I am holding in my hand a printed copy of The Dollar Endgame. Purchased it twice. Once as an ebook, but had to have the printed version also- for posterity. If your thesis is correct, and I believe that it is, tomorrow's world will look completely different - including fancy conveniences such as e-readers. But then, even in that world, I may have more pressing issues. Anyhoo, loved the book (obviously) and very happy that you found ANOTHER. What a fascinating time to be alive!
If memory serves me correctly, countries coming to claim their gold stored in the US is what led to the separation of the dollar from the gold standard in 1971, since the US didn't have enough actual gold to cover the claims. Is it possible the overwhelming amount of paper gold is so much greater than the real supply of gold that the paper gold claims collapse in value while the value of physical gold skyrockets? And what happens then?
I should add context - the 80k handle comes from my readings of FOFOA aka Friend of a friend of ANOTHER. And that number is from several years ago, pre c19 printing.
This should take you squarely down the rabbit hole :) It's freakin' fascinating now that I am re-reading it all. How prescient it really was.
I had set aside the concept until Peruvian (whose analysis I highly respect) recently broached the subject via "ANOTHER".
"So now let's jump ahead of ourselves and look at the state of the Treasury with and without FreeGold. Without FreeGold the Treasury is broke. It is insolvent. It is completely reliant on the future taxes to be paid by an economy in trouble. And its biggest asset, gold, is only worth $226 billion. That's hardly a drop in the bucket. But WITH FreeGold valued at $100K per ounce, that same stockpile is worth $26 trillion dollars. Now THAT is enough to be back in business on the world stage. Gold is, and has always been, the United States Treasury's "ace in the hole".
This post is gold. Love your work!!
nice post, gradually then suddenly.
I am holding in my hand a printed copy of The Dollar Endgame. Purchased it twice. Once as an ebook, but had to have the printed version also- for posterity. If your thesis is correct, and I believe that it is, tomorrow's world will look completely different - including fancy conveniences such as e-readers. But then, even in that world, I may have more pressing issues. Anyhoo, loved the book (obviously) and very happy that you found ANOTHER. What a fascinating time to be alive!
If memory serves me correctly, countries coming to claim their gold stored in the US is what led to the separation of the dollar from the gold standard in 1971, since the US didn't have enough actual gold to cover the claims. Is it possible the overwhelming amount of paper gold is so much greater than the real supply of gold that the paper gold claims collapse in value while the value of physical gold skyrockets? And what happens then?
Some speculate the gold could "reprice" to $80k / oz. but certainly curious to hear PB's opinion.
I should add context - the 80k handle comes from my readings of FOFOA aka Friend of a friend of ANOTHER. And that number is from several years ago, pre c19 printing.
If you have any data or insights to read I'd be happy to see them
Happily.
https://fofoa.blogspot.com/2008/09/freegold.html
This should take you squarely down the rabbit hole :) It's freakin' fascinating now that I am re-reading it all. How prescient it really was.
I had set aside the concept until Peruvian (whose analysis I highly respect) recently broached the subject via "ANOTHER".
"So now let's jump ahead of ourselves and look at the state of the Treasury with and without FreeGold. Without FreeGold the Treasury is broke. It is insolvent. It is completely reliant on the future taxes to be paid by an economy in trouble. And its biggest asset, gold, is only worth $226 billion. That's hardly a drop in the bucket. But WITH FreeGold valued at $100K per ounce, that same stockpile is worth $26 trillion dollars. Now THAT is enough to be back in business on the world stage. Gold is, and has always been, the United States Treasury's "ace in the hole".
Paragraph 21
"Using today's economic indicators, Gold should be trading anywhere between $8K to $80K (depends on a lot of factors)"
https://threadreaderapp.com/thread/1775696874948952412.html
Very nicely put. JPM sitting on that huge stack of physical via the ETF. I'm sure they'll be ok.