Utah Legislature goes for Gold/Silver as competeing currency

[aravoth]

http://objectsinmotion.org/utah-legislature-goes-for-gold/

The Utah Legislature on Thursday passed a bill allowing gold and silver coins to be used as legal tender in the state — and for the value of their precious metal, not just the face value of the coins.

State backers said they hope the move will help insulate Utah from a potential monetary slide as countries question the value of the dollar. Others, casting their eye nationwide, said it could spur a broader move by Congress or states to readopt a gold standard.

Good move by Utah, I really hope the Governor signs it.

 

[QueenB4Liberty]

Me too!! Hopefully other states will follow suit.

 

[pmbug]

The Washington Times wasn't very explicit, but it appears that it passed the State Senate then? The news that it passed the State House came out a while ago. Go Utah.

 

[low preference guy]

The Washington Times wasn't very explicit, but it appears that it passed the State Senate then? The news that it passed the State House came out a while ago. Go Utah.

I asked myself the same question. Does legislature mean "both houses"?

 

[aravoth]

The Washington Times wasn't very explicit, but it appears that it passed the State Senate then? The news that it passed the State House came out a while ago. Go Utah.

yes it appears that it only requires the governors signature.

 

[Koz]

I just emailed my state legislator about this.

 

[iamse7en]

This is exactly what states around the country need to do. This bill is weak compared to what the author really wanted - only allowing U.S. Mint coins still leaves the federal government with too much power, but it's a step in the right direction. It's obvious the federal gov't won't do anything. We must take action on our own and protect ourselves as much as possible from the coming financial and warring turmoil.

 

[BarryDonegan]

As much as I'm in favor of sound money, is this Constitutional?

 

[hazek]

I asked myself the same question. Does legislature mean "both houses"?

Yes both, now it just needs the governor signature.

 

[Philhelm]

As much as I'm in favor of sound money, is this Constitutional?

"Are you serious? Are you serious?"
-Nancy Pelosi

If interstate commerce can mean virtually anything, then perhaps the 10th Amendment can be cited for this.

 

[nobody's_hero]

Let's hope the governor is a fan of (at least, more) competition.

 

[nobody's_hero]

I wonder, if Utah passes this, if I will be able to save my money in Utah sound-money banks, or if the Feds will jump in and say that I can't do that because of the 'interstate commerce' clause.

 

[dude58677]

I wonder, if Utah passes this, if I will be able to save my money in Utah sound-money banks, or if the Feds will jump in and say that I can't do that because of the 'interstate commerce' clause.

No state shall emit bills of credit EXCEPT gold and silver. Article 1 section 10

 

[Stary Hickory]

Happy as I can be to see Utah doing this, major major victory would be abolishing the federal capital gains tax on gold and silver as well. But what Utah is about to do will definitely protect the citizens of Utah and give them some stability in case of a currency crisis.

 

[iamse7en]

As much as I'm in favor of sound money, is this Constitutional?

"No state...shall coin money..."

They are not coining the money. They are using U.S. Mint (although they wanted to include other coins as well) coins as legal tender.

 

[Icymudpuppy]

"No state...shall coin money..."

They are not coining the money. They are using U.S. Mint (although they wanted to include other coins as well) coins as legal tender.

Article 1, section 10 paragraph 1. "No State shall ...... make any Thing but gold and silver Coin a Tender in Payment of Debts"...

Thus, the way I read it, technically the states shouldn't allow FRNs as payment of debt.

 

[sratiug]

Happy as I can be to see Utah doing this, major major victory would be abolishing the federal capital gains tax on gold and silver as well. But what Utah is about to do will definitely protect the citizens of Utah and give them some stability in case of a currency crisis.

I think it's in the bill.

PART 6. Taxation.
59-28-601. Capital Gains Tax Inapplicable. In no case shall the acquisition, sale or use
of Registered Specie within the course and scope of Utah Intrastate Commerce subject
any Utah Taxpayer to any tax liability whatsoever for any actual or alleged gain realized
from fluctuations in the exchange rate between Registered Specie and any other
currency, medium of exchange or legal tender.

 

[MozoVote]

They cannot repeal Gresham's Law though. Although a few hard money advocates may pay their taxes in gold just to make a statement, most people with the option will continue to hoard metal and pay with FRN.

 

[AsifShiraz]

So this landmark legislation gets passed and everyone is happy about it, but what happens next? I didn't hear any news about people jumping upon this opening and starting gold based financial institutions or anything like that? Only heard of one guy (something franco) that he will start a bullion depository now in Utah, but googling that returns nothing except the original news article reporting he will do this!

Is there any practical way in which this legislation is now actually benefiting the citizens (or anyone?)