Why Use Hours and Bitcoins as Currency Over Gold and Silver?
The purpose of this article is to explain what I believe could be a successful solution in transitioning our current money system that has enslaved us with debt and perpetual war to one with real value that the producers control.
What started me on this path was a book I read called, "The Creature From Jekyll Island" by G. Edward Griffin. The book explained to me the differences between cash, currency, coin and credit; what money is and the history of banking for the last 1000 years. What fascinated me was how in depth he got explaining how the Federal Reserve creates our currency. I highly recommend it to everyone who wants to know why things are the way they are.
For the last 100 years the Federal Reserve, which is no more Federal than Federal Express, has been debasing our currency which destroys the purchasing power of our money thus causing inflation. Inflation is theft. We used to be able to buy gasoline for .20 cents a gallon, now it’s $4 dollars a gallon. To make matters worse, the money the Fed creates out of thin air springs into existence out of debt which they then charge interest on!
So, let’s say there is no money in circulation. The Fed comes along and loans $1 Billion dollars to the government. Now let’s say the government spends the Billion dollars on drones which are used to over throw democratically elected leaders, bomb innocent civilians and install puppet dictators who agree to accept bankster "money" that’s been created out of thin air for their goods (oil) and services that have intrinsic value.
The government is now on the hook for the $1 billion dollars, plus interest! Well, if there are only $1 billion in circulation, where does the extra money to pay the interest come from? It doesn't exist! There is more debt than there is money in circulation! You can't pay principle plus interest if only the principle exists. It’s like a game of musical chairs. Remember playing musical chairs? It’s like there are 12 people going after 10 chairs. Someone will always lose.
This is why our current money system is guaranteed to create bankruptcies and foreclosures while financing war and genocide. This is why we have had constant wars since 1913 when the Fed was created. It’s so we can pay back the "money" our government owes to the banksters by stealing the natural resources of other people around the world. Remember to "support our troops" while they die in the desert fighting for the banksters… errr I mean support our troops as they fight for our "freedom". To do otherwise is simply un-American.
Oh, but you are too smart to be a soldier you say? Well, if you are an American employee, all the money you make working from January 1st to June 1st (6 months) goes to pay taxes to the government so they can spend it paying interest on the money the FED creates out of nothing. We currently spend close to $1 trillion dollars a year servicing our debt. That’s more than what we spend on housing, food and clothing combined!! This literally violates the 13th Amendment making us debt slaves because the government uses us as collateral for the money the FED loans to it. When a child is born, he is already $20k in the hole. This causes misery, divorce, poverty and suicide. It really is evil. Know any preachers who have the balls to speak out against this form of slavery now-a-days? Know any preachers who even have a clue?
Just imagine if the people were smart enough to have their elected representatives in Congress create our money interest free through the Treasury instead? For one, we would save $1 trillion dollars a year in interest payments to this private group of banksters!
Unfortunately, the majority of Americans have gone to government run indoctrination camps called public schools and most haven't read a book since they got out, so most folks aren't going to figure it out any time soon. So, what should we who have figured it out do in the meantime? I say we should vote with our wallets and stop using the FED money.
After reading the Creature from Jekyll Island and studying the bible which talks about being in the world but not of the world, I decided that I could no longer morally participate in this system that causes so much death and destruction. I decided to join the Liberty Dollar Movement and became the regional currency officer for Colorado.
Well, that went along great. We minted more than $100,000,000 worth of "lawful money" (gold and silver) and even created a Ron Paul coin that tens of thousands of people purchased. Ron Paul is my hero! We got legal opinion letters from the Treasury, the Fed and the Secret Service giving us the go ahead to continue minting. Then one day a dozen FBI agents came in with machine guns and stole around $5,000,000 (4 tons) worth of our metal. There were no cease and desist letters, no one was arrested. They just came in and stole our property. That's when I realized these government boys in blue are the real gangsters. To make a long story short, 4 years later they still haven't given us our money back. If they really hate Ron Paul so much, they should just melt down the coins with Dr. Paul’s face on them and give us back bars of metal to put something else on them instead. Will the government gangsters do such a thing? Probably not.
