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Monday, October 29, 2007

How About ePennies and eNickels?

One of the more popular alternative monetary systems is eGold. It is digital gold, unallocated and stored in arbitrarily small increments. You can use it like a regular checking account. Until recently, eGold was popular on Ebay, until they stopped using it, presumably under IRS pressure.

I have some concerns with eGold. First, it may not survive a SHTF scenario of a complete economic collapse. Second, even though they say they're audited and fully reserved, fraud occurs. I'd prefer physical metal in my possession for maximum security.

Now that the US penny and nickel contain more metal value than their face amount, this raises another possibility. How about ePennies or eNickels? This would work for any monetary unit where the metal value is close or above its face amount. The US is probably going to drop the penny soon and change the composition of the nickel. Even so, pretty soon dimes and quarters will be priced near their metal value.

This system could even be used for older US silver coins. This website lists coins and their melt values. Notice that this still has a value of 22% for the quarter and dime, which are starting to approach their metal values.

I had another interesting idea for protesting Federal Reserve Points. Every time you buy something, tear a tiny corner off the bill. This way, it needs to be replaced. This is technically illegal, but practically untraceable.

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This Blog Has Moved!

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