The Israel Deception

Is the return of Israel in the 20th century truly a work of God, or is it a result of a cosmic chess move to deceive the elect by the adversary?

Showing posts with label value. Show all posts
Showing posts with label value. Show all posts

Saturday, June 3, 2017

Long time Bitcoin advocate changes course and says sell your cryptos and buy gold

While not on par with the biggest cryptocurrency advocates in the alternative sphere, economist Raoul Pal has for a long time been one of the most well known, especially for his forecast months ago in which he said the value of Bitcoin would one day climb to over $1 million.

However in the past few days the strong supporter of cryptocurrencies has had a change of heart and is now selling his Bitcoin, as well as calling for others to do so, and to instead shift their wealth preservation assets back into the long-standing solidity which one has in physical gold.

Raoul Pal, one of the most effective critics of mainstream economics, is cashing in his Bitcoins. Gold is a better wealth preservation tool, says Real Vision Television’s co-founder. 
Yesterday Pal, who once thought that Bitcoins could eventually be worth as much as $1 million each, informed Real Vision Publications subscribers that he was selling the digital currency. 
“Bitcoin not a store of value people thought it was,” he told Sprott Money News, in a telephone interview this morning from his Cayman Islands home. “If core developers are talking about changing the Bitcoin code or how it works, what happens if - at some future point - they decide to allow the number of coins to expand?” 
Pal also cited lack of a Bitcoin “killer app,” and the commoditization of blockchain technology - as new players chip away at the market - as motivating his thinking. 
Pal’s call is also important for another reason: if Bitcoin’s allure as a store of value and a hedge against systemic collapse is dimmed, this would increase the relative value of other solutions. 
That includes gold, for which Pal’s partner Grant Williams has been a particularly strong backer. 
Despite Pal’s pessimism about Bitcoin’s future, the alternative investment guru admits that the digital currency “may go up in price, maybe a lot more,” before its ultimate future is decided. 
But Pal won’t be going along for that last leg. - Sprott Money

Saturday, February 25, 2017

As Bitcoin and gold converge at $1250, which asset is the best to buy with your money?

On Friday Feb. 24 we saw the price of gold end the week over $1250, and bitcoin near its own all-time high of nearly $1230 begging the question of which asset of the two is the best to buy if you have the money.

Followers of either gold or bitcoin have strong arguments both for and against each asset, while there are also a number of investors who are in favor of owning both as a means of wealth protection.  However, if an individual only had $1250 to spend on one or the other, what parameters would separate the two to make one stand out more than the other.

Bitcoin has the potential for much bigger growth, and in this it acts as both a form of currency and type of investment.  But Bitcoin relies upon many factors such as widespread public acceptance to function in commerce, and the hope that governments do not criminalize the crypto-currency as being a threat to their monetary systems.

Additionally however, Bitcoin is completely portable and transferable, and can be taken across borders without anyone having knowledge of its existence.

But perhaps it's biggest failing is that it is not tangible in the physical sense, and has as much emotional value to an individual as their plastic debit card, or even as poker chips do while gambling in a casino.

Live New York Gold Chart [Kitco Inc.]

Gold on the other hand has a history stretching back to the beginning of mankind, and has been both money and a store of wealth of over 5000 years.  And while it is much more difficult to store in larger quantities than Bitcoin, and much more difficult to transfer across borders and customs than if someone simply carried a pen drive with them in their carry-on luggage, gold is easily the most recognizable form of money and could be used for commerce in just about every city, nation, or village on the planet.

As fiat currencies show their age and their accelerating decline in value, assets like gold and Bitcoin will both reign as strong alternatives for people to transfer their wealth into for the distant future.  And the question of which one to choose will become a real issue in the days ahead now that both have reached virtual equilibrium in both price and desirability.

Thursday, March 31, 2016

The value of gold as explained in the cost of having a baby

Those of us who are gold owners, and who have dedicated the time to studying this monetary metal, realize its purpose and significance as a protector of wealth and purchasing power.  And while many have heard the stories of how an ounce of gold would buy a nice suit and night out on the town in 1920 as well as in 2015, few perhaps have taken a hard look at comparing prices for other products and services throughout history to validate that gold is the ultimate form of money, no matter what era we live in.

The other day I came across an interesting item that comes from what we might call 'memory lane', and what struck me was just how inexpensive services were for Americans prior to when we began to inflate our money and devalue it through massive expansion.  So I decided to use it as a comparison to see if it followed the same mathematical properties we assume if I inserted gold in lieu of its dollar cost.

And the service I will use is the cost of a hospital stay in 1943 for having a baby, and the same cost for this service in 2015.


As you can see from this receipt (and after you pause from having your mind blown from how cheap it was to get medical care back then), the cost for a one night hospital stay and delivery of a child was $29.50.  And if we look at how much an ounce of gold was in 1943 denominated in dollars, the value was $35.00 per ounce.

Which means it took 84% of an ounce of gold to pay for the service of having a baby in a hospital in 1943.

Estimated average hospital childbirth facility costs per maternity stay ranged from $1,189 to $11,986, with a median of $4,215. The figures did not include professional fees for obstetricians, midwives or anesthesiologists, who generally bill separately for their services.
From this we will take the low end number since it represents an apples to apples comparison of a birth that does not incur complications and added hospital services.  So taking the value of $1,189.00 and the value of an ounce of gold last year at its height ($1,290.00), we come up with the following ratio.

$1189.00 / $1,290.00 = 92% of an ounce.

As you can see it is relatively close, with the higher price allowing for the addition of better and more quality upgrades in care that have occurred from innovation and technology.  And this is also justified in the fact that infant mortality rates have dropped to below 10 per 1000 today when in 1943 it was still as high as 90 per 1000.

The purpose behind this article was to show both how paper currencies have devalue over time because of their very nature of creating price inflation, and how gold by its very nature increases in value in relation to that same currency to keep up with any changes to inflation.  And why gold is still as relevant today for people to own to protect their wealth and savings, and will continue to be long into the future.

Tuesday, March 31, 2015

Fed Chairman Janet Yellen states that cash has relatively little value

As the world begins to realize that the entire purpose of the Federal Reserve is to prop up stock markets and ensure the orderly flow of wealth from the 99% to the 1%, an interesting statement was made by the central bank Chairman Janet Yellen in San Francisco last week where she said that “cash is a not very convenient store of value”, and validated that the fiat currency that comes from the printing presses of the Fed is not money, but a tool to be used to regulate prices through inflation or deflation.

Video of Fed Chairman Janet Yellen stating that cash isn’t a good store of value

Read more on this article here...