This week, customers of the failed bank woke up to find their money gone after SVB received accolades from mainstream media praising the bank as one of best.
Executives cashed out millions in recent weeks before SVG was taken over by regulators. Customers stood outside in long lines trying to get their money.
The failure began with a bank run withdrawal of $42 billion.
Gold is a proven hedge against inflation and a proven long term store of value. Having gold as part of your overall portfolio offers a defensive strategy strategy when there is a lot of uncertainty about other investments. In some cases, this now includes even holding cash in banks during high inflation period.
The latest moves have all the makings of a major bailout. The Fed’s new “emergency bank funding program” will make an unlimited amount of funds available to cover customer deposits.
Inflation continues to run hot and the Fed is likely to pause continuing rate hikes as trading has been halted by numerous banking stocks as the fallout from the SVB failure continue to spread.
Owning physical precious metals such as gold and silver is considered by financial experts as one of the best ways to safeguard some of your cash.
This 2023 Armenia Noah’s Ark coin series is one that many collectors and investors adore for the biblical theme.
The reverse theme of the coin pays homage to the story of Noah and the Ark as described in the Book of Genesis, chapter 8. A peaceful dove is shown flying above the ark at the end of the rainstorm with the sun beginning to rise over Mt. Ararat in the background.
The image is surrounded by inscriptions around the design field that reads “NOAH’S ARK” in both Armenian and English.
On the flip side, the obverse features the Armenian Coat of Arms. It includes inscriptions for weight, purity, year of minting, and the denomination.
The outer rim is inscribed with the words “REPUBLIC OF ARMENIA”, again translated in both English and Armenian.
Each element in the design is crafted with masterful detail and precision with artisans applying different textures to bring the scene to life.
2023 Noah’s Ark Silver Coin Specifications
Minted in 1 kilo, 10 oz, 5 oz, 1 oz plus a wide variety of fractional ounce sizes.
Twelfth annual year of minting.
Limited annual mintage.
Minted with .999 fine Silver BU.
The obverse shows the Republic of Armenia Coat of Arms, with assay and minting inscriptions.
The reverse design portrays the story of Noah’s Ark from the Old Testament of the Bible.
Legal Tender coins backed by the Republic of Armenia.
Mount Ararat is a dormant snow capped volcano in modern day Turkey along the border of Armenia. In the old testament Bible, Mt Ararat is described as the final resting place for the Ark that survived the great flood and holds a significant amount of cultural significance to both nations.
These bullion coins are minted by Geiger Edelmetalle on behalf of the Republic of Armenia. Geiger is one of the world’s oldest private mints.
The mint was founded in the 12th century in Germany and has been involved in the precious metals trade for centuries. The Geiger Edelmetalle mint is a member of the LBMA (London Bullion Market Association) as a Good Delivery provider.
The pandemic lockdown of mines, factories and transportation caused a huge plunge in industrial demand in early 2021.
The lockdown also led investors to buy silver bullion coins in record amounts. The last two years have set new sales records for silver and gold bullion coins at both the Royal Mint and Perth Mint.
The use of silver in the manufacturing of consumer electronics, electric vehicles and solar panels has hit record highs.
The solar and electric vehicle industries are largely driven by billions of dollars of government funding and incentives. Even with the economy is a downward spiral it’s likely that subsidies and other funding for solar and green energy projects will continue. Green energy initiatives will continue to drive demand for silver for at least the next decade.
The President’s climate agenda has a goal that 50% of all new car sales by 2030 should electric vehicles.
Conservative estimates place 18 to 26 million new electric vehicles on the roads over the next seven years. With each having slightly more than one troy ounce of silver, that adds up to 20 to 30 million troy ounces or roughly 900 tons of silver needed.
Typical cell phone only small amounts of precious metals, roughly 1/35 gram of gold and a 0.34 gram of silver. Sales of smartphones are projected to reach 1.49 billion units by 2026, which will consume 50.155 tons of pure gold and a whopping 500 tons of silver.
The majority of silver that is pulled from the ground results as a byproduct from mining other metals. As domestic mining of related metals has remained steady over the last decade, domestic silver production typically averages roughly 1,082 tons per year.
