Confiscation of Gold and Silver Coins Will Not Happen
By Greg Hunter’s USAWatchdog.com
People ask me on a consistent basis if I think the government will confiscate their gold and silver coins if times get rough. I feel there is little chance of this happening, and here’s why. Gold and silver coins are predominantly held by the wealthy (especially gold). The wealthy are not going to allow the government they support with campaign money to take their gold. It is just not going to happen. Think about it, poor and moderate income people (and that is at least half the population) do not have a significant holding of gold or silver. Most of the rest of the population have the bulk of their wealth tied up in 401-K’s or IRA’s. This may come as a surprise, but most rich people do not have 401-K’s or IRA’s. They have stocks and bonds, but the rich also have the money and smarts to diversify their portfolios.
In my years as a correspondent at ABC and CNN, I used to check in with a coin and bullion dealer in New York City to see what was going on at the street level. He turned into a friend of mine and a great source. He was a real expert and had been in the rare coin and bullion business since the 1970’s. Around 2007, wealthy people and hedge fund folks started buying physical gold and silver. (Gold was in the $600-$800 range.) He told me he would sell Gold Eagles in $100,000 orders to individuals on a routine basis. He also told me he had “connected” clients who had never bought physical gold and silver before and were buying it for the first time in their lives. In 2008, he told me he started seeing big orders for silver coins. For example, one order was for forty, 500 ounce boxes of Silver Eagles. (It was shipped abroad.) If things get tight, the government is not going to demand their bullion coins back from rich campaign donors.
Another reason I think the government is not going to confiscate gold and silver coins is state governments are legalizing their use as money. South Carolina is the latest state to approve legislation (after Utah), and at least 12 other states are proposing the same thing. (Click here for more on this story.) There is also a federal legislation in Congress to allow gold and silver to be used as money. (Click her for more on the story.) The trend is moving towards gold and silver coming back into the monetary system, not outlawing it. Now, if you asked me if the government would nationalize gold or silver mines in the continental U.S. or Alaska, I say that is a possibility. I also think the U.S. government could confiscate foreign gold holdings on deposit at the New York Federal Reserve bank, which are roughly 6,000 tons. This is the low hanging fruit. So, I think confiscation of gold and silver coins are unlikely.
Chris Duane of TheGreatestTruthNeverTold.com thinks the same way I do. Duane lays out a very compelling case for not confiscating gold and silver (especially silver) in the video below. Enjoy and Happy Easter Monday:
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About the Author
Greg Hunter
Greg is the producer and creator of USAWatchdog.com. The site’s slogan is “analyzing the news to give you a clear picture of what’s really going on.” The site will keep an eye on the government, your financial interests and cut through the media spin. USAWatchdog.com is neither Democrat nor Republican, Liberal or Conservative. Before creating and producing the site, Greg spent nearly 9 years as a network and investigative correspondent. He worked for ABC News and Good Morning America for nearly 6 years. Most recently, Greg worked for CNN for shows such as Paula Zahn Now, American Morning and various CNN business shows.
I would like to agree with you. However, you my friend have come down with a bad case of normalcy bias! YOU CAN NOT predict what the government will do. Who would’ve thought that in just a few years, our rights as Americans would be so eroded away – – enough to make our founding fathers rollover in their graves! Will the rich lose? Here I agree with you. As the answer will probably be NO – as they rarely do. Will the government target the average Joe, the middle class, the guy who has been stacking slowly for years? YOU BETTER BELIEVE IT! If you don’t, you are living in a state of denial. The government will as you said, protect their buddies and screw the average stacker. And you can take that to the proverbial bank! Some how, some way – the average Joe will get screwed and the rich will get to keep theirs from some loophole. And before you get ready to blast my comment by saying where is my so-called proof…please show me 100% conclusive proof that what I am saying is 100% wrong.
Mike,
You are not wrong and you are correct in saying who knows what will happen. Did you watch the video before you made your comment. I think the government will not confiscate and laid out my reasons along with Chris Duane. All I am asking is you do the same on the other side of the argument. I will not blast you for your opinion but you have not laid out a compelling case for why you are correct. I am not saying the government is going to do everything right. I and Mr. Duane are saying the government will go after the large and less contestable low hanging fruit. Those are the mines, foreign holdings of gold and ETF’s with gold and silver. If all that happens then maybe I rethink my position. Please remember, the trend is legalization as I laid out in my build-up to the video. I’ll be happy to post any additional comments by you that will further your argument. I appreciate you point of view as the government has given many good reasons not to trust it. Two that come to mind are the NDAA and the NDRP. So your fears are well founded in actions taken by those in power. Thank you for weighing in with your spirited comment, and thank you for being my friend!!!
Greg
Please forgive my first comment if I came off as an arse! I am just plain and simple terrified of what is occurring while the MSM talks about the latest celebrity fiasco. I AM TERRIFIED for my children and grandchildren. What kind of America are we leaving them? I don’t see a good future with the NDAA, NDRP, DHS purchasing 500 million rounds of hollow point bullets, FEMA camps, dollar devaluation in full gear, Fukushima radiation, intentional dumb down of American children and teens…I can go on and on. I unfortunately predict martial law, mass civil unrest and a full collapse of the US dollar. MAY GOD HELP US ALL! And I pray that I am wrong, but sadly think not. Please keep up the fight. You are a beacon in the darkness.
