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@ Micael
2025-04-30 20:02:28Did you know that Federal Reserve Notes (FRNs), commonly known as "us dollars" are broken contracts? In fact FRNs started as dollar IOUs and then the Federal Reserve (a private corporation) defaulted on its debts and made the U.S citizens pay the bill: effectively stealing the privately owned gold.
Comand + shift + v = pegar sin choclo.
The United States Dollar
It is not that the dollar was "backed by gold" as it is commonly said. The dollar was primally a measure of weight of silver and then a measure of weight of gold. Let see a little history about the U.S dollar.
What does the constitution says?
Article I, Section 8:
This section grants Congress the power "to coin money, regulate the value thereof, and of foreign coin, and fix the standard of weights and measures."
Article I, Section 10:
"No State shall... make any Thing but gold and silver Coin a Tender in Payment of Debts."
The United States government, by decree, created the dollar as measure of weight defined by the Coinage Act of 1792 as 371.25 grains (24 grams) of silver.
The 1794 silver dollar, known as the "Flowing Hair dollar," was the first silver dollar coin produced by the United States Mint. This was the original dollar! The were minted in $1, $0,5.
In 1795 the United States minted its first gold coins under the Coinage Act of 1792, which introduced the following denominations: $2,5, $5 and $10. The silver to gold ratio was fixed at 1:15, meaning 15 ounces of silver was the equivalent to one ounce of gold.
Individuals could bring silver bullion to the U.S. Mint and have it coined into legal tender.
## Coinage actsThe Coinage Act of 1834 adjusted the gold-to-silver ratio to 16:1 and and the weight of the gold coins because gold was undervalue and encouraging the melting and exporting of American gold.
The coinage act of 1837 defined the silver dollar as containing 412.5 grains of standard silver (90% silver and 10% copper) and it reinforced the legal tender status of these coins, ensuring their acceptance for all debts, public and private.
The Coinage Act of 1849 specifically addressed the introduction of new gold denominations in response to the California Gold Rush, which significantly increased gold supplies in the United States. The Act authorized the minting of a $1 gold coin, the smallest gold denomination ever issued by the United States. The Act also authorized the creation of the $20 gold coin, known as the Double Eagle.
The gold dollar coin contained 23.22 grains of pure gold or 1.505grams or 0.0484 troy ounces.
The Double Eagle contained 464.4 grains of pure gold or 30.093 grams, 0.968 troy ounces.
The coinage act of 1857 sought to establish a uniform domestic currency and reduce reliance on foreign coins, demonetizing every foreign coins as legal tender. This was also the beginning of the Flying Eagle cent, which was smaller in diameter and composed of 88% copper and 12% nickel. This centralized more the coinage in the U.S.
U.S Gold certificates
The Act of March 3, 1863, officially known as the National Bank Act, was a significant piece of legislation during the American Civil War aimed at creating a national banking system and establishing a uniform national currency.
This legislation allowed the U.S. Treasury to issue gold certificates, which served as a form of paper currency backed by gold. The introduction of gold certificates was primarily intended to facilitate transactions involving gold without the need for the physical transfer of the metal.
This was primary for large size comercial transactions or payments among banks.
1865 Series
"It is hereby certified that one hundred dollars have been deposited with the assistant treasurer of the U.S in New York payable in GOLD at his office in the xxx New York "The coinage act of 1873 also known as the "crime of 1873" was the intent to demonetize silver by ceasing the minting of silver dollars which meant that citizens could no longer bring silver to the mint to be coined into legal tender. By stopping the production of silver dollars, the Act implicitly placed the U.S. on a gold standard, where gold, not silver, was the primary basis for currency. This had lasting economic effects, particularly on farmers and silver miners who preferred bimetallism (the use of both gold and silver as standards).
The Act was controversial, particularly in western and rural areas where silver was a significant economic factor. Many believed that the Act was passed to benefit creditors and large financial interests by adopting a gold standard, which tended to deflate prices and increase the value of money.
The coinage act of 1878, The Act mandated the U.S. Treasury to purchase a specified amount of silver each month, between two million and four million dollars worth, and to mint it into silver dollars. This marked a partial return to the use of silver as currency through the coinage of the standard silver dollar. The Act allowed for the issuance of silver certificates, which could be used as currency in place of actual silver coins, thus easing the circulation of silver-backed currency.