Major automakers including Tesla and General Motors have announced large cash investments in mining.
Industry analysts from both industries are speculating this to be a huge strategic advantage given the push to reduce dependence on fossil fuels.
Technology from the Boring Company already exists that could easily be applied to upend operations in the mining industry.
Their latest tunnel boring machine, named PrufRock, is capable of digging a one mile long, 12 foot diameter tunnel about a week.
Applying this to existing mining operations and adopting new methods of mining precious metals could lead to drastically improved operating margins and reduction in fuel consumption in addition to significantly reducing the environmental damage and long term effects caused by the stripping overburden to reach paydirt.
Producing rare earth metals and minerals to meet the needs for EV batteries would be an excellent application of Boring Machine technology to the mining industry. Adapting the machines to dig and sort through deposits is also a way to help eliminate the harsh conditions faced by workers in cobalt mines throughout the world.
Despite record high inflation spot prices have stayed relatively low but volatile.
In the summer of 2022, the former executive in charge of Global Precious Metals Trading was sent to prison after being convicted along with a slew of others for participating in price fixing and manipulating metals prices for nearly a decade.
Late last year, Christopher Jordan, a trader from Credit Suisse who had previously worked at the PM trading desk, was found guilty of silver price manipulation after an eight-day trial.
JPMorgan agreed in 2020 to pay more than $920 million and admitted to wrongdoing to settle with the Justice Department and the Commodity Futures Trading Commission over its traders’ conduct. At the time, the largest fine in banking history.
The lawsuit references an investigation by the DOJ that revealed that “JP Morgan knowingly, negligently, and unlawfully provided and pulled the levers… and was indispensable to the operation and concealment of the Epstein trafficking enterprise.”
In an attempt to distance itself from further entanglements with the scandal, JP Morgan has gone on an offensive tack and launched a lawsuit against former long-time executive Jes Staley over his ties to Epstein.
Claims from JP Morgan in court filings assert that Staley “affirmatively misrepresented the true facts of his and Epstein’s personal interactions and activities,” and “repeatedly provided misleading information” about Mr. Epstein to bank officials.
The lawsuit seeks to claw back Staley’s compensation from at least 2006 to 2013 totaling around $80 million and to distance the bank from liability related to the scandal. The claims in the suit includes references that suggest the exec may have had far more familiarity with Epstein’s activities than previously known.
News of the new lawsuit follows reports that courts are planning to unseal documents in other related Epstein cases that will name as many as 167 individuals closely associated with Epstein.
JP Morgan Chase is the world’s most dominant bullion bank with operations that span all facets of the industry from trading futures with hedge funds to transporting physical bullion around the world. They are one of the custodians for the ETF gold trust SPDR.
In January, Chase announced that they were evaluating getting into the settlement of precious metals trades in Zurich, a business historically dominated by UBS Group AG and the failing Credit Suisse Group AG.
In a partnership that brings reality to a new pinnacle of madness, famed silver maker Tiffany & Co has partnered with Nike to create a box.
The silversmiths at Tiffany put in more than 155 hours of work to craft the one-of-a-kind box to promote the new Tiffany-Nike brand collab AF1 sneaker. A promotional video posted to Instagram contains a few highlights.
The company’s hollowware workshop in Cumberland, Rhode Island built the box from 23 pounds of sterling silver.
That’s 10.4 kilos of sterling with roughly 335.4 troy ounces of pure silver valued at around $6,500 at today’s spot price.
The box will not be available to buy anytime soon, so no retail pricing is available.
The cobranded $400 sneakers feature the luxury brand’s robin-hood blue combined with black color scheme and are sold out at Nike’s online store. Reseller marketplaces have the sneakers available in various sizes with prices ranging from around $900 to up to $1,800.
A .925 sterling silver “carry piece” is stitched in to the heel of each shoe via a premium leather strap, a new take on silver jewelry.
The product description on Nike.com describes the partnership as “the bridge between basketball and street style.”
bringing together sneakerheads and silverbugsNike Tiffany Sterling Silver Shoebox measures 16 inches long, 10 inches wide and 6 inches tall.fractional sterling silver bars are stiched into the heels with leather straps
With the rise of trading through social media and other online marketplaces, it’s important to note the prevalence of fake coins and bars on the market and testing can help protect you from scams. Testing can help ensure that the silver item you have is indeed made of genuine silver and not a counterfeit or an alloy.
