Are gold coins a good investement?

[Xelaetaks]

I was just wondering. I know Ron Paul is a big fan of gold, wants to bring back the gold standard so I figure Ron Paul fans may no something about this.


Are $50 gold coins a worthwhile investement???


I just got the idea cause I found two gold $50 coins that my grandparents gave me a few years ago and looking it up online it seems like they worth quite a bit more than they were bought for so I was just thinking maybe buying more coins like these could actually be a good investement. Would love to hear people's thoughts on this if anyone has some ideas. Thanks.

 

[The Free Hornet]

I don't want to speculate but consider this. If you are holding dollars, you are invested in the Fed. People like to think holding cash is not investing. That's bullshit. Others say that holding gold is not investing and that may be true - to an extent. Gold is about the preservation of wealth. If you want to take chances investing in the dollar, hold on to those greenbacks. If you want to preserve what you have, convert those dollars to something else.

 

[Becker]

Buyer be warned, at the end of 2007, gold was $800, Nov 2008, it was around $750.

So there are ups and downs, don't invest what you can't afford to lose. Although over 4 years, gold has appreciated to $1600. If you didn't have time to wait, you'd lose and hate anybody who told you to buy.

 

[ctiger2]

Gold is NOT an investment, it's MONEY. The only reason it seems like an investment right now is because its very UNDERVALUED MONEY. Hold onto your $50 Gold coins and in 5-10 years you'll be happy that you have this Gold MONEY to spend.

 

[Becker]

Gold is NOT an investment, it's MONEY. The only reason it seems like an investment right now is because its very UNDERVALUED MONEY. Hold onto your $50 Gold coins and in 5-10 years you'll be happy that you have this Gold MONEY to spend.

How is gold money? When was the last time you spent it, and where?
It's undervalued according to your standards?
Like I said, not everybody can wait 5-10 years.

 

[ctiger2]

How is gold money? When was the last time you spent it, and where?
It's undervalued according to your standards?
Like I said, not everybody can wait 5-10 years.

1. Gold has always been MONEY. It has not always been an official CURRENCY like now. Central Banks hold Gold in their reserves all around the world. I haven't spent any Gold or Silver yet. I'm waiting for the Govt or Freem Market to re-legalize it as an official CURRENCY like they've DONE IN UTAH ALREADY.
2. Gold is undervalued according to economist John Williams who runs Shadowstats.com. Adjusted for inflation, Gold should have $6,500+ worth of USD purchasing power right now. So, each Gold coin you exchange Federal Reserve notes for now will have a HUGE boost in purchasing power in the future once it catches up to where it should be.
3. The OP mentions nothing about waiting for anything. He was interested in if Gold was a good investment.

GOLD and SILVER ARE MONEY

Utah Legalizes Gold, Silver Coins As Currency
Only Gold Can Replace the Greenback As the World's Reserve Currency
Gold Is The True Reserve Currency
Has Gold Become A New Reserve Currency?
Morning Note: Gold Replacing Dollar as World’s Reserve Currency?
Gold: The World's True Reserve Currency
The True World's Reserve Currency is Gold
Did Gold Finally Become The World's New Reserve Currency?
Will Gold replace dollar as global reserve currency?
Gartman sees Gold becoming world reserve currency
Gold Is the True Reserve Currency
Gold becoming the unofficial reserve currency again as people lose faith in the US Dollar

 

[Becker]

1. Gold has always been MONEY. It has not always been an official CURRENCY like now. Central Banks hold Gold in their reserves all around the world. I haven't spent any Gold or Silver yet. I'm waiting for the Govt or Freem Market to re-legalize it as an official CURRENCY like they've done in Utah already.

Wrong. Gold is only money IF AND WHEN it is exchanged and accepted. It's not illegal to barter with it. Ever. you just don't see people do it.

2. Gold is undervalued according to economist John Williams who runs Shadowstats.com. Adjusted for inflation, Gold should have $6,500+ worth of USD purchasing power right now. So, each Gold coin you exchange Federal Reserve notes for now will have a HUGE boost in purchasing power in the future once it catches up to where it should be.

According to people who have no say over the market.

