I for one don’t understand. People keep touting crypto and PMs for when things fall apart.
So lets go down this path...
If things fall apart, no or limited power = no use for cryptocurrencies. Why hedge them for SHTF? I have no interest in buying crypto even for gambling for a buck these days.
If things fall apart and the dollar is worthless, will PMs actually have any tangible value until things settle and a new system emerges? People will be trading for food and basic necessities. The value of silver/gold will be wildly unknown for awhile I’d wager. Would you trade 10lbs of food for 100 ounces of gold if you have no assurance that anyone would accept the gold for food/necessities purchases later? Would a new system even place any value on PMs?
I’ll stick to lead.
I’m not a big fan of PMs but I think it’s prudent to recognize that they may be necessary in deep impact, infinity war, black swan, Fauci, zombie, 2012 type scenarios. But, as a hedge they suck.
I actually agree with you. I’m sticking to green backs, as much as I can afford to keep in cash form. I mean why not? The interest rates in a checking acct or small savings acct is .00000034%. If things smoothen out, just redeposit it.
What ever the trading medium is, it’s got to be something the other guy wants and can use. Gold is stupid, small silver tid bits may work. Imagine trying to use a $2,000 gold coin to buy a bag of food. You’d get no change back. Crypto currency is dummmmmb.
If things do go bad I do have some excess ammo in certain calibers to trade.
Well, I think it depends on how long things go down. PM have been around since ancient history ranging from gold, silver, copper, etc. and acting as a form of currency. A global fiat currency is a new system, major countries started hoarding gold about a decade or so back. We used to live on a gold standard and/or silver standard.
I don’t own gold, but have a small stash of silver coins. In the immediate aftermath of a SHTF crash coins won’t be of help. You are correct that barter for things will be a way of sustenance for about a year. Things like seeds, bullets, hunting, fishing and knowing how to make bread/bakery will be highly prized.
Once the ‘town square market’ is re-established people are not going to want to be dragging things around with them to barter and shop. If they have surplus they will want to sell and have a stall. But how many loaves of bread do you want at one time? This is when ‘real’ coins become of value.
Same can be said if some form of nominal grid survives; coins will buy you gasoline, electricity or heating and even communication. These will be the who/what getting wealthy. At least those that can afford such luxury will have a means to pay for it. And that won’t come from a loaf of bread unless it is sold for real money.
Why try and have silver as they force us into the ‘new normal?’ Because historically is can help one survive, travel, and even stabilize your community while the world around you is in chaos. No one really understands what this ‘4th Industrial revolution’ is going to look like. Even in Davos last week they admitted to not being ready to ‘take down’ the current currency system, but there’s now doubt they are planning for a new one.
In the meantime a little PM could be the difference between surviving and subsistence living.