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<p>[QUOTE=&quot;robinjojo, post: 7834510, member: 110226&quot;]Given the nature of global commerce, keeping currencies pegged to gold was not sustainable.&nbsp; As pointed out, the supply of gold worldwide is extremely limited.&nbsp; Linking currencies to gold would severely limit the growth of money supply, which ever-expanding trade and commercial transactions demand.&nbsp; Such a link would be inherently deflationary in nature, making the global economy of today very problematic, if not impossible.</p><p><br /></p><p>In earlier times, when economies were more nationally based and trade more limited than today, it was possible to have currencies linked to gold and silver, and to issue gold and silver coins, which were often reserved for very large transactions, especially in the case of the former.</p><p><br /></p><p>Now, the US and other countries have currencies linked to the faith and value of the issuing authorities, in the form for the US of United States reserve notes.&nbsp; By doing this, countries can print money as needed, not constrained by the reserves of gold and silver on hand.&nbsp; This new (not really new, though) link has allowed the US and other developed countries, as well as developing countries, to fund massive social programs, help finance debt, and to help in times of financial stress, such as the recession of 2008-2009, through the printing of money for the government&#039;s purchasing of bad loans from major banks, thereby taking the bad loans off of their balance sheets.&nbsp; This measure would have been impossible if the dollar was still inked to the nation&#039;s gold supply.</p><p><br /></p><p>So, human civilization has moved from the trading of shells and precious stones to crudely made ingots to gold and silver coins and bars to the issuing of currencies that are backed by their respective national economies.&nbsp; Cryptocurrencies are an outgrowth of our Internet economy and are another step, although one that is volatile, not benign environmentally, and are difficult to trace technically, hence their being the currency of choice for hackers, ransomware attacks, and criminal organizations in general.&nbsp; I am not certain, given these issues, that they will replace government-issued currencies as the foundation of our everyday transactions.</p><p><br /></p><p>Over the years I have collected coins, mostly silver and some bronze, but mostly silver for their historical significance, political messages and artistry (especially ancients).&nbsp; They harken back to times before nano-seconds trades on stock exchanges, The World Bank, the IMF or the G10.&nbsp;&nbsp; As such, these coins have always had a special place in my heart.[/QUOTE]</p><p><br /></p>

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