by Julian D. W. Phillips, Gold Seek:
At one point we thought we were alone in believing that eventually we would see a confiscation of citizen’s gold in one or more countries. Then we saw the confiscation of deposits in Cyprus in line with a “bail-in” policy. While this was a banking measure in line with the normal liquidation of a company, it was endorsed by most nations thereafter. The greatest impact was seen on investors worldwide who had never thought that such events would happen.
Thereafter we saw several well-respected commentators and researchers say that we should not dismiss the concept of gold confiscation too quickly. This came from no less a group than Casey research. Then Lawrence Williams of Mineweb, one of the best gold websites, showed that the subject could be alive when he mentioned that if China confiscated its citizen’s gold, it would hold a level of reserves close to those of the U.S. It is clear to most gold commentators that China is seeking to maximize its gold reserves and has been encouraging its citizens to buy gold themselves. It has ‘liberated’ its gold import system and encouraged the country-wide development of its gold distribution system. As a result, its citizens and government are the most gold-acquisitive nation on earth and have overtaken India in its gold buying. This is particularly important to the subject as they prepare for the convertibility of the Yuan ahead of its role as one of the globe’s reserve currencies.
Please follow SGT Report on Twitter & help share the message.