$500 Silver

Wonderful post Carol. I totally agree with you.

The world's economy is just a giant monopoly game and the bankers are the only winners. Everyone else eventually loses. Same as gambling odds. The house eventually wins.

The only one that truly loses if all debt go to zero and that would be bankers. Well they created money out of thin air, so if it disappears....too bad.

The perfect world would be where we all live in abundance, not a few in luxury and the rest in poverty. No money just barter and trade all for the betterment of all man kind not just a few.

Could you imagine businesses that operated to produce products that lasted for a very long time, rather than a short period of time and then thrown away or needing expensive repairs. Living in harmony with nature producing lush crops.

I have a link to a very interesting ET group that do live this way. Here is the link if you are interested.

INTRODUCTION (short introfile here)

This is a true story of a UFO contact from a planet called IARGA - by the alien astronauts visiting our Earth. They say that their Sun is about 10 light years as we count time from us, and that they have been observing us for some time.....


This story was first published in Dutch by Ankh-Hermes of Deventer, Netherlands in 1969 and has gone through 11 Editions and 40,000 hardbound copies in Dutch since then. It has been published as science fiction up to now because the publisher originally felt that this story would not sell as fact. Nevertheless it is a true account of real events and we are publishing it as such, here, for the first time, together with the very extensive follow-on data as the contacts continued right up to the present time. We have investigated this case extensively over the past 4 years and conclude that the facts do in reality verify and support the story. The witness is a very well educated and highly articulate master mechanical engineer and an architectural artist as well, a rare combination ideally suited for this contact if the alien visitors wanted their information to be understood and presented with any degree of accuracy.

http://www.galactic-server.com/rune/iarga.html

FROM URBAN SURVIVAL TODAY 18 Feb 2011

SILVER WAS CONFISCATED in the USA in 1934

Both Silver and Gold got confiscated and the revalued

Yes: Silver WAS Confiscated, Too!
Posted on February 18, 2011 by George Ure

A couple of readers took me to task on this point, so pay close attention here.

“Love your writing, but sometimes you get sloppy. This morning you said: “Eventually, that happens, and when it does, gold and silver got confiscated last time around.”

Since when did silver get confiscated in the US? Maybe I was sleeping in that part of my history studies, but I have never heard of it….”

Well, most people haven’t, unless, of course, they have really, really, really studied the Great Depression. And yes. Silver was confiscated. And no, I don’t generally get that sloppy!

Refer to Franklin Roosevelt’s August 9, 1934 Executive Order 6814:

“By virtue of the authority vested in me by the Silver Purchase Act of 1934 and of all other authority vested in me, I, Franklin D. Roosevelt, President of the United States of America, do hereby require the delivery of all silver situated in the continental United States on the effective date hereof, by any and all persons owning, possessing, or controlling any such silver, and do hereby require any and all persons owning, possessing, or controlling any such silver to deliver the same in the manner, upon the conditions and subject to the exceptions herein contained, such action being in my judgment necessary to effectuate the policy of the Silver Purchase Act of 1934. . . . Section 2. Silver required to be delivered..–There shall be delivered in accordance with the terms of this order all silver situated in the continental United States on the effective date hereof, except silver falling within any of the following categories so long as it continues to fall thereunder:

END SNIP
The rest at George Ure website

http://www.urbansurvival.com/blog/

Insider Report: US Government Will Confiscate Gold When It Touches $2000
February 18th, 2011

http://www.shtfplan.com/precious-metals/insider-report-us-government-will-confiscate-gold-when-it-touches-2000_02182011

It’s no secret that the US government is broke, the US dollar is crashing and losing credibility globally, and the IMF, China, France and others have publicly stated their desire to eliminate the dollar as the world’s primary reserve currency. The IMF, for example, recently issued a call to replace the Federal Reserve’s fiat paper, ironically suggesting that it should be replaced with yet another synthetic instrument known as the SDR, or Special Drawing Right.

The SDR is essentially a monetary unit made up of a basket of other global monetary units that include the euro, Japanese yen, pound sterling, and U.S. dollar. Incidentally, prior to the collapse of the Bretton Woods gold-backed US dollar monetary system in 1973, the SDR was actually ‘backed by gold,’ with one SDR being worth roughly 0.88 grams of gold, or at the time, $1 US dollar.

It’s been suggested that a new SDR, which would likely include the Chinese Yuan within the basket, may also require some non-synthetic units of exchange such as gold.

We’ve learned from well known metals analyst and commentator Roger Wiegand, in an email to silver analyst David Morgan which was subsequently published in Morgan’s latest Silver Investor newsletter available only to subscribers, that several of Wiegand’s high level inside sources have reported that the puppeteers behind the US government, in order to facilitate a move into a new world currency are considering, or may have already begun moving forward with, a plan to confiscate gold and silver from the American public.

