The Historical Context - Gold Confiscation: A Call to Action Amidst Financial Freedom Uncertainty—a Reminder of the Need for Vigilance in Today's Political Economic Climate
Beyond market volatility Americans have an old ghost returned from the grave of independence to worry us as well; historically the American government has seized their citizens' personal wealth, an alarming action that unfortunately once again merits our attention.
Have you heard Bitcoin called digital gold? (It is.)
The Historical Context of Gold Confiscation
Throughout history, there have been stunning examples of governments resorting to what is often referred to as "gold confiscation." One such instance occurred during the Great Depression in the United States when the government, under Executive Order 6102, compelled its citizens to surrender their gold bullion and coins at rates well below the market value. While it is important to note that citizens were compensated at least something for their gold, the act itself was unconstitutional and raises concerns about the appropriateness of the government's authority to intervene and make mandates regarding personal wealth. Similar events have transpired in different forms around the world, reinforcing the need for vigilance in protecting individual financial liberties, like the right to own bitcoin and any other stores of value.
Innovation in financial technology has flourished and more individuals each day are discovering cryptocurrency provides the missing links in their financial well-being by way of well-educated alt coin investments for acquiring wealth, by way of bitcoin for storing wealth with consistent gains (compared to USD/the puny interest most traditional financial institutions offer), and in ethereum-powered enterprises for cultivating wealth and more.
Perhaps it is the recent surge in plebian wealth due to altcoins, or maybe it's the legitimate bad actors who have drawn Securities and Exchange Commission (SEC) attention or maybe it was just time for them to wake up and smell the crypto—but the SEC has been very noisy lately and it is clearly their intent to deactivate the power of crypto for the common Susie, Sam, and Sydney - by making it illegal for plebs (regular people) to invest and trade top currencies ($BTC and $ETH, respectively) under the guise of "protecting the people".
Don't you believe it.
Look at what the SEC is trying to pass off as a model exchange: an unknown platform nobody in crypto uses that in compliance with the SEC does not support trades for the two cryptocurrencies that do the highest volume in the market—Ether and Bitcoin.
Enjoy this clip below of my favorite crypto trader and groundbreaking trading platform developer, Ivan on Tech, as he breaks it down (to the beat).
The U.S. government is making moves to criminalize American access to profitable exchanges while presenting a mostly useless coin-handicapped exchange as a viable option. What a farce! Thankfully people like Rep. Mike Flood are addressing this issue in a timely direct manner.
The SEC, under Gensler's leadership, has filed lawsuits against major cryptocurrency exchanges like Coinbase and Binance, accusing them of failing to register their exchanges with the SEC . Critics argue that these actions are an overreach of regulatory authority and that the SEC should focus on providing clearer guidelines rather than taking an enforcement-centric approach.
Critics contend that Gensler and the SEC have not yet provided clear and comprehensive regulatory guidance for the cryptocurrency industry. The evolving nature of the technology and its global reach require a thoughtful and balanced approach to regulation.
While the SEC's mandate is to protect investors and maintain fair and efficient markets, critics question whether Gensler's actions align with the principles of independence and impartiality. Some argue that the previous rejection of Gary Gensler's offer to advise Binance and Gary Gensler's personal political affiliations may influence his regulatory decisions.
The regulatory landscape surrounding cryptocurrencies is rapidly evolving, and ongoing discussions and adjustments will shape the future of regulation in this space.
Timely information and Calls-to-action
Considering the historical precedents of government intervention, and the actions today of the GG SEC (who seem to have as their one goal preventing the everyday Janet, Jamie, and Jacks of America from making life-changing money with our investment dimes), it is essential for motivated individuals to stay informed from reliable accurate unbiased sources. This excludes all the mainstream media outlets who are serving the interests of their shareholders. Based on what I have seen, we are not on the same side. The blatant misinformation—including the nefarious mis-reading of company/coin names—is reproachable. I literally clutched my pearls, seeing the ignorance of supposed experts in mainstream media discussing crypto.
It's Cardano. It's Solana. The cavalier ignorance of supposed experts in the media - people who seem not to understand, even on a basic level, the organizations they are trying to stop - is socially negligent.
I laugh when I see the memes, only to keep from crying. Even though the clown antics are funny, the attempt to denude crypto exchanges operating in in the U.S. is no laughing matter.
With so many high-minded intelligent people building infrastructure and intelligent tools to help anyone who cares to learn become wealthy within the cryptocurrency sector, taking timely appropriate proactive measures to safeguard access to cryptocurrency for all Americans is imperative.
We have an opportunity now to guide the cryptocurrency narrative toward a happy place where people, money and finance have enough unimpeded freedom to evolve and flourish, bringing more economic balance into the world. I believe this will be a brighter, better, more productive place for all people and all economies.
