Open letter to the CEO of GoldMoney, Roy Sebag
Hey Roy,
Recently viewed your presentation during a panel discussion about the Nature of Money. First off, I’d like to take this opportunity to compliment your delivery, very professional.
Although you presented your thesis very well, I do have a few straightforward reservations for your consideration.
You did clearly articulated the following, which most should agree with:
1) Gold is unequivocally the most genuine, true and honest form of Money. (This fact is categorically obvious for any thinking person.)
2) It’s also the surest store of value for one’s hard earned labor. (No man nor apparatus can alter it’s inherent standard of value, which even includes nature as we know it.)
3) Since 1 & 2 are empirically true, by default it’s the truest unit of accounting.
However, as a means of exchange in the modern world of finance it will always fall short. Here is why……………..
For GoldMoney to directly compete with the minimal transactional costs of today’s digitized fiat based government issued currency, it would require economies of scale only achieved through mass adoption. A most challenging task indeed, even for someone as formidable as yourself, as this would necessitate near universal understanding and acceptance of the credibility of gold as a more honest means of exchange. Not to mention that democratic gold backed money will continue to be unequivocally repressed by any and all standing governing authority, which always completely covets and never relinquishes the awesome power of monetary control. To wit, in the modern world, every collapsed fiat based currency has inevitably and invariably been replaced by another fiat based money, even those momentarily backed by gold, which in it of itself should tell you something. This would even be true of a global currency, as all authority inherently requires and imposes monetary control. One need only look to the idealistic IMF SDR, even if it eventually adds some measure of gold to the basket.
Due to the certainties just stated above, your business model is inherently flawed, completely unadaptable to 21st century monetary exchange regimes. As such, your innovative firm GoldMoney in its noble and courageous quest to democratize gold will inevitably fail, running out of advertising/promotional dollars over time. Yours is a cause not a business. You can’t pay your way with fiat based currency to establish a hard currency, just can’t get there from here.
The one and only essential benefit of the hard asset class in modern finance is it’s imperative use as wealth protection insurance during periods of monetary uncertainty, change and/or geopolitical strife. In the modern money world, Gold plays a vital role as a long standing store of value, especially during transitional monetary periods.
That’s it my friend, and please feel free to correct me should I have entirely missed something.
Best regards,
Bruno de Landevoisin
powered by sue.ng a legal search engine