Central Bank: If The Entire System Collapses, Gold Will Be Needed To Start Over

[Xxmodded]

Gold is old fashioned way in starting over. We already have cryptocurrencies and I think with their technology called blockchain, it is enough for us to start over with a more advanced type of technology and with the power of decentralization. People love to be independent and to be more advanced so cryptocurrencies are much better compare to gold.

we cannot deny if gold is indeed a good asset in investing from the past and the system and the benefits of gold investment are profitable but as technology develops there are certainly breakthroughs or ideas that can invest more than gold and maybe for that investment with crypto or blockchain currencies. it is a breakthrough that uses the progress of time and technology and can be used by all levels of society, of course

Gold and bitcoin good investment assets but depend with investor which one to invest, if investor like faced with big risk and big result will invest with bitcoin and altcoin, but for investor take safety with their investment choose gold as investment assets, I like for take risk with investing on bitcoin or altcoin because have increase profit higher than invest with gold.

[justdimin]

If the "entire system" collapses even gold can't save that. Think about it the worlds currencies all are getting horrible and people are really getting screwed because of it and we are here talking about how gold could save it. There is no way if the all currencies (even just dollar devaluating like crazy is enough) goes down then how could be we save the world?

Everyone will be screwed, there would be a lot of inflation and since the world all owes each other dollars like crazy some countries will not have any money remotely close to what they will owe and they will all go bankrupt because USA will try to recover that loss quickly to save face.

Hence, I am telling you there is not enough gold in the whole world that is enough to cover something like an entire system collapse.

[Harlot]

If the "entire system" collapses even gold can't save that. Think about it the worlds currencies all are getting horrible and people are really getting screwed because of it and we are here talking about how gold could save it. There is no way if the all currencies (even just dollar devaluating like crazy is enough) goes down then how could be we save the world?

Everyone will be screwed, there would be a lot of inflation and since the world all owes each other dollars like crazy some countries will not have any money remotely close to what they will owe and they will all go bankrupt because USA will try to recover that loss quickly to save face.

Hence, I am telling you there is not enough gold in the whole world that is enough to cover something like an entire system collapse.

You might think that gold cannot do anything good in our economy but as yourself why a lot of governments are holding tons of gold in their reserves? Because they know it is one of the last ones to decrease in value when these types of things happen, they don't even print more fiat currency or hold some of it since this will just dig them deeper into the ground. This kinds of doomsday scenario has a very low chance of happening since governments are already prepared for this types of events and I'm pretty sure that they have a lot of precautionary measures before they even go into that level. They also have learned their mistakes from the previous recession and I think we will have a more better chance of surviving the next one.

[STT]

Gold cant save the system, the economy or people is for sure true, its just a yellow rock so what do we really expect from it.    The point is the gold will not change no matter what, think about what our paper money is based on now and its political debt and promises of nations to each other.   That paper is going to alter substantially, it could even be that nation no longer exists.   Certainly the paper and its promises can be nothing more then yesterdays newspapers, just old writing of something once true.    In comparison to gold, that will not be changing even in extreme situations.    The value of gold is proven through the rise and fall of empires many times over, almost all the currency we use today has not lasted as well as its only token value not real base value.
  When the price of gold stated rises, it is not the gold which has changed in any way that day, week or year even but the paper is deteriorating and not able to last over time.

Gold essentially is useless by itself and I class it as just a luxury type element but there always going to be rich people or those who have more money today then they can use for even the whole year so they must store it, etc.   No situation will eliminate gold as a touchstone to value so long as trade exists especially between 2 nations.   Gold can be used and is unique in a few ways, but most days we can find something cheaper like copper so we dont need gold.   However I think gold is going to last and most importantly for speculation purposes I have zero doubt over my life gold will be used more in future then now.   I love technology but gold the silly rock that it is, will prove less silly then our current promissory note system so its undervalued right now.

The US dollar is the primary currency because the US is self-sufficient in food and has a powerful military.

US dollar system as the basis for world trade was founded after ww2 when USA was a net exporter.  Today alot of the world has changed, we recovered from ww2.    I dont disagree on food and security but unless we return to the age of empires then the military wont be enough to back a currency.
  Of course its about trade and everyone on this thread can recognise what makes us all rich in whatever country, it is about business done and comparative advantage and the exchange of skills, services and goods for the enrichment of both parties in trade.   War is not profitable and neither is military, its not an economic system and empires ended just as UK had the world currency and an empire covering a quarter of the world and it ended not in a profit but at best some ongoing legacy.
  Time does not repeat it rhymes, we'll see the end of Dollar dominance of currency I think and it should be that then the system better benefits everyone who is productive and competitive in industry and trade but also I guess theres some wars, failures to trades, failed currencies, defaults and economic collapse but not for the whole world imo.

[bearexin]

If the "entire system" collapses even gold can't save that. Think about it the worlds currencies all are getting horrible and people are really getting screwed because of it and we are here talking about how gold could save it. There is no way if the all currencies (even just dollar devaluating like crazy is enough) goes down then how could be we save the world?

