Thursday, August 18, 2016

IMF/BIS Already Using IMF Currency
"You tell me. The International Monetary Fund and the Bank for International Settlements (BIS) both keep their books in IMF Special Drawing Rights (SDRs). Sounds like a denomination."
- Jim Rickards,who has been very vocal that the IMF & BIS will be bailing out the governments & central banks in the next financial crisis, using IMF money

1 comment:

Anonymous said...

Arizona Government Looking At Gold Bonds

Last week, in a presentation to the committee, the founder of Monetary Metals Inc. said a government issued gold bond would not only benefit the country’s monetary system but also Arizona’s economy.

“Thanks to the Fed’s monetary policy, investors basically earn zero interest rates. A gold bond is a way for people to get a real rate of return,” Weiner said. “People are urgently seeking a way to make a yield on gold. I think Arizona will draw the world’s attention and it will draw capital inflows.”

He explained that a gold bond could be used to reduce the state’s debt by specifying that the bond will be issued to investors who want to tender outstanding state bonds. Quoting statistics from Arizona’s Treasury department, Weiner said that it is estimated that the state’s debt is currently at $10 billion, not including unfunded liabilities.

The committee, Weiner continued, doesn’t even need to rely on developing its own gold reserves before issuing a gold bond. He suggested creating the bond by using gold flows created from taxes.

Arizona is one of the top gold producing states in America and has historically produced 16 million ounces of the precious metal. Currently, gold is produced as a byproduct at significant copper projects. Some of the major companies mining in the state include BHP-Billiton and Freeport-McMoran, which both generate billions in mining revenues.

Weiner explained that under current laws, the state can actually collect taxes in gold and silver bullion. In his presentation, he recommended the state collect gold as part its severance tax of 2.5%.

“That tax can provide the state a gold income stream, which is what you need to amortize the gold bond,” he said.