On Jul 28, 2014, at 11:23 PM, Anna von Reitz <firstname.lastname@example.org> wrote:
The idea behind the Union Reserve of Texas is to open a private financial institution in which mine owners offer investment in their products and investors receive credit for their investments— all on a private basis.
For example, EMI Mining has reserves of gold, platinum, and silver in the ground, plus “X” tons of these metals already extracted. Investors who want to convert credit into real assets invest in either the already-extracted commodity or the commodity in the ground or both, and in exchange they receive daily updated credit that they can use as a liquid asset, based on the value of their investment in real commodities.
Right now, people can invest in gold, silver, platinum, palladium, etc. but their assets are then tied up in actual coins, bars, or whatever other “unit” of real metal there is and they are stuck with having to convert the value of the metal into currency. You can’t take an ounce of gold down to the grocery store and exchange it for a loaf of bread. You are forced to convert the value of the gold into “credit” which you can then spend.
The Union Reserve of Texas takes the knot out of the process for the mines and for the investors as consumers—-you can have your “cake”— the investment in real commodities—and eat it, too—-use that investment as liquid capital credit to buy groceries or whatever else you want without going through a metals exchange. That’s why it is a “reserve”—- the metals already extracted and in the ground serve as the assets against which credit can be extended. Investors can choose what metals —precious, industrial, or strategic—in whatever mix they like, as metals or in the ground—-and use the value of those assets as the basis for extending credit.
As a private system, it is entirely outside the control of the “UNITED STATES” Corporation, and as a system that deals in real commodities as opposed to fictitious ones, it is able to connect directly with the marketplace day by day. This has the “upside” of being real and the “downside” of being somewhat risky—–the price of any metal tends to go up and down, so it is not the nice placid fictitious world where everything APPEARS to stay the same—-while actually changing.
Here’s the deal—- while your “money” is denoted as Federal Reserve Notes, the “Notes” themselves appear to be the same—-but their buying power changes by the minute.
The loaf of bread that cost $3,60 today may cost $5.40 tomorrow. The value of your currency has suffered a huge loss, but there’s the same number of bills in your pocket or registered in your bank account. Many people are fooled by this and think that their money is the same today versus yesterday just because there’s the same number of “dollars” in their pocket.
In the same way, the “value” of your investments in metals or any other commodity go up and down every day, but that change in value is registered as a change in how many “dollars” you have in your account. This is the SAME reality as above, just “cast” in different terms. In the fiat system, your money is worth less but appears to be present in the same amount. In the real monetary system, your money gains or loses value day by day —outright.
So as an investor in the Union Reserve of Texas you have these advantages: (1) your savings is invested in real as opposed to imaginary assets and those real assets belong to you as private property; (2) nobody can confiscate your holdings in the Union Reserve; (3) you can use credit extended on the basis of your investments to pay normal bills with the convenience of any modern bank or credit system—- you don’t have to tote around gold coins and get strange looks from the girls running the cash registers.
The downside is that you will have to face the ups and downs of the ACTUAL value of your holdings day to day. The fiat money system just quietly, surreptitiously steals your money through the devaluation of your currency. The Union Reserve of Texas faces up to both the gains and the losses, but the value per unit of investment remains.
To give you an appropriate example— remember the great stock market crash of 1929? All sorts of companies were liquidated in bankruptcy. They simply vanished off the board and that was that. Investors were left with lots of stock certificates and other securities that disappeared in the morning light. They were tied to little or nothing real. For those companies that did have assets sufficient to survive such a situation, those stock holders that held on and those that reinvested after the Crash made out like bandits.
Why? Because what is real is real! It always has a value, however that value is denominated or described in terms of currency. Those who rode out the Great Depression made money hand over fist, even while 9/10ths of the rest of the population was suffering.
Private organizations like the Union Reserve of Texas serve many valid public ends, but most of all, they protect their investors. As totally private institutions they offer modern day convenience without fear of confiscation, and though everyone takes the ups and downs of the market, they enjoy the security of knowing that their money is invested in something REAL—–not just the hot air of Congress.
We need good, private banking institutions in tandem with efforts to recoup and regroup and return private property to the people. And keep it private from now on.