> > Transferable Gold Accounts (gold currencies), fiat money, and paper
> > certificates are all money substitutes.
>
> Ken, of course, you think you are right.
>
> But James Turk, GoldMoney and their lawyers also think they are
> right about GoldMoney not being a money substitutes but real gold
> money.

That is why GoldMoney holdings are called "holdings" and not "accounts".  I
agree that if a GoldMoney holding really is title to a specific gold object,
then it is "gold money", as opposed to a gold liability.

As you know, I simply don't believe that GM presently meets the conditions
required for a GM holding to constitute true title.  It doesn't help that
the patent is a confused mess that talks about the holding balances being
"liabilities of the central clearing house".  You have to be honest here,
Claude.  GM today claims that a holding balance is NOT a liability.  But the
patent says that holding balances are "liabilities of the central clearing
house".  That means that GoldMoney today is NOT the system that the patent
describes.

What happened was Mr. Turk was not clear in his own mind when he wrote the
patent application whether there was a distinction between a deposit
currency denominated in gold, and a custodial gold system.  Since then he
has evolved GoldMoney into an attempt at a custodial gold system.  But the
patent itself contains a mix of terminology that is self contradictory. On
the one hand it says it extinguishes payment liability.  On the other hand
it says that GM holding balances are "liabilities of the central clearing
house".  That is a contradiction, you see.

Even if you don't grant my premise that an undifferentiated claim on part of
an object does not constitute clear title, you still have to admit that the
GM patent is self-contradictory.

If GoldMoney improve their system to grant true title to stored gold objects
then I will be more than happy to hail GoldMoney as the first and only
custodial gold money currency.  Until then it is just a deposit currency
wearing lipstick.

Cheers!
Ken


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