The following “Red Alert” was sent by Wiegand to other precious metals experts and analysts and is republished verbatim:

via Sherri Questioning All:

Editor: There is a plan to use the IMF (AKA US Treasury and Wall Street) to be the front man for the new world order and one currency.We also got disturbing news yesterday from an impeccable source that when gold touches $2,000 it’s confiscated in the USAfor about $200. Then it’s to be reissued by the Treasury for $10,000 per ounce to back the new IMF world currency using SDRS in 2011. Large physical gold is being moved to Canada.

We’ve previously commented on the possibility of gold confiscation and other steps that may be taken by our financier controlled government in the event that gold does reach certain thresholds. Reaching these new thresholds, for example $2000 or $5000 per ounce, would suggest that the US dollar has likely crashed or begun a final collapse into oblivion, at which point, all credibility for this unit of exchange will have been lost in the eyes of the rest of the world.

Will this lead to confiscation? Even David Morgan himself, in a recent Youtube interview, suggested that confiscation in the traditional sense was “ridiculous” and an argument that he doesn’t buy.

Confiscation, however, may happen in other forms, as has been suggested by trend forecaster Gerald Celente and precious metals expert Jerry Western.

Celente, who has been forecasting $2000 gold for years, says that governments will intervene if the price gets too high:

We are projecting gold to go to $2000. It can go way higher, but we think that’s going to be the limit because the world governments will do something to push the price down.

The free market will certainly value gold appropriately over the long-term, but in the short-term we cannot underestimate the power of interested banking conglomerates and their marionettes within the halls of Congress and the White House to force the price of gold to whatever value they choose through the use of price controls, much like governments have attempted to do with things like rents and food in various parts of the world throughout history. In the case of Mr. Wiegand’s red alert email, it could be as low as $200 per ounce.

In his timely book Got Gold? Get Gold! covering everything you ever needed to know about precious metals, author Jerry Western writes:

So, will it happen again? I’d have to say overtly, probably not. Never say never, but I believe that covertly it has already begun.

Mr. Western suggests that, while the government will not overtly confiscate, as they did in 1933 when the US dollar was backed by gold, there are other ways that the financial powers that be, who essentially own our government, will strip the people of their precious metals.

…there’s the matter of gold and silver Exchange Traded Funds. Many of these funds, including the largest, are thought by many informed individuals, not to hold the metal they are purported to. At some point, if they don’t have the metal, they will default on their obligations to shareholders. Those shareholders who thought they owned gold will not…They will have had their gold taken from them. Confiscated.

The two largest gold and silver ‘backed’ commodity ETFs currently have a total of nearly $70 billion in market capitalization. If the gold and silver aren’t there, as the fund managers claim, then if and when investors start requesting delivery of the physical metals, the funds will crash in the style of Ponzi and the paper representing their physical holdings will become worthless.

The other real possibility will be confiscation through taxes, writes Western:

The final implementation of confiscation will probably be in the form of confiscatory taxes. If taxes rise to 90% on any profit I must report, then it will be discouraging and not worth the effort to hold the metal.

With the passage of President Obama’s health care bill, the American people found out, after the fact as usual, of the new 1099 requirements which will force gold/silver merchants to declare all precious metals transactions over $600. Thus, the mechanism for tracking and taxing even small cash transactions has already been put into place.

We cannot, however, dismiss outright the suggestion that precious metals will be physically confiscated from the people. The reasoning behind the 1933 confiscation and ban on owning gold until the mid 1970’s was primarily because the US dollar was backed by gold. One US dollar represented a specific amount of gold, 0.888 grams in fact. Today, no such backing exists, and gold has been called a relic of the past by modern day monetary experts.

However, if the IMF gets its wish, and it very well may if the US dollar’s long term plunge continues unabated, then gold will become a part of the new world reserve currency unit, currently being referred to as the SDR.

If the United States is to retain a portion of that SDR basket, we will not be able to do it with our current monetary unit, the Federal Reserve Note, and a new currency domestically would be required. Sure, it may still be called the dollar, but it will likely need to be pegged to some physical asset, at least in part, for it to have any credibility globally and within the SDR basket.

This means that the government is going to need to get its hands on some gold. There are supposed to be tons of it in Fort Knox, but we really don’t know because no accounting of those assets have been done for some 50 years. In the event we don’t have as much gold as the Federal Reserve says we do, then those precious metals are going to need to come from somewhere.

For this reason, we can’t dismiss the idea that confiscation may become reality.

So, if you’ve taken our past advice and hold physical precious metals, we recommend looking into some creative ways of making sure they don’t exist if someone ever comes knocking.

