Folks Texas might be creating its own digital currency as the state of Texas to help you get around the fears of a central bank digital currency. So let me first address the fears and then let me tell you what Texas is thinking about doing about it. Now remember: Texas is the state where people go to get away from tyranny and get away from big government. This isn't a left first right argument, it's just to bring you content on what's going on with digital currencies potentially backed by gold in taxes.

All right, ready for this First, You have to know that there was a lot of fear right now about Central Bank digital Currencies. There's so much fear that a lot of people get mad at me when I talk about them because I'm going to give you my opinion and then I'm going to tell you how I could be wrong. Okay, not a lot of people do that, but I'm going to give you both. First of all, I have this little wallet thingy I Actually really like this.

This is probably my most favorite wallet I've ever had. It's a little like Pelican wallet that you could stick to the back of your phone with the magsafe adapter and this thing is freaking awesome. Okay, so we got money in here and then we have credit cards in here and you know whatever. Uh, so what I love about this is you still have cash in America as long as we have cash in America You don't have to worry about a central bank digital currency.

but people get mad at me when I say that because they think that eventually cash is going to go away. For example, if you have five dollar tips in your wallet, you don't want the government to be able to take away your opportunity to go up to a barista or or the valet or whatever and give a five dollar tip, right? This is why I get fives I go to the bank and I get fives to give them out as tips. Sometimes I do two dollar bills. uh, and a five because it's kind of cool.

It's like no. But anyway, um, the point is, Cash is great because the government can't control it, right? You can go to an ATM you can take it out, you could use it. You could spend it on whatever you want. The government's not watching you're every single move and they can't restrict your access to it.

So the big fear that people have about a central bank digital currency is that the government is going to potentially track every single tip you give every single little purchase you make and potentially control control and restrict your access to cash. now. I Don't think cash is going away anytime soon, but there is some Merit to that if cash goes away. Yeah, the government's got a lot of control now.

I'll give a counter argument to that in a moment, but China is is purposely trying to, uh, go with these Cbdc's uh Central Bank Digital Currencies Because they like control. They love control. They want to take control and just savor it. They love it.

But anyway, so what is Texas doing to potentially counter the fear of the Central Bank Digital Currencies? Well, Texas is considering enacting legislation that would enable the following: you getting 69 off via the coupon code that is expiring in four days on the 12th. Link down below: Prices will be going up after the 12th for CPI day and you can get amazing access to all of my perspectives and private course member live streams where we conduct phenomenal Q A and fundamental analysis, trade alerts, real estate analysis, my personal opinions, whatever you want through the live streams and the amazing recorded lectures on building above. Oh wrong script. Uh, actually.

Texas Look at this a bill to be entitled the Establishment of a Digital Currency backed by Gold. Look at that digital gold currency In the subject: A subtractor. Digital currency means digital gold currency Digital Cold Gold Currency: The Comptroller shall establish a digital currency that is backed by gold. so each unit of the digital currency issued represents a particular fraction of a troy ounce of gold held in trust and provided by this chapter.

The Comptroller May Contract with a private vendor to establish this digital currency or perform other duties of this chapter. That's good because I wouldn't really trust a state government to actually be able to like pull this off. But the Controller serving as trustee or another person appointed by the Controller who serves as trustee uh, shall hold interest on behalf of the digital currency holders all gold purchases to back the digital currency. The trustee shall maintain enough gold to provide for the Redemption in gold all of the digital currency that has been issued.

Holy Smokes. Think about that for a moment, folks. Texas Somebody in the comments Max in the comments says sponsored by Boxful. Okay, quick tangent: boxable May Don't sue me, Bro May May I've been getting some leaks unboxable.

Maybe more of a fraud than we even originally thought on the surface. Okay, subscribe to the channel. Stay tuned for more. Okay, moving on.

think about what this means in theory. First of all, this should increase Demand on gold because what you're doing is you're saying, hey, look, if we can create a currency that is a a digital currency so it's basically like something you could have on coinbase or uh, or you could have in a a cold storage wallet where basically you have the right to money and the government can't see it, can't access it nothing, then it's entirely possible that you can actually see an increase in the demand for gold now. I Believe that to some extent, because the government of Texas is creating this, technically, the government still has its hands on it. But what I actually think is likely to come out of this is I Think it's likely that you're going to get a lot of private Enterprises that end up creating gold-backed digital currencies.

So I would not be surprised that private Enterprises create and allow you to withdraw gold. Uh, which is backed by blockchain? Uh, blockchain technology. In fact, you know what? if you want to help create a private blockchain technology backed by gold with me, email me at Kevin Me, Kevin.com Let's brainstorm: can we create it? If Texas can do it? why can't we I can create a blockchain backed by gold? That'd be interesting I would trust. but well, even if it's not me, I would trust probably very a competition in the private space.

more than I would trust government and I think that's very interesting I think there's some interesting. Uh, there's an interesting backing thesis for this, but think about what this generally means first. if a digital currency backed by gold in theory, uh, every. this should increase the demand for gold, which should increase the price of gold, right, should increase demand for gold.

However, if speculation increases the price of gold first, then it's possible that gold doesn't actually meaningfully rise. Though it recently has been on recessionary fears, right? There's something known as the Gold Copper ratio and basically gold is a fear Metal Metal Copper is an industrial metal and if we think we're going into a recession, gold generally Rises and copper generally Falls right? Fear goes up. Copper goes down. Gold goes up.

