This is a lesson some learn the hard way. Even in March 2020 the market for the two was drastically different. In a full economic collapse an exchange to trade in paper may be inaccessible, it may be confiscated by the government for the “national interest”, or the paper deemed flat out worthless if there’s fuckery by whoever is holding the metal.
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I know it's a different scenario, but do you frens remember when the EU decided the British expats who retired to Greece didn't have the right to take their retirement funds with them to Greek banks, so they went in and summarily confiscated HALF of the funds in the expats' accounts?!
I remember that. In one fell swoop a governmental body decided to take the funds and there wasn't a damn thing anyone could do to stop it or recoup their losses.
What's that you say? But HumblePede, that's Europe. It could never happen here. Well, at this point we're seeing so many things happen in the US we never thought we would see that we can't rule anything out.
Physical precious metals in the hand are worth way more than those in certificate form if your intent is to have something of actual value if the SHTF.
All bets are off when SHTF. The government and the banks will take anything and everything to remedy the situation. Vaults of investment bullion just sitting there will be too tempting to them. They’ll replace your paper silver certificate with paper money as compensation.
The paper and real market is already diverging. On Thursday I could buy actual silver at $39/oz (Canadian dollars) or paper silver at $33/oz. There’s another comment here referring to the 1970’s where the SEC ordered a settlement in dollars and not silver. You can bet if things go south they’ll be paying off investors at this lower price of the manipulated market and not at the price of real silver.
Exactly.