Mike,
No sir, you did not come off as an “arse.” I think many who read this site are terrified about what the country is becoming. Ammunition and gun sales are exploding and that is a reflection of what people are thinking. As I said earlier, you have a good reason for being untrusting of the government given it’s actions over the past few years. What is it planning for? The laws passd and actions taken are not foretelling good times ahead. Come back anytime and comment my friend!!
Greg
Greg.
See. This is exactly why i visit your site daily. Intelligence, kindness,and understanding. I cant find this with msm, or online.
Thank you Jay for continuing to check in.
Greg
I agree 100% with Jay. Such respectful discussion.If the entire country were willing to discuss things in this way, we’d solve our problems! Thanks, Greg, for keeping your web site both informative and respectful/kind.
Thank you Rio for being a part of it!
Greg
I think what we all have to keep in mind is we are all on the same team(with the exception of the perps). They would love nothing more than having us go at each others throats with them standing over our ashes in the end. Remember there are a lot more of us than there are of them. The good guys will win even though it looks merky now.
Greg, good article…better discussion. Thank you for handling Mike’s comments with total class. Very refreshing!
Gold will follow the rules of income taxes and bailouts and the American law in general: The rich will not have their gold taken, just as they arent audited, nor harassed by the IRS- but the little guy who is vulnerable will be forced to pay and be fined up to the full penalty provided. PMs will operate like all other areas of our society, the Elites have carte blanche.
One thing is for sure. We have abandoned the rule of law. Our Bill of Rights has been thrown out without a wimper in Congress. I look for gun confiscation when the police state is officially declared. As a Vietnam vet, I have drawn my line in the sand. Under the guise of a’national security” the state will be able to justify anything(as a matter of fact, they don’t have to justify…they just do it). We can all be declared an “enemy of the state” by just questioning their authority. I have several hundred ounces of silver that I’m sure the state would love to get their hands on as I’m being hauled off to Camp FEMA. I have at least buried mine in 2″ pvc pipe with capped ends. P.S. Make sure you tell a trusted friend where it is.
The feds did confiscate bullion silver in 1934, melting it down and minting the final years of Peace dollars with the silver. It was illegal for americans to own or transact with bullion gold from 1933 through 1974.
I agree that 401Ks are IRA are likely targets. Feds did shut down gold mines during WWII.
Very thought provoking. Thanks. Mac
Greg, Great insight. There is too little gold in too large an area for it to pay off. In the 1930’s, gold was money and most of it was in the form of coins. The average persons’ gold assets are in the form of jewlery.
Good stuff George Too!! Thank you.
Greg
Greg, I agree, they won’t confiscate gold or silver. THEY WILL JUST MAKE PHYSICAL MONEY ILLEGAL. Just like Sweden, the feds will just outlaw any transaction outside of electronic. Then they can tax everything and see everything you buy.
Barry,
I think the trend is clearly going towards legalisation. Thank you for your comment.
Greg
I hope you’re right Greg and the States will keep gold and silver leagal. But I always come back to Revelation 13:16-18.
“And he causeth all, both small and great, rich and poor, free and bond, to receive a MARK in their right hand, or in their foreheads:
And that no man MIGHT BUY OR SELL, save he that had the MARK, or the name of the beast, or the number of his name.” Defacto confiscation when you can’t buy or sell without the “mark” or computer chip as many think the mark is.
Barry,
I believe in the Bible but I am not sure how the mark of the Beast will stop a black market. Can’t it thrive right along side of the digital money in stealth form? The The Bible and God did not forbid it. The Bible says the Beast “causeth all” but the Beast is not God now is he? I do not over estimate the power of the Beast and I will not underestimate the power of God. Faith my friend, have faith and never give up.
Greg
Not to worry if you are saved prior to the Great Tribulation for we who are in Christ are not subject to go through the wrath of God. I think many Christian’s don’t understand this. We are subject to God’s chastisement for what father does not discipline/correct his child. He does so for the child to grow up on a firm foundation. The wrath of God is a whole different set of circumstances. It is not for the backs of those who are in Christ. During the tribulation there will be many saved who will not worship the beast or take the mark as the verse before the two you sited states.
Rev. 13:15 He was granted power to give breath to the image of the beast, that the image of the beast should both speak and cause as many as would not worship the image of the beast to be killed.
Amen RJ. Thank you.
Greg
The logic of your argument assumes a continuity of elections. In a state of emergency, gold could be confiscated on the assumption that the memory of the public is short, and that it is a move to redistribute wealth from the evil rich. The move could actually be popular, with the right spin.
Mark S.
At that point we may have a full blown uprising, but you may be correct. Who knows how bad it will get?
Greg
Greg: I agree with your thesis, because a more effective way of assuring that only the elites/favored cronies are worthy of owning PMs would be through taxation and/or nationalization. Nationalization, whether de facto or de jure is already occurring worldwide as sovereigns are restricting exports and forcing all mine production to be sold to their central bank. BTW, due to the highly critical need for silver in weapons production and other significant industrial uses, I would imagine that restrictions/limitations on silver ownership would be more likely.
You should also review one of Obama’s first Executive Orders in 2009 that gave him unprecedented control of all resources throughout the western US, whether public or private.
Good stuff Andy B!! Thanks.
Greg
Greg – this guy makes sense, unfortunately our own government doesn’t anylonger….thankyou for continually posting good articles….
Thank you Big Tom!
