Greenspan: Gold is a Universal Means of Payment

Image via Wikipedia, Dr. Alan Greenspan

Alan Greenspan, former Federal Reserve chairman spoke today to CNBC about oil & gold.  Greenspan stated that gold & oil prices were linked together. He further went on to explain that, the Dollar or Euro are two faulty fiat currencies but the price of gold is saying there are elements in the market place that feel very uncomfortable. So, it is no accident that central banks are buying gold.

Greenspan then gave a gold primer: Gold historically is one of the very rare media of exchange that doesn’t require any collateral or backing, counter-signatures. Gold is universally accepted as a means of payment. This is not the statement of a gold-bug it is straight from the former Fed Chair: Gold is money.

Gold & silver have a history of being currency that goes back 5,000 years. Owning physical gold is better than money in the bank. With the Dollar & Euro both being equally faulty it should bring investors in looking to increase there holdings. A strong Tangible Asset Portfolio is essential for any complete investment strategy. The bankers have known this for millennia: hold gold & silver they will keep you in business when everything else fails.

To see the full interview: Greenspan on CNBC