Most knowledgeable Stackers of Precious Metals will lament the loss of the Gold Standard when President Nixon ended the convertibility of the US Dollar to Gold back in 1971. They would correctly identify this historical move as the beginning of the True Fiat Currency Era where Governments around the world have increasingly become fiscally irresponsible and inevitably degenerated to the reckless Money Printing that we see today. We all know that it can't go on, but what comes next?
As this End Game develops and we start to see Inflation getting out of control while our Economies continually stutter you have to ask the question. Could we ever go back to a Gold Standard? Well, look no further than Zimbabwe, a country that has had immense problems with Inflation for many years now. They have recently announced the launch of a new currency – The ZiG. It stands for Zimbabwe Gold and it is supposed to be a new Gold-Backed Currency.
Hooray! Finally! Was no doubt the immediate reaction by many, but is there some devil in the detail that needs to be looked at? Is this new currency going to be 100% backed by Gold, or is it going to be Fractional....and if it’s fractional who can we trust to make sure that its managed properly, or even if the Gold is actually going to be there? Well, the answer of course is – The Central Bankers...the most trusted Masters of the Universe who have overseen all the recent (failed) currencies. NOT!
The BBC wrote up THIS REPORT and I couldn’t help but laugh at a couple of little bits, like this one :-
“Promises have now been made by the central bank's new governor that overprinting will not be allowed to happen again.”
Oh my sides! If you believe that one then I really can’t help you. I wouldn’t be trusting the Zimbabwean Government or it's Central Bankers as far as I could throw them. I think the real story of this new currency is captured in this little snippet :-
“Zimbabweans have 21 days to exchange old, inflation-hit notes for the new currency.”
That’s how you do it. Demonetize the old money and force everyone onto the books with a new currency. No more stashing wads of cash under the bed mattress because it’ll be worthless in a few days.
You have to be careful what you wish for and unfortunately in the degenerating political theatre of the West it’d be pretty hard to trust a new Gold-Backed Currency here too if it was going to be run by the same Central Bankers who’ve made the mess we’re in now. Nope! You can’t beat cold hard metal. Screw the counter-parties, we don’t need them.
Stack ON!