Picture this, the entire economy goes into complete chaos, and everyone is looting and killing each other for survival. People are panicking whether they will live to see light another day. Media spits out the usual scripted rubbish, but it’s clear that the world’s superpowers are at war. Fortunately, you were smart because you saw on ad on TV paid by a seller of precious metals who delivered a very persuasive speech about why you must invest a boatload of cash into gold and silver to protect your financial future. So, you picked up the phone, whipped out your credit card, and parked a substantial amount of paper currency into these shiny objects typically used in jewelry. As you reclined back with your feet on the couch, a feeling of relief ensued thanks to your wise investment.
And now the day has finally come, its just as the guy in the ad warned, a world thrown into anarchy due to financial crisis, and everyone is freaking out. Basic necessities like food and water are at astronomical prices that most cannot afford. At this rate, only multi-millionaires can survive. However, you have a trump card – gold & silver.
However, there’s just one problem, no stores accepts it as a tender for transactions…uh oh.
Not a Valid Tender
Go to your local grocery store and try paying with gold bars. No business will accept it even if employees personally would. It doesn’t matter if it’s Maple Leaf, Austrian, or Chinese Panda gold coins, it’s not going to get you anything. Heck, you can even try offering diamonds, but you’re more likely to get arrested for suspected theft. You see, cash is king, it is and will always be the accepted currency no matter what. Until the country adopts a new official currency, cash is here to stay. It’s been used for decades, and it’s what everybody instinctively resonates with due to years and years of conditioning. You’re not going to all of a sudden convince millions to adopt an extremely risky digital currency, or buy into the whole fuss of the world going back to the days of ancient Rome where people purchased goods with coins. Know what century you’re living in buddy.
If the world goes into complete economic chaos, do you really think gold and silver is going to be your ticket to wealth and prosperity? What are you going to do, claw and teeth your way through a burning city of hyperinflation just so you can go to your local gold exchange store to trade in your metal for a devalued currency?
Gold sellers use fear to convince you into buying, because they want to make money. You’re not going to be able to eat your gold and silver if things go sour. Gold and silver coins are useful if you’re traveling and need large quick cash at foreign banks. A pouch of coins will be worth thousands, and from Hong Kong to Europe, just about any bank there will exchange coins for currency. This is useful in certain scenarios, but betting on it saving your butt when things get real is wishful thinking. Besides, the government has already confiscated gold in the past via Executive Order 6102 , so what’s to stop them from doing it again? They can outlaw it like they did with guns in the name of national emergency.
It’s obvious that financial instability could lead to hyperinflation, but there is no one safeguard investment that guarantees you’ll be financially secured during hard times. It would be better to prepare for power outages and living without the comforts of modern life. Non-perishable food, water, emergency medical kits, fire starters, and other basic items are a better investment because you’ll be less dependent on the system compared to others.
However, it’s not likely the rulers of the world will want to crash the internet, TV, and digital technology. After all, they worked so hard to make the population glued to their screens. Removing these devices, would actually work against them, because they won’t be able to brainwash them right in their own homes and bombard them with advertisements anymore. Home ownership, and ownership in general are likely to the things hit the worst.