrinsic value. No more than copper or pallidium or lithium.
...or AT&T or Apple.
I'm actually waiting for Apple to find a way to use their stock as tradable currency (as in spending your iCash in TGT or WMT for some KO) to spike demand/price.
Matthew Bailey
let's say 1/100th of an oz. buys a coffee and a donut in my town. So in Texass they back their currency with gold and the price goes up thousands of times because they don't have enough.
now I still have plenty of gold here in Colorado, but it isn't worth much. So I can take my 1/100th of an ounce to Texass and buy a Cadillac with it. There's nothing stopping me from selling coffee and a donut for gold in Colorado and then using that same gold to buy cadillacs in Texass. So you've got a situation where I'm trading coffee and pastry for new cars because you're too stupid to understand the money illusion.
gold standard would only work if the whole world agrees to it, and it would still be a fucking fiat currency because it's backed by artificial (pretend) value. Just like your dollars, but with more of your retardation.
Adam Rivera
Gold is a *good* place to put your money?
Hudson Bell
Depends on how much your local currency is expected to tank over 10 years
The reason many people suggest holding 10-20% gold is no matter what happens someone somewhere will want it.
Isaac Davis
>it would still be a fucking fiat currency because it's backed by artificial (pretend) value It's value comes from it's scarcity, longevity, and conductivity. Gold is rare, and if it weren't we'd use solid gold for industrial purposes instead of gold-plating less valuable metals. Gold also doesn't rust or spoil, and melting it eliminates tarnishes. These two properties of gold give it intrinsic value. And now that we as a species consume a ridiculous amount of electronics gold will have value for centuries if not millennia.
Zachary Sanders
>he thinks they won't hold a percentage of the gold and your digital bux won't still be fiat
If you wanna buy gold, just buy gold. What good is it in Texas to me? Do you maybe not understand the core point of having your money in gold?
Michael Sanders
Aluminum and copper are better conductors. Silver is the best conductor known to man.
Plenty of other durable metal commodities besides gold, lithium or pallidium or cadmium. Gold is literally only valuable because its traditionally used as money, which makes it a sort of fiat.
Kayden James
>Aluminum and copper are better conductors No, they are better at giving off electrons - not conducting them. You learn this in highschool chemistry unless you live in a 3rd world hell-hole run exclusively by religion.
>Silver is the best conductor known to man. And yet Gold and Copper are used most in electronics.
>Gold is literally only valuable because its traditionally used as money Educate yourself, child. Gold is valuable today because it's a reliable store of value and an industrial component of electronics. 50 years ago, Gold was valuable because of it's store of value and it's industrial uses in dentistry and surgery tools and prosthetics. Gold was valuable 100 years ago because of it's store of value, it's use as currency, and it's industrial use in maritime fittings.
And gold has always been valuable due to it's use in fine jewelry and the inevitable correlation between jewelry and social status.
Caleb Smith
Gold has very limited industrial applications, which does not justifiy it's current high prices. It's already overvalued by speculators and people holding it as hedge and other weirdos that think nothing else is valuable.
It would have been a great investment 9 years ago.
Nothing new to me there. Only so many astronaut visors or gold-plated temples to be made each year and other materials can substitute for gold in other uses.
It's overvalued. Invest in other commodities.
Brody Reed
>and other materials can substitute for gold in other uses >It's overvalued. Then why aren't we substituting gold for less-expensive metals if it's so overvalued?
>Invest in other commodities. Nobody's arguing that other commodities are a smarter investment. You're moving the goal posts. The argument was that gold is a fiat, which is not true due to it's reliable store of value and it's industrial applications.
Henry Torres
>50 cents per cell phone A quick google search shows there are 6 billion active phones in the world right now, so there's at least 3 billion dollars worth of gold in our collective pockets - and that's just the active phones. There's still inactive phones, computer chips, tablets, smart devices, media players, cameras, children's toys...the list goes on.
Sebastian Jones
This is a good thing though
Outside of its industrial uses, which there is an over abundance of gold for, gold is just another rock with a arbitrary value.
Currency is just a man made concept to begin with. It does not matter whether you're using gold leaved, it only has value of others agree to go along with it.
