Pay in store using silver coins

Looking to the UK and USA as a prime examples of Nations that already produces their own Government Mint silver bullion Dollar or Pound denominated coins, there is perfectly sound argument for the legal ability for UK or American store holders, shops, traders, merchants to accept silver bullion coins as payment for their goods and services.

If we compare a $20 purchase using $20 printed paper notes, with the same purchase using an ounce of silver, the comparison could look like:
Store item sale price is: $19.95

Seller is perfectly entitled to provide more goods or value than the $20 dollar note implies, i.e. they might choose to accept a twenty dollar note, in return providing a varying amount of monetary value goods, lets say they include some extra free candy of a nominal $1 value.  
This example just makes the case that by accepting a 1ounce silver Eagle as payment for the $20 transaction, they are equally entitled to vary the notional face value of the coin. Just as a merchant might think it’s appropriate to provide more than the implied face value of a twenty dollar note value, they can equally be free to provide more value than the perceived silver coinage face value.

Pay by Silver coinage

In practice – how might this work?

Assume there’s trust that the twenty note is good for $20 of goods or services – which in reality is a constantly varying metric given that the US treasury allows the US Dollar to float freely up or down in international value and trade.

Silver bullion and USA Minted coinage also floats freely in spot silver and various traded markets. Therefore the varying valuations can not be disputed – i.e. they vary on any given day, dependant on a wide variety of factors including things as simple as emotions of the buyer/seller.

Silver bullion in-store transactions

Let’s assume todays silver spot price is $16
The SilverCashers APP sets a suggested valuation for a current year 1 ounce silver Eagle bullion coin at spot + 10%, i.e. 16.00 + 1.60 = $17.60
Item ticket price is $19.95, merchant uses the SilverCashers APP & authentication to quickly value the Silver Eagle at 17.60 and then gives $2.35 credit or cash change. a simple silver transaction

The SilverCashers APP will make instant live valuations linked to:
A/ The global spot market
B/ The local parameters inputted by the merchant, within agreed perimeters i.e individual merchants may favour a certain range of coins, years, or quantity and adjust their trade premium accordingly within the recommended spot +10-20% premium.

A/ Re-issue that same silver Eagle in another customers change at the same agreed: $17.60 value.
B/ Re-issue it in change at a higher value, thus their gross profits may be adjusted accordingly when they balance accounts.
C/ Cash it in to a bullion coin dealer at any given amount

Buyers can also access the App on their smart phone and get a live bid for their silver coins in exchange for goods. At the point of sale they can simply opt to pay with their silver or any other form of accepted payment, i.e dollars, bitcoin, PayPal, Apple etc

Sellers would still have received the same $19.95 in monetary value & that’s how they account. They would be free to cash their silver Eagle dollar just as they would the $20 in notes. They might:A/ Re-issue that same silver Eagle in another customers change at the same agreed: $17.60 value.
B/ Re-issue it in change at a higher value, thus their gross profits may be adjusted accordingly when they balance accounts.
C/ Cash it in to a bullion coin dealer at any given amount

World sound monetary silver standard

In the case of a similar scenario in the United Kingdom, using a Britannia £2 legal tendor silver bullion coin, since the coin is legal tendor UK money, their is no capital gains to account for – it’s simply a transaction at the agreed monetary exchange for the amount given. A merchant would record their sale amount in the usual way appropriate to their own accounting procedures. i.e assume UK spot is £12.00, the sale is transacted using a 1oz Britannia silver coin at spot + 15% = £13.80

Fair pricing for silver bullion coin sellers

Is using silver bullion coins fair for both buyers and sellers?
In the above scenarios yes because

The owner of the 1oz silver coin may be receiving several benefits like:

  • convenience of using their silver to pay for goods
  • received $17.60 US (or £13.80 UK) that being a fair price compared to the costs and time involved in locating and trading the coin elsewhere
  • feel good factor of using solid silver, real historical money which is no-one elses liability, i.e it has no associated debt or counter party risk

The receiver of the silver coin receives a fair trade because

  • They have accessed an extra source of happy customers
  • Had a more direct and personal transaction with their customer
  • Received a fair value unit of $ or £ value for their services
  • Hold a unit of value which has no associated liabilities, no debt, it is fungal easy to re-exchange and has a variety which can not readily be inflated by outside entities, i.e it’s always an ounce of silver.
  • Has the ability to retain value and future buying power

Both sides of the transaction get fair value and a real life pleasant trading experience – just has the founding principles of monetary exchanges intended, using gods money – that given by the land and worked for with a real life physical labour i.e the silver holds a value of energy, unlike digital currencies which are created by computer key-strokes!

Silvercasher international cash for silver network

USA & UK stores & merchants that accept silver coins for payment – please contact us if you are interested in being included in the approved SilverCashers program to benefit from enhanced customer awareness for your business.

Learn more about SilverCashers facilities and our quest to develop a return to the everyday monetary use of silver coins