Greg
So how do you explain what happened during the regime of FDR when he banned and collected gold off the open market. This wasn’t overturned until the Nixon admisitration…
I think this administration if not stopped will work to remove wealth by any means possible.
Ontime,
That is not exactly how it happend. Pleaqse read:http://www.usagold.com/gildedopinion/gold-confiscation-ganz.html
Greg
“Not exactly how it happened,” please don’t go down that path! Setting very low limits on how much gold people could hold, and placing exemptions for some numismatics didn’t make the weave of the net wider in any meaningful way so that average folks could slip through it and hang on to their wealth. There is an anticompetitive spirit in this country based in Wall Street, DC is its subsidiary. It does not allow capital formation outside its influence circles. It uses government power to smash wealth and seize fortunes of those outside its influence circles. I identified this as a single specific organization in “The Silver Stealers” documentary (which was preceded for summer 2009 at Silver Investor by a 312 page week by week report, March 1933 into January 1937, of FDR’s metals grab) which so many metals sources have ignored, notwithstanding no one has attempted to discredit or disprove any of the documentation. The online book is free access unlike that of the lawyer you cite, whose work lacks this pivotal information. Many rich people who thought they were connected will not be protected. Exposure of this anticompetitive alliance against private capital formation is the best way to go to shield our property rights. It is not without portent of danger that Homeland Security addressed the Silver Users Association at its fall 2007 meeting! There is a great deal more to be noted and has been addressed at the site linked and its companion site http://www.nosilvernationalization.org
Greg, I sure hope you are correct but I have this sick gut feeling we are trending toward digital money, especially for tracking and taxation. There will probably be a black market but we will have to be careful of the reward for snitching. I think the numbers that have gold and silver are close to the ones still paying with cash, not very many. Most of those I see paying with cash are nationalities where cash is king. I’m sure you have already seen the app and device for transferring money on you’re phone. We will see beggars with signs tha say “I take cards”.
Thank you Don Quixote.
Greg
The only way to control people’s spending is to make spending electronic. There will always be bartering as a fallback not to mention community support, but for the cities and masses, monetary control through electronic devises is the only answer for any government. The fact is, until just recently there has not been an system in place that could manage this but with the available technology, it is now possible with the flick of a switch. We all know that any change of this nature will be done “For our own Good and Protection” and will be accepted with open arms. Hitler did not take over, he was elected because people believed the change he was selling. How did that turn out?
Great job covering the subject and one of the best feedback coverage’s available anywhere. The fear and anxiety across America is evident in your readers responses.Thank you for handling them with respect and support.
norcar survivor,
Thank you for your kind words and telling us about your strategy. I have said it before and I’ll say it again we have some of the smartest people on the Internet commenting on this site!
Greg
The technology that empowers the government to control spending and taxation, also makes empowers popular alternatives to e-money-based-commerce such as bartering, alternative currencies, etc. The internet is the enablling technology for alternative markets. Craigslist and Amazon.com are only the first iteration. Eventually ordinary people will awaken to the fact that our system caters to the elites, and will opt out of it and into Fair Markets 2.0, which will connect buyers and sellers directly, bypassing middlemen, banks, and the government. We must be wary of attempts to regulate and control communications — the Web, wireless, social networks, etc., for this will someday become the new marketplace of the masses.
Greg, this was my next subject in my in-box. Is it going to make any difference what we use for money?
dollarcollapse.com/creeping-fascism
This is a big can of worms for people and govt. No One knows what they will do. I tend to agree with the article.
It wouldn’t look very good for the govt to confiscate all the gold eagles they’ve been selling under under law-it’s kind of ex post facto no?
Why bother kicking in doors etc. to confiscate when they can do it indirectly.
First through taxation with selling strictly controlled and reported. Then they can go into the gold market and just print up paper money and buy gold. Lot’s of people will sell their gold for $3k/oz or $5k or even higher. Already people are balking at buying gold at these prices. Eagle sales are down, coin shops are mostly quiet.
Central Banks and a few giants are now the main physical buyers and they will outbid the public for gold with unlimited printed dollars, euros etc.
A super high gold price may be one of the most painless ways out of our debt crisis. At a 5 figure gold price our national debt begins to look like it can be paid back. Not to mention all the liquidity a very high gold price would pump into the system and the resultant taxes that would be collected. Although that may be too smart for politicans to embrace but who knows.
Anything can happen so be prepared for all possibilities as best one can and good luck cause we’ll all need it.
Thanks Greg for all you do
Thank you Robert for adding to the conversation.
Greg
Good time to buy Silver. Its hoovering around 31-32.
I know not what lengths desperate men will take……. myself included.
I think you’re right the majority of precious metals are owned by the wealthy elite and it will not become illegal to own as it did with FDR. If “the powers that be” have been keeping track of gold and silver purchases they might try and use the asset forfeiture laws as one way to confiscate gold and silver.
Do you think they will come after our 401K accounts?
David Anderson,
You ask, “Do you think they will come after our 401K accounts?” In a word, YES! In some way shape or form, yes. It may come in the form of forced holdings of Treasuries or capital controls that restrict your withdrawal, but yes, a thousand times YES!!! I predict the regular tax and a 10% early withdrawal penalty will look cheap in the not so distant future. Many have written me and said they cashed out of their IRAs, paid the tax and penalty and have never regretted it. I cannot and will not advise on this action. It is something the owner of the IRA must decide for themselves/. As far as 401-K’s are concerned, you must leave your job to cash out cleanly, otherwise you must take a hardship withdrawal or a loan and I cannot advise on this either. These are personal choices. I am not a money manager, and I am not advocating this. I am just passing along information as far as the actions of others. Thank you for your comment and question.
