You may have noticed the new pic posted on the left. It depicts a Nevada Goldback.
If you've not heard of a Goldback, them allow me to give you a brief description.
For thousands of years, Gold and Silver have been money. Gold is a precious metal with many uses and rare. Traditionally, Gold has been used as a store of wealth and a hedge against inflating currency. It simply helps maintain purchasing power worldwide. Though currently valued in US Dollar terms, you can find it in other currencies valuations as you travel the globe and it is recognized as a medium of exchange in almost every country on Earth. Even so, you can't just walk into Starbucks and get your coffee paying with Gold. Until Now.
Prior to 1933, US Citizens still had the jingle jangle jingle of gold and silver coins in their pockets. It was never questioned and had a unified valuation of $20 and later $35 After Roosevelt called all gold in and individual ownership outlawed. Those who saved a $20 gold coin (broke the law and kept it) immediately had a more valuable coin in dollar terms. But the gold itself did not change. It still weighed the same amount of grams. Gold is measured in grams and Troy ounces and that is more the traditional way of valuing it. Pricing systems were in grams or specific coinage with standardized weights. This was a function of the various departments under Kings or governments called Weights and Measures. They insured the standards everyone counted on. But in these days, when Gold is still considered a Tier One Asset and real money, you just can't use it. That is especially true in the US where the Treasury is very jealous.
Now, and actually since 2019, a new form of “coinage” is available. It is a 24 carat Gold foil currency called Gladbacks. Each single Goldback is 1/1000th of a Troy Ounce of .9999 fine Gold. It is a beautiful piece of art as well. Clicking on the picture on the main page will take you to the Goldbacks website where you can learn more. The news I am announcing is:
DM-Your Own CFO ACCEPTS GOLDBACKS as payment for services.
If you visited the Goldback site, you may have noticed that they publish a suggested exchange rate in USDs. As I type that exchange rate is 1 Goldback = $4.65 USD. This is intended to allow for fast computations and done by agreement between parties. It is not a governmental mandate as is the USD, but rather a private currency transaction between willing parties. Those who accept Goldbacks are relatively few but a growing community of like minded merchants. My Accounting services are in USDs but I now accept Goldbacks at 85% of the current published exchange rate. Why the difference? Because there is day to day fluctuation in the exchange rate and can go up or down. In deciding to accept Goldbacks, I looked at my pricing and various discount schemes used. NO DISCOUNTS will be applied hen paying in Goldbacks, So my regular $300 per month for Accounting services becomes GB75.9.
There is an open market of sellers of the Goldback including Coin Shops and even Walmart. The price charged will most often be a variant of the then current exchange rate, up or down. An opportunity to buy at a lower price than my accepted rate of $3.95 USD per GB exists. You may also take in Goldbacks at an exchange rate higher or lower so that potential exists as well. But the point here is that GBs held will move in value as Gold moves in value they are 99.99% 24 carat Gold captured in a polymer covering. It is really an amazing process and the most convenient fractional gold available. Yes, it is at a higher premium than fractional gold coins as an example but for the utility given, I believe it to be fair. It will, as adopted, likely have less of a premium.
GBs can be used in any state and are currently offered in State Specific versions including my state of Nevada. The states do not authorize GBs per se but anyone is free to use Gold in commercial and/or private transactions. In fact, Gold is a Constitutionally authorized form of money as is Silver. You may have seen talk of the BRICS nations going to a Gold standard currency soon. We shall see. But per the Basel 3 edicts Gold is a Tier One Asset and used by Central Banks around the world as reserves. They also may use USDs and other currencies but Gold is Universal. It appears that the recent run up in Gold's price per USD is being driven by that factor. But I personally believe, it is as much driven by the debasement of USD. Since Nixon took the US off the Gold Standard in 1971, the USD has lost about 95% of its purchasing power. The most recent 4 years continue at an accelerated that pace. Extrapolating that out into the not too distant future,the USD will collapse becoming valueless. If that seems ridiculous, read up on how ALL Fiat Currencies that preceded it have become valueless. It is just a matter of poor currency management and porr fiscal policy creating deficits and printing moire and more money, then BOOM! It blows up. This may take time. In a way it is like the old how do you cook a frog?…slowly so it goes unnoticed. Then one morning you wake up and there is an announcement of a new currency. That seems to be the dreaded Central Bank Digital Currency or CBDC. We shall see, and sooner rather than later.
Meanwhile, I am excited about the Goldback and very pleased to be part of this new movement to use Gold as money.
If you have any questions on this, please contact me.
Best,
Donn Marier
DM-Your Own CFO