You’re watching Silver News Daily. Subscribe for more. When you have deposits and a fractional reserve scheme, you getting your money depends upon me not taking. The banking system is a lie and your money is the bait. Every dollar you deposit isn’t sitting in a vault. It’s lent out, multiplied and leveraged into oblivion. It works. Until it doesn’t. Fractional reserve banking is a game of trust where the entire structure survives only because most people don’t ask for their money back. But what happens when they do? A silent run begins. Withdrawals surge, liquidity vanishes. And that’s when the cracks turn into chasms.

While the media parrots stability, while regulators assure you everything’s fine, insiders are stacking silver. Not for profit, for survival. Because when the digital digits vanish and ATMs go dark, silver becomes more than a metal. It becomes lifeline leverage and the last resort. This isn’t paranoia. This is preparation. And today we’re going to show you exactly why silver could soar past $500 when the scheme finally unravels. Stay with me. We discussed the, the movie It’s a Wonderful Life and how the banking system was operating in that movie. And it, that’s, it’s a great reference for everybody because everybody’s seen that movie and it actually covers banking quite a bit so we can chat about it.

But there was a, there was a comment in the, on, on the last video and it goes like this. This guy is wrong about the Bailey Building and Loan scene. Prior to the Great Depression, 30 year mortgages did not exist. Buildings and loans were established in the late 1800s to help Middle class people afford homes. It works similar to a credit where members were shareholders that received dividends for shares purchased. Typically a short dated loan of five years. New shares could not be sold until the old loans were repaid. This actually prevented bank runs because if everybody called in their loans, everybody’s shares would be worth less and less.

So when he says your money is in his house and her house, it was true. Potter, on the other hand, wanted to purchase all the outstanding shares so he could be the majority shareholder and would foreclose on all the houses. Hollywood actually got it right. This guy is a bozo. So not just to defend my honor, which has been seriously damaged by this comment, this actually brings up a great point that I wanted to extend in and explain why in fact that the, the, the savings loan was not a good lending institution. So he is correct.

Prior to the 1930s, prior to the Great Depression, 30 year mortgages didn’t exist. And if you go back to 1910, people usually bought their houses with cash, which is astounding to you and me today, to think, oh, that a normal person could just roll up with a bundle of money and hand it over and buy a house. But yes, that we were, we were so wealthy at that in 1910 that it was well within the grasp of a, of a prosperous working man who had saved to be able to work, save for five, 10 years and then get a house.

Now if you, if, if this man, you know, if, if he went to the bar after work every day and drank away half his paycheck, yeah, you’re not going to get the house. But if you’re prudent and if you’re save and if you work hard and if you work your way up into the factory or the mill or wherever it is you’re working, you could pay a, buy a house with cash the way we buy a car today. And the other, the loans that did exist were, were five year loans where you had, and with a 50% down payment.

So even if you did have a loan, you had five years to come up with the other half of the loan for the house. So of course, once the Fed is created and starts cranking out the fake money, everyone suddenly becomes poor and so people can no longer buy houses with cash after 5, 10 years of hard work. So what does the credit industry do? They say, well, let’s figure out, we can extend them credit and we’ll give them 30 year mortgages. So now instead of working five, 10 years and getting a house and having it and celebrating it with your children and you know, your large family and living in it, now maybe you can own your house outright before you die.

Right? That’s the, that’s the, that’s the new American dream. So the, the credit unions were a function. They only were created once, once the credit bubble had begun to form by the Federal Reserve. They were not needed before on a sound. And the idea, the idea that if we, oh we’ll have, we’ll give everyone shares in the company. So when you, when you are a depositor in a savings and loan, you have shares in the savings and loan and that’s supposed to keep you from, from withdrawing all your money, right? And if you think about, let’s go over to Mr.

Potter real quick. You know, Potter is the most greedy, money grubbing man in town, but he would not loan Mr. Martini enough money to get a house. But why wouldn’t he do that? If he could make Mr. Martini, a debt slave for 30 years. Fractional reserve banking thing is illusion that built the modern world. It sounds boring, just banking jargon, but underneath it’s the single greatest risk to your savings that almost no one understands. Here’s how it works. When you deposit $1,000 into a bank, that bank is legally allowed to lend out the vast majority of it, sometimes over 90%, while still pretending it’s available for you to withdraw at any time.

This isn’t some shadowy backroom trick. It’s policy. The system only holds a small fraction of actual cash in reserve. Meaning the vast majority of what we call money is nothing more than digital promises backed by the hope that not everyone will ask for theirs at once. But hope isn’t a strategy. And when confidence breaks even slightly, the entire thing unravels. It’s not the failure of one bank that causes chaos. It’s the realization that they all operate the same way. When people start withdrawing, banks are forced to sell assets at a loss, triggering panic and contagion. And while the authorities assure us these systems are tightly regulated and insured, the truth is that your deposit insurance is only a band aid on a system drowning in leverage.

