Discussion of Forex Trading and Currency Trading

Why don't we use silver or gold coins anymore for currency?

Why do we only use things like copper and nickel now?
Does it have anything to do with modern day jewelry industries at all?
Does it have anything to do with it being less costly to produce? Doesn't that kind of defeat the purpose of currency?

(Also, I already know the whole previous and current situations with the dollar and the US Treasury, so no need to explain that. I'm just wondering about coins.)

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4 Responses to “Why don't we use silver or gold coins anymore for currency?”

  1. Three Reason why..

    1) The Federal Reserve Act of 1913

    2) Executive Order 6102 - Requiring Gold Coin, Gold Bullion and Gold Certificates to Be Delivered to the Government in 1933 by President Roosevelt

    3) In 1971, Nixon unilaterally canceled the Bretton Woods system and stopped the direct convertibility of the United States dollar to gold.

    The 2nd event was undone in the 1980s so that citizens can now own Gold. But number 3 paved the way for number 1 to take control of our currency. The Federal Reserve Act gives the Fed the power to control our money supply and mandate that we only use their paper money as legal tender.

  2. I think it would be too easy to fake, so the real value would be lost. It would be too costly to make fake coins of copper and nickel.

  3. And we have been slaves to the Federal Reserve Bank, a private banking institution, ever since.

  4. As Alby says.

    This was essentially legalised theft of a constitutional right and expectation to be able to use gold and silver as means of exchange.

    It is true that the actual metals can be adulterated and otherwise corrupted, but the alternative was the Swiss system: have every fiat currency banknote and coin supported by a gold and/or silver standard. This way the integrity of gold and silver is preserved and the currency is fully backed. Governments hate this because it forced them to be honest and banks hated it because it prevented fractional reserve banking.

    The promise to redeem notes for bullion or other gold was on every banknote until the Fed Res was created by the US government selling out it's own people to a private cartel.

    Also: copper, nickel and tin are far more durable when used for coins, but they could be backed by gold and/or silver.

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