Some good did come out of the experience, though; I met my good friend Rob Gray through all of this nonsense. We decided to branch off and start a different organization called, The American Open Currency Standard or AOCS. We began creating new medallions and minting gold and silver again. You can check out some of our medallions at www.WorldCurrencyStandard.com
The problem I've found is bad money chases out good money (Gresham’s law) meaning the bad money circulates while people pull out of circulation and save the good money. [Gresham's Law is a monetary principle stating that "bad money drives out good." In currency valuation, Gresham's Law states that if a new coin ("bad money") is assigned the same face value as an older coin containing a higher amount of precious metal ("good money"), then the new coin will be used in circulation while the old coin will be hoarded and will disappear from circulation.] When we started minting, silver was at $4 an ounce. The other day it was $40 an ounce! (It went as high as $49) That's a 1000% return on your investment if you would have purchased silver from us and just held onto it. Well that's what people have done which has really been a discouragement for me because I’ve been trying to get everyone to use silver and gold in their everyday transactions. I've come to realize that gold and silver are a great form of MONEY, like guns, ammo, booze and food, but an awful CURRENCY.
I still highly recommend buying gold and silver and believe it should be used as savings as a shelter from inflation. However, it is practically impossible to use these items as currency as long as we have the Federal Reserve System funny money circulating. It’s like that game "hot potato", you want to spend Fed notes as quickly as possible to avoid being stolen from via inflation. The longer you hold onto Fed money, the less valuable it becomes.
I decided to finally give up on working to have silver and gold be currency when I thought about the people at the top who run the Fed. What are they doing with all their paper money? Are they buying up all the gold and silver? If they decide to hyper inflate the currency so that the people demand a sound monetary system, they will come about with the solution to the problem that they caused and stay in power, enslaving us with debt now owed to them in commodity money, which they control, and they still stay in power because the billionaire banksters control most of the gold and silver. We "little guys" who don't own mines, mints, and refineries need to issue our own currency so we can be free from their control. Currently, I believe that we are seeing deflation taking place on main street. Many libertarians preach out about inflation yet are stone cold broke. Talk about cognitive dissonance and excellent banker propaganda! The bankers first loan out the money like casting out a fishing line. People borrow the money because interest rates are low and money is cheap. Then the bankers create a drought by not loaning money anymore, by jacking up the interest rates like they did in the great depression and are doing so today (reeling the fishing line back in). Then when the people can't pay the money back because it’s been sucked out of circulation, the banksters repossess the real assets, the real wealth of the people. The boom and bust creating bubbles that wipe people out. Remember pictures of all the people standing in line waiting for work during the great depression? They had plenty of time, but there wasn't any money in circulation to pay them to work. Now it’s just a bunch of digits on the computer screen that the people have given value to. People can prepare themselves, if they are smart enough, by creating their own local currency based on time instead. If we did that, we wouldn't have to be held hostage by Ben Bernanke and the Fed. Remember, gold and silver are just another commodity pinged to Fed notes, too, so their prices can be manipulated as well…
Jefferson said that if the people of America ever allow a private bank like the Federal Reserve to issue the nation’s currency, first by inflation then DEFLATION, the banks and corporations that grow up around the people will deprive them of their property until they wake up homeless on the continent their forefathers conquered. This is exactly what is happening now!
In America, the people are supposed to be the sovereigns. A sovereign loses his sovereignty when he has to borrow. I came to realize that we the people are the money. What gives money value are the people who are willing to accept it. Now the question is, should the producers issue the currency interest free and voluntarily trade with it? Or should the parasitical banksters, who produce nothing, be allowed to create the currency, charge interest on it and use force and violence coercing us to accept it with their legal tender laws and countless taxes? The question answers itself. So, what currency can we the people all agree on?
I believe we should be trading with Bitcoins for online anonymous transactions while also using a local "Hours" currency as a physical form to circulate within the community of producers in a county. I am going to spend more time explaining Hours, since many are already using bitcoins for online purchases.
A problem both sides can agree on.
The smart people within the Occupy movement say, "Look at what has happened to America; Globalism has destroyed our manufacturing base, as we see practically all of our industries move off shore. All the big box shops like Starbucks, Target and McDonalds have moved in and are putting the local shops out of business. Before the Federal Reserve, 95% of Americans owned their own businesses. Today, 95% work for the 5%. We are no longer self-sufficient. The system is not sustainable. When you buy something from Wal-Mart, that money gets sucked out of the community to some New York bank account to go pay somebody in China $1 a day to make cheap stuff that we then have shipped here from thousands of miles away. When NAFTA was passed, more than a million American jobs disappeared!"