3. The OP mentions nothing about waiting for anything. He was interested in if Gold was a good investment.

GOLD and SILVER ARE MONEY

Utah Legalizes Gold, Silver Coins As Currency
Only Gold Can Replace the Greenback As the World's Reserve Currency
Gold Is The True Reserve Currency
Has Gold Become A New Reserve Currency?
Morning Note: Gold Replacing Dollar as World’s Reserve Currency?
Gold: The World's True Reserve Currency
The True World's Reserve Currency is Gold
Did Gold Finally Become The World's New Reserve Currency?
Will Gold replace dollar as global reserve currency?
Gartman sees Gold becoming world reserve currency
Gold Is the True Reserve Currency
Gold becoming the unofficial reserve currency again as people lose faith in the US Dollar

and I was simply adding that anybody who is investing, beware, timing may not be right and you don't always win.

 

[Seraphim]

No, he's right.

Central banks around the world hold gold and LEASE IT in CREDIT SWAPS.

If that does not constitute MONEY, then NOTHING does.

Wrong. Gold is only money IF AND WHEN it is exchanged and accepted. It's not illegal to barter with it. Ever. you just don't see people do it.



According to people who have no say over the market.



and I was simply adding that anybody who is investing, beware, timing may not be right and you don't always win.

 

[ctiger2]

Wrong. Gold is only money IF AND WHEN it is exchanged and accepted. It's not illegal to barter with it. Ever. you just don't see people do it.

You're confusing MONEY and CURRENCY

http://en.wikipedia.org/wiki/Money
http://en.wikipedia.org/wiki/Currency

I'm sorry you can't see what's so obvious to a lot of us. Just because Gubmint say so, don't mean it is.

 

[Becker]

You're confusing MONEY and CURRENCY

http://en.wikipedia.org/wiki/Money
http://en.wikipedia.org/wiki/Currency

I'm sorry you can't see what's so obvious to a lot of us. Just because Gubmint say so, don't mean it is.

Actually I am not.

[wiki] Money is any object or record that is generally accepted as payment for goods and services and repayment of debts in a given country or socio-economic context. The main functions of money are distinguished as: a medium of exchange; a unit of account; a store of value; and, occasionally in the past, a standard of deferred payment. Any kind of object or secure verifiable record that fulfills these functions can serve as money.

If gold is money by this definition, what isn't?

[wiki]In economics, currency refers to a generally accepted medium of exchange. These are usually the coins and banknotes of a particular government, which comprise the physical aspects of a nation's money supply.

So currency is merely a kind of money, gold isn't generally accepted. But where is it EVER accepted for your purposes? Bartering isn't illegal, but when did you last do it? When did gold EVER serve as a money for you in ways other solid objects could not?

 

[Becker]

No, he's right.

Central banks around the world hold gold and LEASE IT in CREDIT SWAPS.

If that does not constitute MONEY, then NOTHING does.

by this logic, if they trade electronic messages, that's money too.
Is gold money for YOUR purposes? How often do you barter gold in exchange? ever.
I'm not asking you where you heard somebody do it, I'm asking IF YOU HAVE .

 

[raiha]

Gold is an investment. The fiat money system is teetering over a very large cliff. There is nowhere near enough gold to cover the paper gold in the world. When our fingertips can no longer hold on to that last rock keeping us from the abyss and fiat becomes a joke (except no longer funny) those holding gold will be the lucky ones. Gold is for the future when the economy tanks is the way i am looking at it. DYODD!!

 

[ctiger2]

Actually I am not.

[wiki] Money is any object or record that is generally accepted as payment for goods and services and repayment of debts in a given country or socio-economic context. The main functions of money are distinguished as: a medium of exchange; a unit of account; a store of value; and, occasionally in the past, a standard of deferred payment. Any kind of object or secure verifiable record that fulfills these functions can serve as money.

If gold is money by this definition, what isn't?

[wiki]In economics, currency refers to a generally accepted medium of exchange. These are usually the coins and banknotes of a particular government, which comprise the physical aspects of a nation's money supply.

So currency is merely a kind of money, gold isn't generally accepted. But where is it EVER accepted for your purposes? Bartering isn't illegal, but when did you last do it? When did gold EVER serve as a money for you in ways other solid objects could not?

You conveniently overlooked: Utah Legalizes Gold, Silver Coins As Currency

If you can't see what's staring you in the face, then no one can help you. You suffer from monetary normalcy bias. lol!

 

[Becker]

You conveniently overlooked: Utah Legalizes Gold, Silver Coins As Currency

If you can't see what's staring you in the face, then no one can help you. You suffer from monetary normalcy bias. lol!