Everyone will be screwed, there would be a lot of inflation and since the world all owes each other dollars like crazy some countries will not have any money remotely close to what they will owe and they will all go bankrupt because USA will try to recover that loss quickly to save face.

Hence, I am telling you there is not enough gold in the whole world that is enough to cover something like an entire system collapse.

Why do you think that gold is not much, if you check government gold reserve alone, you will see that they have lost of gold and there are still lost of gold that has also not been explored. I am not saying that gold would be the typical solution to it, because gold cannot do it alone, but I can tell you that to an extent, gold can really do lots of work in saving the economy off the dyeing country, while if they also apply bitcoin, bitcoin could also help to sort out such thing too because it has limited supply.

The real thing that can solve these entire inflation problems is when we begin to pay attention to some of these other things like gold and bitcoin that all have limited supply unlike cash.

[tonyvo2017]

Yes, I think it will start again with the old Bretton Woods monetary system, when gold was not always promoted and considered a common asset that could be exchanged in any country.
Therefore, gold is still a very important asset to the present and in the future for thousands of years.

[Duzter]

Anything could happen in the world, it is all about the system that's been followed globally. Throughout the world due to several economic challenges more currencies seems to be under inflation. Everything can't be taken back to control through bitcoin or cryptocurrency. To some extent this can give positive results, beyond this if nothing can be done then the gold reserve each country holds will help as a saviour in overcoming the inflation.

[Sithara007]

I still believe that without too much political interference, fiat currency should be able to do its job. But the central banks continue to print fiat whenever there is a need, and this reduces its value. You can check the stronger fiat currencies such as the Japanese Yen (JPY) and the Swiss Franc (CHF). They have thrived, because the governments don't interfere much. If you check the purchasing power of the Japanese Yen over the last 50 years, you can find that it has remained stable unlike the other fiat currencies such as the USD and EUR. 

[yulionoo]

I think it will be difficult if we have to use gold again in the transaction. because the amount of gold is currently limited and rare. also very ineffective if we have to carry gold everywhere to conduct transactions. if the fiat financial system collapsed I think people would prefer to use cryptocurrency rather than gold. like what happened in Venezuela some time ago. When Venezuela experienced an economic crisis and the currency fell they did not turn to gold. they are looking for another alternative payment tool namely bitcoin. I think bitcoin is better than gold. although bitcoin also has risks because of its volatility.

[oktana]

I still believe that without too much political interference, fiat currency should be able to do its job. But the central banks continue to print fiat whenever there is a need, and this reduces its value. You can check the stronger fiat currencies such as the Japanese Yen (JPY) and the Swiss Franc (CHF). They have thrived, because the governments don't interfere much. If you check the purchasing power of the Japanese Yen over the last 50 years, you can find that it has remained stable unlike the other fiat currencies such as the USD and EUR. 

the big connotations always come from the last two currencies you mentioned, those who play dirty, but they also often worry. the gold option will not help the overall recovery, and all countries do not want destructive chaos, in the end fiat will be reset and fully functional for local trust, in this case gold will run in a multilateral composition related to resetting the economic system.

[jrrsparkles]

Anything could happen in the world, it is all about the system that's been followed globally. Throughout the world due to several economic challenges more currencies seems to be under inflation. Everything can't be taken back to control through bitcoin or cryptocurrency. To some extent this can give positive results, beyond this if nothing can be done then the gold reserve each country holds will help as a saviour in overcoming the inflation.

If fiat loses its value completely then their reserves will be the thing can save their nation but gold is not the only reserve,now countries has different kind of assets like oil and other natural resources which is also things made the fiat backed up by gold into their own calculation.Don't think its going to happen but it is going to happen then reason will be people moved the value from their fiat into cryptos and other assets completely.

[riso2015]

I think it will be difficult if we have to use gold again in the transaction. because the amount of gold is currently limited and rare. also very ineffective if we have to carry gold everywhere to conduct transactions. if the fiat financial system collapsed I think people would prefer to use cryptocurrency rather than gold. like what happened in Venezuela some time ago. When Venezuela experienced an economic crisis and the currency fell they did not turn to gold. they are looking for another alternative payment tool namely bitcoin. I think bitcoin is better than gold. although bitcoin also has risks because of its volatility.

Yes I think people will use Cryptocurrency than gold if fiat currencies collapse. But after the Cryptocurrency period ends, I am very sure that gold will be re-used by everyone. Although gold stocks are scarce, public interest in gold is still very high.