Love Always
mudra

That is where it helps to buy private, or pre 1925, or gold coins from other countries as they can only take what belongs to the US.

With the passage of President Obama’s health care bill, the American people found out, after the fact as usual, of the new 1099 requirements which will force gold/silver merchants to declare all precious metals transactions over $600. Thus, the mechanism for tracking and taxing even small cash transactions has already been put into place.

Isn't this so typical of the sneaky politicians to piggy back legislation that has nothing to do with the main bill that is being voted on.

If the American public knew this was in it they would have a major s/hitfit. Be on the ALERT that the US is going to have a major economic meltdown before March 15th. More likely in about 14 days. This is the time to go out and buy quarters, fifty cent pieces with your dollars so you have cash to buy stuff with if they go ahead with a bank holiday to revalue the dollar. Of course with a bank holiday no one can use their credit cards either. Keep those tanks filled with gas folks along with stored food and water.

Meanwhile, keep an eye on this http://www.cbi.iq/

Turning Off the Tap: Population Reduction Through Designed Economic Collapse
Mon Feb 28
John Galt

In case you haven’t noticed, the great culling of humanity is taking place right now. Unfortunately, preparation needs to begin for two gloomy scenarios: slow economic collapse, or catastrophic demolition.

According to the elite's own admission, Corporation Earth is bankrupt and bloated and must be downsized. In other words, that which mathematically cannot continue, will not continue; and it's time to cut the fat.

Banksters and the oil cartel appear to be taking the lead to bring about the final phase of a long-range plan. Wall Street is driving up prices for essentials like food and energy to the breaking point, which is shaking every nation on earth to its core. The effect of such manipulation seems destined to lead toward a severe reduction in numbers of the human population, and a tightening of control over those who remain.


Even strong developing nations with economic surpluses like China and India are faltering in the face of such manipulated increases. Regions ill-equipped to cope with food shortages, but are oil-rich, like Northern Africa and the Middle East are quickly destabilizing as a result. Meanwhile, America has a record amount of citizens on food assistance amidst worsening unemployment.

This economic wrecking ball is having a devastating global effect.

The oil and Wall Street powers seem satisfied to allow the civil unrest to spread in order to feed their greed for higher oil prices and resulting control. Surely they recognize that higher oil prices will suck the remaining wealth out of the poor and middle classes around the world. This scenario will obviously cause starvation, illness, and other life-shortening effects, as increasing numbers join the ranks of the poor . . . and the poor have no where else to go.

It appears that there is no stopping this scenario unless the human tribe finds solidarity of purpose in defeating the very system that has offered only two horrible scenarios. Incidentally, the escalating global unrest is the fallout, which may have triggered such revolutionary times. The summer and autumn austerity revolts throughout Europe now have spread to oppressed Arab countries, and are being hinted at in the streets of Wisconsin and elsewhere in a formerly asleep America.

We must assume, however, that the ruling class has contingency plans for dealing with organic protests resulting from their economic hitman schemes. The dilemma for those in the human tribe who understand the purpose of these manufactured events (culling and control) is to determine whether a slow economic destruction is actually any better than rapid collapse for creating a more just and free society.

Many will say there may still be more than two ways forward if enough people wake up quickly enough, but the elite control the tap of resources (life) and they will simply turn off the switch if they are truly threatened by other possibilities. Incidentally, it's this very tap of money, oil, and food that is already being restricted to create this depression cycle. Thus, they are certainly capable of a complete switch-off that would result in a rapid collapse of resource delivery systems, while the world is becoming incrementally poorer due to their economic policy decisions.

So what is the endgame?

Complete collapse might cause immediate solidarity in communities out of sheer necessity to cooperate, which appears to present an opportunity to start over and rebuild at the local level during the period when the centralized control system will be in crisis mode. Yet, a catastrophic collapse will indeed accomplish the controllers' goal of rapid depopulation through starvation and civil unrest, as vital goods will likely disappear almost immediately, especially from mega-cities.

It seems that a slow demolition approach allows more time to educate, prepare, and propose a better way forward for society. In turn, it gives the controllers more time to situate their chess pieces and set up the high-tech control grid.

Indeed, there will be pain and suffering in both inevitable scenarios. For those on the side of humanity, a slow demolition might be preferable, as truth will always win if given enough time to reach those who are open to it. And yet, nothing is more likely to wake people up en masse than a total shutdown.

Regardless, we should seize the opportunity today to prepare people for these inevitable realities, and join forces to propose a new way forward.