Silver bullion is a popular investment choice for portfolio diversity, as a hedge against inflation and high interest rates or simply using it like a savings account or store of value.
As with other investments, verifying that you have genuine silver is a normal part of the due-diligence. Most of the methods described here can be performed at home with simple and inexpensive tools you may already own. They allow one to quickly and easily verify silver for purity and determine if any suspicious items in your stack are not genuine.
Ice Melt Test
The ice silver testing technique involves placing a piece of ice on the surface of the silver bullion. The ice should melt quickly and evenly across the surface. If the ice melts unevenly or leaves spots or blemishes on the surface, it may indicate that the bullion is not pure silver.
Pure silver has a high thermal conductivity, which means it can transfer heat quickly and evenly across its surface. When you place ice on refined silver, the heat from the silver rapidly melts the ice, creating a thin layer of water across the surface. If the silver is not pure, it may have a lower thermal conductivity, which can cause the ice to melt unevenly or leave spots on the surface.
While the ice test can be a helpful way to verify the authenticity of your silver bullion, it’s important to note that it is not entirely foolproof. Other metals have a high thermal conductivity and could pass the ice test even if they are not pure silver. Additionally, some counterfeiters have figured out ways to thicken the silver-plating on some fake bullion coins that can pass the ice test.
It’s a good recommendation to use multiple methods to test silver bullion beyond checking for hallmarks or engravings, such as accurately measuring its weight and dimensions or performing a magnet test.
In case of doubts about the authenticity of your bullion, another option is to befriend your local coin shop to have it examined by a professional before making any investment decisions.
Magnet Test
Verifying silver can be made much simpler with the use of neodymium magnets.
Neodymium magnets are among the most powerful permanent magnets, capable of producing a high magnetic field. When placed close to a piece of silver bullion, they can provide an effective means of verifying its authenticity.
Silver is non-ferrous, which means that it is not magnetic. If the silver is genuine, the magnet will not stick to it, but at angle will slide down the piece showing some slight resistance. However, if the magnet sticks to the bullion, it is likely to be counterfeit metal alloy or plated material.
This is because most metals used to fake silver bullion, such as copper, brass, or nickel, are magnetic and will therefore be attracted to the magnet.
Note that this method should be used with other forms of testing silver bullion, such as weight and visual inspection. However, using neodymium magnets can provide more confidence when investing in silver bullion.
A high-quality precision scale for precious metals that is accurate to at least 0.01 grams and also measures in troy ounces is a very affordable accessory.
A scale allows you to weigh the bullion accurately and determine its weight in grams or troy ounces. Once you have an accurate weight, you can then compare it to the manufacturer’s stated weight to and note any variances. When measuring in fractions of a gram there is likely to be some variances in weight, even between silver rounds of the same manufacturer and design.
In addition to weighing the bullion, you can use a scale to help measure its density.
Water Displacement
Water displacement is a technique that measures the volume of an object submerged in water and the amount of water it displaces. This method can be used to verify the weight and density of silver bullion.
A container filled with water is needed to use water displacement in verifying silver. The container should be large enough to submerge the silver bullion completely. First, the weight of the silver bullion is measured using a scale. Next, the silver bullion is immersed in the water container, and the volume of water displaced is measured. The weight of the silver bullion is then divided by the volume of water displaced to determine the density of the silver bullion.
The density value can be compared to the known density of silver to verify its authenticity. This method is relatively inexpensive as it does not require any special equipment.
Silver has a density of 10.49 grams per cubic centimeter, meaning a piece of silver bullion should have a specific weight based on its size. By measuring the weight and volume of the bullion, you can calculate its density and compare it to the expected density for silver to ensure that it is authentic.
Measuring Coins with Calipers
Calipers can be an effective method for measuring coins to help verify the authenticity. A set of calipers, sometimes referred to as a micrometer, is precision measuring instrument that can accurately measure the dimensions of an object, allowing you to compare the measurements of your coin against known specifications.
When using calipers, the first thing to do is to measure all dimensions of the piece, including its length, width, and thickness.