[deisik]

I think it will be difficult if we have to use gold again in the transaction. because the amount of gold is currently limited and rare. also very ineffective if we have to carry gold everywhere to conduct transactions. if the fiat financial system collapsed I think people would prefer to use cryptocurrency rather than gold

There were different forms of gold standard in the past

And you didn't necessarily have to move physical gold around, which seems to be your point. Countries on gold standard typically used paper money anyway which was redeemable for physical gold. So you could redeem a piece of paper which had been circulating as money for real gold if you chose so and when you felt it necessary

If we were on gold standard in this day and age, transactions would still be mostly electronic (digital), while gold would only be used for accounting and final settlements, without physically leaving its underground vaults and storage facilities. In essence, everything would remain as it is now for the most part

[eaLiTy]

If we were on gold standard in this day and age, transactions would still be mostly electronic (digital), while gold would only be used for accounting and final settlements, without physically leaving its underground vaults and storage facilities. In essence, everything would remain as it is now for the most part

There is Sovereign gold bonds even now and you do not necessarily carry gold bars, just a peace of paper is enough to carry millions of dollars worth of gold through international borders and now we have BTCitcoin and you can move that easily and can sell those in exchanges and convert to the fiat currency you want and hence i consider BTCitcoin now a days and when ever i invest in gold i tend to go for gold bonds than purchasing the metal itself.

[tbterryboy]

I have been investing in gold before I discovered Bitcoin, but now I don't invest much in it. My focus is more on Bitcoin than gold because that's where I make the most profit. Whatever happens to Fiat does not have anything to do with cryptocurrency unless it's one that is backed by fiat like most stable coins.

I also have two lands, and I have no intention of selling any of them, but to keep them. It's good to have assets like these. I can tell for sure that the price of land in my country has increased more than what it used to sell in the last decade. If I should sell land I know how much I will be getting. That's the same with gold and Bitcoin, they all increase. If you don't have any you are just missing out and when there is an economic crash it will affect you badly.

[alani123]

At times of extreme stagflation and hunger gold could surely net you a lot of currency. But people then were not interested in monetary value as much as for mere survival. Value isn't a universal notion. Gold might have a more tangible sense to how its valued but context also matters, because in an economy you're not alone. If you're shopping for survival maybe money in general is not a good currency.

[abhiseshakana]

the big connotations always come from the last two currencies you mentioned, those who play dirty, but they also often worry. the gold option will not help the overall recovery, and all countries do not want destructive chaos, in the end fiat will be reset and fully functional for local trust, in this case gold will run in a multilateral composition related to resetting the economic system.

If the current monetary system collapses is not only an alternative solution that must be sought but also the root of the problem that occurs so that the same problem does not recur in the future. I am among those who believe that the fiat money system will collapse according to what has been preached by the Prophet Muhammad. While forgetting about the forecast problem, let's discuss why gold is able to move the economy back after a collapse.

In international trade, not all types of fiat money have legitimacy and are widely used. while gold is international, there will be freedom of gold exchange, through exports and imports. the use of gold will cause a fixed exchange rate between countries. Each country will maintain its gold wealth so there is no gold flight to other countries.

The golden opportunity to return to being an international monetary reference is huge from a fundamental (economic) perspective but rather difficult from a political point of view. That can be seen from the strong international conspiracy to get rid of the influence of gold. The banalization (removal) of gold from the venerable arena is inseparable from the solidity of America as a world superpower. Every superpower country has the opportunity to become the world's currency.

indeed adoption of gold as a medium of exchange will not be able to solve all economic problems after the collapse. but it can at least be the first step to not further impoverish the people with the problem of losing their money due to inflation and currency depreciation.

[Febo]

But they got outvoted, and there is nothing they can do about it unless they exit the euro. Of course if they exit they'll need their own currency and they'll have to prove to the markets that the central bank can manage that currency well - and having a reserve of gold will be part of that.

That is ow it is in confederation. Texas also cant do their own implementation on USD. They need other states to agree with their proposal first. Where would we be if all European countries would be against Netherlands suggestion but that suggestion would be accepted? Definitely not in Confederation.

[clickerz]

Anything could happen in the world, it is all about the system that's been followed globally. Throughout the world due to several economic challenges more currencies seems to be under inflation. Everything can't be taken back to control through bitcoin or cryptocurrency. To some extent this can give positive results, beyond this if nothing can be done then the gold reserve each country holds will help as a saviour in overcoming the inflation.

For ages, gold has been the de facto standard in most trades and medium of exchange aside from barter, I think still gold is a valued asset until now. Gold is supported by all nations, and its good to the assets or currency for a country to be back by gold. But now, I think cryptocurrency is another option, for big secured and highly portable and flexible.

[deisik]

Anything could happen in the world, it is all about the system that's been followed globally. Throughout the world due to several economic challenges more currencies seems to be under inflation. Everything can't be taken back to control through bitcoin or cryptocurrency. To some extent this can give positive results, beyond this if nothing can be done then the gold reserve each country holds will help as a saviour in overcoming the inflation.

For ages, gold has been the de facto standard in most trades and medium of exchange aside from barter, I think still gold is a valued asset until now. Gold is supported by all nations, and its good to the assets or currency for a country to be back by gold

No country uses gold as a backup for its currency nowadays

Muammar Gaddafi tried to launch a gold-backed dinar as a pan-African currency but was quickly overthrown and then assassinated. Gaddafi and his ideas aside, gold as a currency is only a medium of exchange just like any other currency out there, and in this regard its function is purely utilitarian, i.e. without goods and services to be produced and exchanged it means nothing on its own, not worth a dime, so to speak, gold or otherwise