In such an environment, silver becomes more than a hedge. It becomes a rebellion against a structure built on debt, dilution and digital lies. Me, right, Mr. Potter, he’s, he’s trying to enslave, you know, in the, in the, in the confines of the movie, he’s trying to enslave the town in his credit, in his credit empire. But he wouldn’t offer Mr. Martini for 30 year loan. Mr. Martini had to go to George Bailey. And the reason is, is because we don’t know for sure because it doesn’t show us. But, but Mr. Potter looked at the books and he said he either, he either refused to miss offer Mr.

Martini alone. He said look, this guy is not going to be able to pay me back. I’m not giving this guy a loan. Or the interest rates he came with, he came back with, were, were offensive to Mr. Martini, who then turned around and went to, went to George Bailey’s Savings and Loan. So Bailey’s and Loan, Bailey’s Savings and Loan could offer lower rates because they were more leveraged than Potter, right? If you look at a competitive market, right, two banks competing, the, the, the only way to get an interest rate lower in a free market is to go leveraged, right? And that’s, that’s fractional reserve banking.

That’s dangerous. That’s, that’s when you get run bank runs. So Bailey’s was when you, you’re essentially, when you, when you have a, when you’re going leveraged, you’re essentially making up money you don’t have and then loaning it out and then praying to, you know, all that is holy that somehow that money is going to come back to you at some point. So Potter sensed this and was able to attack Bailey with, with a bank run. He was able to rouse the town up and say, Bailey doesn’t have the money. He says he has. And he was right.

Right? Bailey had to talk the crowd away. He had to talk the crowd down and say, no, the money’s not here, it’s in your house. Right? That, that was his whole, that was his whole spiel. So when you, when you have deposits and a fractional reserve scheme, you, your, you getting your money depends upon me not taking my money out. And in that case, Donegan, right, If your, if your deposit account, which you have put your money in, depends upon me not taking my money out of my deposit account, then. It’s not your deposit account, Donegan, it’s our deposit account.

Right? We now have a communal. We have a communal account. And I don’t know about you, I like you, Dunnigan. I don’t want to share a checking account with you, and I don’t think you want to share a checking account with me. So we, we have to get away from this collectivist mindset that if we all chip in together, we can make this world a better system or we can make the, we can make a better system. We, we can’t. This is the collect, the collectivist mindset. And your channel, your channel’s name is Liberty and Finance, right? This is the most hardcore libertarian crowd of sound banking, sound money that’s going to exist on the Internet.

So if I can’t crack through to this crowd that something like a collectivist pool of money where we all draw from, as long as we don’t, and as long as we all don’t withdraw too much at one time, this is going to, this is going to work out great. We have to get past this mindset. Your money is your money and my money is my money, and we cannot mix the two. Mixing the two is the road to predition. But banks, banks like to do it because if they, if they make this collectivist pool of money and then loan out, loan out that same pool ten times over, they can make tons of profits where that, that, that they could not otherwise make using an honest.

In January 2025, a quiet alarm sounded, but Hardly anyone noticed. Pulaski Savings Bank, a tiny institution with just under 50 million in assets, failed and was swiftly taken over. The headlines barely flickered, dismissed as insignificant. But to those paying attention, it was the first crack in the dam. You see, in times of stress, small banks are the canaries in the coal mine. They feel the pressure first. Interest rate hikes, loan defaults, withdrawal spikes. And when they break, it’s a signal that the environment is no longer safe. The mainstream narrative insists this was an isolated event. But beneath that narrative lies mounting stress ballooning commercial real estate debt, vulnerable regional banks stretched to their limits, and a population increasingly wary of digital fiat stability.

Pulaski wasn’t just a failure, it was a warning that the system is not as resilient as we’re told. And when the tremors start at the bottom, the top isn’t far behind. It’s no longer a question of if more failures will follow, but when. And whether the next one will stay contained. In a world this fragile, silver becomes more than an asset. It becomes the antidote to trust erosion, the shield against what the next Pulaski level event could trigger. Because while Pulaski may have fallen quietly, the next one might not. And the way that scheme works is that, you know, if you are a depositor and you’re worried that your gold isn’t there, you go and you bang on the door, you say, I heard you don’t have my gold.

And they, you know, they take you into the room, they show you the big pile of gold on the table. Well, you feel satisfied, right? And then you leave. And then someone else comes and they show them the exact same pile of gold, right? So everyone who comes in to say, where’s my gold? They show them the same pile. But if everyone comes to take out the gold at the same time, it collapses. The savings and loan is exactly the same thing. It’s just one derivative up. So the commenter made this, made the statement that because the shareholders were the depositors, this somehow made the system more safe.

It doesn’t matter that the savings loans were run by shareholders who are also depositors. If the money is fractionally reserve lent the then all lending institutions must also be fractional reserve or they die. Here is why the the an honest bank must charge higher interest rates for its loans and must offer lower interest rates for its deposits. In fact, they have to charge you to deposit in an honest system. So if a fake bank, if a bank with fake money is coming around or loaning up money they don’t have comes into town, they can offer staggeringly low.