The Tea Party says, "What Washington does can have a real effect on our communities. These Wall Street banksters are the financial terrorists causing way more harm than a suicide bomber!" The threat is much worse than al-CIA-duh. Who did we just bail out in 2008 with tax payer money? Was it the American people or the banksters who are enslaving us with endless debt? We bailed out the banksters which really pissed off the tea party people. This issue brings everyone together.
So what my friend Wayne Walton and I have decided to do in Summit County Colorado is create our own, debt free, organic community currency issued by the producers, interest free, instead of the parasitical banksters. That alone makes it a better alternative than Fed notes.
If it wasn't for the Federal Reserve getting us off the gold standard and on to paper/digital money, this would never work. And by the way, I keep hearing people calling dollars, "worthless Federal Reserve Notes" Well, we can take these "worthless" dollars and buy silver and gold with them, can't we? Not really worthless then are they? What gives the money value is the people who are willing to accept it.
Here is what we are doing
We've all heard of the term, "Time is money" right? Well, TIME, not gold or silver, is the only thing that all of us have the same amount of. Think about it. The Billionaire has 24 hours in a day and so does the homeless guy looking for work. Time is a commodity. It’s inflation proof. This is why we are calling our currency HOURS. To get people to remember that they are the money.
Our system competes with the Fed notes better than gold and silver.
Our currency works like this:
We have 1/10th of an hour notes that trade for $1
We have 1/2 hour notes that trade for $5
We have 1 hour notes that trade for $10
We have 2 hour notes that trade for $20
Now, if you are a minimum wage worker getting paid $7 an hour, wouldn't it be smarter for you to trade 1 hour of your time for a 1 hour note? You'd now be giving yourself a 30% pay raise by accepting hours as payment instead of dollars.
What about taxes?
Think about this for a second, we all know about the IRS and their income tax. Don't you think it’s a little strange that in the thousands of pages of tax code, the word "income" isn't defined anywhere? What's that all about? How are we supposed to even know what income is if they haven't defined it? According to the Supreme Court, income is defined as a gain from some corporate activity. Is that the definition the IRS wants us to use.
Now, let me ask you a question, if you trade a $20 bill for two $10 dollar bills, is there a gain? No of course not, so there would be no "income" thus there would be no tax, correct?
Now, if you were to trade a $20 for four $5 dollar bills, is there a gain or is it an even exchange? It’s an even exchange isn't it? Property for property.
According to the Supreme Court, you own yourself, which means you own your time. Your time is your property.
What if you traded an hour of your time mowing a friend’s lawn for a 12 pack of his beer? All you’re doing is trading property for property right? Just like trading two $10 dollar bills for a $20. Since there wouldn't be any gain, there wouldn't be any income, so there would be no tax, correct?
Now what if you traded an hour of your time for an hour of someone else's time? Is there a gain or is it an even exchange? We like to let the market decide. A lawyer may feel his time is worth more than a carpenter. So, he may want to take 20 Mountain Hours for 1 hour of his time whereas the carpenter may only charge 2 hours for his 1 hour of time. That’s fine. It’s up to the market to decide what the person is worth and what someone is willing to pay.
We encourage you to treat the Hour community currency as you do cash. If you do not feel that there is any gain because you made an even exchange, great. If you feel there is a gain or that the government should get a cut of all your transactions, than by all means, pay the tax you feel you owe. The government spends your money much better than you could anyway, right?
I look at our hour currency as kind of transitional money, kind of like coupons. Most businesses already create the "Buy one get one free" deals so they are familiar with how our system works. We are building the ground work for a barter network that we can then MAYBE introduce gold and silver to once the Fed is gone. When a county gets 5000 hours in circulation ($50,000 USD worth), that’s like having $1 million dollars a month in transactions taking place, which is the equivalent to creating 150 jobs at $20,000 a year per job! If 1000 other counties each put $50,000 or 5000 Hours into circulation within their own community economies, we would have roughly $1 billion dollars a month in transactions happening outside the Fed system! This is the solution we need to wean ourselves off the Fed and their toxic money.
We are working on creating a council for other Hours communities to join. Details can be found at COMMUNITY-HOURS.COM
Joby Weeks explains Mountain Hours -
the Summit County Community Currency (Video):
Each member agrees to model the currency the way we are doing it in Summit County with Mountain Hours.