Greg
Greg,
First off thanks for your reply and everything that you do us in being a voice of sanity in this mixed up crazy world. I was not looking for “financial advice”, only your opinion on what might happen. Currently I’m part of the great unwashed, unemployed for over a year. My 401k is 100% silver bars in a locked safety deposit box. I moved it to metal a couple of years ago and it has done very well. The question I have (a rhetorical one) it the timing of cashing out. I’ve had some comfort that (hopefully) with a republican house that they would be less likely to pass legislation coming after the retirement monies. However as I type this I’m reminded that the “string pullers” have control of the house republicans too. Ah NUTS!!! I think the thing to watch is Europe and the bailout ballet. I’ve heard that when it fails no American bank will escape and the final crash will have started. Peace.
David,
I did not mean to come off harsh, but I wanted to make sure I was not mistaken. You never know who is reading this site. If you think this “I think the thing to watch is Europe and the bailout ballet. I’ve heard that when it fails no American bank will escape and the final crash will have started.” Keep a close eye on your bank and have an evauation plan for your wealth!! Thank you for your support and kind words.
Greg
Greg – I too believe very strongly that they will come after retirement accounts. There is simply too much money just sitting there. Think of all the votes one could buy with all that cash. My thought is like yours, some sort of forced Treasury buying program that will be sold to us as a safe alternative to those risky stocks and funds. I’ve completed cashed out of all my accounts some time ago. I may be a few years early, but that’s better than being a day or two late.
Greg,
It really depends on how bad things will get if a major disaster hits the U.S. Will the whole country be in chaos? Will there be riots on the streets? Are we under Martial Law? Will the President (whoever that will be) exercises the NDAA and the NDRP? If you could be detained indefinitely for no reason, would you still worry about the whereabouts of your gold and silver? I am afraid not.
I think there is a higher chance that our gold and silver will be robbed or stolen than possible confiscation by the Feds. With the rising price of gold and the increasing numbers of “Cash-for-Gold” companies, gold related crimes are increasing across the country. Most “Cash-for-Gold” companies are not regulated and they are usually operating under a “no questions asked” policy. These companies are favorite places for criminals to get rid of the stolen gold and silver jewelry. Just be safe!
“The desire of gold is not for gold. It is for the means of freedom and benefit.” by Ralph Waldo Emerson.
Ambrose
Ambrose,
Very good points and an excellent quote! Thank you.
Greg
Completely agree, Greg.
Here’s a great article regarding confiscation of gold:
http://fofoa.blogspot.com/2010/08/confiscation-anatomy-part-2.html
If you check it out, let me know what you think. FOFOA is very erudite in some of the more esoteric truths behind gold.
Nick thank you for the content and comment!
Greg
I am aware that the government will not confiscate the physical
gold and silver coins of the rich people. But I have a feeling
they will find loopholes to confiscate it from the middle class.
Just think of MF Global. Gerald Celente has paid up his entire
gold futures contract and was expecting delivery. And what happened,
he got nothing.
Although Gerard is a prominent bankruptcy trustee whereby maybe in
the future the government or bankruptcy may give him back something,
I doubt the average Joe who have paid up their contracts for delivery
are going to get anything. The best case scenario would be a cash
settlement which still means the average Joe who expected delivery
got their physical gold confiscated.
Just think of the farmers who got screwed. In a way, I would say
that the farmers also got their commodities confiscated.
If that confiscation of commodities can happen to farmers, how
can we know for sure that confiscation of gold and silver coins
will not happen to the average Joe through whatever loopholes?
The confiscation of gold bars from the futures contracts that have
been paid up by some average Joe that stood for delivery already
happened.
I think we should be very careful and not assume it will not happen
after what we saw at MF Global.
Phil,
Fair enough. Thank you for reminding us all about the MF Global rip-off!!. . . and for your comment.
Greg
It is hard to imagine all our cash vaporized overnight, but that is what happened when the USSR fell. The average citizen and low level government workers had to warning. Barter became a way of life, anything for food and basic necessities. The government issued ration cards for state run stores, but mostly the shelves were bare. The government did not confinscate anything, people willingly traded whatever valuables they had for food.
Think of the creature comforts you do not want to live without, toothpaste, toothbrushes, toilet paper, tea, coffee, soap, a good bottle of Scotch. Buy more than you think you will need, these are great barter items. The government might think they can control barter, but how? The blackmarket thrives today when people can easily obtain what they want from a store. There will be little revenue produced for government to tax. The people will always outsmart the government.
I sent some of my PM’s to relatives in Europe for thier use or safekeeping, whatever the case may be.
Good point Jan, thank you for weighing in here!
Greg
Greg
I just got word from my gold dealer in Alberta last week that legislation has already been passed here in Kanada to require sellers of gold/silver in excess of $200 to provide paperwork including name and address. That doesn’t mean confiscation but it is a way for TPTB to inhibit people from buying in the first place. In other words the tax man is being used as a threat to those owning and cashing in on their gold. That legislation is to take effect in “2 to 3 months”.
Terry,
Thank you for the reporting with news from our Canadian friends!
Greg
Overall the video was put together well.