I mean if you’re making up your money, you can offer really low rates. It’s, it’s amazing how that works. So can offer easy credit to absolutely everybody because you don’t have what you say you have. So the, the, the, the every, the entire town will flock to whichever bank is offering lower rates. And the only way for the honest banks to survive is to attack that bank and say he doesn’t have the money he has and start a bank run. So now the, the, the commenter actually does have a point. Potter was also in the fractional reserve system.

I misspoke. In the last episode. I, I said Potter was on the gold standard. He wasn’t exactly. However he was, he was less, he was less leveraged than Bailey’s. Bailey’s was much more highly leveraged than Potter, which is why Potter was able to attack Bailey’s in the movie. So it, like I said, it doesn’t matter if everyone in town is, is part of the savings loan. We’re all depositors and we all get together and we’re all the nicest people in the world. If we vote to go fractional reserve, we’ve voted ourselves onto a Ponzi scheme and it’s, it’s impossible to vote your way into prosperity in general.

Right. What is, what is it? What did somebody say? It’s like voting is just two wolves and a sheep voting on who’s having democracy is two wolves and a sheep voting on what’s for dinner. Right. So credit unions also likewise offer no in game protection. And back to savings loans real quick. All the savings loans went bankrupt in the 1980s. Why? Because they were massively highly leveraged. And then they got called out on it, on a dip and all the savings and loans went bankrupt. So the money wasn’t there. It was not a good way to get people into houses with easy credit.

It was a good way to get people into credit slavery and debt. Credit debt really was treated as slavery for the longest time. I mean if you go back to the Middle ages or the ancient world, when you owed someone money, you couldn’t pay him, you were enslaved to him. The English word was a bondsman. You were his bondsman. And until you paid off that debt, you had to like take tend his pigs or you know, they put you in these humiliating jobs where you had to like 10 the pigs or collect the garbage or whatever.

You had to do these jobs to work off your debt. We got away from that in the modern age. But you know, Debt really was looked upon as is something to really, really be avoided in the past anyway. Credit unions likewise offer no in game protections because they’re also on the fractional reserve scheme, right? So it doesn’t matter that they’re not the big banks. There’s. The money itself is fake, so it doesn’t, I should say the thing we are using for money itself is fake. So it doesn’t matter if the most honest, you know, if Pulaski was the tremor.

Bank of America is the fault line. Quietly, cautiously, analysts are circling one of America’s largest financial giants. Not because it’s collapsing, but because it’s leveraged to a degree that makes the whole system quake if something goes wrong. With over $4 billion pouring into AI and tech investments this year alone, bank of America wants to project strength. But the cracks aren’t on the surface. They’re buried in the derivatives. Trillions of dollars in complex financial contracts tied to everything from interest rates to mortgage backed securities. Contracts that depend on perfect conditions and uninterrupted confidence. But what if interest rates don’t cooperate? What if defaults rise? What if withdrawals accelerate? Derivatives magnify everything, both gains and losses.

And when the tide turns, it turns fast. This is why market insiders and even researchers at Columbia Business School are quietly warning of systemic fragility hiding beneath the facade of stability. It’s not just BofO either. Regional banks across the country are drowning in commercial real estate exposure. Loans that no longer cash flow offices sitting empty and portfolios eroding under high rates. One failure here doesn’t stay local, it ricochets. And when that ricochet hits a big player, the trust evaporates. This is where silver steps in. Not as speculation, but as insurance. Insurance. Because in a market ruled by leverage, physical assets are the only thing that can’t be printed, diluted or defaulted on.

Whatever scheme that’s using the fake money, it doesn’t matter how honest or forthright that the bank manager is or the board of directors, it doesn’t matter. They’re using fake money because they have to. And you know, they don’t necessarily understand that they’re using fake money. I understand that. I’m not, I’m not saying everybody in the banking system is, you know, cackling evil genius trying to extract wealth. They’re in the system they’re in and they’re trying to make the best that they can of it. And the system requires easier and easier and easier credit to trap more and more and more people into debt slavery until it blows up.

So there, there may be some I don’t want to because it’s a common refrain among this space to like get your money into a credit union or get your money, you know, into a small local bank, you know, stay away from the big boys. There’s no in game protection at all from this. However, there may be some pre in game benefits for using a credit union, particularly if you are a social dissident. So if you’re someone who, you know, doesn’t like, you know, speaks out against the government or speaks out against certain ideas or certain things you have, you’re at risk of being debanked from larger institutions who are trying to, you know, stay in the good graces of the, you know, the shadow evil empire that rules over us all.

So in that case, you know, you may be better off in a credit union that’s less likely to, to debank you. But in, in terms of like surviving the end game, there’s, there’s nothing there because the money that’s deposited into the accounts is fake and is going to blow up just like every other. So if you’re worried about the end game, it’s better to stack. So in a larger context, like there is a place for credit in this world. There’s always been a place for credit, but it’s very dangerous and it should always be carefully considered.

