A gold backed currency? What a crazy concept. My bet is the market will love it. The banks will hate it, but overall the Swiss people will benefit. So will the non-Swiss who are paying attention now.
Switzerland yet again shows that it is the most sane nation-state on Earth.
(From ETF Daily News) Later this year, on November 30, the good people of Switzerland will finally get an opportunity to make their voices heard. The Swiss Gold Initiative can be roughly stated in three parts: 1. The halting of all Swiss gold sales 2. The repatriation of all Swiss gold that is held in foreign vaults 3. Resume backing the Swiss Franc with gold, at a minimum level of 20% Of course, the politicians and bankers of Switzerland are squarely against this initiative as it greatly diminishes their hold on power and restricts their ability to continue to debase the Franc. Fortunately, as one of the world’s few remaining democracies, the Swiss people have an opportunity on November 30 to directly affect a change. For their sake and for the sake of their posterity, I pray that they choose wisely.