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 Replies: 12 / Views: 1,540 |
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Pillar of the Community
Japan
666 Posts |
That's the question I'm asking wherever I can.
What happened to all those hundreds of thousands of tonnes of silver coins after 1964?
Who got it? What he/she/they did with it?
Where it is stored or to whom it was sold?
FED? US Treasury?
How much they still hold how much they sold?
Is there any reported number?
etc etc etc
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Pillar of the Community
Canada
3167 Posts |
If you sell them to a dealer, most get melted by a private company and the silver separated. Then made into bars or other things.
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Pillar of the Community
 Japan
666 Posts |
Thanks Noahs,
I know what/how is done nowadays, I'm more interested about what happened 45-50 years ago.
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Pillar of the Community
Canada
3167 Posts |
Can't say for certain because I wasn't around, but I recall reading that most of the melting happened a while after silver was removed and the hoarders got bored.
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Bedrock of the Community
United States
17884 Posts |
What the Fed recovered was melted down and added to the strategic stockpile. In the early 1980's it was decided that the strategic stockpile was surplus and the GSA began selling it off at auction and it was used for all the silver coins etc produced and sold by the mint. The auctions did not go very well and new methods of selling the silver were examined. The major way they found for selling it was the ASE. As authorized all of the ASE's were to be struck using silver from the Strategic Stockpile until it was exhausted. When the stockpile was finally exhausted in the early 2000's the ASE was such a popular item that the legislation was changed so they would continue and would be yet another subsidy to the silver mining interests. Under the new legislation the ASE's were to be struck from newly mined US silver. Non-newly mined or non-domestic silver can only be used if newly mined silver is not available. Currently ASE production consumes most of the newly mined domestic production so all other silver used in the US has to be imported, worsening our international balance of payments. |
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Pillar of the Community
Sweden
729 Posts |
So, suppose I was to own a silver mine in the US, would the Mint HAVE to buy my silver if they were to mint more ASE? which if that was the case, I could charge them as much as I wanted, or no more ASE's would be minted? the legislature said that US silver HAD to be used before foreign or old silver was allowed to be used? So newly mined silver should be able to be sold at gold price if the miner decided so? In a sense, the silver would be avaliable to the mint, so they have to use it in order to produce ASE's... |
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Pillar of the Community
Japan
666 Posts |
Conder, many thanks!
Do you know/have a legal document authorizing usage of strategic stockpiles?
What about document where it allows subsidy for silver miners in order to use the silver in ASEs production?
BTW, what is GSA?
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Pillar of the Community
United States
624 Posts |
GSA= United States General Services Administration.
In typical bureaucratic speak, GSA is responsible for improving the government's workplace by managing assets, delivering maximum value in acquisitions, preserving historic property and implementing technology solutions. Basically, they are an audit agency for the Government.
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Moderator
 United States
23522 Posts |
Here's the law: http://www.gpo.gov/fdsys/pkg/PLAW-1...7publ201.htmTreasury is required to pay the average worldwide going rate for silver, and is authorized to go outside the country if purchasing it here is "not economically feasible." That would cover US providers trying to gouge. |
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Pillar of the Community
Sweden
729 Posts |
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Pillar of the Community
United States
1109 Posts |
Quote:So, suppose I was to own a silver mine in the US, would the Mint HAVE to buy my silver if they were to mint more ASE? which if that was the case, I could charge them as much as I wanted, or no more ASE's would be minted? They'd have the EPA claim some rare sparrow lived in the broad geographical area of your mine (say, within 200 nautical miles) and shut you down to protect it from the CO2 you're breathing into its environment. You'd never ever see this sparrow but they'd say "Well, yeah, but that's because it's so rare!" You'd be sad. Who wouldn't? In your sadness, you'd decide to leave the mine for a few weks or so to collect your thoughts. While you're gone, some random pack of mountain lions would move into the mine and you couldn't go back in, even if you wanted to, without first having them removed. So then you'd be left with two options: provide free room and board for a pack of feral mountain lions who will eat your face, or pay for wild animal removal from a mine you can't use anyway. It just gets worse from here. |
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Pillar of the Community
United States
1704 Posts |
Quote:
If you sell them to a dealer, most get melted by a private company and the silver separated. That is just not true. Most people erroneously believe that 90% silver coins all get melted if they are bought by dealers. The cost to refine 90% silver coin is not worth the effort to do so since the demand by the collecting public is so great for the 90% coin. The coins are bagged in bags of $1,000.00 face value and sold to investors and speculators. The only 90% silver coins actually melted are the bent, holed, excessively worn pieces which would grade less than G-4 condition. At least that's what they do here in the USA, I don't know what they do up in Canada. Ed ANA LM-3175 |
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New Member
Canada
21 Posts |
I am in Canada and anything 90% that comes through or 80% is melted. I usually buy up all the 90% at melt, but if I don't get to it it's definitely sent to the melt. Tubs of it are melted here in one shop and that's a super small sample size.
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Replies: 12 / Views: 1,540 |
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Posted 04/25/2013 09:37 am