And anyone offering you easy credit is not your friend. Right? Credit is a slavery device. It can, if you have a business idea and you want to expand upon that business idea and you need credit to launch this and you’re, you know, you’re very confident it’s going to be successful, then sure, take the risk. But in terms of like, you know, the, the world we’ve lived in for the past 100 years has been one of extremely easy credit. And it’s given us all very bad, very bad. It’s adjusted our behavior into very negative ways where we’re used to just, you know, free, free credit sloshing around and we get ourselves into all kinds of trouble over it.

Just before we get going, we just launched the official Silver News Daily telegram to kick things off. We’re running a 10 ounce silver giveaway. Yes, real physical silver. Not a voucher, not digital credits, actual bullion. This telegram will be our new home for real time silver discussions, market insights, collection picks and everything. Precious metals. It’s where the community truly comes alive. Here’s how to enter the 10 ounce silver giveaway. Be subscribed to Silver News Daily on YouTube. Turn on the notification bell. Comment 10 ounce giveaway on three separate videos, be an active member of the Telegram group and say hi.

Once we hit 500 active Telegram members, we’ll pick one lucky winner to receive 10 ounces of silver shipped directly to you. So get in early. Stay active. Throughout history, every time the banking system stumbles, silver doesn’t just rise, it explodes. Why? Because when people lose faith in the promise of fiat and the stability of the banking sector, they don’t want IOUs. They want something real, tangible, outside the system. And silver has always played that role. Look back at 1980. Amid inflation, energy crises, and trust erosion, silver surged from under $6 to nearly $50 in months. Again in 2011, following the great Recession and waves of quantitative easing, it skyrocketed from $9 to nearly $50 again.

Each time, silver moved not just as a commodity, but as a vote against the system. In 2025, the pressure is building once more. Interest rates are high, debt loads are unbearable, and faith in banks is quietly fraying. Silver, already hovering around $32.84, is poised to run because its role as a safe haven becomes magnified when digital trust fades. Analysts are already forecasting $38 to $45 by year end. But in a panic, forecasts become irrelevant. Demand spikes, supply vanishes, and price discovery becomes a scramble. When the first domino falls, silver won’t wait politely, it’ll sprint. Because panic doesn’t move in slow motion.

And those holding paper promises will find they’re worth nothing. Silver in that moment becomes the fallback plan for a system with no backup. Sure. So the money, money is a commodity. That’s the definition of money is the most liquid commodity in a market. And if you go back to the, the ancient world, you know, the, the pre civilization, money was, you know, heads of cattle and then later on it became rice. And barley could be money or salt. And once metallurgy really came into fashion, you know, silver, gold, silver and copper became, became the money and they, it’s just the most liquid commodity in a market and commodity, the definition of a commodity is that they’re indistinguishable and interchangeable within the commodity.

So if I have a, if I have a bag of rice, you know, each grain of rice is completely interchangeable and indistinguishable from any other grain of rice within the bag. Now there are different kinds of rice. There’s basmati and short grain and long grain. Right. And those, those are, those are different between each other. But within the bag of rice, there’s, there’s no difference. And you don’t sit there trying to look for the good grains. They’re all completely indistinguishable from each other. So when you, you can owe someone a gold coin, like a gold coin I owe, you know, I took out a loan, I owe you a gold coin.

But you can’t owe someone a Picasso, right? You can owe someone a specific, a specific Picasso painting, but I can’t, we can’t have a contract where I owe you a Picasso, just some Picasso. And if we did, I would find the absolute cheapest Picasso I could find. And I picked this on purpose because Picasso was one of the rare artists who could, who, who lived into his fame. He didn’t die before he became famous. So at the end, at the later years of his life, he would go to restaurants and he would, you know, have a nice meal.

And then when the bill came, he would take out a cocktail napkin and he would doodle on it and, and he would offer that in payment. He’d, you know, sign it Pablo Picasso. And he’d identify himself on Pablo Picasso. I would like to pay for this meal with this painting I have just drawn. So there actually are. And he did this a lot. So there. You can, as long as you’re willing to deal with a cocktail napkin. There are plenty of Picassos that are in the range of a normal person’s budget if you want to collect a Picasso.

But my point is, you know, if, if you and I contracted for a Picasso and you were expecting one of his famous paintings, and then I show up with a cocktail napkin that he doodled at a restaurant in 1970, you know, you would be very disappointed. So we, when panic sets in, nobody cares about rarity or historical value. They care about what they can trade. That’s why bullion reigns supreme in a financial collapse. Forget numismatics. A rare coin might sell for over $100,000 at auction. But try using it to buy food. When the system locks up in an end game scenario, premiums and provenance evaporate.

