An Old U.S. Gold Coin. A $10 Indian in XF Condition

In the third part of this article-blog, we looked at how U.S. gold coins were confiscated from the American people under Executive Order 6102. The gold coins that did escape confiscation today are sold as old gold coins or rare gold coins. They differ from new gold coins, and modern gold bullion products. We also discussed in brief whether another gold confiscation could happen in the U.S. today. Truth be told, the United States is no longer a financially sovereign nation, we are in debt up to our red, white, and blue eyeballs. So, if the financial system we live in crumbles, and there are a new and more extensive round of bank failures, it would be naive to think that our creditors would not come calling. As I noted, our major creditors are The Federal Reserve, China, and Japan. Being that they all accept and hold gold, thinking that they may wish to settle the U.S. Debt in gold is not far fetched. By further reasoning, being that the U.S. Government called in the gold of it’s citizens’ once before, it would again be naive to think that they would not do it once more.

Gold Coins, Gold Bullion, Rare Gold Coins, And Old Gold Coins All Serve Different Functions

In the event of a financial crisis and a new round of bank failures, we will see extreme changes. Banks will be closed. ATM’s will be empty. Debit and credit cards will not function, because the banks behind them will be on what is called a “banking holiday”. Stocks will plummet, and financial products such as 401k’s and IRA’s will be subject to swift losses. In short, we will see the financial dominoes knock each other flat in a chain reaction. During such a time, gold will remain a valuable asset, as it always has in times of financial turmoil, and it will be useful to settle debts. Should the powers in charge choose to confiscate gold once again, it is my belief that they will call in the gold bullion products of the United States Mints, such as Gold Eagles and Gold Buffaloes, and pay for these coins in paper or worse yet, inaccessible digital currency. Because of this, I would trade away my U.S. Gold bullion products immediately for tangible goods. I would continue to hold my old gold coins (preferably minted by a foreign government), and U.S. rare gold coins, and barter-able silver as forms of currency and wealth. I have seen a part of the U.S. Patriot Act that specifically defines what a “rare” or “numismatic” coin is, and since they seem to be setting definitions, I have to wonder why. Remember, during the past U.S. Gold confiscation, “rare”and “unusual” gold coins were exempt from confiscation. We can only learn from the past, we cannot change it. The best gold coin as an investment is the one that you can get your hands on, and the one you can keep. ITM Trading suggests a diversification strategy between cash, well regulated financial products, rare gold coins, old gold coins, gold and silver coins, and bullion products of both gold and silver. By having a mix of options available to you, you will have options that those less prepared will not. To discuss owning gold and silver, call ITM Trading, we are here to be of service.