Does Utah Have a Gold Depository?
Most collectors and investors who amass U.S. Mint-produced coins use them primarily for collections or investments – not so much to buy Slurpees at 7-Eleven.
Financially responsible individuals understand the importance of saving funds to cover unexpected expenses, yet how can they do so with greater peace of mind?
Tax-Free
Utah is well-known as the home of Salt Lake City and Mormon church activities, but it also boasts a long history in gold mining. Geologic processes in Utah concentrate gold into lode and placer deposits that make Utah an ideal location for precious metal mining operations. Plus, its capital gains tax exemption offers investors additional savings and increases returns.
Utah recently made history when they passed HB224 to reinstate their constitutional requirement to recognize gold and silver coins as legal tender, fulfilling founders’ intent by challenging Federal Reserve’s control over dollars.
State laws make it easy for residents of Texas to buy and sell bullion with peace of mind, knowing that their assets are secure from theft and natural disaster. Furthermore, local storage solutions providers insured by Brinks Company offer excellent security measures while compensating customers if their assets are misplaced or stolen.
Security
Financially savvy individuals often put aside savings in the form of gold and silver coins in order to protect themselves against unexpected expenses such as income loss or home repairs. Unfortunately, home storage introduces costs and risks such as burglary or fire hazards; bank vaults may not be suitable options either.
Utah is well known for mining, refining, and storing gold. Utah’s gold deposits can be found in placers – sand and gravel deposits which contain concentrations of heavy minerals such as gold. As rivers and streams’ swift currents carry these deposits downstream, rivers wash the precious mineral free from its bonds in rocks that resist weathering naturally.
A bill introduced in the state legislature would recognize gold and silver as currency, exempting their sale from capital gains taxes. Proponents believe this would create what’s known as a reverse Gresham’s Law: where good money eventually drives out bad.
Transparency
Utah’s gold mines boast lode and placer deposits that attract mining investors, boasting over 147 million troy ounces of pure precious metal production in total. Gold is an indispensable tool for true diversification against financial disaster.
Franco suggests that when enough residents in multiple states choose silver and gold coins over Federal Reserve notes, this would create a “reverse Gresham’s Law” effect in which good money (gold and silver coins) drives out bad money (Federal Reserve notes), effectively nullifying it state by state.
Utah has taken another step toward fulfilling its constitutional requirement that no state shall “make anything other than gold and silver coins a tender in payment of debts”. By passing the Legal Tender Act and creating a bullion depository, Utah is moving closer towards meeting that mandate while also honoring the intent of its founders.
Access
Utah is strategically situated to benefit from precious metal mining, refining, and storage activities. One of the world’s premier bullion refiners (Asahi formerly Johnson Matthey) resides within its borders while numerous public land areas provide opportunities for gold prospecting and panning activities.
Financially-minded individuals frequently invest in precious metals as an insurance policy against unexpected expenses. Salt Lake City entrepreneur Craig Franco has made building these reserves easier by offering bullion storage facilities that are safer and more secure than typical safes at home or banks.
Utah was the first state to recognize gold and silver coins as legal tender in 2011, setting a precedent that other states have since followed. Recently, legislation has been proposed in Utah’s legislature which would broaden this law, potentially helping break free from the monopoly held by the Federal Reserve over money supply.
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