In this regard of being more productive, signing up for alerts and joining crypto-positive communities could be instrumental in making your voice heard. Cryptocurrency community hubs can provide timely updates on crypto news from within the industry to help us organize our efforts to connect with networks of proactive people who are also passionate about protecting the right to use this very accessible financial technology that supports global financial independence with frictionless peer-to-peer transfer of assets and true self-custody of personal wealth without the involvement of any third party, like your bank.
Use the #cryptotwitter hashtag to find relevant conversations on cryptocurrency on the Twitter platform.
By engaging with the crypto community, we each can actively participate in countering attempts by regulatory bodies to stifle this burgeoning sector. The Securities and Exchange Commission's (SEC) recent actions have drawn attention to the need for collective efforts to ensure the crypto industry's resilience against unwarranted attacks from people who systematically mislead the public with embarrassing over-implications and prejudices against the people and organizations pioneering the most promising technology of all time. Instead of meeting with the leaders of these extremely successful pioneering organizations, despite invitations and requests (from Coinbase, for example) the SEC, led by an inarguably confused (possibly vindictive) Gary Gensler, has taken legal action instead of discussing possibilities—even refusing to settle, apparently preferring to crush out this successful and still emerging business out of U.S. existence in a court battle.
Cryptocurrencies offer all individuals alternative means of acquiring and safeguarding unlimited personal wealth while maintaining financial sovereignty.
When I ask myself, "Why wouldn't the SEC want to incorporate new more inclusive business models?"
The resounding answer is, "The SEC champions traditional finance companies, advocating mandates that exclude the general population on the basis of wealth and accreditation, allowing only their (super rich 'accredited investor') friends and partners to participate in personal wealth building. In this manner, the SEC monopolizes access to the most lucritive wealth-building opportunities and are positioning themselves to have absolute control of the wealth stores of each individual American citizen for reasons that fall outside the formal mandate of the SEC."
This is categorically unAmerican.
|Declaration of Independence Excerpt
|Relevance to Individual's Right to Hold and Pursue Wealth
|"We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness." (1)
|The phrase "pursuit of Happiness" suggests that individuals have the right to pursue their own economic well-being and accumulate wealth as part of their pursuit of a fulfilling and prosperous life.
|"That to secure these rights, Governments are instituted among Men, deriving their just powers from the consent of the governed" (2)
|This implies that governments are established to protect individual rights, including the right to hold and pursue wealth, through fair and just governance expressly with the consent of the people being governed.
|"That whenever any Form of Government becomes destructive of these ends, it is the Right of the People to alter or to abolish it, and to institute new Government" (3)
|This passage emphasizes that if a government undermines individuals' rights to hold and pursue wealth, the people have the right to change or establish a new government that better respects and safeguards those rights.
|"He has erected a multitude of New Offices, and sent hither swarms of Officers to harass our people and eat out their substance." (4)
|This grievance highlights the negative impact of excessive government interference on individuals' ability to hold and accumulate wealth. It suggests that such interference should be avoided to protect individuals' economic well-being.
The Importance of Taking Action
Amidst the current economic landscape, it is crucial for each individual to find a meaningful way to contribute to the movement protecting our rights—this is larger than just our right to own crypto although that is our battle today. Whether it is joining advocacy organizations, supporting crypto-friendly legislation, or educating others about the benefits of decentralized finance, taking action TODAY can make a positive difference during this pivotal moment. Now, more than ever, it is essential to participate in shaping the future of cryptocurrencies and uphold the principles of the right to financial self-empowerment and financial self-custody.
Declaration of Independence References
- Declaration of Independence, Paragraph 2. Available at: [Archives.gov](https://www.archives.gov/founding-docs/declaration-transcript)
- Declaration of Independence, Paragraph 2.
- Declaration of Independence, Paragraph 2.
- Declaration of Independence, Paragraph 20.
It's time for money and politics to get a divorce.
As we navigate the uncertainties of the SEC, it is paramount to remember the lessons of history and remain vigilant against potential encroachments on our financial liberties. The reminder of governments' past actions in confiscating gold serves as a call to prepare for action. Even if you don't care for politics as a whole, it serves your own interests to play as meaningful a role as you can in your locale or online to ensure American people maintain the right to cultivate and self-custodize our personal wealth in all its forms.
By participating in positive crypto movement Twitter conversations, and engaging with organizations aligned with the defense of the crypto industry against unwarranted attacks, each person's active involvement, regardless of the specific avenue chosen, can collectively drive positive change and promote a future that embraces financial sovereignty for any who would choose that.
This isn't about forcing anyone to use crypto. This is about safeguarding that all Americans can continue to make each our own personal choices in each our own financial matters.
