3/21/2013 Portland, Oregon – Pop in your mints…
On Monday, we shared with you our friend Tom’s first hand experience and general impressions with the Spain’s currency conversion from pesetas to the Euro.
Adios Pesetas: A look back at adoption of the Euro in Spain
The conversion to the Euro, for most practical purposes was a long, drawn out process which took two years to implement, starting with the final exchange rate peg to the Euro and culminating with the coin and bill conversion which Tom so eloquently described.
Today, thanks to the prospect of forced bail ins, the term for a levy or tax (depending upon your preferred term for asset confiscation) such as the one proposed in Cyprus which would bail out the government and/or banks, there is a run on banks throughout Iberia.
The reason is that the preference for the bail in solutions are now popping out of central banker’s mouths like pop corn. Even Ben Bernanke, slave master of the US currency, has uttered that it would be a possibility.
However, this is the twenty-first century, and bank runs aren’t what they used to be. For one thing, banks now have instant access to all of the digital currency they could possibly want. It is a simple ledger entry for the bank to replace the customer’s deposit with a Central Bank liability.
However, there is still the matter of cold, hard currency. As the Spaniards begin to withdraw currency en masse, the bank branches are bound to run out of Euros. Thanks to technology, holding Euros, either in physical or digital form, is no longer an absolute necessity and, at this point, it is extremely undesirable.
According to a report at Zerohedge.com, Spaniards are getting a crash course on Bitcoin adoption: Spain Bitcoin run has started
As the monetary authorities are just now beginning to understand the practical implications o
f forced bail ins, the peoples of the world are not content to stand pat while their leaders sqauble over how much to confiscate from whom. Thanks to digital solutions like the Bitcoin, Spaniards and people the world over are making a run on banks from the comfort of their own homes on their smart phones. The Euro, which took two years to implement, may be largely replaced in commerce in a matter of weeks.
Even so, the Bitcoin has its limits, as wealth held digitally has a flight risk of its own. Silver and other hard currencies do not have this problem, and the first stages of the next leg up in Silver and Gold is commencing in lockstep with the Bitcoin app downloads in Iberia. Either way, it is a unanimous democratic process whose end result will be the Euro being voted off the continent.
While the monetary authorities prepare their familiar mantra, “Keep Calm and Carry on,” the response in Iberia is ringing back “I’m Latin, I can’t Keep Calm!”
Neither should you. Here at The Mint, we have taken the step of accepting Bitcoins in exchange for silver coins to deal with this contingency. We ship worldwide and guarantee your satisfaction. If you are interested, please email us at the address below for a quote as we have yet to fully automate this process.
Adios Euros! Bienvenido real money.
Stay Fresh!
Email: davidminteconomics@gmail.com
Key Indicators for March 21, 2013
Copper Price per Lb: $3.47
Oil Price per Barrel: $93.15
Corn Price per Bushel: $7.32
10 Yr US Treasury Bond: 1.94%
FED Target Rate: 0.15% ON AUTOPILOT, THE FED IS DEAD!
Gold Price Per Ounce: $1,614 THE GOLD RUSH IS STILL ON!
MINT Perceived Target Rate*: 0.25%
Unemployment Rate: 7.7%
Inflation Rate (CPI): 0.7%
Dow Jones Industrial Average: 14,512
M1 Monetary Base: $2,466,100,000,000 LOTS OF DOUGH ON THE STREET!
M2 Monetary Base: $10,499,300,000,000
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