If you really want to believe that the Fed is honorable and not seeking power, then I cannot help you. They are as power hungry as our government that pretends they are not. How else do you explain all the run away spending. I have even liberal friends that can't figure it out.
Right now they want to destroy the US Dollar (with all the spending) along with our Borders, language and our culture. They want a single currency and the UN to rule the world.You do understand that at the current level of spending. It will be impossible to sustain. Why else do you think China and other foreign buyers no longer want to give us loans? What do you have to officially hear it from Rush Limbaugh or your local news to believe what is going on around us?
Do you really believe that the government along with the Fed would tell people this in the open if they really wanted it, or would they make slow moves to change it.
Where do you send the interest?
You disagree because you appear to misunderstand the concept of money (which is basically any IOU; it can be agreed upon by two parties to an exchange; groups of people, as in the earlier U.S., where banks printed their own money; or the nation, as we have now). Gold, silver and other goods played that role because they were desired across the civilized world --- thus agreed upon the value of those metals. Ermine skins and fox skins served as money for hundreds of years in Europe and Russia: one unblemished skin of a black fox could be exchanged for a farm --- a house with furnishings, the land, and cattle. The reason for that was the same: the enduring demand (from Western Europe), as in the case of gold, for this commodity. The constancy of demand made furs convenient (known, agreed-upon) store of value.
There is nothing intrinsic whatever in gold and silver as money.