This is kind of the opposite of a Central bank digital currency so you Kind of have to wonder will gold and Silver be the Cloak and Dagger currency Of the future and now that I say that Kind of like it makes it a little bit Cooler Seas are coming central banks are Rolling these out as we speak and They're going to have significant Implications on payments they're going To have significant implications on Privacy so the question here is whether Or not they'll have any implications on Metals if they'll impact Metals at all And that's a lot harder to answer if Nothing else I think there are a few Choices that might be relevant at scale And I'm going to get into that just a Little bit but before that I'm going to Start with why any of this matters Now we've all heard about Central Bank Digital currencies they're a popular Backdrop for reset scenarios because They're scary cbdc rollout means more Government oversight and more government Control over what you do with your money But most of what I see on the topic is a Little bit wrong cbdc's are coming it's Only a matter of time but the amount of Time that we have before they're here It's probably the biggest misconception Now a lot of that misconception revolves Around the coming launch of fednel if
Somebody says the cbdc is rolling out in The United States by July of this year Well they're confusing it with fed now Fed now is meant to handle instant Payments but it's not a cbdc and the Difference here is very significant a Cbdc it's a new kind of money with an Actual cbdc the Federal Reserve would Release digital dollars just like they Release normal dollars today now one way Or another they need to get digital Dollars into the system they could Withdraw and destroy dollars release new Digital dollars or they would issue to Them like they currently print dollars But that's the important part A cbdc is A new kind of money fed now does none of This fed now is a payment platform for Existing dollar debt now another mix up Is that the 12-week cbdc pilot program For major banks that that was the final Testing ahead of a wide scale cbdc Rollout but that was a test of wholesale Cbdc to handle transactions between Financial institutions I was not a Retail cbdc that you or I could use if We wanted to and that might sound like a Technicality but launching a retail cbdc Requires Congressional approval and they Don't have that yet this would take Specific approval like I just mentioned It would also take design creation and Testing prior to ever rolling something Like this out I've seen five-year
Timelines thrown around and I don't know If that's accurate but seems a lot more Reasonable than four months from now and That would simply be to begin the Rollout in other words you have some Time we're not going to be blindsided in July like some are suggesting that's the Reason that you're not hearing about This in the Normie circles what's coming In July is like a preview of what's Coming for real a full cbdc Implementation it's going to be a much Bigger deal it's going to have a Profound impact on the current system And that adoption strategy will probably Include some form of fees maybe some Restrictions on the use of cash you'll Know it when it's coming I'm not trying To minimize the potential impact by Saying that it will take a while to roll Out I'm just bringing this up because We're going to talk about how gold and Silver might fit into some of this so Just stick with me for another minute so The downsides of a cbdc they're pretty Clear there's no way to transfer money Anonymously in an account based digital Currency everything is tracked every Transaction is coded to show what the Purchase was for the amount is logged The payer and the recipient they're both Identified and the transaction is Permanently recorded so that's the first Issue no more privacy now the second
Issue is government control of the use Of digital dollars this is all Speculative of course but Programmability is listed as a tenant of Cbdc implementation and what that means Is that rules could be coded in to Control how you can use your digital Dollars it could be through interest Rates it could be through carbon fees or Limits it could be through usage Deadlines and just one example here Stimulus dollars could be issued that Need to be spent within six months for Certain things that they disappear it's Just one example I made up but it gives A really good example of possible Controls that could be introduced on a Cbdc that aren't possible today with Either cash or bank accounts so put all This together and you're looking at a Long-term war on the way that you use Your money today that might not even be The core intent of a cbdc it just Doesn't matter because using an account Based cbdc inherently means a complete Lack of privacy and the stricter that The limitations are in the use of cash As an alternative the more people are Going to be looking for their options Now don't think of precious metals as a Good wide scale alternative here maybe I'm wrong I just don't see us falling Into back alley barter system using bits Of silver and gold to buy everyday