Please tell us your thoughts on surviving the economic collapse and ideas for rebuilding a better society when the control system falls . . . .

http://beforeitsnews.com/story/448/901/Turning_Off_the_Tap:_Population_Reduction_Through_Designed_Economic_Collapse.html

Love Always
mudra

JPMorgan Fighting 10,000 Lawsuits

http://www.thestreet.com/story/11026295/1/jpmorgan-fighting-10000-lawsuits.html


JPMorgan Chase (JPM_) is a defendant in more than 10,000 legal proceedings and may be $4.5 billion short of reserves needed to cover those costs in a worst-case scenario, the firm said in a regulatory filing on Monday.
More on JPM
Federal Budget Deficit Ties Unemployment As Greatest Investor Concern, According To Wells Fargo/Gallup PollBank of America Online Banking Slowly ReturnsAllstate's RMBS Suit Targets Credit Suisse NextMarket Activity
JP Morgan Chase & Co| JPM DOWNCitigroup Inc.| C DOWNBank of America Corp| BAC DOWNThe New York-based bank's legal woes range from individual actions against JPMorgan Chase to class actions with "potentially millions" of litigants to "regulatory/government investigations." The suits include common law tort and contract claims, statutory antitrust claims, securities claims and consumer protection claims, the bank said in its 10-K filing with the Securities and Exchange Commission.

Has eveyone been watching the price of silver lately? You are missing a good show if not. Comex does not have enough silver to meet deliveries. This market is entering rocket status. Buy now or you will be out of luck!

Apple Inc. Vs. Physical Silver

This was in my email and looked interesting.

TRANSITION 2011 & THE TREE OF LIBERTY
Bix Weir – March 23, 2011

For close to 100 years the United States of America has been at war with a group of bankers and power brokers who's goal it was to take over all aspects of our lives. In doing so they would be able to steer us in whatever direction they thought would most benefit their own self serving goals. One of their major drivers was their determination that with a rapidly growing population the natural resources of the world would eventually run out and we would all have to suffer. If they were to decrease the population they could prolong the natural limitations on human consumption and create a smaller human population that would be much more manageable and easier to control.

In order to implement this "master plan" it would take the buy-in of many facets of our society including businesses, the media, other governments around the world, the military, the education system, the health and human services systems and many others. They mainly used power and influence (Plan A) to convert people towards their cause but at other times they relied on threats and force (Plan B). For those who resisted, the common response was..."If you resist our most generous offer we will destroy you and yours." For most people that was enough for them to turn to the Dark Side. As for those who continued to resist, such as JFK, there was murder and cover-up (Plan C).

After 911 a very secretive group of people which I call "The Good Guys" decided that enough was enough. Together with many nations around the world, the Good Guys are in the process of destroying those that have ruled us for so long. The means of their destruction was to give the Bad Guys enough financial leeway and avenues for them to destroy themselves.

So for the past 30 years the Bad Guys have been using and abusing the financial system for their own benefit at a reckless and furious pace never realizing that they were sowing the seeds of their own destruction. Hundreds of trillions of pseudo financial instruments were created called "derivatives" that really have no intrinsic value at all. They are merely "side bets" on tangible assets that are multiplied by the trillions and counted as "assets" on the banks balance sheets (as well as off their balance sheets in "Special Purpose Entities").

Given the leveraged nature of our financial banking system, some of the "safer derivatives" were used as Tier 1 capital on the balance sheets. Having more Tier 1 capital allowed banks to create even more fractional money to invest in even more derivatives slicing off what they deemed as the safest portion to count as more Tier 1 capital. Round and round it went until the dollar volumes got completely out of hand.

In 2007 the "value" of all these monetary instruments was called into question by the Good Guys and thus the crash began. Banks were imploding left and right as their Tier 1 capital shrank forcing them to sell off toxic assets at an ever increasing pace. This, of course, fueled further price drops as the GREAT DE-LEVERAGE gained momentum.

Finally, the US Treasury and the Federal Reserve Bank pulled out all the stops and flooded the global banking system with enough cash to build a large enough "cash levy" to stop the mighty toxic flow of sludge...but the sludge remains and the levy was not built to last forever.

Now the GREAT DE-LEVERAGE must resume.
So here's my latest TIMELINE for this transition. I will not give specific dates (because I'm always off on the dates!) but I will give you my framework as to what to expect during the transition.

Beginning the Transition 2011:

1st Half of 2011.

CONGRESS: The new "US Congress" will ultimately force the crash by not significantly raising the debt ceiling thus causing the default on the US Dollar. They are also in position to reject the next round of bankster bailouts. All the Bad Guy Congressmen will have to go along or be exposed as the traitors that they truly are.

STATE GOVERNMENTS: Since the US States can't print their own money (yet) to get out of their fiscal jams they are leaning on "austerity measures" that will boil the blood of the working class. "What? No more free lunch? How come the Banksters got a free lunch?" Can you hear them? If you can't now you will in the VERY near future!

