Confiscation of Gold - Then What? Part 1/4

That’s why your gold
may be confiscated.
The consequential impact on the gold price is overwhelming. We’re moving into
dangerous financial waters in this regard which reminds us that ‘gold is money
in extreme times’, as Alan Greenspan said. But how? Investors hold gold in the
correct belief that it will rise as the monetary system decays; it has done
this since the turn of the century. When these times arrive, the price of gold
will not be as important as the number of ounces held by anyone.
What most gold investors have done is to shrug off the probability that they
may have their gold confiscated by their government, ‘in the interests of
national financial security’. Confiscation is far more than just an event that
will hurt individuals. It will hurt institutions (who are allowed to own gold)
and change the world’s monetary system significantly.
Importantly, Central Banks and the Authorities possibly will not wait for the
monetary system to crash before acting to ensure they have enough gold to keep
the monetary system working. They will act well ahead of that time to make sure
they avoid a collapse and attempt to engineer the event so as to catch gold
investors by surprise, removing their chances of making any contingency plans.
With their prime objective being to shore up confidence in the monetary and
banking system, they could not afford to signal the market about their
intentions beforehand. We are not just talking about the U.S.A. but many other
countries that may precede or follow the United States in these acts.
The trouble is that the gold they ‘acquire’ may be yours. Wisdom demands that
the banking crises, which have been occurring since 2007, do not happen again
because this time around they may well collapse. Prudence demands that investors
don’t take that risk but act before it is too late. The risks of not guarding
against this eventuality are enormous; the rewards of guarding against it are
massive. If it doesn’t happen, then you will lose little if anything. If
confiscation does happen, then you lose a lot. It’s a matter of risk and
reward.
We believe that the confiscation of gold for this purpose is a very real and
present danger and have organized a way to protect against that eventuality.
This prospect brings to the table the following questions which all gold
investors, including institutions need to address now before they are caught in
the net. We will look at these questions in subsequent articles:
Part 2