A Contrary Opinion On Junk Silver
I saw a video where a coin dealer had a contrary opinion regarding junk or constitutional silver. The prevailing wisdom is that, originally being US currency containing 90% silver this would be good to stack, and I understand there was some good sense to that argument.
Had someone stacked it from way back when silver was priced much lower there probably isn’t much downside. I just wouldn’t pay the multiples of face that the current market dictates given what rounds or even eagles and maple leafs go for.
The reason being, and while this may be a longshot, the dealer threw out the argument that if the government decides to recall those coins, since they issued the currency in the first place, they would do so at face value and the holders would take a beating if they paid above face.
Of course, you could decide not to redeem at a bank and melt the coins down for the silver value, but that is against the law and would involve a cost. Someone willing to take the risk would likely buy the coins but at a steep discount from the silver content value.
Don’t know if that ever happens but I wouldn’t put it past the government when a silver shortage appears and they are desperate to get their hands on silver in any way they can.
Since that video was posted a couple of days back, I have seen at least two large coin dealers that do videos regularly, put junk silver on sale. I think a large number of stackers who for the last few years have promoted and stacked junk silver are going to do an about face and sell it in exchange for rounds or soverign coins that are not or were not actual circulating currency from the past.
Don’t touch my junk
I think this is a pile of nonsense
If they can recall Junk they can recall Eagles which are issued by the US Mint too
Of course they can recall Eagles as well. But despite a $3, 4 or $5 premium on an Eagle you didn’t pay 10 or 15 or 18 times face. My point was I wouldn’t buy junk at current prices. As I said, if you bought them years ago when silver was much lower you might still take a loss but not as large as at today’s price levels. Swap out your junk for rounds before everyone else catches on and junk prices crater.
What a crock. Those clowns in DC and Fed don’t have a clue about junk silver. They are rolling in paper wealth and loving life. And think the con can go on forever. At some point, we have to stop looking for boogey men and use common sense. There is no shortage of silver, not now and certainly not later as the world economies grind down. How will you buy something small with a silver eagle? Junk silver always has and always will a place in protection from paper currency.
Fractional silver exists in smaller denominations in bars, rounds etc.for the purpose of smaller purchases of goods. No one is looking for boogey men. If you don’t believe there is a shortage of real metal versus the paper derivatives than you should not stack except for small amounts for such purchases. The rest of your wealth should be in gold. I believe there IS a shortage and it will become obvious when the paper market goes away.
The financial world does NOT revolve around Silver coins minted in the 1960s
If and when the Shit hits the Fan this insignificant little niche market will not even be identified nor considered as a target
There will be Problems infinitely more pressing than sending the IRS with grenades and Tanks to your house to collect dimes
sheesh CM
Legit point CM, goal is to own all types of physical. 2 Clues – 1) if it does come to pass, I believe the Canadian gov’t, around the (outright) banning of cash and CBDC rollout, will re-claim their 80% domestic property before the US does 2) official (gov’t) efforts to ban or restrict cash usage will occur first – that’s what I’ll be watching for and responding accordingly. Don’t wait around until owning a smelter puts one on a list. BTW I LOVE 80% Canadian, priced right (here in the US) and in a pinch has enough % silver to be accepted by a refiner. Also, stackers hate on 40% and 35% but that might also be below the threshold for confiscation. Diversification is key.
When a true strategic silver shortage appears where enough silver is not available for say weapons production, there will be plenty of silver to acquire. They just have to nationalize the silver ETFs. It’s easy. But by then silver will likely be $75+ It’s our sell signal