It gets complex points across in a quick and impactful way.
If I were to add one item though that(would ultimately help the video’s long term viewership/message), by virtue of greater accuracy of a key point, then it would be this:
Twice the image was shown of the five $20 gold pieces exchanged for the five $20 bills – with the key point being made that the gold would have a risen in price today to $8,500 and then the five $20 bills (worth $100), but then…deflated back to their puchasing power of a mere $6. So the visual (2 times) was: $8,500 to $6.
It’s ok to show the actual purchasing power of the five $20 bills being deflated to a mere $6 (in actual pp)…however, when the deflated calc is made (to show a 94% drop in pp)…then the same must be done with the five gold coins: namely, a 94% deflated value from $8,500 = $510.)
So, to have apples/apples, the real comparison is $510 to $6. Still monumental!
However, since the film has potential to be used as an edu tool, it’s best to get the numbers “right on”, as many (“financial guys”), viewing the film, will pick up on that – then perhaps throw the baby out with cuddles and smiles included – because they wished to rid themselves from a small amount of bath water.
All the best,
sj
superj,
Fair enough, thank you for weighing in with your well stated critique of the video.
Greg
Hi Greg
You know me as a preperationist and have already converted both of my IRA’s into dollars. I paid the taxes and took the penalty and never looked back. The value of my dollars did more for me a year ago than they will in 20. Converting to metals has proven to be the answer for me. I agree with you. I can not tell someone else what is the safe play for them, but for me and my family, safety is paramount in my decision making paradigm and paper money and investments hold no security in our near future. You can not eat worthless stocks and IRA’s but barter-able goods will always be of value, if just to you.
and your family.
No need to confiscate any metals in a physical way; all they have to do is raise the capital gains tax.
I believe the confiscation will be in a tax way directed at the 99% while the 1% will most likely find loopholes.
I think that the best way to avoid that little problem would be to think like the wealthy. Don’t think of your metals as money but rather as reserves (as if you were your own central bank). Then in an increased taxation situation you could mobilze your assets by putting them up as collateral, then there would be no taxation.
Everyone talking about the government might do this…The government might do that….. ***K THE GOVERNMENT! This is our country, lets take it back. Start exposing the fraud and corruption everywhere you see it and name names. Stop voting for incumbents. Stop paying your taxes. Stop watching TV. Take all your money out of the bank. Stop being part of the problem.
The only reason these criminals have so much power is because we let them have it. Stand up and demand a return to the rule of law. Demand that your state cast off the federal government and take back there constitutional power.
And for God sakes, grow up and stop believing in Republicans and Democrats.
Greg,
LOTS OF FACTUAL ERRORS IN THE VIDEO:
I agree that the US should they confiscate PM’s will go after the low hanging fruit. However, the US will not go after the major gold and silver ETF’s, because they can’t. 80/90% of it is stored in Great Britain, Switzerland, India, Canada, China, Singapore and the like. GLD has a large majority of all the gold held by ETF’s and every ounce is in London. How is the US going to confiscate that? Sprott holds all its silver and gold in Canada.
The gold held at the FED in NYC is another matter. Read “Currency Wars” by Jim Rickards. He believes that there will be a 90% windfall profit tax on the sale of gold and silver. One problem with that is there is no provable cost basis by the holder so maybe not.
Silver was confiscated a few months later by FDR – Executive Order 6814
http://www.presidency.ucsb.edu/ws/index.php?pid=14741#axzz1rdmzgohu
The gold mines were not nationalized. Instead, all production had to be sold to the Treasury at $35 an ounce.
Very sloppy video.
Thank you Alex for weighing in and keeping things accurate.
Greg
Hi
I agree that monied supporters of government call the shots,bought and paid for, therefore no confiscation of a persons gold. I prefer silver as it has not been confiscated in the U.S. In the past. In the end I am only guessing because nobody knows how bad it can get or to the extent government will persecute their own citizens.
Thanks
Bob
I agree with Norcar— If the G-Men decide to abscond once again with the citizens wealth it will be their IRA’s and 401’s they go after ( forcing G-Man paper on them). Reason– As you described — Americans for the most part hold NO gold. The Cartel has successfully through blatant and illegal manipulation with the help of a wantonly corrupt CFTC to label Gold & Silver as R-I-S-K-Y investments. I started buying when gold was at $450 and my risky investment including future buys has tripled. I have failed to convince even one of my mostly well to do friends to buy even 1 ounce. Unfortunately the only time I ever hear them mention gold is when the cartel has let it run and is preparing a mentally crushing take down for late comers– who then deem it risky-ad infinitum.
Houdini could not pull off “the gold is a risky asset when compared to the dollar act” which is now worth 1 penny since the inception of the for profit FED. A bizzaro scenario worthy of a Twilight zone rendition .
Greg:
Thanks for posting Mr. Duane’s video. Makes logical sense when one thinks about it. A couple points though:
He failed to mention that people were allowed to keep $100 in gold. When the average income was about $1300 a year, I doubt if 60-70% of the population had that much savings. And if they did, the ‘confiscation’ didn’t affect them at all.
Second point: When the US Gov’t begins stealing the gold holdings of other nations, I would guess that tit for tat would happen and enormous U.S. holdings in those countries would be nationalized by those governments, particularily the assets of multinationals. Ford and GM might be two of the biggest losers! JMO
Keep posting!
