California Gold and Silver Exchange (CGSE) discusses the rumors circulating about the government confiscating gold coins in the event of an economic meltdown. CGSE is a family-owned and operated business that specializes in buying and selling reasonably priced gold coins, silver and other precious metals in almost all forms. They accept new, old, mismatched, broken or single items, and offer one of the highest payouts in Southern California. They also offer gold and silver bullion, silver rounds and silver bars. According to the company, many businesses that sell gold pieces spread these rumors to get people to buy certain numismatic coins. |
“The reason they do this is that they make more money on the numismatic coins, often the $20 gold piece of St. Guadens or Liberty,” says a spokesperson from CGSE. “They try to get people away from the bullion coins and therefore make more money on a sale.”
Rumors spread by these businesses say that the government cannot confiscate the $20 gold pieces, making investors want to buy only the $20 gold coins and preventing them from buying the lower premium American Gold Eagle Bullion coins. As a result, buyers and investors end up buying old gold coins at prices that are significantly higher than the value of the gold content. While the idea of buying non-confiscatable gold may sound like a powerful argument, the validity of it is highly questionable. The claims of these telemarketers are not actually supported by any federal law or Treasury department regulation. While President Roosevelt did exempt gold coins having a recognized special value from being confiscated, it does not necessarily mean that all future gold call-ins would exempt collectibles. This means that if another call-in were to happen, it would most likely include the $20 gold coins.
However, it should be noted that it is extremely improbable for the government to confiscate gold again, and even if it does happen, the chances of it being successful are very slim. In 1997, Congress removed the U.S. president’s authority to regulate gold transactions in any national emergency other than war. Furthermore, with the current financial political landscape in the nation, gold call-ins are no longer necessary.
“The conditions that made the gold confiscation of 1933 happen are no longer relevant today,” says the spokesperson, “which means that investors should not worry about the government confiscating their gold coins.”
About California Gold & Silver Exchange
California Gold and Silver Exchange (CGSE) is a family-owned and operated business that specializes in selling gold and silver bullion, gold and silver bars, 90% silver coins and silver rounds. They also buy gold, silver and other precious metals in almost all forms, whether they are new, old, mismatched, broken or single items. Based in Southern California, the company offers one of the highest payouts in the area and offers free estimates to clients.
California Gold & Silver Exchange
Address: 130 S Mountain Ave, Upland, California 91786, United States
Phone: (909) 985-4653
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