Yes, alright. 🐁 But WTF Am I Supposed To Do?!
Supporting the legality of cryptocurrencies in the United States requires a multi-faceted approach that ideally combines education, engagement, advocacy, responsible practices, patience, good humor, and philanthropy.
In the midst of evolving regulatory landscapes, cryptocurrency enthusiasts and supporters play a vital role in shaping the future of digital currencies in the United States. With the Securities and Exchange Commission (SEC) and its Chairman, Gary Gensler, clearly acting against the best interests of individual American citizens and the most leading-edge business owners operating in the United States, it's crucial for individuals to take proactive steps now to inarguably demonstrate the benefits of, and advocate for, the legalization of cryptocurrencies.
Educate Yourself and Others
Knowledge is the foundation of change, and in the world of cryptocurrency, understanding its intricacies is paramount. Start by immersing yourself in reputable sources that provide accurate and up-to-date information on the subject. Stay informed about the latest developments, regulatory proposals, and debates surrounding crypto. Share your knowledge with others by engaging in discussions, writing educational content, or hosting webinars. An educated community is essential for fostering acceptance and support for cryptocurrency.
Engage with Regulatory Bodies
To influence the regulatory landscape, it's vital to engage constructively with the SEC and other regulatory bodies. Attend public hearings, participate in comment periods, and voice your opinions on proposed regulations. Construct well-reasoned arguments that highlight the positive aspects of cryptocurrencies, such as their potential to democratize finance, enhance financial inclusion, and foster innovation. Advocate for regulatory frameworks that strike a balance between protecting investors and enabling the growth of the crypto ecosystem.
Support Crypto-Friendly Legislation
Become an advocate for crypto-friendly legislation at both the state and federal levels. Stay informed about proposed bills and initiatives that aim to regulate cryptocurrencies. Reach out to your local representatives and express your support for legislation that recognizes the benefits of cryptocurrencies while addressing potential risks. Collaborate with organizations and grassroots movements that promote crypto-friendly policies and consider making contributions to their advocacy efforts.
Foster Transparency and Responsible Practices
Building trust within the crypto community is crucial for gaining wider acceptance. Support initiatives that promote transparency and responsible practices in the industry. Encourage crypto exchanges, wallets, and projects to adhere to robust security standards, conduct regular audits, and enforce robust anti-money laundering (AML) and know-your-customer (KYC) protocols. By championing transparent practices, you contribute to the creation of a more trustworthy and regulated crypto ecosystem.
Engage in Philanthropic Initiatives
Demonstrate the positive impact of cryptocurrencies by supporting philanthropic causes. Many charitable organizations now accept cryptocurrency donations, allowing you to contribute to social causes using digital assets. By participating in philanthropic initiatives, you showcase the potential of cryptocurrencies beyond financial gains and emphasize their role in creating a more equitable society. Furthermore, consider supporting blockchain-based projects that address societal challenges, such as decentralized identity solutions or supply chain transparency.
If you've come this far with me into this deep dive, you deserve a prize. This is for you.
If you find conversations like this valuable, consider subscribing to this blog. I am also on twitter at @maxximillian where you can follow me to discover interesting and inspiring news in cryptocurrency, artificial intelligence, augmented reality and emerging creative technologies that integrate with web3 ownership and distribution opportunities.
URL: https://en.wikipedia.org/wiki/Executive_Order_6102 TITLE: Executive Order 6102 - Wikipedia
Executive Order 6102 is an executive order signed on April 5, 1933, by US President Franklin D. Roosevelt "forbidding the hoarding of gold coin, gold bullion, and gold certificates within the continental United States."
Forbade ownership of quantities of gold coin, bullion, and gold certificates worth in excess of $100 (about 5 troy ounces), with exemptions for specific uses and collections; Required all persons to deliver excess quantities of the above on or before May 1, 1933 in exchange for $20.67 per troy ounce; Enabled Federal funding of Exchange Stabilization Fund using profit realized from international transactions against new Federal reserves. The executive order was made under the authority of the Trading with the Enemy Act of 1917, as amended by the Emergency Banking Act in March 1933. The limitation on gold ownership in the United States was repealed after President Gerald Ford signed a bill legalizing private ownership of gold coins, bars, and certificates by an Act of Congress, codified in Pub. L. 93–373, which went into effect December 31, 1974. Rationale The stated reason for the order was that hard times had caused "hoarding" of gold, stalling economic growth and worsening the depression as the US was then using the gold standard for its currency. On April 6, 1933, The New York Times wrote, under the headline Hoarding of Gold, "The Executive Order issued by the President yesterday amplifies and particularizes his earlier warnings against hoarding. On March 6, taking advantage of a wartime statute that had not been repealed, he issued Presidential Proclamation 2039 that forbade the hoarding 'of gold or silver coin or bullion or currency', under penalty of $10,000 fine or ten years' imprisonment or both." The main rationale behind the order was actually to remove the constraint on the Federal Reserve preventing it from increasing the money supply during the depression. The Federal Reserve Act (1913) required 40% gold backing of Federal Reserve Notes that were issued. By the late 1920s, the Federal Reserve had almost reached the limit of allowable credit, in the form of Federal Reserve demand notes, which could be backed by the gold in its possession (see Great Depression). Effects Executive Order 6102 required all persons to deliver on or before May 1, 1933, all but a small amount of gold coin, gold bullion, and gold certificates owned by them to
TITLE: How the US government seized all citizens' gold in 1930s
With global financial markets in disarray, many investors are turning to classic safe havens. Gold is trading above US$1,750 (£1,429) per troy ounce, which is the standard measure – more than 15% above where it started 2020.
