Goldbacks

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Does anyone collect Goldbacks here?

I just recently found out about it and bought a couple out of curiosity. I've done some research on it, but still not quite sure to the purpose of it. From my understanding, they can be used for bartering for the actual value of the Goldback. Does anyone know how true that might be?
A few western states such as Utah, Nevada, and Oklahoma have passed laws making gold and silver legal tender, which is the premise these gold notes are playing on. The common sense assumption from this would be what you assume, that gold would now be accepted by the state government and banks at spot in payment for debts.

But according to this article on CNN Money, it actually mostly affects tax on precious metal assets. It's honestly not entirely clear what effect if any this has on US gov't minted gold and silver eagles, since those were legal tender before and still are, though only at face value.

This article on money laws seems to affirm this; that essentially there are no taxes for the exchange of gold and silver as they are to be recognized as currency, not assets. This does permit precious metal to be a viable form of payment on par with cash since there's no tax loss simply by making the transaction, but it does not appear that even the governments of those states will necessarily accept payment in bullion at spot.

It's also pretty clear that you can't force anyone to accept gold or silver as payment. As for whether any individuals would trade for such a thing, in those states or any other - obviously not at most stores, no. Private individuals might negotiate for it the same as for any other verifiably gold item, especially if you're silly enough to offer it at face value (well below what Goldbacks sell for online).
I collect silver certificates. Haven't found any gold certificates in the wild though. Pretty sure I never will.
But yeah, printed right on it, under the portrait, it says payable to the bearer in gold / silver coin. So at one time I'm sure the banks did honor them.

Silver Certificates - Bureau of Printing and Engraving
Silver Certificates - Wikipedia
Gold Certificates - Wikipedia
"What we are is not as important as what we aren't"
Verweis : "Outsider"​A few western states such as Utah, Nevada, and Oklahoma have passed laws making gold and silver legal tender, which is the premise these gold notes are playing on. The common sense assumption from this would be what you assume, that gold would now be accepted by the state government and banks at spot in payment for debts.

​But according to this article on CNN Money, it actually mostly affects tax on precious metal assets. It's honestly not entirely clear what effect if any this has on US gov't minted gold and silver eagles, since those were legal tender before and still are, though only at face value.

This article on money laws seems to affirm this; that essentially there are no taxes for the exchange of gold and silver as they are to be recognized as currency, not assets. This does permit precious metal to be a viable form of payment on par with cash since there's no tax loss simply by making the transaction, but it does not appear that even the governments of those states will necessarily accept payment in bullion at spot.

​It's also pretty clear that you can't force anyone to accept gold or silver as payment. As for whether any individuals would trade for such a thing, in those states or any other - obviously not at most stores, no. Private individuals might negotiate for it the same as for any other verifiably gold item, especially if you're silly enough to offer it at face value (well below what Goldbacks sell for online).
​In Texas also there is no tax on gold or silver purchase, capital gains, etc.

As one of the article states, that for using gold or silver to buy anything would still be worth only face value. The states where the GB's can be used, unless there is a clear printed list of the exchange rate of what the GB/gold/silver actually is, I doubt anyone would be actually using it to purchase anything or stores accepting it for anything more than face value.
Verweis : "glorkar"​I collect silver certificates. Haven't found any gold certificates in the wild though. Pretty sure I never will.
​But yeah, printed right on it, under the portrait, it says payable to the bearer in gold / silver coin. So at one time I'm sure the banks did honor them.

Silver Certificates - Bureau of Printing and Engraving
Silver Certificates - Wikipedia
Gold Certificates - Wikipedia
Before 1964, silver certificates were redeemable for silver dollars.

I have a few myself. Only on eBay I might get more than face value for them.
There are actually a lot of small towns in the US which issue their own local currency as a way of improving business for small shops in their communities. While it is illegal for municipalities to mint their own coins, it is legal for them to print their own notes.

I thought BerkShares was a clever one:
https://berkshares.org/
Verweis : "Steve27"​There are actually a lot of small towns in the US which issue their own local currency as a way of improving business for small shops in their communities. While it is illegal for municipalities to mint their own coins, it is legal for them to print their own notes.

​I thought BerkShares was a clever one:
https://berkshares.org/

​Wow. I didn't know this. Thanks for sharing the info.

So technically, I could possibly print my own paper currency and circulate it in the neighborhood to be used in the neighborhood stores/gas stations/etc. Would that be a correct assumption?
"So technically, I could possibly print my own paper currency and circulate it in the neighborhood to be used in the neighborhood stores/gas stations/etc. Would that be a correct assumption?"

Yes, you could legally do so (just don't mimic any US currency designs).

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