http://www.flickr.com/photos/68989849@N04/6275269501/

What does the chart (ECB tonnes goldreserves & goldvalue) fundamentally really means !

The 15% gold reserve asset in the ECB's balance sheet is a *constant*, already since € birth, by
gold price evolution (MTM – Marked To Market) or number of tonnes (now 10,000) in the ESCBs
(European System of Central Banks).

If the ECB wants to add or remove some tons of gold on its balance sheet, they place them at
the BIS (gold receivables). The ECB is likely to do this in function of its alternating total balance
sheet and the evolving gold market prize. Always with the intention to maintain 15% of the
balancetotal ,booked in goldvalue (asset). (the 15% can increase/decrease…sooner or later in
agreement with other central bank gold-value-standard, partners.)

In the following decade, the chart pattern can therefore evolve completely different.

People should understand above all that the ECB has no fear at all of the evolving gold market
valuations. Therefore the bold (unprecedented) quarterly MTM!

To maintain this 15% constant, there are plenty of possibilities via the ECB friendly BIS (world gold
clearing). There is so to speak a * system * behind it.

Villains would still be able to manipulate the gold price, ….to crash it or to explode the value. And
then the ECB would also lose control over its 15% gold reserve asset on its balance sheet. There
is also imvho an informal awareness of who these main villains are ($ regime). Cfr. WAG / CBGA.
(Washington Agreement-Central Bank Gold Agreement)

The physical repatriation of the German (& possibly other) goldreserves, means that the ECB’s
10,000 tonnes of gold reserves on the balancesheet is NOT AT ALL a Semantic / symbolic / or
tradition-gimmick.

This is in total contrast with the 8,100 tonnes of UST gold reserve ,which sits there for no reason .
What purpose has this UST gold!? What is that gold *tradition* doing there, except gathering dust
at $ 45/oz since 1971 ??? The US$ regime produces its own world $-reserve.

The ECB & friends now have a gold-value standard as a tier-1 asset on their balancesheet. No
currency link attached !

When central banks ,with a 15% goldreserve asset on the balancesheet, have to function (partially)
as a bad bank, they can do that *credibly* ,….. because of the 15% gold reserve asset.

Force the FED to put the appropriate amount of UST goldreserves on its balance sheet. At the
present gold marketprice …or much higher, if there is not enough UST goldreserve in the shatzkas.
No need for a debt ceiling anymore !

Agree to let the goldprice (value) float freely at the world’s goldmetal auctions (Freegold). Then
everyone can get on with the $ as a world reserve currency, next to other currencies with the same
ambitions (€/yuan/other). If the $-gold price rising disturbes a CB balance , then they can put some
of that goldmetal temporary in the BIS depot and still meet the 15% standard .... which should have
been agreed upon (formally or informally). This is not some obscure * fix * (sham).

And that is precisely what the $-regime (still) does not want: *Disciplining*. They shouldn’t therefore
better not talk (filibuster) about currency gold backing. With a $ 1 trillion platinum coin or whatever.
No Zoellick Gold Reference Point. No $-goldstandard or any alikes.

Every CB must manage its currency properly,…. or people’s digits are automatically encouraged to
move increasingly in gold, the metal, as the universal store of wealth, who’s status is proven by the
official recognition as the CB’s gold-value-standard. Note, that there is no VAT on gold bullion in the
EU. What a grand invitation.

Freegold cannot develop out of the blue in just some vacuum. A *structure* is needed.

The purpose of the Free floating gold value is not intended to repeal currencies and make them
dysfunctional .It Is meant to imply responsability and to maintain currency credibility when there is
case of mismanagement, for whatever reason. Now the entire globe has, through the $ world reserve
status, to pay for the blatant U.S. mismanagement and the horrible consequences that come with
it. The world’s pro gold cartel wants to get rid of International systemic $ buying power-reduction
without compensation.

This can all be deduced from that young ECB gold reserves graph. The ECB (BIS) is showing, for
anyone who wants to see it, how a gold-value-standard is already working in practice.

Citizens should copy this principle, privately. The more confident (sustainability) the financial industry
(FI) can muster, the less goldmetal .... citizens need to keep in portfolio. Austere (orthodox) fiat-
governance versus the disciplining gold-value-standard.

That is the implicit message of the ECB concept of floating goldvalue. We hear / see that the
banking ‘gangsters are ‘obviously not happy with this (never were). But they have messed things
up. So gold will not go out of the citizens private holdings as long as the monetary / financially
unsustainable systemic problem is not resolved. The ECB’s gold concept leads, globally.

The private gold, alone, can do very little (nothing) against the omnipotence of the manipulative
mismanagers of the FI (financial industry) and thugs. Citizens can only anticipate on a Bretton Woods
redo, who will institutionalise free floating goldvalue, officialy .

The UST lost 20,000 tonnes of gold when Nixon stopped this massive US gold-bleeding in 1971.
Once the general public then went in gold (1980), Volcker manipulated gold to the sky ($850/
oz). … as to say > Stay away from gold and accept the naked $-standard. The €-EMU project, which
included the euro gold concept, was already on the drawing board by then. Now we did not need
the mismanaged $- standard no longer . We would also not continue to pay for it…and most of the
world with us.

Belgian

Reply · Report Post