So it's possible that there could be a lot of speculation. So I wouldn't necessarily say just because governments maybe are thinking or about private Enterprises are thinking about creating a digital currency backed by gold I Don't actually think that you're going to see a meaningful increase in the price of gold because of that anytime soon. And the reason I Think that is because what you really need is you need Private Enterprises to actually make this functional. You need Private Enterprise to create the following: Okay, what I think you need is you need an Apple wallet.

You need Apple Wallet Android wallet to make this very functional, right I Need to be able to transact at every register I Go to with my digital currency that is backed by gold I Need to be able to use it daily, otherwise it's worthless right now to some extent you could park uh, your cash reserves there. but if it's not simple, the adoption will be Niche That's the problem, right? So you need to make this very useful functional, secure. So things you have to create usefulness. Uh, security? trust? Uh, a transparency.

These are very difficult things to create. Uh, and I do think it could be aided by a government like the State of Texas The fact that the state of Texas is thinking about creating something like this I think is phenomenal and it increases potentially the legal uses of blockchain technology. And given that it would be backed by gold, you can't just print more of it or create a new blockchain where you essentially have this infinite supply of currency that that you could back stuff with. Instead, you're backing with a finite resource like gold.

So I actually think it's very interesting. It's It's not a bad idea. We need the gold coin from John Wick Exactly Yes, Third party. Audits And that's something that you don't get a lot of right now in crypto.

You don't get a lot of currents, not just proof of reserves, but also proof of debts. You need a a fully audited blockchain. And and I mean probably like not just third party audited, but like multi-audited third-party audits. Multi like multiple different companies, right? I Think there will be a private Enterprise that can create this.

It will be very hard. uh, and very expensive. Um I'd be interested in in working on a project like that. Uh, it would take it, would take it.

Obviously we have to call it like I don't know you come up with some name for it. It'd be a separate Venture from all of the other crazy things that I obviously do separate from. like obviously separate from househack or or my media Biz or something like that. But it doesn't.

It doesn't even have to be me, whoever it is I Think that something like this could happen and in the long term, it could actually increase the demand for gold. I Do believe that demand for gold could increase on something like this and I would actually support something like this a gold back digital currency because I believe heavily in blockchain technology but I don't believe in companies like Binance and I personally and that that is not I'm not anti-crypto when I say that you know I'm not I don't think I'm anti-crypto when I say stable coins are problematic uh I I think stablecoins in part of problematic because they're backed by the US dollar. but they're also problematic because we don't have full audits on things like tether uh, you know, and then you get dpegs regularly. I mean we just recently saw deep pegs during the baking crisis on on, uh on Usdc, so gold backed and fully audited could reduce that.

uh, that chance, right? Uh, so something I think is very interesting. um I think what Texas is doing is great and I'd love that Texas is sort of front running some of this. Innovation You know when I actually ran for governor in California I talked about California creating its own Stock Exchange to create more transparency and uh, we also talked about a digital currency that could be created in California something like this. So I'm a big fan of this and I've been talking about this for years because I'm a big fan of blockchain.

but it's got to be done right. So anyway, good on Texas Very good on Texas Did we have a state-controlled currency in the US before the Civil War That's a very good question. I Don't know the history of uh, state-controlled currency? I mean I Wonder did the Bear Flag Republic have its own currency? That's interesting? Let me let me look at that. Bear Flag Republic that would be California right? Did they have their own currency? California Bear Flag group California Bear Flag Republic coin.

Wow, you did. That's very cool. Yeah, you had your own State back currencies back then. Very interesting.

Yeah, but you gotta, You gotta trust the ultimate institution that runs it right. Uh, a single Bitcoin can be cut into 500 trillion pieces. You can't do that with gold, right? But that's the point is that you have you just have gold backing, right? So you have a coin that can be divided into 500 trillion different pieces. It's just decimal points, right? But it's backed by physical gold and redeemable.

that I think is very interesting. Problem is you probably have to have some kind of fees involved in that. It would be very bit difficult to have that be feeless unless the government was paying for it and then therefore taxpayers were paying for it right? So how to make money with it would be the challenge? Um, Anyway, my thoughts: thank you so much for watching this meet. Kevin Report: how would a central bank DC convert to Fiat Uh well I mean I Think the way you would do this with Texas is that it would be.

it would be basically a probably a stable coin that was pegged to the dollar but backed by gold redeemable with gold. Uh, I'm assuming that's how Texas would set it up because if you didn't set it up that way you would constantly every time you would want to transact with it, you would have a market risk price of gold goes up or down and you would have currency conversion risk which is a pain in the ass and it wouldn't be functional so you would have to have it pegged to the dollar but backed by gold. That would take a little bit more theoretical thinking. And I encourage those of you who are going to leave comments on this stat to help me think through that.

I'm thinking about this live. but those are those are things that I think of. Yes, the dollar was last backed by gold in 71 when we left the Gold Standard. All right folks, thank you so much I appreciate y'all and we'll see you in the next one.

Goodbye and good luck going over to the Elite Hustlers Live stream in about two minutes. Thanks Bye.