What matters is weight, purity and liquidity. And that’s exactly why seasoned stackers are loading up on government minted and generic bullion bars and coins that can be easily verified and traded. As of May 2025, bullion trades steadily around $32 to $30 per ounce. It’s predictable, liquid, and widely recognized. Meanwhile, numismatics like silver eagle proofs or century old Morgan dollars are fetching jaw dropping prices among collectors. But their market is narrow and collapses the moment fear overtakes Speculation. Even dealers agree bullion is what moves when things get rough. JM Bullion’s own 2025 data shows that in times of uncertainty, premium collectible sales fall off while bullion demand skyrockets.

That’s the psychology of crisis. People aren’t looking to profit, they’re looking to preserve. And nothing preserves better than something that everyone instantly values and understands. That’s why when chaos hits, numismatics become museum pieces, bullion becomes money. I mean, it’s completely interchangeable. Like, like you just pointed out, right? You, you, they owed the depositor gold, so they gave them the most raggedy gold they could find. Now it’s still gold. That gold has its monetary value. They didn’t lose the monetary value, but they put in gold with artistic value on top of the monetary value, and they did not get that back.

So numism numismatics are works of art using money as the artistic medium. So to, to, to take another example, right, if I, if I have a bag of basmati rice and I make a, you know, a 1,1000 scale Taj Mahal out of that bag of rice, I, you know, I sit there and I painstakingly craft a, you know, a replica of the Taj Mahal. And it’s, you know, it’s big and it looks amazing. The, the underlying commodity is still the rice. Now I can, I can go to an art collector, I could go to an art museum and I could say, look at the work of art I have done.

You know, I have improved this rice by adding, putting my labor into it and making an artistic medium out of it. And look at the beautiful, look at the beautiful work I’ve created. You should pay me more than the cost of the bag of rice. And you know, to, to, to purchase this from me. And maybe they will and maybe they won’t. That’s, that’s, you know, that, that artistic value is entirely subjective. I mean, somebody just paid, you know, $60 million for a banana tape to wall. So who knows in this day and age. But the numismatic coins are works of art that are, that are using gold as the, or silver as the monetary is the, is the artistic medium with which to construct it.

So they take, they take and then they, you know, stamp it. And usually these things are proof. So they’re, they’re in very fine detail. And you know, you would never circulate. This is not a typical circulated coin. This is something that you want to put on your shelf and display to your friends. And there, there actually is a market for collectors for numismatics, Mario Eno’s friend Clive collects, I can’t remember which year, but he collects some of the British Royal Mint coins. And I’m sure there’s collectors for all the different ones out there and, and you want to get the whole set.

You know, usually, usually they make, you know, 12 different coins and it’s usually, you know, the God Britannia riding a unicorn and then the goddess Britannia slaying a dragon and the goddess Britannia or it’s the line in the unicorn, you know, obverse, you know, facing each other, all the different, you know, all the different things from heraldry and, and you know, Great Britain’s past and you know, there’s a market to collect all of them. And I’m sure, you know, I’m sure the wealthier among us want to collect all 12 and they want to display it on a shelf and the friends come over and they say, wow, that’s, those are really beautiful.

You know, it’s, it’s really neat that you have those and they, they get jealous and want them their own. On top of that, on top of the collectors, there’s a market of speculators. And the speculators have no, they have no interest in collecting it themselves, right? They’re just say that, you know, they could care less, that, you know, they can barely differentiate for themselves. They would barely differentiate between the proof and the bullion. However, they see that the collectors are offering premiums, staggering premiums for the numismatics. So they grab the numismatics, thinking they have an arbitrage opportunity that they can buy it at a certain price and sell it to the collect at a higher price.

Now disreputable IRA dealers use the speculative price pump to say, see, there is a demand for the numismatics, for the monetary, you know, above monetary gold, right? There are people, there are collectors who are paying extra for this. So you should put this new mismatic into your vault. The problem is it’s for, it’s really impossible to tell who is a speculator and who is a collector. And if the market is just, if it’s 90% speculators. So how much silver do you actually need when the system buckles? The answer isn’t millions of dollars in metal. It’s enough to keep your family afloat when everything else grinds to a Halt.

Based on 1910 wage conversions and 2025 price levels, the estimate is surprisingly grounded. 25 to 50 ounces of silver per person for a 3 to 6 month disruption. That means a family of four could function with 100 to 200 ounces valued at $3,084 to $6,568 at today’s prices. This isn’t about building wealth, it’s about buying time. In a crisis, silver buys food, water, fuel, medicine, whatever the crumbling economy can no longer provide. With fiat and with silver already in a structural deficit, even that conservative estimate might prove generous. Industrial demand is soaring, driven by solar panels, electric vehicles and 5G infrastructure.