By comparing the measurements to those published by the original manufacturing mint. Most online bullion dealer listings information related to the dimensions of each piece as provided from the manufacturer. It is easy to compare the measurements of your piece with those provided online.
These measurements can also be used to calculate the volume of the coin, which can be compared to the expected volume based on the weight and density of silver.
Additionally, when measuring the dimensions of the bullion, calipers can help identify signs of tampering or alteration. For instance, when the thickness of a bullion bar fluctuates along its length, this could indicate that some metal has been shaved off.
Unlike chemical testing or X-ray fluorescence (XRF) analysis, caliper measurements can be taken immediately without requiring specialized equipment or extensive preparation.
Silver Ping Test
Pure silver makes a distinctive sound when it impacts another object such as a solid countertop. The Ping Test analyzes the ringing sound that is produced when it is bounced off surface.
Various Apps are now for both IOS and Android mobile devices that analyze the frequencies that resonate against a known database of other coins.
Acid Testing method
Acid testing is a common method used for testing silver purity. Acid testing involves using a simple solution to test the silver’s purity. The process is straightforward. A small sample of the silver is taken using a special jeweler’s stone. When the acid is applied to the sample it will react by changing color.
Additionally, 18k gold testing solution can also be used when testing silver with a different color reaction as described in the video below:
Simple and easy to use acid test kits are readily available from Amazon and other online marketplaces and are inexpensive and the most reliable way method of testing silver and gold bullion at home.
Acid testing is the most trusted way to verify the purity of silver bullion. It’s important to note that care should be taken with the testing process, particularly with items that may have potential value as numismatics, collectibles or antiques. Additionally, acid testing should only be complementary to other verification forms, such as weight and size measurements and confirmation of stamps and markings when available.
Final Thought
While several ways are used to test silver purity, many investors may need more than just third-party grading or testing services. Fortunately, the above are a variety of methods that you can use to verify the authenticity of your silver bullion at home.
If you still have concerns about a particularly piece, it may be best to visit a local coin shop or other precious metals dealer. You can ask them to test the piece in question on a Sigma Precious Metals Verifier.
The latest revelation to arise from the investigators auditing the Perth Mint accuses the mint of diluting the quality of more than 100 tons of gold bullion dating back to 2018 that had been sold to China.
Several scandals have emerged as reports from the investigators are leaked to various media organizations in Australia.
Investigators have previous attempted to link the closure of Puerto Rico based Euro Pacific Bank with an ongoing money laundering investigation at the Perth Mint’s gold certificates program.
Founder of Euro Pacific Bank, Peter Schiff, fervently denies all of the allegations and claims that the news agency is reporting on false and outdated information.
ABC's @4corners deliberately mislead its audience by claiming my bank is currently under investigation for money laundering and tax evasion. They failed to inform their audience that the investigation ended over a year ago without finding any evidence the bank facilitated either.
ABC's @AngusGrigg claims my bank effected a $25 million bulk transfer to the @perthmint to hide the beneficial owners. No transaction anywhere near that size ever took place and my bank never did anything to intentionally hide the identity of any of its customers from the mint.
Up until recently there had been no arrests linked to the investigation. In February, reports began emerging online that police in the UK raided several homes and businesses and arrested two men in the Liverpool area tied to the investigation. The names of those arrested have not yet been made public.
In another recent news report, a financial crime specialist from Australia suggest that a former Hell’s Angel member who paid cash for a 1 kg gold bar should have been identified as a “high risk.”
Even though the buyer has previous criminal convictions for drug trafficking and other crimes, at no time has he been under scrutiny for money laundering or acquiring the cash from illegal activities.
One conspiracy theory that is currently floating around social media concerns that politicians are intending to tarnish the reputation of the Perth Mint as part of a which hunt investigation to expose customer privacy under the guise of fraud investigations.
Perth Mint “Standard Delivery” Bars Fail Shanghai Gold Exchange Specification
The Shanghai Gold Exchange initially uncovered purity discrepancies in 2021. The SGE alleged that two bars contained higher amounts of silver than their specifications allow which triggered an internal investigation by the Mint.