Having imaginary money is more beneficial to the global economy than a currency with set scarcity, such as a finite amount in the earth or block chain tech.
It's stupid to have a dollar represent a X amount of gold, when 1) there isn't enough gold on the planet for the current economy and 2) the government won't let you exchange it for gold anyway.
Gavin Perez
My point is that its industrial uses don't create the demand or price for gold. Speculation and people treating it like money creates its demand.
Otherwise it would be priced under rhodium, which is more rare and has more uses than gold but is priced around $675/ an ounce.
Gold is expensive because it's treated like currency, so its much like a fiat currency.
Logan Gonzalez
>My point is that its industrial uses don't create the demand or price for gold. Speculation and people treating it like money creates its demand. They both create the price of gold. Demand is demand, no matter what the source.
>Gold is expensive because it's treated like currency, so its much like a fiat currency. Gold is expensive because it's scarce and has a reliable store of value since it doesn't rust or spoil. It's not treated like currency - nobody accepts gold as payment just like nobody accepts wheat or corn as payment; it has to be converted to currency in order for people to accept it as payment. It's a commodity, like wheat or corn except it doesn't rust or spoil.
Fiat is paper money and junk-metal coins, which has no value except for what the market says it's value is. Without the market it's worthless except as tinder or fishing weights. Gold's value is independent of the market's existence and would be traded (re: not purchased, but traded) just like wheat or corn if the market didn't exist.
Nolan Johnson
>It's value comes from it's scarcity, longevity, and conductivity. we're talking about artificially inflating its value by using it in a role where not enough exists to do the job.
>These two properties of gold give it intrinsic value bullshit. Most rocks have those two properties.
Dominic Barnes
>Most rocks have those two properties. I listed 3 properties, and no most rocks aren't conductive, nor are they particularly scarce.
>we're talking about artificially inflating its value by using it in a role where not enough exists to do the job. I was responding to the argument that gold is a fiat, which it isn't.
Dylan Jackson
>I listed 3 properties, you listed 5 properties and claimed two in particular give gold its value. Neither of which property is unique to gold or valuable.
apparently you can't read your own writing.
>I was responding to the argument that gold is a fiat, which it isn't. if gold has a real value of $1k per ounce and you artificially inflate that value to $10k then $9k of its value is fiat. A gold standard currency wouldn't raise the price of gold, it would create fiat currency.
Christopher Rodriguez
If there's no market, there's no industry that would require gold.
Hunter Hall
>Most rocks have those two properties. >you listed 5 properties Which is it kiddo, 2, 3 or 5? You make no fucking sense. >A gold standard currency wouldn't raise the price of gold, it would create fiat currency.
From Google: >Fiat money is currency that a government has declared to be legal tender, but it is not backed by a physical commodity. Gold is a physical commodity. Gold standard currency is backed by gold, which is a physical commodity. Gold standard currency is not fiat, you stupid nigger.
>If there's no market, there's no industry that would require gold. Dental and medical consumption of gold in the form of tools and prosthetics would still exist - gold will always have those two industries knocking on it's proverbial door.
Hunter Russell
>Which is it kiddo, 2, 3 or 5? You make no fucking sense. why don't you tell me, you wrote the fucking thing. I count 5 but then you say >these two properties so what did you mean?
>Gold standard currency is backed by gold, which is a physical commodity if you inflate the price artificially only the real price is backed by gold, the part you inflated is backed by nothing.
so unless you can convince other people all over the world to inflate the value of gold to your levels you've got a currency that's 99% worthless fiat.
and they won't because they don't have any gold so your silly gold standard currency is worthless to them.
Joseph Rivera
Fiat currency hold value because its legal tender. Its literally backed by the state saying we have t use it, or else.
Admittedly, in itself its not that much of problem, violence works for many things. But it creates opportunities for abuse of power. Which is exactly what is happening with the fractional banking system.
Ian Smith
>People saying Gold is not Money >Gold is legal tender in my country >mfw Of course, you'd be a retard to actually spend it at face value and every shop would probably refuse to accept it anyway.
