https://www.theburningplatform.com/2024/12/26/when-the-us-government-defaulted-on-its-bonds/
When the US Government Defaulted on its Bonds
Guest Post by Martin Armstrong
<< EDITOR ADDED DATE 2024-12-26>>
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The US Treasury called in this Fourth Liberty Bond on April 15, 1934, for redemption. However, the US defaulted on this term by refusing to redeem the bond in gold. They also ignored the dollar devaluation imposed by Roosevelt, which changed the dollar’s gold value from $20.67 to $35. The entire purpose of the gold clauses prior to Roosevelt was to protect against a currency devaluation. The 21 million bondholders lost 139 million troy ounces of gold, which caused the loss in international value terms to be approximately 70% of the bond’s principal.
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70% loss.
End the end of “sound (hard) money” meant that the Federal Gooferment was no longer held to any standard of “money”. It became a tyrant.
The plague of “paper money” was now visited upon the USA.
And, things would never be the same again,
Prices now always go up and the value of savings in dollars shrinks.
Any one wonder why bitcoin, gold, and silver are going up? Can’t print more of them.
Where does this runaway freight train of deficits, debt, and “inflation” end?
We’ll become like the Roman, Spanish, French, and English Empires! Weimar Republic, Zimbabwe, Argentina, … …
Argh!
—30—
Reinke Faces Life 