Governments like to make us think we need them but not so much anymore. Our money isn't backed up like it used to be for a variety of reasons none more so than the federal government has little money in the bank besides borrowed cash. Keep in mind the Gold Standard, which backed up our currency until 1971, is no longer used on a federal level. Both political parties have done everything they can to not be tied to fiscal responsibility so they can buy votes and they’re taking down our Republic because of it.
Look at it this way, the protection we get for our money in the bank is covered by the F.D.I.C. which is mostly funded through borrowing cash from countries like China and Japan. I trust Japan at this point but what if our economy crashed and China decided not to cover the F.D.I.C. claims? What would we do about it? What if China, knowing we can only survive off borrowed cash, decides not to be our sugar daddy any longer and cuts up our credit card? Can you even imagine how devastating that would be?
There are no laws preventing citizens from bartering with one another or establishing an agreed upon currency, it’s just that we can’t reject federal currency. So, if someone passed through Galena from out of town and spent $100 in groceries using U.S. cash, that isn’t a problem, and the owner of the grocery store could exchange the $100 for Galena Bucks or keep the $100 in U.S. Why might she be inclined to go with Galena Bucks, let’s review.
Here are a few of the greatest advantages if Galena controlled their own currency:
1) Until the federal government figures out a way to get their sticky fingers on it, transactions wouldn’t go through the usual cash registers which automatically assigns all levels of taxes based off each dollar spent. The citizens of Galena could agree on a local sales tax if they wanted but with every little nuance comes added issues like a new cash register would have to be purchased to track all transactions since everything else is based off U.S. currency.
2) Since the money would be controlled by the city and only U.S. currency would be converted into Galena Bucks, there wouldn’t be inflation concerns coming from printing money like the U.S. government does now. And once again, it would be bad enough if it were all taxpayer money to where we were borrowing from ourselves and paying ourselves back, but knowing the money printed is also backed by foreign loans, is especially concerning.
3) The less taxes someone must pay means we have more discretionary money to spend, and boy, do we know how to spend it. Businesses would experience an increase in sales and the citizens of Galena would begin getting more bang for the Galena Buck.
4) There are articles galore now from some prestigious reporting agencies, which states that bartering is growing exponentially because our politicians have forced more and more people into it.
Quite frankly, our federal government has become a bully. It began in the 70’s and now democrats are taking it to new heights. They don’t want us to know we have all kinds of options available to us. Keep in mind, the Federal Income Tax was at one point ruled not Constitutional by the U.S. Supreme Court, and yet, here we are. They’ve attempted to hide our rights as U.S. citizens because it goes directly against helping them achieve influence, power, and money.
Understanding the influence of money on a local economy can be a bit confusing. Hopefully, the above post provides a little insight into how it works and just a bit of insight into the concept of Bitcoin. Whether it's a good investment, I don't have a clue. I'll leave it up to the financial gurus to push or not to push investors.