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Any source for that? Would love to read a bit up on that EU situation.

by stfu 13y ago

Silhouette 13y ago
I don't have a specific source, but there was a lot of talk about this kind of thing in Europe earlier this year, around the time certain governments proposed or implemented big cash grabs, particularly in Cyprus. Likewise there have been draconian restrictions proposed or implemented on withdrawing large amounts of cash from bank accounts, taking currency out of the country, and so on. Presumably those governments can't afford for the wealthy to run from centrally controllable banking systems to tangible assets like gold, because short of raiding everyone's home the cash grab strategy fails at that point. If those assets are small enough to be smuggled out, then even raiding homes wouldn't help. The problem they now have, of course, is that some places have lost anything resembling public trust in either the government or the banking sector. The moment they lift the restrictions, they're going to see a large chunk of wealth leaving their borders. Moreover, their chances of getting serious investment from anyone to help their countries recover from the financial mess of recent years are now very low, and any investment they do get is going to have all kinds of horrible strings attached and high interest rates.
- stfu 13y ago
  Totally get that. The only thing that somewhat surprises me is why gold / bitcoins are so that stable despite the ongoing distrust in the system. Either people don't care or their impact is way to small to impact the markets.
dredmorbius 13y ago
They're generally part of customs import/export restrictions by country. This includes cash and precious metals, but also other items. Australia and New Zealand, for example, have very strict limits on plant or animal product imports. For the EU, generally currency or convertible instruments (likely including gold coins) in excess of €10,000 must be declared: http://ec.europa.eu/taxation_customs/common/travellers/enter_eu/index_en.htm http://ec.europa.eu/taxation_customs/common/travellers/enter... The US similarly requires gold be declared, over $10,000: https://help.cbp.gov/app/answers/detail/a_id/322/~/importing-gold-coins%2C-medals%2C-and-bullion https://help.cbp.gov/app/answers/detail/a_id/322/~/importing...

Any source for that? Would love to read a bit up on that EU situation.

by stfu 13y ago

Any source for that? Would love to read a bit up on that EU situation.

I don't have a specific source, but there was a lot of talk about this kind of thing in Europe earlier this year, around the time certain governments proposed or implemented big cash grabs, particularly in Cyprus. Likewise there have been draconian restrictions proposed or implemented on withdrawing large amounts of cash from bank accounts, taking currency out of the country, and so on. Presumably those governments can't afford for the wealthy to run from centrally controllable banking systems to tangible assets like gold, because short of raiding everyone's home the cash grab strategy fails at that point. If those assets are small enough to be smuggled out, then even raiding homes wouldn't help. The problem they now have, of course, is that some places have lost anything resembling public trust in either the government or the banking sector. The moment they lift the restrictions, they're going to see a large chunk of wealth leaving their borders. Moreover, their chances of getting serious investment from anyone to help their countries recover from the financial mess of recent years are now very low, and any investment they do get is going to have all kinds of horrible strings attached and high interest rates.

stfu 13y ago
Totally get that. The only thing that somewhat surprises me is why gold / bitcoins are so that stable despite the ongoing distrust in the system. Either people don't care or their impact is way to small to impact the markets.

dredmorbius 13y ago

They're generally part of customs import/export restrictions by country. This includes cash and precious metals, but also other items. Australia and New Zealand, for example, have very strict limits on plant or animal product imports. For the EU, generally currency or convertible instruments (likely including gold coins) in excess of €10,000 must be declared: http://ec.europa.eu/taxation_customs/common/travellers/enter_eu/index_en.htm http://ec.europa.eu/taxation_customs/common/travellers/enter... The US similarly requires gold be declared, over $10,000: https://help.cbp.gov/app/answers/detail/a_id/322/~/importing-gold-coins%2C-medals%2C-and-bullion https://help.cbp.gov/app/answers/detail/a_id/322/~/importing...