USA Makes Owning Gold Illegal
In 1933 Franklin D. Roosevelt made it illegal for any person in the United States to own lots of gold.In 1974 the ban was lifted by President Gerald Ford.People could now buy and trade gold as a commodity.
This all happened after the great depression. Foreign banks, who were afraid of the failing economy, were turning in their paper money in exchange for gold. This was depleting the gold supply in the U.S. Reserve. Up until then the United States had been on the gold standard. Many dollar bills, like the fifty, were printed with a yellow back which indicated it could be turned in for the gold rate.
The Executive Order 6102 made it illegal for anyone to own more than $100 worth of gold. Citizens had to turn in their gold in exchange for paper money. The gold coins were melted down into bars by the U.S. Treasury department. This was done to keep the U.S. Overseas market avoid panic and keep the dollar afloat. The tactic worked.
However, not everyone turned in their gold coins. There are still a few in private collections. Sought after by collectors these coins are considered rare. Certain $20 gold coins can range in value from $500 to over $20,000 depending on the marks and condition of the coin.
Gold is a timeless investment. The value has gone up considerably more and more over the years. Suppy and demand law is the reason why. The mines are not producing enough gold to satisfy the demand. The prices were stable because the banks were selling their reserves. Now that they are holding on to the gold and the demand has increased, the prices are climbing. It is expected to peak at about $1,000 per troy ounce by mid summer of 2008.
The U.S. Treasury is producing the gold eagle coin. This 1 troy ounce coin has a face value of $50. This is enabling anyone who wants to invest in gold to do so. The coins are also available in the ½ ounce, ¼ ounce, and 1/10 ounce varieties as well. Being able to invest in the gold market has finally become possible for the middle class. Many people are finding it worth the investment.
Investing in gold is a wise choice. The price is constantly going up. The demand is also growing. The ability to have it with you and easily transport it is a benefit. The fact that it is a tangible product that never loses value is the best reason to invest in gold. Now that the U.S. Treasury has made the coins available on the open market, anyone who ever thought of investing in gold can do so.
For more information please visit