D
My understanding of the FDR order was that people had to turn in all gold coins held “IN” the U.S. Obviously the rich/connected were aware that confiscation was coming and had the opportunity and ability to store their gold abroad. That is why we still have so many large quantities of un-circulated common date $20 gold coins coming back here today. Just because many people wouldn’t obey, doesn’t mean the government wouldn’t attempt confiscation. For the cost of the paper it takes to print the order, the government would obtain a large enough level of compliance to justify the effort. Look how many people still take off shoes and get scanned at the airport!!
Sir,
It would be nice to believe what you say about gold, but unfortunately history is not on your side. In the 1930’s, president Roosevelt did exactly what you say will not happen..he confiscated the American people’s Gold and silver. How can you so confidently say this will not happen again?
Christina,
Back then gold was actually currency (IE. $20, $10, $5 gold coins). Today it is not and not in wide circulation as it was in the 1930’s. The rest of my points were stated in the post. Thank you for weighing in.
Greg
Hi Greg,
This guy, like you, puts himself out there. More and more people are questioning the status quo.
Avg. Folks Choosing Food, Health, or Fuel
Average Americans are having to choose between food or fuel. The productive value of a person in this position is zero to the corporate Fascist oligarchy. If you decided to leave the country where would you go? Islands of suitability are those countries that have the rule of law. This is a global crisis that will be very hard if not impossible to prepare for. What should younger people do to prepare for the future. This is a major structural problem for people looking for jobs with 1/2 Billion meaningful jobs vs 2.5 Billion labor participants.
http://inpoints.blogspot.com/2012/04/avg-folks-choosing-food-health-or-fuel.html
Of course they will not come for PM’s. Why would they? All currency/money will be digital. PM’s will be of NO value…they will be thrown in the streets!
Ricky Ross,
Your premise defies 5,000 years of history.
Greg
Of course black markets will exist, and there is little that the government can do about it. In fact, just like in the old Soviet Union, the government minions themselves will partake in the black markets, right along side the unwashed masses.
As an example of a real-life black market that cannot be eradicated, just look at the drug trade (I am not advocating the sale or use of drugs). This is an open-air market that exists on public streets, in parks, and in parking lots, right under the noses of the local and state police. Sure, arrests are made and drugs are confiscated. But there is more commerce than the cops can stop. If the products were food and such items, and the payments in pre-1964 dimes and quarters, how many people would participate as buyers and sellers, and how would the cops stop it all? Could they stop it, or would they just join in on a “don’t-ask-don’t-tell” basis? As the video points out, the cops are not even going to show up for work as soon as their paychecks fail to clear their banks. They and their families will be hungry as well.
Got gold? Got silver?
I’m not sure if this has already been mentioned, but besides the rich, the predominant owners of gold and silver are the ‘guns and money’ crowd.
If you tried to confiscate this section of the population’s gold, you’d have a real (violent) fight on your hands. And a lot of these people actually practice military tactics in their spare time.
One time I’m glad they are one my side!
They don’t have to confiscate Gold & silver, the feds only have to enact a strict IRS reporting law that brings a 5 year prison term for failing to fill out a form when buying or selling them.
Now sellers will be expected to pay 30% (?) of the profits, plus the IRS will be very curious about when you bought them, at what price & with what money…
They can do PLENTY!
Whoops. That was supposed to say ‘guns and food crowd’. ie survivalists.
Greg, usually with you 100% but on this one I’ll have to disagree and for the simple reason that the world today is run on “The Other Golden Rule”, the one that goes “Whomever has the gold, MAKES THE RULES!”. And that means there will absolutely, positively be a Double Standard on the confiscation issue; the wealthy getting to keep their gold ( and silver ) and the hoi-polloi getting bent over the rail and the barbwire-wrapped fencepost being inserted you-know-where until their gold and silver emerge into the hands of you-know-whom. It’ll be framed in the guise of some sort of “national emergency” just as Roosevelt did to take away the gold in the 30’s. But now that silver is a trifecta metal – being monetary, industrial, and strategic – silver will get to come along for the ride on this round of Legal Larceny. The inevitable can be forestalled only so long. Sorry.
Greg, even if they do confiscate, how’s that going to work? There is soooo much gold squirreled away in this country I doubt you are going to see lines of concerned citizens handing it over for the good of what? The country is gone and has been gone a long time. And just because you were not cajoled into paper investments and actually choose the correct currency, how will it be taken away again? I guess it is just to unthinkable for me right now but let’s face it, people just aint no good.
So are you saying you trust o buma? Every thing this con says you have to go the opposite way. The government has shown their true colors and it is not red white and blue. More like a red crescent moon. And I see it every day, they are a bunch of crooks. Can not believe that the population does not rise up!!!!!!!!
No Jay,
I am saying I do not think the government will confiscate coins.
Greg
Doesn’t it take 500 oz of silver to build a tomahawk missile? Obama’s recent notorious executive order says they WILL TAKE whatever natural resources they “need”. Silver Shield, Brother John, Greg,whoever…can you say why they won’t TAKE it? 450 million rounds of hollow point 40 caliber bullets recently ordered by DHS for what reason? These are PIRATES we are dealing with. GANGSTERS.