The Bland-Allison Act was passed against a backdrop of economic depression and agrarian unrest. It represented a compromise between advocates of the gold standard and those wishing to return to bimetallism.
1882 series
The 30 years of economic and political discourse between bimetallism supporters and gold only advocates finally ended in the 1900.
The Gold Standard Act of 1900
The Gold Standard Act of 1900 formalized the monetary system of the United States by establishing gold as the sole standard for redeeming paper money and effectively ending the bimetallic standard. It established that the gold dollar would be the standard unit of value, equating the dollar to 25.8 grains of gold at a purity of 90%. Silver certificates and silver coins remained in circulation but without the backing of free and unlimited coinage.
Let's remember that the dollar was still a measure of gold. The certificates where government IOUs for that gold that was deposited in the treasury of the United States.
1907 series of gold certificates:
The Federal Reserve Act of 1913
The Federal Reserva Act of 1913 created a monopoly over the issuance of the American paper currency. This marked the privatization of the currency and a centralization of power like never before. More about this in another article.
But essentially the secret agenda of banksters was to issue IOUs without any restriction and make the United State Government responsible to redeem this paper currency for gold. And I will show you exactly how. Alfred Owen Crozier wrote a book in 1912 one year before the bill was passed analyzing and opposing it and made this same argument.
Federal Reserve Notes
A paper contract, a promissory note, an "I owe you x amount"
This paper currency issued by this private central bank were dollar IOUs contracts or promissory notes.
According to Black's law dictionary a Federal Reserve note is: The paper currency in circulation in the United States. The notes are issued by the Federal Reserve Banks, are effectively non-interest-bearing promissory notes payable to bearer on demand, and are issued in denominations of $1, $5, $10, $20, $50, $100, $500, $1000, $5,000 and $10,000.
NON INTERES BEARING PROMISSORY NOTES.
A promissory note is a written, unconditional promise made by one party (the maker) to pay a definite sum of money to another party (the payee) or bearer, either on demand or at a specified future date. It is essentially a financial instrument representing a formal commitment to settle a specified monetary obligation.
Key Characteristics of a Promissory Note:
- Written Instrument: The promise to pay must be documented in writing.
- Unconditional Promise: The promise to pay cannot be contingent on any external factors or conditions.
- Definite Sum: The amount to be paid must be clearly specified and agreed upon in the note.
- Payee: The note must designate the person or entity to whom the payment is to be made either explicitly or implicitly by specifying it as payable "to bearer".
- Payable on Demand or at a Specific Time: The promissory note should indicate whether the payment is due upon demand by the payee or at a specific future date as agreed by the involved parties.
Promissory notes are commonly used in various financial transactions, including loans, business financing, and real estate deals, as they formalize the commitment to pay and can be enforced as a legal contract if necessary.
The Federal Reserve (FED) issued paper contract promising to be redeemable in gold. Most people never saw or understood the contract. Most never read it because the Fed cleverly hid the contract on the front of the bill by dividing it into five separate lines of text with a very different typeface for each line and placing the president's picture right in the middle. They even used the old lawyer's trick of hiding the most important text in small print.
Over time, the terms and conditions of the contract were watered down until they eventually became literally a promissory note for nothing. But let's analice how they did this step by step...
FEDERAL RESERVE NOTES: 1914 SERIES
Content of the contract: Federal reserve note
The United States of America will pay to the bearer on demand: FIFTY DOLLARS
Authorized by federal reserve act of December 23, 1913
This note is receivable by all national and member banks and federal reserve banks and for all taxes, customs and other public dues. It is redeemable in gold on demand at the treasury department of the United States in the city of Washington district of Columbia or in gold or lawful money at any federal reserve bank.
So if a dollar was 20.67 per ounce, $50 could be exchanged for about 2.42 ounces of gold.
FEDERAL RESERVE NOTES :1918 SERIES
Content of the contract:
Federal reserve note
The United States of America will pay to the bearer on demand: Ten thousand dollars
Authorized by federal reserve act of December 23, 1913, as amended by act of September 26, 1918
This note is receivable by all national and member banks and federal reserve banks and for all taxes, customs and other public dues. It is redeemable in gold on demand at the treasury department of the United States in the city of Washington district of Columbia or in gold or lawful money at any federal reserve bank.
So if a dollar was 20.67 per ounce, $10,000 could be exchanged for 484.29ounces of gold.
Series of 1928
The great imitation
In 1928 the U.S government issued a new series of gold certificates payable to the bearer on demand.
