alby
09-05-2006, 04:00 PM
Digitial Gold such as eGold seem like an awesome idea. It leaves me with dreams of gold vaults with my name assigned to some stockpile somewhere...
But the fact remains, DGC companies (in my opinion) are creating risk by the fact almost all of them are offshore companies and all your Gold is nothing more than digits in an online accounting spreadsheet. If the DGC company goes belly up, who's flying to timbuktu to recover your gold? Assuming it exists in the first place or isn't confiscated by the rogue company?
I believe in keeping your own Gold inside your own safe. Or better yet, hope and pray for the day when your Gold sitting inside your local Bank's Vault, could have paper notes issued as legal currency. Dollars and Cents would no longer be the norm at the grocery store. You'd be asked for payment in grams.
Store Clerk: "That'll be 10.2/grams of Gold today Mr. Alby"
Alby: "Hold on, let me write you a check for 10.2/grams. You can redeem it for USDs, CHFs, GBPs, EURs, whatever paper money you like. Or just leave it in your vault as 10.2/grams of Gold."
Store Clerk: "I'm sorry Mr. Alby, we only accept Cash."
Alby: "Ohh wait, I do have 10.2/grams worth of Gold in the form of paper cash."
http://www.fastcoin.com/MW/1928-100-dollar-note-redeemable-gold-ave-circ-11-20-03-3.jpg
But the fact remains, DGC companies (in my opinion) are creating risk by the fact almost all of them are offshore companies and all your Gold is nothing more than digits in an online accounting spreadsheet. If the DGC company goes belly up, who's flying to timbuktu to recover your gold? Assuming it exists in the first place or isn't confiscated by the rogue company?
I believe in keeping your own Gold inside your own safe. Or better yet, hope and pray for the day when your Gold sitting inside your local Bank's Vault, could have paper notes issued as legal currency. Dollars and Cents would no longer be the norm at the grocery store. You'd be asked for payment in grams.
Store Clerk: "That'll be 10.2/grams of Gold today Mr. Alby"
Alby: "Hold on, let me write you a check for 10.2/grams. You can redeem it for USDs, CHFs, GBPs, EURs, whatever paper money you like. Or just leave it in your vault as 10.2/grams of Gold."
Store Clerk: "I'm sorry Mr. Alby, we only accept Cash."
Alby: "Ohh wait, I do have 10.2/grams worth of Gold in the form of paper cash."
http://www.fastcoin.com/MW/1928-100-dollar-note-redeemable-gold-ave-circ-11-20-03-3.jpg