The Seven Stages of An Empire and How Precious Metals Are Key

[allthingsluxury]

Mike Maloney talks about the birth of an empire, and how it grows. The seven stages of that cycle and how both gold and silver have played a crucial role in these empires monetary history. They have been crucial in the success of all empires previously seen.



Click here to watch this video:

http://mikemaloneyblog.blogspot.ca/2017/09/the-seven-stages-of-empire-and-how.html

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[allthingsluxury]

One point that I believe Mike Maloney needs to focus more on, is the addition of Cryptos, IE BTC and others, into his basket of face haven assets. Gold and Silver truly do have their place, but should now share a portion of that space with Cryptos. Diversification is good.

[seraph_the_wise]

I have to say that after watching the video, I don't buy the whole theory of going back to gold-backed currency. All economic models have flaws and the gold standard has them too (and big ones). We mustn't also forget that all those financial institutions are full of smart people who also understand the inherent flaws and fragility of the current system.
I believe the way to go in developing a new a more robust financial and economic system is forward, not backward. Trust-based units of value not backed by real assets are here to stay, as they bring liquidity and growth to the economy, but they are only as strong as the wisdom and actions of the decision-makers. Nothing lasts forever and history does repeat itself, but at the same time is never the same.
Crypto-currencies will have a role on the new economic model that will replace the current one, that is for sure. There will be a place for other asset classes as always. 

[merchantofzeny]

I have to say that after watching the video, I don't buy the whole theory of going back to gold-backed currency. All economic models have flaws and the gold standard has them too (and big ones). We mustn't also forget that all those financial institutions are full of smart people who also understand the inherent flaws and fragility of the current system.
I believe the way to go in developing a new a more robust financial and economic system is forward, not backward. Trust-based units of value not backed by real assets are here to stay, as they bring liquidity and growth to the economy, but they are only as strong as the wisdom and actions of the decision-makers. Nothing lasts forever and history does repeat itself, but at the same time is never the same.
Crypto-currencies will have a role on the new economic model that will replace the current one, that is for sure. There will be a place for other asset classes as always. 

True, even gold can lose it's value once we get to the point where we can mine every bit of it on Earth and even mine it from outer space.

[randythered]

I have to say that after watching the video, I don't buy the whole theory of going back to gold-backed currency. All economic models have flaws and the gold standard has them too (and big ones). We mustn't also forget that all those financial institutions are full of smart people who also understand the inherent flaws and fragility of the current system.
I believe the way to go in developing a new a more robust financial and economic system is forward, not backward. Trust-based units of value not backed by real assets are here to stay, as they bring liquidity and growth to the economy, but they are only as strong as the wisdom and actions of the decision-makers. Nothing lasts forever and history does repeat itself, but at the same time is never the same.
Crypto-currencies will have a role on the new economic model that will replace the current one, that is for sure. There will be a place for other asset classes as always. 

True, even gold can lose it's value once we get to the point where we can mine every bit of it on Earth and even mine it from outer space.

The basic problem of any currency even if it is backed by gold or something else is that it still only has a worth that is defined by public opinion. If confidence in a currency falls it will be worth nothing. It is even possible that gold becomes worthless simply because people decide they do not want or need it.

[Kronos21]

One point that I believe Mike Maloney needs to focus more on, is the addition of Cryptos, IE BTC and others, into his basket of face haven assets. Gold and Silver truly do have their place, but should now share a portion of that space with Cryptos. Diversification is good.

In order for cryptocurrency to compete with gold, they must have a physical support. Now the cost of cryptocurrency depends on our expectations. The money we invested in them earned in the real economy. Cryptocurrency will have a real price only when will bring real benefits to the world economy.

[Hydrogen]

Many of these economic theorems are pre internet and pre global markets.

These theories no longer apply due to global markets and the internet changing circumstances relating to how the world does business and what is possible, versus what used to be impossible.

An example of this is the internet being used to outsource many jobs to china and india. Only a few decades ago, that would have been impossible. Now its a de facto standard. These types of changes break all of the old rules and the old observations made about markets and the fundamental principles surrounding them.

We need new perspectives and ideas relating to how the world works as many of the old ones are obsolete and no longer apply.

[allthingsluxury]

I have to say that after watching the video, I don't buy the whole theory of going back to gold-backed currency. All economic models have flaws and the gold standard has them too (and big ones). We mustn't also forget that all those financial institutions are full of smart people who also understand the inherent flaws and fragility of the current system.
I believe the way to go in developing a new a more robust financial and economic system is forward, not backward. Trust-based units of value not backed by real assets are here to stay, as they bring liquidity and growth to the economy, but they are only as strong as the wisdom and actions of the decision-makers. Nothing lasts forever and history does repeat itself, but at the same time is never the same.
Crypto-currencies will have a role on the new economic model that will replace the current one, that is for sure. There will be a place for other asset classes as always. 

True, even gold can lose it's value once we get to the point where we can mine every bit of it on Earth and even mine it from outer space.

Perhaps if we find a stunning amount of it in space this could be true. But we are far from this point in our lifetimes. At the moment, ALL the gold mind in history would only fill roughly two Olympic size swimming pools. Additionally, the only known way gold can be formed is by creating a super nova. Yah, its definitely is scarce.

[The Sceptical Chymist]

I call bullshit. Ask any billionaire how they made money, and it's either stocks, owning a business, or real estate--they didn't make their fortune or empire buying precious metals,at retail prices!  Don't believe youtube videos of people telling you to buy metals. They've been doing and saying the same thing for years--and the price of silver has been flat for years.  Doom is always imminent, and the bull market that will take gold to the moon is always around the corner.

Look at coinflation.com and you'll see links to articles on precious metals, and they've been chanting the same mantra since way before 2011.  It's all bullshit.

Edit: having said all that, I do own some silver.  Not for the reasons that these youtube hucksters give.  I like coins and metals, but metal makes up a minute portion of my assets.  Almost insignificant.