Money is the root of all of our problems, if by money you mean Federal Reserve notes. But the antidote to the problems caused by the easy manipulation of currency lies in the use of legal tender. Enter gold and silver.
In some states, lawmakers have been taking great steps toward recognizing gold and silver as legal tender. In essence, this move could eventually render the Federal Reserve’s monopoly over the currency market toothless.
In Idaho, the State House passed a new bill that would offset federal capital gains taxes on gold and silver specie. As a result, Idahoans could soon be incentivized to purchase gold and silver to use when buying goods and services instead of relying solely on the dollar.
If passed and signed into law, the bill, HB 449, would allow individuals to keep their gains and losses regarding precious metals out of the list of what’s taxable for locals. As such, this would mean that gold would, once again, be allowed to be treated as money.
According to the Tenth Amendment Center, this means that Idaho would be making the U.S. Constitution legal.
One of the positive aspects of this bill is that, over time, it could help insulate Idahoans from inflation.
As we all know, the Fed expands its balance sheet by printing more money or by issuing more treasury notes. As it injects these dollars into the economy, it cheapens the money in circulation. This is due to the fact that as the supply of money increases, it inflates. With more money in the market carrying less value, products and services tend to become more expensive.
If this bill is successful, Idaho residents would be able to protect themselves from the Fed’s adventures.
While the Idaho House has already approved the bill by a 60-9 vote, it still needs to go to the Senate for a full consideration. Regardless, this is a great step toward a more sound financial future for Idahoans.
As Dr. Ron Paul, the former congressman, once said, “paper is not money, it’s fraud.” By changing how precious metals are seen before the state law, then individuals would be more likely to use them as legal tender. And as the U.S. Constitution states, only “gold and silver Coin [is] a Tender in Payment of Debts.”