Gold and Silver Relevance
Gold and silver have always been and always will be real money – physical, precious, finite and trusted. The two metals have been faithful friends to diligent men and women who have wisely converted their time and labor into these monetary storehouses for the purposes of trading, saving, enjoyment and transference to their future generations. However, they haven’t been without their detractors. This digital world we live in has tried its hardest to banish gold and silver to financial history and has declared them in many ways as irrelevant forms of money. However, according to the “Wall Street Journal,” gold is a good hedge against inflation or falling value of currencies. Some purchase of gold can help investors balance stock portfolios, either in gold coins or bullion.
Our US Dollar is a Fiat Currency, meaning its Face Value is determined by Government Decree not by the content of the physical bill or coin. US Coins (dimes, quarters, half dollars) are also Fiat Currency. These coins are copper clad with nickel, containing no silver. Fiat Currency allows the Government to print unlimited quantities, which over time erodes its tradable value. Certain people purchase Gold as an insurance policy on their money. It is an “Anchor” of value and is a tangible asset that cannot be printed.