If Venezuela Is So Big On Crypto And Bitcoin Then Why Is The Nation Paying For Meds With Gold?

Yet again, when things such as life and death are on the line, we come to learn, real quick, what real money is (and what it is not)…

I have argued all along that gold and silver are hard coded in human’s DNA. It’s kind of like the intuition those sea turtles have to instinctively head in the right direction to get to the ocean after they hatch far from it. In other words, when all else breaks down, and humans resort to barter and one step up from barter, money, gold and silver are front and center, whether that knowledge lays dormant or not.

Sooner or later, that knowledge comes to the fore.

In some cases, it comes to the fore faster, especially when health is on the line.

And so we have the case of resource rich Venezuela, the failed socialist utopia turned hyper-inflationary death spiral in real-time.

In Venezuela, when push comes to shove, gold is a money of choice.

So the Wall Street Journal is out with an interesting article about barter and money in hyper-inflating Venezuela.

Here’s what what the WSJ has to say:

CARACAS, Venezuela—With hospital shelves bare and the government stumped on how to settle $5 billion in arrears to pharmaceutical companies, cash-strapped Venezuela recently offered some foreign suppliers alternative compensation: diamonds, gold and coltan, the rare metal used to make cellphones and Playstations.

One of the interesting parts of the article has to do with the acceptance of gold. You see, when the world has been off of the gold standard for so long, the silver standard too for that matter, at first, it’s like gold & silver are crude, rude, and antiquated relics of lesser quality:

One pharma executive familiar with the health minister’s proposal at the Dec. 12 meeting said he would accept gold because “it’s better than nothing,” but noted he couldn’t get the government to commit to full payment. Two others who work for multinationals said they couldn’t accept commodities without approval from regulators in their home countries.

The executive calls gold “better than nothing”?

Exactly just how is it that a pharmaceutical “executive” reaches that level of corporate status yet not know a thing about tier 1 capital?

Unless it’s either an anti-gold snipe, or, as is understood within the banking, corporate exec, central banks, and politicians circles alike, to never, ever say anything that would cast gold in a good light?

Regardless, at least the dormant DNA is waking up. It’s like when a dog sees itself in the mirror. At first, it’s uncomfortable, even hostile, but sooner or later the dog finds it interesting and even useful.

Besides, the faster the world wakes up to the true monies, gold and silver, the faster the world can get on a solid footing and begin to end all of this unnecessary pain and suffering.

Of note, there was not one word about Bitcoin or cryptocurrency as all the fanboys and advocates would lead everybody to believe.

But then again, Bitcoin and cryptocurrency are nothing, and the corporate executives specifically want something better than that.

Stack accordingly…

– Half Dollar


About the Author

U.S. Army Iraq War Combat Veteran Paul “Half Dollar” Eberhart has an AS in Information Systems and Security from Western Technical College and a BA in Spanish from The University of North Carolina at Chapel Hill. Paul dived into gold & silver in 2009 as a natural progression from the prepper community. He is self-studied in the field of economics, an active amateur trader, and a Silver Bug at heart.

Paul’s free book Gold & Silver 2.0: Tales from the Crypto can be found in the usual places like Amazon, Apple iBooks & Google Play, or online at PaulEberhart.com. Paul’s Twitter is @Paul_Eberhart.