The same year the Federal Reserve issued it's own promissory notes copying the us government gold certificate's design:
Content of the contract:
Federal reserve note
The United States of America
will pay to the bearer on demand: One hundred dollars
Reedemable in gold on demand at the United States treasury, or in gold or lawful money, at any federal reserve bank.
So if a dollar was 20.67 per ounce, $100 could be exchanged for 4.84 ounces of gold.
Here's all the denominations issued by the Federal Reserve back then:
This instrument was the facilitator of the Great depression, the inflation and deflation of the paper currency: as Thomas Jefferson warned long time ago:
“If the American people ever allow private banks to control the issue of their currency first by inflation then by deflation the banks and corporations that will grow up around them will deprive the people of all property until their children wake up homeless on the continent their Fathers conquered... I believe that banking institutions are more dangerous to our liberties than standing armies... The issuing power should be taken from the banks and restored to the people to whom it properly belongs.”
THE CONFISCATION OF GOLD
The end of the dollar and the replacement of gold and gold certificates by Federal Reserve Notes worthless paper currency.
Executive Order 6102, issued on April 5, 1933, by President Franklin D. Roosevelt, forced everyone to exchange their gold and gold certificates for federal reserve notes at $20,67 FEDERAL RESERVE NOTES per ounce.
THIS WAS THE END OF THE DOLLAR. THE END OF THE GOLD STANDARD. THE END OF THE CONSTITUTIONAL REPUBLIC FORM OF GOVERNMENT. THE END OF FREEDOM. THE ABANDONMENT OF THE CONSTITUTIONAL PRINCIPLES.
The Gold Reserve Act of 1934
This act further devalued the "gold content of the FRNs" and ended the redemption of gold certificates for gold coins. One ounce of gold was now "35 FRNs" in theory but this was not entirely true.
Lets analice the evolution of the Federal Reserve Notes.
Content of the contract:Federal reserve note
The United States of America
will pay to the bearer on demand: One hundred dollars
THIS NOTE IS LEGAL TENDER FOR ALL DEBTS, PUBLIC AND PRIVATE AND IT IS REDEEMABLE IN LAWFUL MONEY AT THE UNITED STATES TREASURY, OR AT ANY FEDERAL RESERVE BANK.
So if a dollar was 20.67 per ounce, $100 could be exchanged for one hundred dollars of Lawful money?
They eliminated the gold clause from the contract. This contract is a lie, what is this redeemable for? U.S treasuries? Different denominations of FRNs? They changed the definition of lawful money. This was never money this was a broken contract and it gets obvious in the next series...
1963 Series
This series look like they did photoshop on the "payable to the bearer on demand" part that was below franklin in previous series.
Content of the contract now was
Federal reserve note
The United States of America
THIS NOTE IS LEGAL TENDER FOR ALL DEBTS, PUBLIC AND PRIVATE.
ONE HUNDRED DOLLARS
Conclusion
Between 1913 and 1928 the dollar was gradually replaced by Federal Reserve Notes until in 1934 the gold standard was definitively abandoned. From that time the Federal Reserve Note became the "new legal tender money" replacing the dollar and slowly replacing silver coins too until in 1965 silver was definitively abandoned.
IT IS NOT THAT THE DOLLAR WAS “BACKED” BY SILVER OR GOLD.
Gold and silver were such powerful money during the founding of the United States of America that the founding fathers declared that only gold or silver coins can be “money” in America. Since gold and silver coinage was heavy and inconvenient for a lot of transactions, they were stored in banks and a claim check was issued as a money substitute. People traded their coupons as money or “currency.” Currency is not money, but a money substitute. Redeemable currency must promise to pay a dollar equivalent in gold or silver money. Federal Reserve Notes (FRNs) make no such promises and are not “money.” A Federal Reserve Note is a debt obligation of the federal United States government, not “money.” The federal United States government and the U.S. Congress were not and have never been authorized by the Constitution for the united States of America to issue currency of any kind, but only lawful money – gold and silver coin.
It is essential that we comprehend the distinction between real money and paper money substitute. One cannot get rich by accumulating money substitutes; one can only get deeper into debt. We the People no longer have any “money.” Most Americans have not been paid any “money” for a very long time, perhaps not in their entire life. Now do you comprehend why you feel broke? Now do you understand why you are “bankrupt” along with the rest of the country?