History is an interesting thing. There is a story behind everything. Where did the iPhone come from? How long has fidelity 401k been around? What about silver eagles? Finance history is a whole other thing. Currency dates back to the stone age. Egyptians would use wheat as a method of payment. There is some really excellent precious metals history that goes into some really neat ancient stories at this page. Did you know that in the 1600′s early institutions like acceptance houses and merchant banks helped finance foreign trade?
Many things have been used as medium for exchange in our world including livestock or even sacks of cereal grain, the Shekel is derived from this. Many of these items are very useful on their own and they can be a part of people’s eating habits or some kind of necessity. But there are also occasions where attractive items like cowry shells or beads were exchanged for more useful commodities. Precious metals from which early coins were made would most definitely fall into this subject. Read more about the History of Money on Wikipedia. Bartering was currency. Did you know there are two uses for everything? First, the items intended use, so a candle to light the way. The second use is to barter and trade with someone for something of more value or use to you at the time.
You see, a barter is something that is especially better for both people. If one person has a big surplus of grains and someone else has a million clay pots, they can trade and each have something new and useful. On the contrary if someone has gold and the other person has food, this barter would be beneficial in another way. The gold has a physical value like food, but it’s sole purpose is to buy things. A 1 oz gold bar is going to get you 50 clay pots. But how much grain will get you clay pots? Probably a lot more. This is because gold has a ton of purchasing power.
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So things have really evolved. Our grains and wheat has turned into full bakeries and companies devoted to selling baked goods online or in a storefront. If we step back and look at how precious metals have evolved, they started as a barter system and they were a great piece of jewelry and in a way we are still in that same place today. We also now have the addition of a physical gold ira. People can buy silver coins and goldcoins from anyone from random people on the street to well qualified custodians.
With all this historic growth there is only going to be more. Imagine a world where you don’t have to ask yourself should I invest in silver? Instead, everything is traded and purchased with complete understanding and knowledge of what the future holds. Will we need to place our bets on the stock market or on physical gold iras? As of today we are a review driven world, where everyone needs to review everything. We go to a new restaurant and we’ve probably read a review on it somewhere before hand. I predict in the future, we won’t need reviews because all of the most excellent stuff will stick around. Like the gold backed IRA, bullion, and other assets we will be left with nothing but the best. I don’t know about you but I’m excited. Leave me a comment. Lets talk.