Supplies are tightening. And when you combine utility with panic, the metal’s value can far outpace its weight. At $500 per ounce, 25 ounces becomes $12,500, enough to bridge a family through months of disruption. The key is not the price, it’s the preparedness. Because when the first ATM flash is unavailable and the first grocery aisle goes dark, it’ll be too late to start stacking. By then. Silver won’t just be an asset, that it’ll be survival. What you have is a classic bubble. It’s like Beanie Babies. Everyone’s, everyone bought into Beanie Babies thinking that there was some someone else who’s going to pay more for the Beanie Babies.

And so this, you know, the speculative bubble, you know, grew and grew and grew until one day it popped and oh, turns out there’s nobody in the market for the Beanie Babies. So there’s probably not most of the pump for the, when, when the IRAs come to you and they say, you know, these, these coins are worth this much. Most of that is probably just other IR, other people who are getting suckered into IRA speculations are rare proof coins that the IRAs are pumping up to try and get additional, because they’re getting additional revenue by, by selling these rare coins rather than just straight up bullion.

So in the, if there’s very few end users for the numismatics, you’re not going to get, at the end of the day, you’re probably not going to get what you thought you were going to get for those coins. Additionally, if you’re prepping for the end game, and I think most the people in this channel are, you know, thinking about the dollar end game and they’re preparing for that. The monetary in, in an end game when, when the credit bubble blows up and everyone’s scrambling for money, the monetary value of the, of the coins and the jewelry and any, anything with gold in it, because remember, gold itself is the money doesn’t matter what shape it’s in.

So necklaces have money in them. You know, jewelry has money in your watch, your Earrings, the coins, the bullion, they all, if they’re made out of money, if they’re made out of gold, they have money in them. The monetary value skyrockets to unbelievable proportions and all other considerations are usually abandoned. And this is evidenced if you, if you watch what happens in a hyperinflationary event or, or a deflationary crash when people are still scrounging for money the other way. But if you, if you see what happens, either you watch the movies of the Great Depression or you go to see videos out of Venezuela, what are people doing? They’re taking their necklace and they’re chop, they’re clipping it because the necklace itself is so valuable, they need to chop it into little bits to go buy, get a haircut or buy some food, right? So they come, you know, they chop each little tiny chain off the necklace and they bring it in.

That has destroyed the artistic value of the neck. Whatever, whatever value that necklace has beyond its monetary value is gone. Same thing with a numismatic coin. If you take a numismatic coin, you, you know, this, this thing, you know, this one coin might buy an airplane or something, or a car, you know, obviously a Cessna, not a large airplane, but this small coin might buy, you know, at a staggering amount. So what do you do to get a haircut? You have to shave. You have to shave off. There’s a hidden danger in the silver market that almost no one talks about.

Vaulting. The same fractional reserve principles that make our banking system so fragile are now showing up in precious metals storage vaults. The very places meant to secure your wealth may not actually hold the metal they claim. Economist John Adams has exposed this risk using public documents and forensic math. In short, many vaults operate under the assumption that not everyone will request their silver at once. Sound familiar? That’s because it mirrors exactly how banks fail. Too many claims, not enough reserves. And the cracks are showing. In London, the Bank of England has already extended physical silver delivery times from a standard one to two days to an alarming six hour wait, weeks.

That’s not a logistical hiccup. That’s a warning sign of systemic stress. It means the metal either isn’t there or it’s not where it’s supposed to be. And when confidence slips, just like in banking, a rush to withdraw becomes a race. The first to act might get their silver. Everyone else gets paper promises and excuses. This is why physical possession matters. In a true crisis, if you don’t hold it it, you don’t own it. And while the vaults stall and scramble Those with silver in hand won’t be calling customer service. They’ll be trading, surviving and thriving. A tiny little bit with a razor.

And that of course absolutely destroys the numismatic value because especially for modern coins, they have to be absolutely pristine to have the numismatic value because a collector doesn’t want them for, for anything else. You know, ancient, you know, an ancient Roman coin gets a lot more slack if you can, if you can see the face of the emperor and you can read the text on top up. You have a pretty good numismatic coin for, you know, an ancient Roman coin. But for modern coins they better be, they better be pristine if you’re going to try and pass them off to a, to a numismatic collector.

So there’s very little mercy for rare coin in a mon, In a monetary panic. There’s no mercy for rare coins and jewelry. They get, they, you know, they just get melted down or chopped up into little bits and used to purchase the goods and services they need. Now on the, on the other side of the panic, the numismatics that survive this might be worth a lot more because you know, 98 of them got melted down to turn into new coins or you know, traded cut up into little bits to trade around. So you’ll, and, and I do, you’ll still have money in such a scenario, but you’ll, you, you will have overpaid for it in, in the pre crash.

So I do want to comfort people. I know some of your viewers have contacted you saying I got swindled by the IRA dealer and I, you know, I ended up less gold than I, than I would have had. The monetary value of the coins you do have absolutely still will skyrocket along with the rest of gold. And you’re, you’re one of the, you know, I think how many people have gold in their savings these days? It’s like 1%, maybe less. So you’re still going to be in the top 1% of money holders in the middle of a financial panic.