WIKILEAKS: The release of secret bankster emails will wreak havoc on the credibility of some of the largest banks in the US (BofA may be the target). The rumors are these leaks will reveal that the MORTGAGE FRAUD mess was done intentionally by the Banksters to line their own pockets. This will begin the ANGER phase of the transition.

CFTC & POSITION LIMITS: The CFTC will implement the position limits as they are currently proposed. It's no silver bullet but it is enough to handcuff JPM enough when the ATTACK ON SILVER begins by the good guys (with the help of China). The end of March may be that "Come to Jesus" moment for the banking cabal. The timing is in line with EVERYTHING else.
HYPER INFLATION: There will be targeted bouts with hyper inflation as food and commodity prices are driven higher by the market rigging programs. This is a "lesson to be learned" by the populace due to the massive monetary stimulus programs. Once WE THE PEOPLE see the rampant inflation we will not only support but demand that Congress end the continual money printing.

CHINA: At some point China will play their part by economically attacking the US with purchases of gold and silver breaking the backs of the Bad Guys. The US will deem them a "currency manipulator" and Globalization will abruptly END.

COMPUTER TRADING GOES HAYWIRE: The Good Guy and Bad Guy computer market riggers are going to clash in an epic cyber-battle. Prices in every market will swing wildly both up and down in ways never seen before. This will cast doubt on the entire concept of computer trading and ultimately destroy the market trading mechanism.

WE THE PEOPLE: We have awoken from a VERY long slumber. Although most of the people of the world cannot explain how our corrupt financial system runs...they now know that it is evil and Congress will be called upon to put an END to it once and for all. This is a time of AWAKENING and the people are now READY.

The Crash

Sometime in 2011

At one moment in the very near future there will be a crash like never before seen in mankind's VERY brief electronic financial history. At that moment the entire world of global commerce will be STOPPED in it's tracks. No markets will trade, no banks will be open, no exchanges will be transacted and there will be very little information about what is happening. It will be as if the earth stood still. Everybody will fear that they have lost EVERYTHING...and they will...at least every asset that they held in the electronic financial system.

This is a necessity in order to "start fresh". We must wash away all the SHADOW BANKING MONEY or the "Bad Guys" will regroup and attack again. All electronic wealth must and will be destroyed.

The exact timing of this event is unknown but this moment will be remembered for hundreds of years into the future. At that very moment we MUST take back the controls of our monetary system from the Banksters. This is that defining moment where WE will either let the Bad Guys take complete control of our lives and destiny or WE will stand up and say NO MORE!

Here is what I BELIEVE...WE THE PEOPLE are on the threshold of taking BACK the reigns of our financial future. The crash of 2008 was the long awaited alarm clock ringing loudly. We have been learning lessons for the past few years and we are now READY to face our captors armed with knowledge and the backing of the US Congress.

Looks like the Iraqi Dinar has revalued and the rates will be posted on Monday. AGAIN, We'll See.

For those interested here is the latest intel. I've also included 3 traders we used in case someone wishes to follow-up on this.

QUOTE

Something Big is happening In Baghdad - More to Follow

Mar 30 9:13 AM

"RV TIME! US Treasury advance notice went to all banks today at noon for the revalue of the Iraqi Dinar. All branches of the banks are to honor the exchange and a FinCen form is to be filled out (by them) - bank rate $__ and CBI rate is higher - announcement from the Treas. Dept. (Rates omitted until posted for the public)

In conclusion, Iraq and the WTO have hidden Iraq’s membership inauguration for a reason. Neither of them want too many details out in the open. That would tell everyone that Iraq has a currency that can be traded over international borders.

Current rate at CBI remains the same at 1170 ID per 1 USD until RV rate is trasmitted to Forex. Basically one can still purchase 10,000 ID for $10. http://www.cbi.iq/

If the revalue rate is say $3 per one ID then the 10,000 ID would be worth $30,000.


If you want to purchase ID that this is likly the last weekend to do so at the current rate. NO CREDIT CARDS - CASH ONLY as MONEY ORDERS OR BANK WIRE OF FUNDS is the only currency exchange they will accept. NO CALLS AS THEY ARE CLOSED ON THE WEEKENDS.

Just follow the instructions ONLINE at www.dinarbanker.com
http://www.dinarbanker.com/ 100,000 ID @ $190 plus handling
If you go through Dinar Banker you will get the higher Central Bank of Iraq rate - you get the lower rate when exchanging with the other traders.


