[kaspergutman]

gold is money, not an asset.

You pay for stuff at Walmart with gold?

[ari-freedom]

no, but you don’t pay for stuff at walmart with the money you have in your bank either. That’s all 0’s and 1’s. People would rather replace those 0’s and 1’s with gold.

[Atlas Sneezed]

You pay for stuff at Walmart with gold?

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No, you buy current dollars with gold. Gold preserves the value of your wealth over time, until you need to convert it into (potentially highly inflated) dollars.

Or, if things get real tough, and dollar bills are fueling fireplaces, you’ll be able to get just about anything with gold, or the silver coins that make change into smaller denominations.

[austinaero]

Kasper, depending on the content of the coins, and they don’t have to be rare necessarily, the silver content is worth more than the coin’s face. You can sell it for a certain price. My Mom-in-law had some silver dollars she had saved from her mom. Right now, some of those $1 silver dollars can either be used at Walmart to buy $1 worth of goods, OR, it can be sold and it’s value is estimated around $20.00. See the difference?

The problem is, if it is sold, it is for cash, which is not pegged to any commodity and can become worthless overnight.