I do want to give you some comfort there. You’re probably going to be doing just fine. It’s annoying and it, and it sucks for people who have been, you know, swindled into, into numismatics if they didn’t want to get into them. So you know, you might only get like a single cupid fountain in front of your mansion instead of, you know, the three cupids facing against each other. But most people holding gold are going to do quite fine. And I, I don’t think you should, I Don’t think you should kick yourself too much if you got taken by a numismatic dealer and you regret it.

And so just, just to conclude this, numismatics are for collectors and active speculators. So if, if you want to play the game, that’s fine. But if you’re just somebody who wants their money to sit in a vault, then I strongly, strongly recommend everyone just stick to bullion. Premiums are the alarm bells of the silver market, and right now they’re starting to ring back. Data 1. In this one ounce silver Eagles are carrying a $4.79, the premium over spot junk silver. Those pre1965 dimes and quarters minted from 90% silver are trading at nearly $2 above spot. These aren’t just price quirks.

They’re signals of tightening supply and increasing demand. When markets are calm, premiums shrink. But when anxiety creeps in, when stackers sense risk on the horizon, premiums swell because physical silver is harder to get and dealers know it. And this is just the beginning. If another bank falls or if delivery delays spread beyond London, premiums could explode. Imagine a scenario where spot sits at $40, but Eagles are $70. That isn’t speculation. It’s precedent. It’s happened before, and with today’s growing distrust in vaults and institutions, it could happen again. The real panic won’t start on Wall Street. It’ll start in coin shops and dealer websites.

When inventory vanishes overnight, that’s when premiums detach from spot and those who waited find themselves shut out. Out. Because in a true crunch, it won’t matter what the charts say. It’ll matter what’s on hand and more importantly, what isn’t. Yeah, I get this question at least once a week. And I, I guess you get it a lot too. People say, okay, Phil, you know, I, it’s, I understand we want, you know, more is better and, and stuff, but what should I look at as the base? What is, what is it I need? How much do I need to get my family through? And then everything else, you know, I would consider gravy on top to purchase assets, right? So I finally sat down and just said, let’s, let’s try, let’s try and calculate this out through, through intellectual, you know, logic and, and using history as a guide.

So the, the daily wage of a laborer in 1910 was $2, 1 1, $1.50 to about $2. We’re going to say $2 for simplicity. And this, I mean, this was a guy, you know, straight off the boat at Ellis Island. You know, living in a tenement in New York and working in a factory, he could expect to make $2. That’s, that’s the real, that’s the, the lower of just, you know, mindless labor. Here, here’s a hammer. Here’s a, here’s 1 million widgets. And you know, the widget comes on, you go, tunk, tunk, tonk. You know, unskilled labor.

What are they going to get paid? They got paid about $2 a day. And if you calculate that into silver quarters, it ends up being about 1.45 ounces of silver. So the, the silver, the silver quarters at the time were 90% silver. However, four silver quarters does not equal one ounce. It equals about, about 0.72 ounces of silver. So if you double that for $2 a day, you end up with 1.45 ounces of silver. And then so a daily labor in 1910 worked about 300 days a year. So that’s 435 ounces of silver per year. Now this salary would feed, clothe, and house a family of eight at survival levels.

This is, you know, this is the pictures of the tenement. You know, you go into the tenements, you know, they would take pictures of people in the tenement and there’s like eight people in this tiny flag. And you know, the, the younger kids are clearly wearing. The older kids hand me downs, and the older kids are wearing dad or mom’s hand me downs. But they are fed and they are living right, they’re surviving. This is survival levels. I’m just, I’m not talking about, I’m not talking about having tons of extra money. I’m talking about living at survival levels.

You could feed, clothe, and house a family of eight on $2 a day. So most people today don’t have eight family members. So we’re going to cut that in half to family of four and we’re going to, and we’re going to double the comfort. And that I think that’s going to cancel each other out because if you, if you have half the mount, half the mouths to feed, half the shoe, the feet to shod, half the, you know, half the everything else, right? And if you think about this, most financial panics last about three to six months.

So we don’t need 435 ounces for the year. We only need three months worth. So the, in conclusion to the, the end of the calculation here, about 100 to 200 ounces of silver should get a family of four through a panic relatively comfortably. And that’s about 25 to 50 ounces of silver per person. And this will cover everything. This will cover the haircuts, this will cover the food, this will cover the heating, you know, the heating bill when the electric company bangs on your door and they need payment in silver. This will cover absolutely everything. And it should get you through.

If you think about 225 to 50 ounces per person, I think that should get you through quite comfortably through the length of the monetary panic of three to six months. So there’s some other considerations. There is very little silver in circulation. Silver isn’t just a hedge against chaos. It’s the metal powering the future. Even as financial systems wobble and trust dissolves, one force remains unshaken. Industrial demand. Silver is essential, not optional. It’s the backbone of solar panels, the circuitry of electric vehicles, the conductor and 5G networks, and the pulse of medical tech. And this demand isn’t slowing down.

