Dear Reader,
Last week we discussed how the United States famously moved away from the gold standard starting in the 1930s. We covered the arguments for ditching the gold standard: economic flexibility, trade balance, gold scarcity, and inflationary control.
But we also hinted at a new way of valuing gold that could allow us to return to the days of money that was backed by real value. And today, I’d like to take you further down that path…
Because with advances in digital assets, a modernized, gold-backed currency might be possible — one that retains the benefits of gold’s inherent value while solving the issues that led to its original abandonment.
The Original Issues With the Gold Standard
You should remember from last week’s article that one of the main arguments against the gold standard was that it limited the U.S. government’s ability to adjust the money supply.
Every dollar had to be backed by a physical amount of gold, meaning monetary expansion was restricted to the pace at which you could create more gold reserves. This presented a problem for the government, especially during times of crisis.
This rigidity also made it difficult to address trade imbalances, manage gold’s finite supply, and control inflation, especially as new gold discoveries periodically disrupted the economy.
Ultimately, the Nixon administration decided the gold standard’s limitations outweighed its benefits, leading to the fiat currency system we use today.
However, this shift to fiat currency has had its own issues, including rampant inflation and the devaluation of the dollar over time.
Enter a new solution: a digital asset backed by in-ground gold reserves.
Economic Flexibility With Built-in Stability
This modern asset combines the stability of gold with the adaptability of a digital asset.
Each unit is backed by in-ground gold reserves, not mined gold, allowing for an agile, scalable system.
This model offers economic flexibility, with a supply that can respond to market demand without compromising value integrity.
Trade Balance Resilience
Unlike the old system, where trade balance issues could deplete gold reserves, a digital gold-backed asset could remain resilient in international markets.
Since no physical gold would need to be moved, this currency could support global trade without straining national reserves or risking depletion.
Additionally, perpetual mineral rights provide sustainable, inflation-resistant backing.
Solving Gold Supply Constraints
In-ground gold assets avoid the limitations of physical extraction, which is slow and environmentally costly.
This approach allows an increase in supply to match demand, minus the environmental impact and resource limitations of traditional mining.
By moving gold from the ground to digital wallets without extraction, this model redefines how we approach limited resources.
A Check on Inflation
A traditional gold standard is prone to inflationary pressures with every new gold discovery.
By contrast, a digital asset backed by certified in-ground gold remains stable, unaffected by mining fluctuations.
Auditable reserves keep the system transparent and guard against inflationary manipulation, allowing this modern asset to retain value without constant inflationary or deflationary pressure.
A New Path Forward
With a digital, gold-backed asset, we gain a currency with the security of gold and the flexibility of digital assets.
It’s a bridge between stability and innovation, addressing the core issues that led to abandoning the gold standard while mitigating the problems of today’s fiat system.
For investors and central banks alike, this hybrid model could offer a way to preserve value in an increasingly uncertain global economy.
And I’d like to invite you to venture down that path with me and the rest of the Angel Publishing community as we learn more from a group that’s been working diligently to create an ecosystem that will make such an asset possible.
Your Invitation to the Future
You see, I’m not the first person to have this idea of a digital, gold-backed asset. I’m also not the first to question the sense of digging gold out of the ground only to re-bury it in a vault.
And the groundwork has already been laid by a group with a very impressive collective resume…
After years of work, they’re ready to introduce their concept, asset, and ecosystem to the world. And I want you to be among the select few to learn about it first.
So I’ve secured an invitation for all my Wealth Daily readers. All you have to do is reserve your space at this link.
Then you’ll be one of the very first people outside of very closely knit circles to learn about this potentially explosive new asset and the companies making it a reality.
I’ll see you there. And I’ll be back tomorrow with more ways for you to stay one important step ahead of the crowd.
To your wealth,
Jason Williams
@TheReal_JayDubs
Angel Research on Youtube
After graduating Cum Laude in finance and economics, Jason designed and analyzed complex projects for the U.S. Army. He made the jump to the private sector as an investment banking analyst at Morgan Stanley, where he eventually led his own team responsible for billions of dollars in daily trading. Jason left Wall Street to found his own investment office and now shares the strategies he used and the network he built with you. Jason is the founder of Main Street Ventures, a pre-IPO investment newsletter; the founder of Future Giants, a nano cap investing service; and authors The Wealth Advisory income stock newsletter. He is also the managing editor of Wealth Daily. To learn more about Jason, click here.
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