DEAR GREG;
IN FAVOR OF YOUR ARGUMENT; SINCE THE U.S GOV’T ALREADY HAS APPROXIMATELY 8-81/2 TONS OF GOLD, WHY WOULD THEY NEED TO CONFISCATE GOLD FROM THE RICH, THE MIDDLE CLASS, OR THE POOR. THAT WAS THE AMOUNT OF GOLD IN VARIOUS DEPOSITORIES HELD IN THE U.S, WHEN PRESIDENT NIXON CLOSED THE GOLD WINDOW IN 1971. OUR CONSTITUTION STATES THAT THIS GOLD IS THE PROPERTY OF ITS CITIZENS AND THAT MISUSE, FRAUD, OR STEALING OF THE GOLD IS AN ACT OF TREASON,WHICH IS A CAPITAL CRIME. FOR THAT REASON, I’M ASSUMING IT’S STILL ALL THERE ?
ALSO,THE FEDERAL RESERVE IS A PRIVATE BANK, AND SINCE I AM READING THAT MANY CENTRAL BANKS ARE CURRENTLY BUYING GOLD,[LIKELY INCLUDING OURS] OUR CENTRAL BANK IF IT ALSO OWNS GOLD, WOULD ALSO HAVE TO TURN IN THEIR GOLD. AS MR JAMES SINCLAIR STATED, ” YOU CAN BET,WHEN THE FAIT SYSTEM CRASHES, THE FED/BANKS WILL BE LONG GOLD”. I DOUBT THEY WOULD WANT TO GIVE UP THEIR GOLD OWNERSHIP TO THE U.S GOV’T. YOU CAN’T HAVE IT TWO WAYS; THE BANKS KEEP THEIR GOLD BUT THE CITIZENS MUST TURN IN THEIR GOLD!
I think this gentleman is making a big mistake..first the people who are very wealthy will not be rushed my the governmnent, so they wont lose their gold or silver..but when the law comes to the lower class, the’ll take any and all..like it or not…so I’m saying gold and silver is only safe for a selected few..think about it!
We can all debate this issue until hell freezes over. Bottom line – no one knows for sure on the confiscation issue. Silver less likely than gold but still…
And I dont buy the argument of only the rich have it. If the third stage mania kicks in every man and his dog will clamour for 1/10th of an ounce albeit @ $10,00/oz, just like they all had dot.com stx back in ’99.
It all comes down to the level of control the govt will want to exercise. That depends in turn on how bad it gets and how out of control the currencies get. Again plenty can hazard guesses but no one knows so that makes it 50/50 in my book. i.e. pointless guessing
Even if there if confiscation, it’s unlikely to come out of the blue. Keep your ears to the ground and you can probably divest prior to the dictate and maybe even close to the height of the mania.
Hey Greg, the information is always positive. I just am thankful to the Almighty for people such as yourself and other truth seekers and speakers for doing so much of the homework I cannot do on my own. It is good to read your posts and also read the comments. I get to learn a lot and also prepare. I am glad on the build up to the video. For all of my scared folks out there, the only thing you should FEAR is not being prepared however best you can. You may not have gold, silver or a gun, but you will have something to barter with if things get rough. For the others who can afford to invest, Keep stacking physical only!
Greg,
I always love your viewpoint. It will not be confiscation. — Only 7% of transactions are in cash nowadays. This means that even maximum currency damage, gold or silver, by government will be minimal.
If they leave all legal minted coins alone it cannot create much damage to the monetary system and they can control precisely how many they mint (zero after the event)
Silver coins are a non event except psychologically. If Salinas Price gets Mexico on the silver standard it would negate any silver action by the US.
Kennedy was, in my opinion assassinated for EO 11110, which would have put the fed out of business.
Gold bullion is the big problem, some 10,000 tons of a problem, and about the same belonging to other countries which could seriously upset US monetary policy.
I foresee a massive Tax on all gold transactions; not confiscation. This achieves the desired result and the tax can be increased as the fiat currency degrades,
India has doubled its gold tax to consumers. Vietnam and Turkey are trying to grab hold of their population’s gold. Venezuela has repatriated. Switzerland and Germany are trying to repatriate.
China is the only smart one by getting all its citizens to own as much gold as possible because THEY will confiscate when the time is right to put the Yuan on the Gold Standard.
I am 100% in gold and it is not in the US, I think the Canary is gasping in the cage and we should start thinking of how to avoid the probable gold tax.
Nice video and information which you have posted, Its very informative thanks for posting 🙂
I recently rolled over my 401 into a Gold IRA. Now I am concerned that even that would be at risk of some form of confiscation. What are your thoughts on that? I am debating the idea of closing my account and taking possession of my metals personally.
Nole,
Gerald Celente said on this channel that his lesson from the MF Global collapse was if you don’t have direct control of your wealth you don’t own it. Many on this site have written and told me they paid the prevailing tax and 10% penalty and took direct control of their funds. (In your case gold.) I have not heard from a single one that thought they made a mistake. I am not an investment advisor but I also think these folks did the right thing. You and only you can make that decision.
Greg
I can tell you I pulled mine out. In order to pre-pay the taxes I set up at my work to have them take out and additional amount of money for Federal Taxes all during the year so I did not get hit with a massive tax bill. Be aware if you have state taxes you might want to do the same thing or you will face a bill there too. I think it’s worth it as I don’t trust those cockroaches as far as I can throw them. They are criminals and I would put nothing past them. These depositories and such all say ‘oh that has never happened’ . Ann Barnhardt did a series of interviews on Youtube about this very thing. Her advice was to ‘GET OUT of the system’ I took that advice.