Ironic, YOU are now the person who equates currency with money.

When I said gold (and silver) were NEVER EVER illegal as a trade or barter, I was saying it is a money for anybody who says it is, but I was asking you whether you've actually used it as such.

Gold and silver are not currency by the definition you gave, and it's legalized in Utah just now. This doesn't mean it's ever been illegal to barter or trade gold coins as you wish, just that it's legally recognized as tender (or whatever it means, the articles lack detail).

You suffer from "gold is always money no matter who accepts it, rejects it and what its worth"

 

[The Goat]

buying something is a transaction. a transaction is a trade. I have traded gold, silver, FRNs, copper coins, zinc coins, copper/nickel coins, and many other things to "buy" something.

 

[Becker]

buying something is a transaction. a transaction is a trade. I have traded gold, silver, FRNs, copper coins, zinc coins, copper/nickel coins, and many other things to "buy" something.

when did you trade gold? with a friend who happened to already be in the know?

 

[ctiger2]

Ironic, YOU are now the person who equates currency with money.

When I said gold (and silver) were NEVER EVER illegal as a trade or barter, I was saying it is a money for anybody who says it is, but I was asking you whether you've actually used it as such.

Gold and silver are not currency by the definition you gave, and it's legalized in Utah just now. This doesn't mean it's ever been illegal to barter or trade gold coins as you wish, just that it's legally recognized as tender (or whatever it means, the articles lack detail).

You suffer from "gold is always money no matter who accepts it, rejects it and what its worth"

Utah is just the first state to re-legalize Silver and Gold as legal currency again. Besides Utah, 12 other states proposing Gold and Silver legal tender laws: Colorado, Georgia, Montana, Missouri, Indiana, Iowa, New Hampshire, Oklahoma, South Carolina, Tennessee, Vermont and Washington. The trend is your friend my friend. When Federal Reserve Notes stop functioning as currency, the rest of the states that haven't re-legalized Silver/Gold as legal tender will do so within 24/48hrs.

Money CAN be used as a Currency. ie Silver/Gold coins for 5,000+ years
Currency doesn't have to be Money. ie *Federal Reserve Notes

(*Federal Reserve Notes don't quality as Money because they do not store value over time)

According to this inflation calculator: What cost $100 in 1910 would cost $2310.26 in 2010. Also, if you were to buy exactly the same products in 2010 and 1910, they would cost you $100 and $4.24 respectively. You can see how Federal Reserve Notes do NOT store value over time. While at the same time in 1910 1oz of Gold was $20, today ~$1650. What cost you $100 in 1910 would've cost 5oz of Gold. 5oz of Gold today is worth $8,250 and will therefore purchase 3.6X more than today's Federal Reserve Notes. Gold has INCREASED it's purchasing power over this 100 year period. Thus, it is an excellent store of value and qualifies as Money. The Fed Govt. has deemed it illegal currency with their legal tender laws. But, that is and will change very quickly as the USD goes boom.

 

[Austrian Econ Disciple]

Wrong. Gold is only money IF AND WHEN it is exchanged and accepted. It's not illegal to barter with it. Ever. you just don't see people do it.



According to people who have no say over the market.



and I was simply adding that anybody who is investing, beware, timing may not be right and you don't always win.

Of course not that many folks use gold as a medium of exchange right now because the Government taxes it. It however will be used when the Government-enforced legal tender is destroyed, or, compromised to such a point it is better to take the tax hit than it is to use their monopoly money. Gold is money; always has been & always will be. Silver is in the same boat. Another fact is FRN's are the only allowable unit of exchange currently allowed for debts thanks to the Government-goon squads who will come and arrest you if you say you do not want to take FRN's as payments for debt even if you have contractually agreed upon a different exchange medium beforehand.

Gold is undervalued given the current fundamentals and trajectory of the economic system and the legal-tender currency. Helicopter Ben will print to infinity trust me on this.

 

[helmuth_hubener]

Gold coins are a good investment. I don't know about these "$50 coins". Make sure you're not paying for than a few percent premium over spot price. I recommend Krugerrands, Eagles, or Maple Leafs.

 

[Austrian Econ Disciple]

Gold coins are a good investment. I don't know about these "$50 coins". Make sure you're not paying for than a few percent premium over spot price. I recommend Krugerrands, Eagles, or Maple Leafs.

50$ coins are Eagles. I have one myself.