Other trader is GID Associates http://www.gidassociates.com/
Iraqi Dinar Sales 1-800-319-5206 (closed as it is the weekend - they are only open M-F from 8 am to 5 pm)
Just order ONLINE following instructions on site. Money Order can be obtained at Safeway... or via the bank but too late as it is now the weekend.
$110 will buy 100,000 ID


Dinar Trade www.dinartrade.com
http://www.dinartrade.com/order.php
100,000 ID @ $180

WHEN YOU PLACE YOUR ORDER ONLINE THEY WILL SEND YOU AN EMAIL CONFIRMATION WITH YOUR ORDER NUMBER THAT YOU HAVE TO WRITE ON THE MONEY ORDER YOU PURCHASE. YOU ALSO NEED TO PRINT OUT THE EMAIL CONFIRMATION NOTICE SO YOU CAN INCLUDE IT WITH THE MONEY ORDER WHEN YOU MAIL IT IN.

TO DA MOON HI HO SILVER ARMY AWAY! I'll see you guys at 300-925 silver by 2015 =). That foreclosed 4000 square foot mcmansion is a comin for me some day! =) =) =)

Proud to be part of the silver army since 2003.

41.82 silver go babbbby gooooo.

when silver hits 3 digits this year it wont be pleasant living in the usa or western europe in general id say.. 500 silver = total martial law ,gulag, hitlarian stalin like death camp mayehm.. they will be processing us like soylent green by that time imo.. or ww3 will be in full swing whilst new madrid ring of fire is 9+ quaking..its gonna be off the charts... the only other organisms to experience something similar to this that we know about were called dinosaurs.

Gee, feeling a bit negative are we?

Sanicle wrote:Gee, feeling a bit negative are we?

no just pointing out to people that may be excited about a high silver price that it wont be a pleasant experience..

How can you be so sure? Inside information?

cos paper will be worthless almost by then and supply line issues will result. the vast majority of the populace are still unaware of whats going on , most dont own precious metals. read alittle history on hyperinflation. this time its a global hyperinflation.. you dont need inside info just a rough look at the facts of where we are now economically.. nothing deep or penetrating or insightful. historically, germany , hungary , the collapse of rome. more recently , famously zimbabwe.

now if they pass the glass stegall bill that marcy kaptur has re introduced then maybe we can dig ourselves out of the endgame pit.. thats our only chance

Utah Legalizes Gold, Silver Coins As Currency
BY JOSH LOFTIN 05/22/11

SALT LAKE CITY -- Utah legislators want to see the dollar regain its former glory, back to the days when one could literally bank on it being "as good as gold."

To make that point, they've turned it around, and made gold as good as cash. Utah became the first state in the country this month to legalize gold and silver coins as currency. The law also will exempt the sale of the coins from state capital gains taxes.

Craig Franco hopes to cash in on it with his Utah Gold and Silver Depository, and he thinks others will soon follow.

The idea is simple: Store your gold and silver coins in a vault, and Franco issues a debit-like card to make purchases backed by your holdings.

He plans to open for business June 1, likely the first of its kind in the country.

"Because we're dealing with something so forward thinking, I expect a wait-and-see attitude," Franco said. "Once the depository is executed and transactions can occur, then I think people will move into the marketplace."

The idea was spawned by Republican state Rep. Brad Galvez, who sponsored the bill largely to serve as a protest against Federal Reserve monetary policy. Galvez says Americans are losing faith in the dollar. If you're mad about government debt, ditch the cash. Spend your gold and silver, he says.

His idea isn't to return to the gold standard, when the dollar was backed by gold instead of government goodwill. Instead, he just wanted to create options for consumers.

"We're too far down the road to go back to the gold standard," Galvez said. "This will move us toward an alternative currency."

http://www.huffingtonpost.com/2011/05/22/utah-gold-standard-silver_n_865333.html

Love Always
mudra

Trading Of Over The Counter Gold And Silver To Be Illegal Beginning July 15


http://www.zerohedge.com/article/trading-over-counter-gold-and-silver-be-illegal-beginning-july-15?page=1

From: FOREX.com <info@forex.com>
Date: Fri, Jun 17, 2011 at 6:11 PM
Subject: Important Account Notice Re: Metals Trading
To: xxx

Important Account Notice Re: Metals Trading


We wanted to make you aware of some upcoming changes to FOREX.com’s product offering. As a result of the Dodd-Frank Act enacted by US Congress, a new regulation prohibiting US residents from trading over the counter precious metals, including gold and silver, will go into effect on Friday, July 15, 2011.

In conjunction with this new regulation, FOREX.com must discontinue metals trading for US residents on Friday, July 15, 2011 at the close of trading at 5pm ET. As a result, all open metals positions must be closed by July 15, 2011 at 5pm ET.