Governments around the world are doubling down on green initiatives, mandating more solar, more electric cars, more tech infrastructure, all of it reliant on silver. This industrial pressure is relentless. The Silver Institute expects global demand to reach over 1.16 billion ounces in 2025, outpacing supply again and deepening the structural deficit. And unlike investor sentiment, which swings with fear, industrial demand is locked in by legislation and technology. It’s not going away, it’s. It’s accelerating. This is what makes silver unique. It’s both a safe haven in financial storms and a critical resource in technological revolutions. When these two forces converge, fear and function, silver’s trajectory becomes explosive.

It’s not just the metal of the past, it’s the metal of what’s next. And the world is waking up to that fact far too late today than there was in 1910. In 1910, silver was flying around all over the economy. Now it’s just a few, a handful of stackers. So that should make silver much more valuable than it, than it was before. So you may need, you may need a lot less. And there’s also many, many, many more people alive since 1910. I think it’s a factor of 10. I think there’s 10 times more people than there were in 1910, maybe a little bit less than 10 times more.

More. Once again, if there’s more people competing over the amount of silver and there’s less silver available, that should once again make silver even more valuable. And the N and third, the numbers I used above assume a normal life, not a Banking panic. Right. So 1910, there was not an ongoing banking panic. I guess there was recently. I think there was in 1907. Is that the last banking panic? I think there was. There was somewhat recently, but I believe through the late 19th century and early 20th century. Century, yeah. Okay. But I believe 1910 itself was a stable period.

So I’m. I’m not assuming. I’m not assuming skyrocketing monetary value. I think that was a normal. A normal economic time within. Within a period of banking crisis around. Around that time. So the numbers I’m using above are assuming normal life, not a huge banking panic. So once again, if there’s a monetary crisis, the people holding money should be sitting. Should be. Should be sitting very pretty. And then so sil. So. So silver could dramatically outperform the expectations mentioned above. So it could be. 10 ounces of silver is enough to get you through a financial panic very comfortably.

I don’t know. I’m being very conservative in my estimate. I think 25 to 50 is very, very conservative. The one possible exception I’m thinking of is if things really start breaking down. So if the farmer puts the food on the truck and the truck starts to head into town, and then some highwaymen come out and they kill the truck driver and they loot the truck and steal the food and the truck, the food trucks are not making it into town. Then in the town you live in, if. If that town is, you know, that’s affecting you, prices of food could absolutely skyrocket, even in real terms, because your town essentially under siege.

So if you look at what happens in, you know, in the, in the Middle Ages when a town went into siege, you know, people would mortgage their house or sell their house to get a bag of flour, that kind of stuff. So that kind of thing could. Could happen. I, you know, I’m not, I’m not saying it’s going to happen if, if, you know, because of Maslow’s hierarchy of needs. Right. What do we need? We need water, food and shelter. Shelter and clothes. You know, if those things start breaking down, they’re going to become very expensive.

In real terms, however, if this just stays a monetary panic and we don’t get into a situation where you can’t drive on the roads because there’s too many highwaymen. And I, I think in particular in America, everybody is so heavily armed that highwaymen are going to have a very bad time of it if they try to take over a highway. I think the town’s. The townspeople are going to go remove Those highwaymen. So I, I, I, I don’t think, I don’t think we need to worry about Highwayman too much or the, or the network breaking down.

To the extent that I’m talking about like a Mad Max scenario, I, I really don’t think so. So barring that, if all the other stuff I’m saying is true, and even if it’s not true, the, the, a comfortable, a conservative estimate in My view is 25 to 50 ounces per person. I was talking with Rafi about this on his channel. He says double or triple that just to be extra safe. So, sure, have 100 ounces per person. I mean, what’s 100 ounces? $3,000. If you can put $3,000 into ensuring per person to ensuring your family is, you know, comfortable through the end game, that’s wonderful.

And then if you don’t need it, then you can use that money to buy the Lamborghinis and the airplanes and the factories and the farms all around you and, you know, turn into turn in a gentleman of considerable property. Everything is converging. The banking system is stretched thin, propped up by blind trust and digital promises. Physical silver is becoming harder to find. Premiums are rising, vaults are st falling, and demand, both from investors and industry, is surging. All the ingredients for a historic price breakout are already in place. And while today’s spot price hovers around $33, the forces we’ve laid out could push silver to $500 and beyond.

Not as a fantasy, but as a logical consequence of systemic failure. When faith in fiat dies, tangible value takes its place. When digital digits lose meaning, ounces of metal gain power. And when the next financial tremor hits, it won’t be the dollar that saves you you. It’ll be what you hold in your hand. So prepare wisely, stack deliberately, and stay alert. Because the time to act is before the collapse, not during it. Subscribe if you want to stay ahead of what’s really happening. And remember, this is not financial advice. Speak to a professional before making any financial decisions late.

Sam.
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