Granted it’s a metals company. But this is a trend which is quietly spreading around the world.
We still enjoy the reserve currency of the world which allows us to run the deficits, and keep the debt which we do. People still want the dollar, for the most part. The petrodollar regime is still in place despite the efforts of Russia and to a lesser extent China. But my personal “run for the hills” economic moment is when we begin hearing that the reserve currency status of the dollar is ending. If we see this, the dislocation of 2008 will be dwarfed many fold.
Denver-based Amagi Metals, which deals in precious metals, noted in its announcement that since the dollar was decoupled from gold in 1971, it has lost 97 percent of its value compared to the yellow metal and 83 percent of its domestic purchasing power.
“The trend shows no signs of stopping,” the company said.
“Both investors and foreign governments have begun to lose confidence in the dollar’s future … and so has Amagi Metals.”
The company, therefore, plans that “by the end of 2016, the company will no longer accept U.S. dollars or other ‘fiat’ currencies.”
“Instead, Amagi plans to be trading exclusively in cryptocurrencies like Bitcoin.”