We encourage you to wind down your trading activity in these products over the next month in anticipation of the new rule, as any open XAU or XAG positions that remain open prior to July 15, 2011 at approximately 5:00 pm ET will be automatically liquidated.

We sincerely regret any inconvenience complying with the new U.S. regulation may cause you. Should you have any questions, please feel free to contact our customer service team.

Sincerely,
The Team at FOREX.com

http://www.zerohedge.com/article/trading-over-counter-gold-and-silver-be-illegal-beginning-july-15

So here are the details taken from the above given site. I am going to highlight in red points that I think are important considerations for the average person. As far as I can see this act will not stop the trade of gold and silver but will requrie new regulations on those who make the transactions and as well as in the time of delivery. This may erradicate the risk of purchasing gold and silver on paper where there really is no gold and sliver behind it. It requries the purchased goods to be delivered into the hands of the purchaser. It also mandates that those who arrange these transactions are regulated. It seems to also be addressing Forex specifically and not other mom and pop shops across the usa who deal with privated citizens.. forex is foreign exhange.. although if new gold cannot get in the nation I guess that could be a problem. So am I missing anything? not seeing something?:

The Dodd-Frank Wall Street Reform and Consumer Protection Act (“Act”) has changed a number of laws in all of the securities acts including the Commodity Exchange Act. Two specific changes deal with certain transactions in commodities on the spot market. Specifically, Section 742 of the Act deals with retail commodity transactions. In this section, the text of the Commodity Exchange Act is amended to include new Section 2(c)(2)(D) (dealing with retail commodity transactions) and new Section 2(c)(2)(E) (prohibiting trading in spot forex with retail investors unless the trader is subject to regulations by a Federal regulatory agency, i.e. CFTC, SEC, etc.). According to a congressional rulemaking spreadsheet, these are effective 180 days from the date of enactment.


We provide an overview of the new sections and have reprinted them in full below.

New CEA Section 2(c)(2)(D) – Concerning Spot Commodities (Metals)


The central import of new CEA Section 2(c)(2)(D) is to broaden the CFTC’s power with respect to retail commodity transactions. Essentially any spot commodities transaction (i.e. spot metals) will be subject to CFTC jurisdiction and rulemaking authority. There is an exemption for commodities which are actually delivered within 28 days. While the CFTC wanted an exemption in which commodities would need to be delivered within 2 days, various coin collectors were able to lobby congress for a longer delivery period (see here).

It is likely we will see the CFTC propose regulations under this new section and we will keep you updated on any regulatory pronouncements with respect to this new section.


New CEA Section 2(c)(2)(E) – Concerning Spot Forex


The central import of new CEA Section 2(c)(2)(E) is to regulate the spot forex markets. While the section requires the CFTC to finalize regulations with respect to spot forex (which were proposed earlier in January), it also, interestingly, provides oversight of the markets to other federal regulatory agencies such as the CFTC. This means that in the future, different market participants may be subject to different regulatory regimes with respect to trading in same underlying instruments. A Wall Street Journal article discusses the impact of this with respect to firms which engage in other activities in addition to retail forex transactions. The CFTC’s proposed rules establish certain compliance parameters for retail forex transactions, requires registration of retail forex managers and requires such managers to pass a new regulatory exam called the Series 34 exam. We do not yet know whether the other regulatory agencies will adopt rules similar to the CFTC or if they will write rules from scratch.Next, from Henderson & Lyman:



The prohibition of Section 742(a) does not apply, however, if such a transaction results in actual delivery within 28 days, or creates an enforceable obligation to deliver between a seller and a buyer that have the ability to deliver, and accept delivery of, the commodity in connection with their lines of business. This may be problematic as in most spot metals trading virtually all contracts fail to meet these requirements. As a result, although the courts’ interpretation of Section 742(a) is unknown, Section 742(a) is likely to have a significantly negative impact on the OTC cash precious metals industry. Here too, it is essential that those who offer to be a counterparty to OTC metals transactions seek professional help to discuss possible operational and regulatory contingency plans.

The actual rule language exempts a transaction if it "results in actual delivery within 28 days or such other period as the Commission may determine by rule or regulation based upon the longer period as the Commission may determine by rule or regulation based upon the typical commercial practice in cash or spot markets for the commodity involved;" Alas, the commission has decided not to intervene and keep the exemption status window so small as to affect virtually all exchanges which transact in the gold and silver spot market.
More here:

Elimination of OTC Forex
Effective 90 days from its inception, the Dodd-Frank Act bans most retail OTC forex transactions. Section 742(c) of the Act states as follows:
…A person [which includes companies] shall not offer to, or enter into with, a person that is not an eligible contract participant, any agreement, contract, or transaction in foreign currency except pursuant to a rule or regulation of a Federal regulatory agency allowing the agreement, contract, or transaction under such terms and conditions as the Federal regulatory agency shall prescribe…


This provision will not come into effect, however, if the CFTC or another eligible federal body issues guidelines relating to the regulation of foreign currency within 90 days of its enactment. Registrants and the public are currently being encouraged by the CFTC to provide insight into how the Act should be enforced. See CFTC Rulemakings regarding OTC Derivatives located at the following website address, under Section XX – Foreign Currency (Retail Off Exchange). It is essential that OTC forex participants seek professional help to discuss possible operational and regulatory contingency plans.