According to the SGE specification, Good Delivery bars labeled as 99.99% pure gold must adhere to strict standards regarding the chemical composition of the remaining 0.01%.
A bar designated as Grade I must have no more than 0.005% Silver (Au) and 0.002% Copper (Cu) with even more minute traces of iron, lead, bismuth and antimony.
Assay tests performed during the investigation found one of the bars contained higher trace amounts of silver than is acceptable for the Exchange.
The reports of the investigation state that the purity of the gold bar was still 99.99%, although the silver content was slightly higher than the specification.
Considering that the gold purity was tested as .9999 pure, at issue is the chemical composition of the 0.01%. If the silver content was higher than 0.005%, then it should follow the logic there were smaller amounts of copper and other trace elements.
The Perth Mint is the largest refiner of newly minted gold in the world. While Good Delivery bars are first sent to commodities exchanges, the 1 kg gold bars are also a frequent purchase for high-net worth investors. The Mint also manufacturers a variety of .9999 fine gold coins such as the 1 oz gold kangaroo.
The CombiBar from Valcambi is probably the single most most practical bullion investment.
The CombiBar is a unique bullion bar that is designed to be easily divisible into smaller, fractional bars that are simple and easy to break apart with your hands.
These bars are precision manufactured in Switzerland and available in all of the major precious metals categories such as silver, gold, platinum and palladium.
Silver Combibars are available in two variations, both contain 100 grams of .999 fine silver. The 10×10 gram Combibar is easily divisible into up to ten 1/10 oz fraction of an ounce. While the 100×1 gram splits into one hundred one gram fractional bars.
The dealer premiums for silver Combibars are higher than comparable weight generic bullion. However, the overall markup and out-the-door price is generally lower than buying separate fractional pieces of similar weight. On occasion, some dealers have been known to offer discounted premiums on combibars beyond the normally offered quantity savings.
Gold Combibars are minted in a few additional sizes that are ideal for stacking. Each of the various weights in gold combibar series are just slightly thicker than a credit card at only 0.85mm thick and can be stored safely practically anywhere.
The largest gold Combibar contains 100 grams of .9999 fine gold and is designed to be easily divided into one hundred 1 gram gold bars. Premiums for 100 gram gold Combibars are comparable to similar sized sovereign mint solid gold bars.
Each comes encapsulated into a protective case that includes a printed assay card with matching signature. The tamper-proof plastic assay holder is designed to be durable and provides protection through uncertain conditions.
The newest edition to product lineup is the 1 oz gold combibar. This divisible gold bar is perfect if you prefer measuring with this metric and is easy to split into up to ten fractional gold bars in any tenth of an ounce.
The smallest of the gold Combibars is minted in limited quantities as is uniquely shaped like a 5-point star gold bar.
For PGM investors, the platinum and palladium have all of the same design characteristics are the others in the series.
Valcambi Suisse is a large Swiss-based refinery and private mint offers a one-of-a-kind product line that is tailored to investors preparing for uncertain economic conditions.
It’s safe to say that with the economy heading in the wrong direction buying Combibars of any size makes for a practical investment to help with some financial security for when you need it most.
The United States Mint released images of the upcoming release of the American Liberty Gold Coin and Silver Medal.
The new 1 oz gold coin will be minted with .9999 fine gold with a nominal face value of $100.
The silver medal will be minted with one ounce of .999 fine silver. Both are schedule for release some time this summer.
These new designs from the mint emerge from the Artistic Infusion program led by Program Designers Elana Halger and John P. McGraw along with Chief Engraver Joseph Menna.
The American Liberty product line is a new high relief series that features modern interpretations of the Liberty theme on the obverse and depictions of the national bird on the reverse.
The gold coins will be minted at the West Point Mint. While the Philadelphia Mint will strike the silver medals. Each will have corresponding mint marks prominently on the obverse.
The obverse shows a bristlecone pine, believed to be among the longest-lived life forms on Earth. In the Inyo National Forest in California is a tree referred to locally as the Methuselah Tree that is verified to be 4,854Â years old. It is believed to be the oldest living thing on earth highlighting the resilience of this species to survive cataclysmic changes and repopulate the land in areas affected by lava flows and glacial runoffs.
The reverse depict a young bald eagle standing atop a rocky outcropping preparing to take flight.
