What a great fucking idea. Let's take a physical limited resource mineral and trade it for an untraceable and unregulated made up currency.

Holy shit I'm gonna have a stroke.

The looting of US treasure begins.

This reality is so fucking stupid. Let's sell something of value to buy something that is only valuable if someone really wants it bad enough.

So... I'm guessing the plebs get the cryptocurrencies. Which are backed by stablecoins... which are backed by tech grifters saying "I can cover it bro, trust me".

Meanwhile the elites will take all that worthless gold and dispose of it for us.

Mr. Art of the deal-do is robbing you blind. No matter how this ends, he and felon will have stashed piles of you cash

Well there it is. For anyone who believed that they were simply going to create a reserve to store already existing cryptocurrencies - that were confiscated by the federal agencies - and not spend federal dollars to bolster or hype up cryptocurrencies that are connected to the people in the administration, y'all are idiots.

So. America got bought by a vulture capitalist and they are selling off assets.

Fuck bitcoin. Let's bring back the beanie-baby as a monetary standard.

Dumbest. Fucking. Idea. Ever

Copying my comment from this same story, other thread on another instance/community:

...

These actual mouth breathing morons have no idea what they are even attempting to describe.

...

https://www.federalreserve.gov/faqs/does-the-federal-reserve-own-or-hold-gold.htm

https://wikipedia.org/wiki/Gold_certificate_(United_States)

...

The Federal Reserve doesn't actually own, nor physically possess, any physical gold, that they could just sell off or speculate with.

When FDR outlawed gold private ownership in 1934, all physical gold was handed over to the US Treasury, and the Federal Reserve (and other banks) were given gold certificates, valued at $42.22... per ounce... a set value that hasn't changed, and is used for the Fed's modest valuation of its previously held gold reserves... which are utterly insignificant and dwarfed by the other assets it holds.

(This isn't super current, but it gives you an idea. Light blue is gold certificates. Its a one pixel thin line at the bottom. The overall balance is even more huge than this now after Covid, and Gold Certs, even if they were revalued from $42.2222 to the current market rate, would basically be small, it would go from about 10 billion to 750 billion, when the Fed's current total assets are about 7 trillion)

About 5% of the US Treasury's gold is held at the New York Fed, but the Fed doesn't own it, it's just there because there is a vault there. The rest of the US's gold is physically held at Treasury operated locations.

...

What the Fed does own are Gold Certificates, back from 1934, which are still valued at the old $42.2222 price, in terms of the Fed calculating its own balance sheet.

To... have the US gov... order the Fed to sell off its gold certificates... that's not a thing the US gov can actually legally do, not without asserting total direct control over the Fed, and thus basically instantly making its existence pointless...

Again, to repeat, the US government cannot legally command the Fed to sell off its gold certificates, the Fed cannot legally sell its gold certificates, nor could said certificates be legally exchanged for actual physical gold from the US Treasury.

This would be approximately analagous to the US government ordering a corporation to sell off its own capital assets and then just sending the money from that sale to a government account.

It is expropriation.

For this to be any kind of legal, they'd have to repeal or greatly amend ... at least the laws that established the Federal Reserve, and the Gold Reserve Act, likely many more... or basically do a whole bunch of rat fuckery to get their own people in positions on various Fed Reserve boards, and possibly prevent other people on Fed Reserve boards from actually voting on motions.

This would amount to basically performing a coup on the US's central banking system, and putting total control of the monetary system within the Treasury.

...

This would upend the century old bedrock of the US's financial system.

Now, I am no full, uncritical advocate of the Federal Reserve system in its current form... but this is what it is, a complete usurpation of the US's existing monetary system, which would then be put in charge of the astoundingly incompetent current administration.

This is how you get hyperinflation.

This is quite literally fucking with the money at its most fundamental level.

This is how you speed run destroying the USD as the world reserve currency.

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tldr;

This isn't only stupid in the sense of 'sell gold to buy bitcoin' is a dubious investment strategy, it is particularly stupid in that if the actual pursued strategy is 'force the Fed to sell its gold certificates'...

(to who? its not legal for any private entity to 'purchase' them at the market rate for gold, nor is it legal for said hypothetical purchaser, not even the Fed, to actually redeem them for physical gold, nor is it even legal for the Fed to sell them even of its own accord!)

... then that method blows up the entire concept of a legally defined, semi-independent Federal Reserve, and that then blows up the entire basis of the US monetary system.

Now ladies and gentlemen I will astound you with demonstration of my mighty mystical methods. Right before your very eyes I will make this gold disappear. Not just to your eyes, not just to thin air, but such that it will only be a logical concept of worth. One, two, three...............

I am guessing that Musk will create a Muskcoin, and offer to 'sell' it for a preferable rate to the US government. Coincidentally, the Muskcoin uses the X Everything platform for all transactions.

With each day that passes, I am becoming more convinced that shifting 99% of my money into Euros is the right call.

Curiously, thanks to Trump Gold has been breaking record after record on the upside since January - you see, Gold is the ultimate "oh, shit" form of wealth storage because it's its own "currency" (so if traditional currencies lose value gold just goes up in those currencies) so people flock to it in situations of high Economic uncertainty, and Economic uncertainty is the only achievement of Trump's Administration.

I've never been this high

So Trump wanted to get the gold from fort Knox so he could hand it over to Chinese hackers?

A purchase shortly followed by one of the biggest bitcoin and market crashes in modern times.

What Happened: Bo Hines, the executive director of the President’s Council of Advisers on Digital Assets, suggested in an interview that the U.S. could capitalize on the gains from its gold holdings to purchase more Bitcoin.

https://en.wikipedia.org/wiki/Bo_Hines

Robert "Bo" Hines (born August 29, 1995) is an American former college football player from North Carolina. He played college football for the NC State Wolfpack and Yale Bulldogs. In 2022, he was the Republican nominee in North Carolina's 13th congressional district.

Call me a traditionalist, but it seems to me that if you're going to be advising the President on digital assets, it'd be nice to have an economics background.

Make America Great Depression Again

BWAHAHAHAHAHA Genius. Step 1: Buy Shitcoin with actual gold (the most stable wealth storage)

Step 2: Bitcoin price rises

Step 3: Sell all your bitcoin, rugpull the entire thing

Result: You have now robbed Fort Knox. Legally.

It’s about at this point where I stop being snarky and stare in fascination

I didn't know lemmy had so many brain broken crytpo losers

I don't know why so many commenters think this is just a joke or funny. They're talking about stealing the wealth of America to give to their rich friends directly through Bitcoin scams. That's what this will be. Giant government-funded pump and dump for their rich fascist friends.

Step 1 - Break numerous laws to sell gold.
Step 2 - Sell gold to fellow cronies for cheap.
Step 3 - Use gold money to buy bitcoin to drive the price up.
Step 4 - Sell bitcoin when price is high.
Step 6 - Bitcoin crashes.
Step 7 - Profit for Trumpy and his cronies

LOL.

The biggest pump and dump scam of all time?

Donald the felon trump, doing his best to rape every single American he can.

budget neutral

What the actual fuck. If you trade gold for bitcoin, you no longer have the gold. Budget neutral my ass.

So personally, I think the government should have some, but I don't specifically think selling gold for it is the right idea.

Everyone seems to be on about how this is just about cashing out his buddies, but what I'm worried about is these dumbfucks won't know how to properly secure it or won't properly secure it and itll get easily stolen, or they'll outright steal it themselves.

Like they just used signal to talk about bombing Yemen and included a journalist on it...

So while I think it's not a bad idea to have some, it's fucking terrifying that Trump is doing this and can influence it.