{"id":17201,"date":"2016-02-01T11:53:33","date_gmt":"2016-02-01T16:53:33","guid":{"rendered":"http:\/\/olduvai.ca\/?p=17201"},"modified":"2016-02-01T12:01:42","modified_gmt":"2016-02-01T17:01:42","slug":"what-happens-to-cash-when-governments-go-electronic-posted-on-february-1-2016-by-martin-armstrong-euro-digital-electric-question-mr-armstrong-what-happens-to-paper-money-when-the-government-move","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=17201","title":{"rendered":"What Happens to Cash When Governments Go Electronic?"},"content":{"rendered":"<header class=\"entry-header\">\n<h3 class=\"entry-title\"><a href=\"http:\/\/www.armstrongeconomics.com\/archives\/42797\" target=\"_blank\">What Happens to Cash When Governments Go Electronic?<\/a><\/h3>\n<div class=\"entry-meta\"><a href=\"http:\/\/armstrongeconomics-wp.s3.amazonaws.com\/2016\/01\/euro-digital-electric.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-41919\" src=\"http:\/\/armstrongeconomics-wp.s3.amazonaws.com\/2016\/01\/euro-digital-electric.jpg\" alt=\"euro-digital-electric\" width=\"428\" height=\"221\" \/><\/a><\/div>\n<\/header>\n<div class=\"entry-content\">\n<p><strong>QUESTION:<\/strong>\u00a0Mr. Armstrong; What happens to paper money when the government moves electronic? Is it just cancelled? Does cash then become worthless?<\/p>\n<p>Thanks<\/p>\n<p>RD<\/p>\n<p><strong>ANSWER:<\/strong>\u00a0It appears that electronic currency will arrive first in Europe. The cash will be demonetized so yes, it becomes worthless. However, they will most likely give you a window in time to redeem cash for electronic money. Keep in mind this will produce a windfall for government. They are most likely going to tax anyone who cannot prove why they have the cash.<\/p>\n<p><a href=\"http:\/\/armstrongeconomics-wp.s3.amazonaws.com\/2016\/01\/Trajan-Restitution-Gold-Aureus-r.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-42787\" src=\"http:\/\/armstrongeconomics-wp.s3.amazonaws.com\/2016\/01\/Trajan-Restitution-Gold-Aureus-r.jpg\" alt=\"Trajan Restitution Gold Aureus - r\" width=\"858\" height=\"690\" \/><\/a><\/p>\n<p>This is typical. It is also not a modern invention. The Roman Emperor Trajan (98-117AD) saw the treasury being depleted with the cost of his Dacian War. The brilliant idea was to\u00a0<strong>DEMONETIZE<\/strong>\u00a0all older coinage prior to Nero\u2019s reform 64AD. What they were doing was declaring the old coinage to be invalid for paying taxes. As a result, you had to turn it in under the pretense it was worn. In truth, he reissued coins with 10% less silver content. So he was taking in the old, melting it down, and thereby increased the money supply by 10%. This was the Great\u00a0<strong><a href=\"http:\/\/www.armstrongeconomics.com\/research\/monetary-history-of-the-world\/roman-empire\/chronology_-by_-emperor\/2nd-civil-war-end-of-julio-claudian-era\/trajan-98-117ad\/restitution-coinage-of-trajan-107ad-the-demonetization-of-the-money-supply\">Restitution Issue of Trajan<\/a><\/strong>. Politics never changes. The same responses can be cataloged into a book \u2013 perhaps I will do that in my next life since I already have a lot on my plate for this one.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>What Happens to Cash When Governments Go Electronic? QUESTION:\u00a0Mr. Armstrong; What happens to paper money when the government moves electronic? Is it just cancelled? Does cash then become worthless? Thanks RD ANSWER:\u00a0It appears that electronic currency will arrive first in Europe. The cash will be demonetized so yes, it becomes worthless. However, they will most [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[5496,1035,1034,12104,4955,12103,281,5479,12105,5923,12106],"class_list":["post-17201","post","type-post","status-publish","format-standard","hentry","category-economics","tag-armstrong-economics","tag-cash","tag-cashless-society","tag-demonetization-of-physical-cash","tag-digital-currency","tag-electronic-currency","tag-europe","tag-martin-armstrong","tag-nero","tag-roman-empire","tag-trajan"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/17201","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=17201"}],"version-history":[{"count":2,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/17201\/revisions"}],"predecessor-version":[{"id":17210,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/17201\/revisions\/17210"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=17201"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=17201"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=17201"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}