While ETFs like SLV and GLD may help balance out your stock portfolio, the crypto markets continue to raise anxiety for investors, tucking away some gold coins in a discrete location can give you financial security and peace of mind. Gold Coins are an investment that you want to hold and it’s a wise idea to have a stack.
A key concept to understand is that gold ownership is a store of wealth. When you buy coins minted of precious metals you are transferring your hard-earned fiat currency into a physical asset. The value of gold is driven by the commodities markets, central bank buying and its innovative use by industry.
Which Gold Coin is Ideal for Stacking?
All major gold bullion coins that are manufacturered by government backed mints are widely recognized worldwide. While the full one troy ounce of gold coin is the most popular, various fractional ounce sizes are available for investors of all budgets.
The allure and luster of pure 24k gold is part of what draws investors to some coins. They prefer the beauty, color and the way pure gold reflects light.
Other investors have a preference for stacking coins that are more practical and made for the rigors of circulating in the economy. Modern and vintage 22k gold coins contain an alloy that incorporates other metals for durability and scratch resistance when handling.
The prestigious 1 ounce Gold American Buffalo from the US Mint is one of the best selling pure gold coins. This coin is highly revered for the immaculate detail in the design. However, the Gold Maple Leaf, Britannia and a variety of gold coins from the Perth Mint are also the same purity and often available for a significantly lower price from one or more online bullion dealers for the same amount of gold.
Modern Gold Coins
The US Mint produces millions of gold coins each year in the Eagle and Buffalo series’ plus a variety of commemorative issues that highlight and celebrate American values and culture.
Various laws passed by Congress require that the US Mint to charge wholesalers a premium over spot price to cover the costs of manufacturing, marketing, sales and distribution of newly minted coins. The pandemic lockdowns caused a chain reaction that led to increasing costs along the entire supply chain from mine to mint.
Sovereign owned mints, such as those in Canada, Europe and Asia also have large-scale operations for producing coins for investment. Lower foreign manufacturing costs combined with other market-driving factors put the prices of these legal tender coins at a lower premium over spot than those produced domestically.
Even though they have a nominal face value in a foreign currency, most are also eligible for inclusion in a precious metals IRA based on their legal-tender status and gold purity.
Vintage Gold Coins
Long before the invention of paper money and fiat, gold has a long traditional history as money that has proven to stand the test of time. Pure gold is very soft and easily damaged during circulation. Many vintage gold coins are minted from a 22k gold alloy, which blends other metals such as copper and silver to provide rigidness.
Gold coins were the acceptable currency for everyday spending, making major purchases and for international trade.
The lust for gold and wealth was the primary driver of Colonial expansion during the 18th and early 19th centuries.
The British established a branch of the Royal Mint in Western Australia to mint Gold Sovereign coins that later become the Perth Mint.
For hundreds of years, coins such as British Gold Sovereigns, the 20 francs and other European gold coins like the Gold Corona were minted with qualities that made them ideal for circulation and to withstand generations.
Gold is Insurance Against CBDC
The record amounts of stockpiling by central banks is recent years is a top indication that there is a global economic shift towards a gold-backed currency for international trade.
Many countries, particularly in the Middle East, Africa and Asia have been ramping up their gold buying in preparation for the introduction of a BRICS+ commodity-based basket currency.
Gold is a unique physical asset that is easily exchangeable into cash. Having a portion of your savings outside of the traditional banking system that is controlled by the government and central banks gives you more control of your money and your future.
The Federal Reserve and White House have both announced plans to roll out a CBDC. Many are correct in their beliefs that the government will attempt to force the use of a programmable currency in the coming years as the state of the economy worsens.
Owning even a small investment in gold coins can provide peace of mind and financial security that is expected to come with a collapse of our current financial system in the coming years.
Practical Gold Preps
It’s growing harder for families to maintain a budget when the cost of basic groceries and gas to fill up the car increases with each passing week.
Being able to set aside enough cash savings to cover a few months of expenses is nearly impossible in the current climate of skyrocketing inflation, alongside continually rising interest rates and massive layoffs in the job market.
The importance of having a stable, trusted and reliable store of value has never been more critical than it is today.