Elimination of OTC Metals
As for OTC precious metals such as gold or silver, Section 742(a) of the Act prohibits any person [which again includes companies]from entering into, or offering to enter into, a transaction in any commodity with a person that is not an eligible contract participant or an eligible commercial entity, on a leveraged or margined basis. This provision intends to expand the narrow so called “Zelener fix” in the Farm Bill previously ratified by congress in 2008. The Farm Bill empowered the CFTC to pursue anti-fraud actions involving rolling spot transactions and/or other leveraged forex transactions without the need to prove that they are futures contracts. The Dodd-Frank Act now expands this authority to include virtually all retail cash commodity market products that involve leverage or margin – in other words OTC precious metals.

The prohibition of Section 742(a) does not apply, however, if such a transaction results in actual delivery within 28 days, or creates an enforceable obligation to deliver between a seller and a buyer that have the ability to deliver, and accept delivery of, the commodity in connection with their lines of business. This may be problematic as in most spot metals trading virtually all contracts fail to meet these requirements. As a result, although the courts’ interpretation of Section 742(a) is unknown, Section 742(a) is likely to have a significantly negative impact on the OTC cash precious metals industry. Here too, it is essential that those who offer to be a counterparty to OTC metals transactions seek professional help to discuss possible operational and regulatory contingency plans.

Small Pool Exemption Eliminated
Pursuant to Section 403 of Act, the “privateadviser” exemption, namelySection 203(b)(3) of the Investment Advisers Act of 1940 (“Advisers Act”), will be eliminated within one year of the Act’s effective date (July 21, 2011). Historically, many unregistered U.S. fund managers had relied on this exemption to avoid registration where they:
(1) had fewer than 15 clients in the past 12 months;
(2) do not hold themselves out generally to the public as investment advisers; and
(3) do not act as investment advisers to a registered investment company or business development company.

At present, advisers can treat the unregistered funds that they advise, rather than the investors in those funds, as their clients for purposes of this exemption. A common practice has thus evolved whereby certain advisers manage up to 14 unregistered funds without having to register under the Advisers Act. Accordingly, the removal of this exemption represents a significant shift in the regulatory landscape, as this practice will no longer be allowable in approximately one year.
Also an important consideration, the Dodd-Frank Act mandates new federal registration and regulation thresholds based on the amount of assets a manager has under management ("AUM"). Although not yet underway, it is possible that various states may enact legislation designed to create a similar registration framework for managers whose AUM fall beneath the new federal levels.

Accredited Investor Qualifications
Section 413(a) of the Act alters the financial qualifications of who can be considered an accredited investor, and thus a qualified as eligible participant (“QEP”). Specifically, the revised accredited investor standard includes only the following types of individuals:

1) A natural person whose individual net worth, or joint net worth with spouse, is at least $1,000,000, excluding the value of such investor's primary residence;
2) A natural person who had individual income in excess of $200,000 in each of the two most recent years or joint income with spouse in excess of $300,000 in each of those years and a reasonable expectation of reaching the same income level in the current year; or
3) A director, executive officer, or general partner of the issuer of the securities being offered or sold, or a director, executive officer, or general partner of a general partner of that issuer.
Based on this language, it is important to note that the revised accredited investor standard only applies to new investors and does not cover existing investors. However, additional subscriptions from existing investors are generally treated as requiring confirmation of continuing investor eligibility.

On July 27th, 2010, the SEC provided additional clarity regarding the valuation of an individual’s primary residence when calculating net worth. In particular, the SEC has interpreted this provision as follows:
Section 413(a) of the Dodd-Frank Act does not define the term “value,” nor does it address the treatment of mortgage and other indebtedness secured by the residence for purposes of the net worth calculation…Pending implementation of the changes to the Commission’s rules required by the Act, the related amount of indebtedness secured by the primary residence up to its fair market value may also be excluded. Indebtedness secured by the residence in excess of the value of the home should be considered a liability and deducted from the investor’s net worth.

Peter Schiff: No ceiling for gold prices

https://www.youtube.com/watch?v=QwpgmYckIa8


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mudra