[ 3 / biz / cgl / ck / diy / fa / ic / jp / lit / sci / vr / vt ] [ index / top / reports ] [ become a patron ] [ status ]
2023-11: Warosu is now out of extended maintenance.

/biz/ - Business & Finance

View post   
File: 147 KB, 1080x518, US_20_1905_Gold_Certificate-1080x518.jpg [View same] [iqdb] [saucenao] [google]
20353685 No.20353685 [Reply] [Original]

So anons, how would you go about introducing a gold backed currency in your city? Not crypto, actual cash backed by gold and redeemable in gold. How would you go about getting traction behind it?

>> No.20353743

>>20353685

Lookup Utah Goldbacks. The currency is actually made of Gold. That's how you do it.

>> No.20353896

>>20353743
They look great.
But my question is: how do I get people to buy and trade stuff with such a currency?

>> No.20354054

>>20353896
break Gresham´s Law first

>> No.20354601

>>20354054
But wouldn't the fact that gold is appreciating in value, if nothing else simply because of the inflation of fiat currencies, be a great incentive to trade with a gold backed currency? Your buying power increases year over year and you can buy more stuff with it

>> No.20354639

>>20354601
I mean, a lot of businesses in Utah use the Goldback, could literally just follow that model.

>> No.20354789

It’s not about redeemability into physical gold. It’s about discipline. You make more money, gold must appreciate relative to the supply of money. In order to print more paper money, govs must purchase more gold to back it, rising the price through the free market. That way if the individual SAVES, their wealth only appreciates instead of being stolen through inflation.

>> No.20354943
File: 44 KB, 500x750, 1532048051952.jpg [View same] [iqdb] [saucenao] [google]
20354943

>>20353743
I could possibly see this working if a bloc of states teamed up. Utah, Nevada, Arizona, New Mexico.
Businesses can choose to opt-in.

California, Texas and Mexico can't join the bloc but are free to eventually trade using similar gold or silver backed currencies.

Is the big think or no?

>> No.20354959

>>20354639
Wow, I didn't actually realize that the goldbacks where anything more than just a fancy way to stack gold. Had a look and it seems like a great project. Thanks

>> No.20355026

>>20354789
This guy gets it.

>> No.20355097

>>20354789
Yes, but the redeemability is there to enforce this restriction: if you trief to do this but made it so that there was no reedemability, the probability/risk that the currency would slowly decuple from gold would always be looming in the shadows. Reedemability gets rid of that

>> No.20355541
File: 143 KB, 1280x720, 1590185628257.jpg [View same] [iqdb] [saucenao] [google]
20355541

>>20354959
I did the Mormon Cash Register:
5x 1UGB
4x 5UGB
3x 10UGB
2x 25UGB
1x 50UGB

>> No.20355622

Having a backed currency of any sort requires a shitload of people born in the past 50 years to simply cease existing. The population bubble is direct a consequence of fiat.

>> No.20355674
File: 13 KB, 228x206, 1585953891974.jpg [View same] [iqdb] [saucenao] [google]
20355674

>>20355622

>> No.20355966

>>20355622
What do you mean?

>> No.20356082

>>20355622
No dummy, it means gold must either rise in price or supply.

>> No.20356121

>>20354601
It would be incentive NOT to use the currency but save it. That is greshams law.

>> No.20356421

>>20356121
Hm, I get your point

>> No.20356480

>>20356421
Smaller supply = increased value