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Welcome to this special edition of "The Coin Explorer". I'm your host, Steven Cochran.
June marks the beginning of hurricane season, but recent events in Cyprus have shown us
not all disasters are caused by Mother Nature.
How would you cope if there were a similar financial crisis here? Could you survive the
banks being closed for two weeks, unable to cash checks or use your credit card?
What if, like in Cyprus, you were limited to $125 a day in withdrawals for two weeks?
What if the government decided it was going to take 40% or even 80% of your savings?
Even now, more than two months later, Cypriots are limited to withdrawing $375 a day, whether
they have multiple accounts or not. these measures are expected to stay in force until
September.
Many ordinary Cypriots fell back on a barter system where they could, as companies required
cash transactions and could not accept credit cards. Many Americans expect the same to happen
here if there is a financial crisis.
Here at Gainesville Coins, we are receiving numerous phone calls and emails from customers
worried about their options in the event of a bail-in or lock-down of the "too big to
fail" banks here in the United States.
Gold is the historical haven against currency devaluation and inflation. Gainesville Coins
carries a large selection of gold bars for long-term protection of your wealth, and we
will review those next week. However, the traditional investment sizes make them impractical
for barter or sale in an emergency.
That is why these new CombiBars from Swiss company Valcambi have become so popular. Each
CombiBar comes in a protective plastic case with assay card and certificate of authenticity.
The 50 gram gold bar is struck from .9999 fine gold and pre-scored into fifty 1 gram
mini-bars. The extremely precise minting method ensures that each mini-bar is exactly the
stated weight, and can be separated by hand with no loss of material or sharp edges.
This makes the CombiBar an extremely convenient way to handle fractional precious metals for
bartering. The gold CombiBar is about the size of a credit card. Compare that to these
two boxes here, that each hold 25 one gram bars.
Not only is the gold CombiBar easily carried in your wallet, it's actually cheaper than
buying 50 one gram gold bars, even in bulk with these 25-packs.
Silver rounds and pre-1965 silver currency are some of the most popular ways to hold
silver. They're easily traded with other stackers and bullion retailers.
But if the unthinkable becomes reality, how do you convince the kid behind the register
at the gas station that your 1950 half-dollar is really worth $14? How do you explain that
the $1 face value on a Silver Eagle is just there to guarantee weight and purity, and
it's really worth $30?
That's where the silver CombiBar may solve your problems. Each section has the assay
mark, weight, purity and Valcambi name, and you can show them the assay card. A small
silver bar is easier to understand for those unfamiliar with precious metals.
There are two different 100 gram silver CombiBars: one is pre-scored into ten 10 gram sections,
and the other is divided into 100 one gram sections. as with the gold CombiBar, the exacting
standards on these divisible bars mean that each separated section is precisely the stated
weight. The Valcambi logo, assay mark, and weight and purity are inscribed on every mini-bar.
The silver CombiBars come in a mint-sealed plastic, but today we've opened one to show
you just how easy it is to break one off.
There we are: no sharp edges and no wasted material.
Here we are, let's try for one more, right here along the pre-scored line. you have to
bend back from the pre-scored line, and there we are.
If the crisis in Cyprus really is the new template for dealing with failures in the
banking system, and seizure of depositors' money did happen here, there will be a great
need for easily exchangeable hard assets. The CombiBar is easily stackable and can be
discreetly stored in any number of places, and even carried on your person unobtrusively.
There are happier uses for the CombiBar as well. The small mini-bars excite the curiosity
of everyone that sees them, and provide a great way to introduce family and friends
to precious metals. They can also be included in a card as gifts to the kids or grand kids.
At Gainesville Coins, we're always on the lookout for new and innovative bullion products.
Remember to like us on Facebook, and follow us on Twitter for the latest specials in precious
metals. Also be sure to follow the Gainesville Coins company blog, where we give away a classic
silver art bar or round every month in our "Spot On!" silver contest.
Also, join me next week on "The Coin Explorer", for our Independence Day show, as we take
a look at the official bullion coins of these United States!
Until next time, this is The Coin Explorer reminding you that...it's all about the shinies!