The “state gold rush” gaining steam in the U.S.

In 2011, Utah became the first state in the U.S. to introduce gold and silver as an alternative currency to the U.S. dollar.  This year, 13 additional states have begun to follow in Utah’s footsteps by seeking legislative approval to issue an alternative currency or at least have their state governments consider it as an option.

According to a report by CNN Money, “South Carolina Republican Representative Mike Pitts proposed a currency system that would allow people to use any kind of silver or gold coin — whether it’s a Philippine Peso or a South African Krugerrand — based on weight and fineness. Pitts said in the bill, which currently has 12 co-sponsors, that the state is facing ‘an economic crisis of severe magnitude’.”

“Republican representatives from Washington State followed suit in January, introducing a bill that would also allow any gold and silver coins to be considered legal tender based on metal values,” the report added. “Minnesota, Iowa, Georgia, Idaho and Indiana are also considering similar proposals.”

CNN went on to note that “Many of the bills would make it possible for residents to exchange the physical coins for goods and services, so you could use coins to buy anything from groceries to a car as long as the store chooses to accept them.”

Rich Danker, a project director at the American Principles Project – a conservative public policy group in Washington, D.C. – has paid close attention to these developments.  The report summarized Danker’s recent comments by noting that “Of all the state proposals circulating right now, Republican-controlled states including South Carolina, Georgia, Idaho and Indiana have the best chance of passing their proposed bills this year…If just one or two states implement an alternative currency, it could have a Domino effect.” – Gold Alert

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Posted by admin on Feb 8 2012. Filed under Gold price. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry