Posted on 04/14/2025 9:13:29 PM PDT by delta7
WRITTEN TESTIMONY OF ERIK BARTONE In Support of Senate Bill 1552 “An Act Promoting the Ownership and Use of Gold and Silver in the State and Establishing the Connecticut Bullion Depository and the Gold Start Savings Program” Connecticut General Assembly – Finance, Revenue and Bonding Committee April 14, 2025 Chairpersons Fonfara and Horn, Vice Chairs Cabrera, Miller, Constantine, and Rader, Ranking Members Fazio and Polletta, and members of the Committee: Thank you for the opportunity to submit testimony in strong support of Senate Bill 1552, which represents a bold, forward-thinking effort to provide the residents of Connecticut with the tools to safeguard their savings, diversify their holdings, and protect themselves from the long-term effects of inflation and monetary instability. Why Gold Ownership Matters to Connecticut At its core, this bill is about restoring financial sovereignty and resilience for the people of our state. It does so by acknowledging a fundamental truth: the purchasing power of the U.S. dollar has been in relentless decline since the Bretton Woods Agreement post World War II. Since the U.S. severed the gold standard in 1971, the value of the dollar—when measured in gold—has declined by more than 98%. In 1971, one ounce of gold was valued at $35. Today, it takes over $3,100 to buy that same ounce. This is not because gold has changed. Gold is constant. It is the dollar that has and continues to depreciate. This depreciation is not accidental—it is structural. The U.S. federal government runs persistent and unsustainable annual fiscal deficits, routinely spending far more than it collects in revenue. These deficits are financed through monetary expansion, which in turn erodes the real value of the currency. It is, in effect, a hidden tax. And it is the citizens of this country — especially the working and middle class — who pay for this through higher food prices, unaffordable housing, and dwindling retirement security. We can expect continued high inflation in the future as a structural monetary reset is currently underway. Rising public and private debt levels will continue to erode the purchasing power of the U.S. dollar, making gold ownership a more important component to our Connecticut resident’s saving options. Gold Has Outperformed Equities and Bonds Since 2000 Over the past 25 years, gold has not just preserved wealth—it has grown It. ………
About 50 years too late, I’m afraid, but, better late than never.
Is it really a great idea to encourage those who can’t swing investing at a $1K minimum to buy gold that is stored for them by the government?
The only way to invest in gold, is to take physical possession. Owning a picture of a Ferrari, is not owning a Ferrari.
Physical gold is a hedge against fiat currency becoming worthless, like having a bomb shelter, you hope you don’t need it, but it sure is a good feeling to know you have it.
But this bill is for the state to take possession.
And agreed.
Gold’s merit is based on a Goldilocks scenario (pun—lol).
The currency collapse must be great enough for gold to be a great safe haven...
But not great enough for government and civilization to collapse and gold trading become impractical.
I find the Goldilocks scenario very unlikely.
Do you believe, in a complete collapse, that gold won’t be the new currency? Of course it will.
Pre ‘64, U.S. silver will be king at the food market, and gold will buy you a house, farm, mansion, aircraft, whatever.
I doubt there will be a time when gold is not accepted as legal tender, worldwide.
Your notion that there will be a worldwide trade in anything except seashells after fiat currency collapse is amusing.
Speaking of gold, has Fort Knox been audited yet?
Consider purchasing Goldbacks if you want to possess the gold. Min investment can be under $10.
Consider purchasing Goldbacks….
———
I am not a fan, the Premiums are huge. Lately, premiums for fractional ( 1/10th oz/t US Eagles, Sovereigns, etc) Gold can be found as low as 5 percent above spot.
Granted, the Goldbacks are 1/1000 th of an ounce, but still nothing like the real thing. Physical Gold in one grams and 1/2 grams are now being manufactured.
100% agreed but unless a person comes into a windfall, its about the only way people can purchase and hold gold. I looked into with my 401k but without physical access, to me, its vapor assets. My understanding is the states that do issue goldbacks, the businesses that will take them, really like dealing in them. I would be interested to hear from anyone that has bought and exchanged GBs in their state.
Enjoy your misplaced sense of amusement, but as long as there are two people alive on the face of the earth, there will be exchange/barter/commerce on some level.
Be it seashells, weapons, fire, whatever, there will be trade.
You are missing the point.
An international trade in gold requires an infrastructure that will not survive a fiat currency meltdown.
It is like the old Einstein quote about war:
“I know not with what weapons World War III will be fought, but World War IV will be fought with sticks and stones.”
“Physical gold is a hedge against fiat currency becoming worthless,”
How do you get change when you take your gold bars to the market to buy groceries?
“Lately, premiums for fractional ( 1/10th oz/t US Eagles, Sovereigns, etc) Gold can be found as low as 5 percent above spot.”
More like 30% above spot.
There are a long list of problems with fiat currency that have been very well documented over the years.
But—the biggest problem is the worst problem.
There is no exit strategy.
When the currency dies the Empire dies—or vice versa.
I am not missing the point at all, you are envisioning some huge infrastructure of a gold market for global trade, I’m talking about ten guys with sticks, and one guy with some coins. Cave man style barter and trade. Gold always wins.
(And silver, for small purchases, for the pessimists who think you can’t spend a gold bar)
As I said, if two men remain on Earth, gold will be their eventual currency.
Silver coins are an OK workaround the Goldilocks issue imho.
Personally I think tobacco and hard liquor will be in greater demand—but to each their own....
“I’m talking about ten guys with sticks, and one guy with some coins. Cave man style barter and trade. Gold always wins.”
Guys with sticks hit guy with gold over the head head. Take gold.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.