Things but physical assets do give Options for trade and it might be cases Where it starts to make more sense a Worst case nothing really changes with Gold and silver post cbdc they just Simply continue to perform as a physical Asset a physical savings model but they Might be viewed less as money A best case maybe they actually increase In utility because there's a Constitutional angle here a complete Move away from cash will probably Trigger some kind of legal fight because If you look at Article 1 Section 10 it Reads that no state shall make anything But gold and silver coin a tender in Payment of debts personally I don't Think there will be a big change in how We view gold and silver but I do think More about what I'm buying just in case One way to go here would be to consider Whether or not you think you might Actually be using your gold and silver And then another is to just stick with The most liquid options just in case new Restrictions begin to creep in at local Shops I'm not saying that's going to Happen but I think it's probably in the Back of everybody's mind but either way Though what I come up with with either Of those two cases is basically the same So I look at my gold and silver in two Basic categories first I have some Collectible gold coins that I think
Could do well over time nothing Exceptional but I have a few dozen coins That fall into this category and I'm not Worried about how many buyers I might Have for them I'm not worried about how Quickly I might have to sell them Because I just don't think of them as Coins that I need to use I either don't Really plan to sell them at all or I Think that if I did want to sell them I Just wouldn't be in a hurry regardless Though of whether we're using a cbdc in The future I don't see an impact on what I do with this category with collectible Gold it was all going to be on the books Probably through an online sale And then I have bullion the stuff that I Might use now for me it's Eagles and Buffalo's common things that everyone Recognizes and I do think here that There's a reason to have a base of coins From your country's mint if possible you Heard me just mention the Collectibles Being on the books and what I was Getting at there is I think that there's A reason to have a base of coins from Your country's mint if possible now I Don't want to take us too far off track Here but I just don't see how U.S mint Bullion can be deemed collectible and I'm expecting a fight against capital Gain taxes on them specifically at some Point but that's another story so that's Really it anything between those two
Categories between collectible or Popular bullion this doesn't really fit Into what I'm looking to buy or hold on To right now it's not a big change to What I'm already doing I'm just going to Continue pushing further to the edges of Those two categories I'll keep buying Coins that I enjoy but if a Semi-numismatic fun coin isn't really Collectible or if a bullion coin isn't Really recognizable that I don't have a Great reason to buy it a few years ago Now I started keeping track of the Bullion that I have separate from the Collectible pieces that I have and I Know I could sell the collectible pieces For their intrinsic value which is Effectively the spot price that would be If I needed to but I have a number now That I know I could get if I liquidated My gold and the collectible stuff is not Part of that list So even though I don't have any current Plans to sell my gold or silver a cbdc Strikes me is something that could Potentially change my mind about their Use maybe it's harder to swap silver and Gold for cash it might change the things That you want to have maybe there are Options for use or for trade and that Might change my mind too so what I'm Moving to in this category is simply Eagles and buffaloes primarily in one Ounce size that gets me the most popular
Bullying here I'm not saying though that Anyone else needs to do that really that Short list could include krugs and Maple Leafs philharmonics britannius kangaroos But I'm trying to keep it simple and I Do think the best option is always your Home Team Coins if you have that option And in this case I also think that there Might eventually be a constitutional Reason to favor some U.S mint coins I'm Also looking to add some fractional to The category as well I have some quarter Ounce Eagles I like to have some 24 Karat options as well really for two Different reasons and that second reason Means Maples fills britannia's as well Since we don't have quarter ounce Buffaloes the maples are great they're a Different diameter though can't seem to Get that out of my head so philharmonics Or Brits both are 22 millimeter so Quarter ounce britannias might actually Be on my list I think what that does is it gets me the Most usable bullion and I probably add Some one ounce silver to that list just For divisibility kind of on the fence There but if you're thinking gold is Gold silver is silver I'm spending more In this category than you are the buy to Sell spread on U.S mint bullion it's Going to be one to two percent higher Than something like a philharmonic or Britannia even a Canadian maple leaf but
I'll happily pay that to stack up what I See as the safest options down the road Of cbdc's bring any big changes with Them and then I can always go crazy with The collectible stuff So let us know what you think do you Think cbdc's will have an impact on gold And silver down the road does that Change what you're buying serious Purchases only or whatever catches your Eye let us know and then while you're in The comments be sure to hit that like Button if you found any of this Interesting it's a big help to channel Be sure you're subscribed notifications Turned on if you'd like to see more on The topic and if you're still here Thanks again for watching I always Appreciate your time Take care
