Greshams Law < Goldmoneys Law

GoldmattersGoldmatters Posts: 3,924 Admin
edited September 2016 in About Goldmoney
From now on, I propose that anyone within the sound of my voice (or in view of my typing) rebutt anyone using "Greshams Law" simply with Goldmoneys Law.

Greshams Law is the concept that "good" money will always push out bad money. For example you get 4 quarters in change for buying a doughnut (I'm hungry). For some inexplicable reason you aren't using your Goldmoney prepaid card for this purchase. You're in luck! 1 of the quarters is from 1960 and thus contains 90% silver.

You then decide to buy some coffee with the 4 quarters, realize that this is 2016, and dig for more change out of your pocket and possibly some fiat paper currency. Do you spend your silver quarter? HECK NO. You spend your worthless fiat paper.

This is Greshams law and it was fine.

THEN CAME GOLDMONEY.

Now you keep the bulk of your savings in gold on the Goldmoney Platform. Keeping your savings in a weight of gold is benefiting you over time and preserving your purchasing power so well that you decide to deposit part of your paycheck to store your labor most efficiently.

Your purchasing power has increased AND you have more utility with your pre paid card being accepted most everywhere.

Suddenly gold pops in your local currency terms and now you buy a DOZEN doughnuts, and a bunch of coffees, and generously bring them to your co workers and are immediately adored and loved by everyone.

This is Goldmoneys Law.

It's better than Greshams Law, and I think even Gresham would agree.

We know this is proved by empirical data that Goldmoney has collected in this past year or so. People spend more when the value of their gold balance goes up.

This is something we NEVER KNEW until now.

Goldmoneys Law.

@Melanie

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