News

It Is What It Is But It's Not What It Seems - Craig Hemke (19/12/2017)

On the paper money is small gold bar and on top of that is bigger gold bar

December 19, 2017

That line was only recently penned by the great Irish poet and philosopher, Paul Hewson. It no doubt applies here to our daily struggle against The Banks and their paper derivative pricing scheme.

"It is what it is but it's not what it seems." Yep, that's a deft description on Comex Digital Gold and the pricing scheme that has prevailed now for nearly 43 years. Recall it was December 31, 1974 when Comex gold futures were introduced...not coincidentally the day before US citizens were once again allowed to legally own and possess physical gold. You can read all about it here: https://wikileaks.org/plusd/cables/1974LONDON16154...

And so here at the end of 2017, the cumulative amount of alchemized digital or synthetic gold "exposure" has reached a total that not even the writers of that 1974 memo could have envisioned. Unallocated gold. Gold futures. Gold swaps. OTC options. ETF shares. Levered ETF futures shares. You name it. It's all used as a substitute for the real thing...actual physical gold. And so long as the fractional reserve confidence scheme continues, the world will never know just how much real, physical gold exists for private, institutional and sovereign investment.

"It is what it is but it's not what it seems."

What needs to happen in 2018? Investors on every level need to demand delivery of true physical gold. They must foreswear the convenience of synthetic gold exposure and ignore the disingenuous warnings of the dangers and costs of private vaulting and self-storage. Only true physical demand can force The Bullion Banks to de-lever their system and only this deleveraging of the fractional reserve system can force the discovery of a true, physical price.

And there are rumblings that such a movement toward physical holding may be coming. Whether it's the geopolitical risk of war in Korea or the Middle East, the economic risk of de-dollarization or the very real threat of globally-sanctioned negative interest rates, events may move quickly and the Central Bank-concocted scheme of 1974 may unravel almost as rapidly as it was put into place.

So the question is, are you prepared? Your only option in this is to hold real, physical metal...whether it's through a bullion dealer, a private vaulting service or a true physical fund like the PHYS or PSLV. "Gold" or "silver" in any other form is a Banker-created risk that you should no longer be willing to take.

Product Upselling Spotlight

Don’t miss a golden opportunity.

Now that you’ve gained a deeper understanding about gold, it’s time to browse our selection of gold bars, coins, or exclusive Sprott Gold wafers.

About Sprott Money

Specializing in the sale of bullion, bullion storage and precious metals registered investments, there’s a reason Sprott Money is called “The Most Trusted Name in Precious Metals”.

Since 2008, our customers have trusted us to provide guidance, education, and superior customer service as we help build their holdings in precious metals—no matter the size of the portfolio. Chairman, Eric Sprott, and President, Larisa Sprott, are proud to head up one of the most well-known and reputable precious metal firms in North America. Learn more about Sprott Money.

Learn More
about-sprott-skyline
Head shot of Craig Hemke

About the Author

Our Ask The Expert interviewer Craig Hemke began his career in financial services in 1990 but retired in 2008 to focus on family and entrepreneurial opportunities.

Since 2010, he has been the editor and publisher of the TF Metals Report found at TFMetalsReport.com, an online community for precious metal investors.

*The author is not affiliated with, endorsed or sponsored by Sprott Money Ltd. The views and opinions expressed in this material are those of the author or guest speaker, are subject to change and may not necessarily reflect the opinions of Sprott Money Ltd. Sprott Money does not guarantee the accuracy, completeness, timeliness and reliability of the information or any results from its use.

Comments

Jane Stilwell
December 20, 2017 at 2:13 PM
You got that right!!!!!
GD
December 20, 2017 at 8:41 PM
The move to physical gold is going to be bigg in 2018 with the Texas Gold Depisitory being a reality. Texas is repatriating their gold from New York City and bringing it home!
Joey the paperboy
December 20, 2017 at 10:57 PM
As of March 2014, there is a grand total of 132 meteors, which have been identified as being from Mars. Obviously they are precious. Therefore, in order to open up the market, I have looking to create a futures contract on the COMEX for trading Martian meteorites. A minimum parcel will comprise 50 meteorites. Also, the minimum trade will consist 10 ten parcels.