What If Cash Is Abolished?

I suppose it might depend on whether or not the government recalled/confiscated all coins and currency, or perhaps banned all tangible assets that could act as a store of wealth (including coin collections?). It seems like the goal of this proposal is to force people to keep all their savings in banks, despite losing several percent of those savings each year with the negative interest rates.

Christ had an opinion about moneychangers too.

I don't ever see cash being "abolished." It's just going to fade into the background until even the government realizes it's of no use and cuts back on production. That, of course, would completely disconnect the concept of "legal tender" from governmental involvement except on paper, since it would be non-physical, and that's a good thing too.

I've been predicting exactly that for some time now. Possibly not completely for some time but it is coming soon. Already so many places just don't use cash of any kind. For example try buying something on ebay for cash. At so many gas stations the pumps are now made so you can just pass a credit card at it and go. I've watched at stores at the cashiers and see about 75% all in plastic. My Son has a business and uses credit and debit cards almost exclusively. Great for keeping track of buying and selling. I USED to love looking through my change but so seldom use cash, not much change to look through anymore. AND with so many credit card companies giving you cash for just using them, difficult not to. For example BOA gives me 1%, 2% and 3% money back on almost everything. So why use Cash? Slowly cash will just vanish.
AND when it does, our coins will be like old Oil Paintings. Worth a lot since just can't find them anymore.

I dunno, this is a topic being disused right now by the best minds in geo political economics. Are we all one day going to swipe the chip in our palm? If so how would third world countries adapt?..
Also, isn't it somewhere in the bible, maybe revelations, about a one world currency?... perhaps the abolishing of paper currency is the beginning?

While talking about cash and legal tender laws and gold and keeping the government out of your business, it reminded me of a story in Ron Paul's book End the Fed.

In it he described a pending court case involving a Las Vegas attorney. He paid his employees in legal tender US Gold coins. He paid them out at face value. $20 was a St. Gaudens, $10 for an Eagle, $5 for a Half Eagle, etc. He also complied with all tax laws by paying the taxes in Federal Reserve Notes, also at face value. Washington is a Dollar, Franklin $100, etc.

As a result you got paid more of what the employer had to pay out. A true win win any union and company man could agree to.

For instance say you agreed to work for salary. You are paid $300 per week. That is basically 15 grand gross, sadly not to far south of the average American wage. Lets for ease of math say you are taxed at 25%. So the employer needs to pay you and the IRS $300 legal tender.

You the employee are owed 75% of $300 aka $225 legal tender. You are paid with 11 St Gaudens and one $5 Half eagle. Nearly a troy pound of gold!

The IRS is owed 25% of $300 aka $75. The employer pays the IRS 3 $20 Andrew Jackson Notes, 1 $10 Hamilton, and 1 $5 Lincoln.



On a side note, a coin collecting goal of mine is to acquire Ron Paul's 1909s vdb cent along with provenance.

@ buckeyecoinguy... that's incredible, I hadn't even thought about that end run... do u know how it was adjudicated?

Turns out I had the details slightly wrong.

He paid in modern eagles gold and silver.

Did not pay taxes since the employees fell under the reporting requirement.

Guilty.

http://www.reviewjournal.com/news/e...ng-hard-time

I think Ron Paul speculated about paying in pre 33 gold or circulating silver coins perhaps. Great book End the Fed, but it has been a long time since I have read it. Nice little bit in there on his 1909s vdb cent.