Posted by Doug Tjaden
In 2011, Utah was the first state in over 80 years to pass a law making gold and silver coin legal tender. Its passage sparked articles in the New York Times, The Los Angeles Times, The Washington Post and a host of major internet news sources. After decades of obscurity, Utah’s historic measure put sound money back on the map. Not satisfied to rest on their laurels, Utah passed a companion bill in the 2012 session, and it was signed by Governor Herbert.
The bill clarifies several tax measures and more importantly, expands the available specie to include gold and silver coin approved by the state.
Gold or silver coin or bullion, other than gold or silver coin that is issued by the United States, is considered to be specie legal tender and is legal tender in the state if:
(a) a court of competent jurisdiction issues a final, unappealable judgment or order determining that the state may recognize the gold or silver coin or bullion, other than gold or silver coin that is issued by the United States, as legal tender in the state; or
(b) congress enacts legislation that: (i) expressly provides that the gold or silver coin or bullion, other than gold or silver coin that is issued by the United States, is legal tender in the state; or (ii) expressly allows the state to recognize the gold or silver coin or bullion, other than gold or silver coin that is issued by the United States, as legal tender in the state.
By allowing additional specie to be used as legal tender, the Utah legislature has freed its citizens from potential supply constraints imposed by the use of only United States minted gold and silver coin. More importantly, the people of the state of Utah now define what specie is considered constitutional tender, further distancing themselves from potential control of their competing currency by Washington D.C.
Many who subscribe to Austrian economic theory applaud Utah’s leadership. They clearly see a sovereign debt crisis looming on the not-too-distant horizon and understand the importance of having in place a hard currency system to fall back on. Choice and competition in currency has never been more important in this nation. Well done Utah. Keep up the great work. The rest of the nation may soon thank you.
Doug Tjaden is in Strategic Business Development at SilverSaver.com by Mass Metal LLC. He is an avid proponent of helping states re-institute sound money through education and networking. Doug is also an author, pastor and father of five and is a speaker on economics, politics and religion. He is passionate about helping people understand history, and how it can help us identify trends in place which will soon affect our lives.
- Dr. Edwin Vieira, you should know better about what the U.S. Constitution says about legal tender (fauxcapitalist.com)
- The distinction between legal tender for payment of debts and payment for goods and services (fauxcapitalist.com)
- States To Use Gold and Silver as Legal Tender (activistpost.com)
- U.S. Mint to Produce Five-ounce Silver Bullion Coins (prweb.com)
- Sound Money Takes Hold in Utah, Missouri and South Carolina (wealthwire.com)
- House panel OKs gold, silver as legal tender – State & Regional – TheState.com (goldkingint.wordpress.com)
- Utah & South Carolina Legalizes Gold, Silver Coins As Currency (goldkingint.wordpress.com)
- Why is the cost of some silver more than others? (goldkingint.wordpress.com)
- South Carolina Approves Gold and Silver as Money (postamericana.wordpress.com)