by David Chen

Hard currency, or precious metal currency, has the following advantages over currencies in other forms:

Pros

• good inherent value, with little worry of unwillingness to accept from groups or individuals.
• easy to carry and easy to cut-and-divide
• rarity provides opportunities for investments and speculation
• as foreign exchange currency, hard currency (especially gold) provide stable gold-parity value

Cons

• even with its high coincident demand, precious metal currency has lower utility value comparing to commodity currency (one cannot eat or provide shelter with gold for everyday survival).
• limited reserve and production imposed restrictions on international trade and investment opportunities, therefore had to be abandoned as base for international currency during the 1970’s to reflect the bulging world economy

 

Does Transparent Gold possess the best of both worlds?

Answer: Yes.