A general increase in prices will automatically fall in the purchasing value of money.
I see the direction of this country moving back to the States.When our currency crisis hits, inflation kicks in, and $ crashes, the government will have no choice to shrink and I mean big time. When our $ crashes that means the whole world economy will be affected and we all just may begin trading with silver and gold. The States will step in and must take control of this government that the created. We are collapsing for a reason and it’s pure common sense. Government took over our freedoms, our decisions nad took our money doing it. THEY SPENT TOO MUCH. States will have to Amend our Constitution so we never go through this again for a long long time. But I do agree silver and gold is coming instead of good old Benjamin. Our founding fathers wouldn’t want their pictures on this cheapened dollar representing the US. This is not the US that they created.
In Nazi Germany they took people’s gold teeth out…I am sure they would go after all the gold. If their rich corporate buddies have gold though, they may spare them. Also, I believe not everyone is going to the FEMA camps anyways. It’s only for political dissidents, and Christians who belong to churches. Read the Bible. The war is against God fearing Chistians and the first to go down are those pseudo ones who celebrate Christmas.
It happened in 1933 and that was a point in time we had more fiscal responsibility. Since Obama was elected the U.S. debt has grown by approximately 70% with nothing to show for it. Unfortunately Washington does not seem to interested in stopping such irresponsible acts. I hope you are correct but the fact that the American govt. has never in our history acted with such irresponsible acts from a fiscal standpoint. There is only so much room for floating govt. debt and when that limit is reached Uncle Sam will do whatever it takes so shore up the greenback. I just do not have any faith in a govt. that would spend the next two or three generations future out from under them before they are able to vote or have yet to be born.
Hi Greg,
You have an interesting angle on why precious metals bullion will not be confiscated. I agree with you. But I did not consider the reason is that the top wealthy people own most of the gold. My reasoning was similar – that the average American does not own enough gold for it to be worthwhile for the government to confiscate! This is not 1933. We were on a gold standard up to then and most people owned gold in those days. Many were paid in gold coins literally.
The big ticket item are the 401ks and IRAs that the middle class folks have now. If you count them and the pensions and government thrift savings plans, the amount comes out just about equal to the $17 trillion debt. I strongly doubt if Americans own even $1 trillion in gold.
Gold is boring to the politicians. the 401ks and IRAs are the low hanging fruit. The IRS knows all the account information because 1099-R’s 1099-Bs, 1099-DIVs and so forth are sent to them by all your financial institutions.
To confiscate gold will be very rough. The government will have to call on all cities and towns to send their local police with search warrants in every household. Many of those households will deliver lead instead of gold. Like it or not.
Again, it’s too small an amount to be worth the effort of the government.
If the government did come after the average person’s hard assets it would be for one reason and one reason only. To make sure they have taken everything they can possibly take from us. It would be to deliberately cause harm to those individuals that have taken steps to try and have something worthwhile when they are done raping, pillaging and plundering the country for every dime. If they do decide to do that they won’t get mine, no matter what. I may not be able to use it but it will never be used by them either.
It makes total sense that they would not bother with what little hard assets are in the hands of private citizens. It wouldn’t make even a small dent in the massive ocean of debt we find ourselves being held responsible for. I am more of the mindset that we all stand up and tell the bankers and the Federal Government to shove it. I am fed up with the whole lot of them and don’t feel any inclination whatsoever to pay a dime for the mess they’ve created. I owe them nothing. Since I have no say in the actions they have taken over the past 50 years, they can face the consequences for their actions all by themselves. I am telling you America the day we all wake up and say no more, refuse to pay taxes, refuse to play the game, heck even refuse to go to work, that’s the day we win. What would happen if we all did that one day? Those people would be freaking out and we would have the upper hand. They can’t lock us all up but it’s going to take the majority to say NO.
Great point.
The last few lines clinched it. If we all read 16th Century Etienne de la Boite’s Discourse on Voluntary Servitude, maybe we would just shrug and knock the world government parasites off our shoulders. https://en.m.wikipedia.org/wiki/Discourse_on_Voluntary_Servitude
Hi Greg.
Thanks for all your great shows. I watch them every single week.
You have had lots of guests talking about getting precious metals as preparation for an emergency, but very little practical information about how gold and silver will be used in the case of a financial crash. Do you have an expert who can share with us the technicality of this and how this will work in our every day life?
If there is a hyper inflation and silver goes to several hundred dollars per ounce, will it only be a black market, under the table kind of a currency, or will we be able to use physical silver and gold to pay our bills, mortgage, buy food and other necessities. Will be able to go to a bank or a dealer to get the current spot price (or close), so we can use whatever currency is part of the new system to service our needs. I think it could be useful to have a show discussing stuff like that. Thanks again.
Greg, I agree. What you wrote in 2012 is still true today. Though I also own lots of bitcoin. But gold is looking properly valued now, coming off of five years consolidating and I think it is above $1100 because it’s pricing in the unfunded liabilities. I’ve been whistling in the dark but this year I turn 59 1/2, which means I can tap my 401k and IRAs and that’s likely before government “screws the pooch.” Yes I’ve been buying physical gold, stacking since 2001, but fully in stocks in my retirement funds. Thus “whistling in the dark.” I never have enough physical gold!
“Non”
If Gold and Silver were properly valued they would stop gamming it. At some point you blow up your currency and it stops on it’s own. At some point the market will price everything.
Greg