If you're like most people, you may be thinking this is great! How can I get merchants in my community to join the hours network?
Well, before I approach the merchant, I have a couple friends go into the business at separate times through-out the week asking the business owner if they can exchange their cash into Mountain Hours to spend. After several requests have been made, the merchant is usually ready to listen when I walk in the door.
I walk up to a merchant in our community and ask them.
"Do you guys take Visa/MasterCard here?"
They say, "Yes"
So I say,
"Cool, so you guys are open to different ways of accepting payment. Right on. Has anyone taken the time to tell you about the Summit County Mountain Hours yet?"
They usually say, "No" or "Some people have come in the store asking to buy some, but I don't have any." (It's always better to blame the imaginary third person for not sharing it with them than to ask them if they have heard about it. We don't want people to feel stupid for not knowing about it.)
"The reason I ask is, some business owners in Summit County have gotten together and figured out a way to trade with one another, to keep the money circulating in the community instead of it going to all the big box shops. Kind of like barter, but better. Many businesses are using it as currency right now. Kind of like gift certificates or the Summit value card; it’s called Mountain Hours."
The Benefits include. HOURS expand the local money supplyHOURS promote and expand local shopping, with an endless multiplierHOURS almost doubles the local minimum wage to $10.00, benefitting not only workers but businesses as well, who find new and loyal customers.HOURS enable shoppers to afford premium prices for locally-crafted goods and for locally-grown organic food.HOURS help start new businesses and jobsHOURS reduce dependence on imports and transport fuelsHOURS make grants to nonprofit community organizationsHOURS make zero-interest loansHOURS stimulate community pride
"Would you like to start accepting Mountain Hours for your goods and services? You can spend the currency at other local businesses all over the County."
They usually say, "Yes" or "Maybe, tell me more."
"Well, remember how much paper work you had to go through to get your merchant account set up with Visa and MasterCard? This isn't a tenth as bad. Instead of having to pay Visa 3% to use their services, we pay you to use this money. We pay you the equivalent of $200 dollars (20 hours) when you sign up to be a merchant in the network. You can then go on the website (www.mtnhours.com) and see a list of the merchants under the directory link that you can spend your money with. We have merchants joining every week. We will give your business a free ad spot on the website to attract more customers. Every month we will send you another $100 (10 hours) to spend with businesses in the network. Some fellow businesses are giving the hours to their employees as bonuses, some are spending it themselves. If the money comes back to your store, you agree to accept it and then circulate it again and again! The more transactions that happen because of people using the currency, the more money you make."
"In Ithaca NY, they have been doing organic money called Ithaca Hours for more than 20 years. We already have many restaurants, breweries, the distillery, dispensaries, the mechanic, doctor, lawyer, plumber, massage therapist, handyman, butcher, baker, and grocers etc. as part of our network. You can already get pretty much anything you want for Mountain Hours!"
We know it will put your County on the map for tourists who will get a kick out of using the local money while they are visiting. Many will probably take some home with them to show their friends. Now, instead of being dependent on tourists trying to import money, we are actually exporting money!
Eventually this will create so much economic activity that we will be able to pay a percentage of our sales taxes to the town in hours. The town will then eventually be paying their employees a percentage of their checks in the local currency. The end goal would be to eventually hire the sheriff who re-inhabits the de-jure as opposed to the de-facto government, and who answers to the people instead of the banksters. When the Sheriff is paid in bankster money, he answers to the banksters not the people.
Once we have the sheriff and his swat team working for us, we can tell him to stop enforcing victimless crimes, stop sheriff sales and foreclosures and kick the Feds, like the DEA who violates the 10th Amendment by raiding medical marijuana shops, out of the County. Sheriff Mack has a great organization called the Oath Keepers and they are working on doing just that!
This is how we take our towns and communities back from the tyrannical federal government that has been violating our rights for far too long. If we all do this at the same time, it will be unstoppable.
Also, learn about Jury nullification. Volunteer for jury duty and acquit all who are accused of victimless crimes. It will send a message to the lying politicians that we the people will not convict fellow Americans who have broken unjust laws.
Let's take our country back from these banksters one community at a time! Join us!
Joby Weeks is an avid adventurer, world traveler, social entreprenuer, author and libertarian political activist! He people how to become financially independent while blessing tens of thousands of under nourished orphans around the world with cutting edge wellness technology. Visit his Facebook page.