from Silver Doctors:
Russian has made it known that every single ounce is accounted for and within Russia’s borders. And for good reason. Here’s the details…
Financial developments are coming in from Russia faster than we can absorb them.
Just to mention a few recent articles, there’s:
There’s literally page after page of economic and geo-political news on using our Russia tag.
This article is fundamental in nature. It’s all about what is done in practice.
We talk about this thing called “counter-party risk”.
This means that somebody else has the ability to decide if something does or does not work out.
Say you have a friend back home hold on to your drum-set. You moved into a college dorm room, and there’s no room for the drums, and you’re not allowed to play them in the dorm room anyway because it distracts the other students studying liberal arts. Now your friend has a sketchy associate who you friend hangs-out with, and long story short, the drum set was pawned, stolen, sold, or who knows what.
The point is that the drum-set was not in your possession, and not under your control.
That’s counter-party risk.
It also happens with bank accounts.
That paycheck you put in the bank is essentially a loan to the bank. What if the bank closes? You may get some of your debt-based fiat back, provided the FDIC process goes smoothly. Eventually.
Counter-party risk also happens with gold. If the friend who somehow no longer has your drum-set was to hold on to your gold for you, well that’s a huge risk.
And it’s a risk most people would not feel comfortable taking.
Well, that’s just what the Russians are doing by taking the matter into their own hands.
They’re saying, “thanks, but I’ll hold my gold”.
Just like we say, “over my dead body”, or “you can pry it from my cold dead hands”, there is a certain security in being able to safely and securely store your stack on your own.
So that’s exactly what the Russians are doing.
Besides, I wouldn’t trust the Fed in NY, or Stevie and his supposed stack at Fort Knox, or anywhere else to store my gold. We know the frauds the ESF and the Fed commit on the daily, last thing I would want would be to risk losing my gold because it was in somebody else’s hands.
Here’s more on the Russians holding their gold on their own from RT:
The Central Bank of Russia keeps all its bullion at home, since only in Russia can its gold be completely safe, according to Anatoly Aksakov, the chairman of the State Duma Committee on Financial Markets.
Answering a question about Turkey’s decision to repatriate its gold from the US Federal Reserve, Aksakov said: “We do not have a gold reserve in the US, we have only Forex (foreign exchange) reserves abroad. No one can lay hands on our gold.”
Russia’s reserves consist of foreign currency, Special Drawing Rights (SDR) holdings, reserve position in the IMF and physical gold. The amount of physical gold in Russian reserves has grown by 52.88 tons and reached 1,861.1 tons as of April 1.