Even after a strong rally since March, the S&P 500 stock market index is down nearly 10% over the same period. Gold confers familiarity during downturns. Its returns are uncorrelated with assets like stocks, so it tends to hold its value when they fall. It is also a good way of avoiding currency devaluation. It therefore features in any well diversified investor’s portfolio, whether via gold-mining shares, gold funds, bullion or whatever. Yet there are two slight caveats to viewing gold as a safe haven.
Early in an economic downturn, gold prices often plummet with the rest of the market. This is from investors selling gold to offset losses in shares and other assets. We saw this in March, when gold fell 12% in two weeks, then quickly recovered. If the coronavirus causes more market panic, this could happen again. Gold return vs S&P 500 (Jan-May 2020) Thomson Reuters/Datastream During extreme crises, governments can also seize people’s gold.
There have been some stunning examples of “gold confiscation” in the past. Most memorably, this occurred in the US in 1933 during the great depression – albeit it’s more accurate to call it a nationalisation than a confiscation, since citizens were compensated. The government of Franklin D Roosevelt seized all gold bullion and coins via Executive Order 6102, forcing citizens to sell at well below market rates. Immediately after the “confiscation”, the government set a new official rate for gold that was much higher as part of the Gold Reserve Act 1934. Gold has enthralled humanity since ancient times. Still it glitters from central bank vaults to jewellery bazaars the world over. The Conversation brings you five essential briefings by academic experts on the world’s favourite precious metal. For more articles written by experts, join the hundreds of thousands who subscribe to our newsletter This was the era of the gold standard, which meant dollars were tradeable for an exact amount of the precious metal.
Seizing the metal enabled the government to print more dollars to try to stimulate the economy, and also to buy more dollars on the international markets to shore up the exchange rate. Many gold owners were understandably unhappy about the gold seizure, and some fought it in the courts. Ultimately, however, the government could not be stopped, and gold ownership remained illegal in the US until the 1970s. This intervention was not unique, even in contem
TITLE: FDR takes United States off gold standard
On June 5, 1933, the United States went off the gold standard, a monetary system in which currency is backed by gold, when Congress enacted a joint resolution nullifying the right of creditors to demand payment in gold. The United States had been on a gold standard since 1879, except for an embargo on gold exports during World War I, but bank failures during the Great Depression of the 1930s frightened the public into hoarding gold, making the policy untenable.Soon after taking office in March 1933, President Roosevelt declared a nationwide bank moratorium in order to prevent a run on the banks by consumers lacking confidence in the economy.
He also forbade banks to pay out gold or to export it. According to Keynesian economic theory, one of the best ways to fight off an economic downturn is to inflate the money supply. And increasing the amount of gold held by the Federal Reserve would in turn increase its power to inflate the money supply.
Facing similar pressures, Britain had dropped the gold standard in 1931, and Roosevelt had taken note.On April 5, 1933, Roosevelt ordered all gold coins and gold certificates in denominations of more than $100 turned in for other money. It required all persons to deliver all gold coin, gold bullion and gold certificates owned by them to the Federal Reserve by May 1 for the set price of $20.67 per ounce. By May 10, the government had taken in $300 million of gold coin and $470 million of gold certificates. Two months later, a joint resolution of Congress abrogated the gold clauses in many public and private obligations that required the debtor to repay the creditor in gold dollars of the same weight and fineness as those borrowed.
In 1934, the government price of gold was increased to $35 per ounce, effectively increasing the gold on the Federal Reserve’s balance sheets by 69 percent.
This increase in assets allowed the Federal Reserve to further inflate the money supply.
The government held the $35 per ounce price until August 15, 1971, when President Richard Nixon announced that the United States would no longer convert dollars to gold at a fixed value, thus completely abandoning the gold standard. In 1974, President Gerald Ford signed legislation that permitted Americans again to own gold bullion.
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