Gold bugs have been selling a return to the a gold standard for a long, long time. They insist that a gold standard will fix the financial system. That it will stop the money printing and inflation.
"Gold has been money for 5000 years"
"Gold is physical and does not rot"
"Gold is recognized all around the world"
"If only we had a gold standard, all of the financial chicanery would end"
Gold
Gold has been considered something precious for a long time. All over Europe you could exchange it for goods. But does this equate to the whole world?
The gold bugs say that gold has intrinsic value. But does it?
Gold is considered a precious metal, and rare. But is it really?
The reality is that places like South Africa and South America have had huge abundance of gold. A king from South Africa visited the Mediterranean area and spent/gave away so much gold that the value of gold was suppressed for decades. In South America the Mayans used gold merely for decoration and religious items. There was so much gold, it wasn't considered valuable. Jade was used as currency instead.
Gold is mined, and then hoarded. So, tons and tons of gold sits in dark vaults all over the world. More gold than we would probably ever need. Much more gold than we are ever told exists.
We think of it as precious. We were told that it is precious.
They say that diamonds are precious, valuable and rare, but we know that is all a De Beers story. A con job played on the world.
Gold is pretty much the same. Especially since we have been mining and hoarding it for so long. We barely use any of it to adorn women. The rest just sits in vaults.
And it is believed that the Rots-child family has more gold than all of the govern-cements.
Gold as money in the past
The story is that gold has been money for 5000 years. But really, it hasn't. It is a story meant to hide many things.
When you look into what was used as money you find many interesting things, and rarely gold. Sea shells in north America, Jade in South America and China. Stone beads on many islands. Salt in Rome. Notes for grain in Egypt.
And before that there are a lot of stories of IOUs being used for transactions. Where the issuer was the person who would be producing stuff in the future (like cattle, or mined items)
The story that gold has been money also implies that we are the most advanced civilization. However, you look at ancient structures around the world, and artifacts of impossible construction, one must conclude that there was much more advanced civilizations on earth in the past.
There are also writings that as we descended into the Kali Yuga, people were becoming stupider, and that we may start having to use specie (money, paper notes) again.
The last story to add to this is that there seemed to be an alien race that was here on earth, and they wanted gold and alcohol (and sacrifice). This correlates with the time that many humans started caring about gold. And so, we may think gold is precious because the El (their name in ancient texts, probably mistranslated) wanted gold. And you could trade gold for your life, or to appease them, or maybe to trade for "their blessing"
The story of "Gold as money" has a lot of holes in it. Add that on top of the stuff not being that rare, and you have real problems when actually trying to implement it as money "again".
Gold as money in the future
Let us say that there wasn't any Rots-child banksters that owned half of the worlds gold, and so could manipulate it as they pleased. Given that, could gold be a good money?
Actual gold as money
Let us say that the gold is actually priced at $10,000 per ounce (the price suppression ended, and now everyone wants it).
So, you would need to make change. A one gram bar of gold is a tiny, tiny thing. Smaller than a postage stamp. There are 31 grams per ounce of gold. The tiniest "bar" of gold would be worth $322. Way too much for common purchases.
We would probably looking at some gold foil, a ⅒ of a gram encased in cast coin shaped piece of plastic. There are also a company making a dollar sized piece of plastic that has gold embedded in its surface. We would figure out how to transact in gold somehow, but it will seem strange.
However, in our technologic age, we want to order things on line, and pay digitally. So, physical gold will not do at all.
Gold backed currency
So, we leave just about everything the same. We all have bank accounts and credit cards. But, we make sure that our dollars are backed by gold.
This means we have to find some way to secure, monitor and audit the gold constantly. Everything we have tried in the past has failed, but we are inventive, we can probably figure out something. So that our dollars are swappable for gold, and so we all know there is gold backing it.
After that, we will have no bonds. You cannot lend real money at interest. Because there is nothing to pay the interest with. If you allowed usury, then at some point the amount of interest owed is larger than the entire gold supply. It is a mathematical progression. It is inevitable.
Basically, what we have done here is make sure that no one, not even the govern-cement or central bank can counterfeit money.
And, to do this, we lock away some gold away to never see light again.
So, can we go back to using gold as money?
Maybe? The only real way is to actually use gold as money. This way we know that the gold is really there.
However, there is more and more gold found every year, and then we have the rots-childs with half of the gold. The money supply will be inflated, but will it be a controlled inflation, or will the banksters do their usual shenanigans with loosening and tightening the money supply to create booms and busts?
And if we do a gold backed currency, how will we make sure that the gold is always there, and there is not counterfeiting by banksters or govern-cements (and other criminals)? There is little incentive to continually secure the gold against ever more inventive ways to scam, and there is all kinds of incentive to counterfeit.
If only there was a way to make sure that a currency was never counterfeited, that there was a way to make sure there was only ever 21 million coins…
Block-chain backed by gold? Some people will try to create such, but once you have the block chain, why do you need the gold for? It just sits in a vault. It just sits, expensively, in a vault.
Imho, gold just doesn't work as money. Not unless we lose the internet and go back to using horses to get around. We really need a money that can work all over the world, without having to move physically all over the world.
Unless we think up some radical new technology, gold is just not a good money, if ever it was. And moving into the future, gold is less and less a money that we would want to use.