Tuesday, September 27, 2022

Is There Gold In Fort Knox

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All The Gold In Fort Knox Will Not Buy You More Than 1% Of Total Bitcoin Supply

Is there any gold left in Fort Knox?

This story is about value, and the difficulty of measuring and finding true value. The total size of the US gold holdings is 261 million fine troy ounces. The size of the holdings in Fort Knox is 147.43 million troy ounces. At the current market price, this should be worth about $470 billion , the Treasury marks the gold at $11.1 billion . The statutory price for gold is set at $42.22 per fine troy ounce, the same price it was in 1971 when the dollar came off the gold standard. The real price of gold in the open market is about $1750 per troy ounce. This is about 40 times more than the marked value. The heading is based on the value of $11 billion placed on the gold holdings of the treasury, which is why it says 1% of the bitcoin supply at current bitcoin prices.

Fort Knox, Kentucky

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No nation in the world is currently tied to the gold standard. Throughout history, money has had many forms, from cowries to potsherds. Some of the more successful started with a currency fully backed by gold. First by striking the coins with gold. Over the years, many schemes and human ingenuity played roles in literally chipping away, at this standard. Bi-metallism set up in the young American republic caused so many problems, because of differences in purity of gold, because of arbitrage between silver and gold prices at various points, causing breakdowns, including the unavailability of money to conduct transactions, leading to the printing of banknotes.

Us Bullion Depository Fort Knox Facts

  • U.S. Bullion Depository holds 147.3 million ounces of gold. Approximately 50% of the Treasurys gold, along with precious items of other federal organizations, is reserved in the Depository.
  • It held 649.6 million ounces on December 31, 1941, the largest historic amount of gold assets.
  • Inspectors only abstract insignificant quantities of gold to check purity. Apart from these samples, no gold has been transported to or from the vault for several years.
  • The gold is kept as the countrys asset at a book value of $42.22 per ounce.
  • Typical size of a gold bar stored in the Depository is 7 x 3 5/8 x 1 3/4 inches.
  • Weight of a typical gold bar is around 400 ounces .
  • Only a few people know about the actual construction and content of the building. However, no individual knows all the techniques to unlock the vault.
  • In 1937, the first gold reached Fort Knox by U.S. Mail.

U.S. Bullion Depository, Fort Knox

How Much Gold Is In Fort Knox And Who Owns It

Fort Knox, more formally known as the United States Bullion Depository, has long stood as a symbol for impenetrable defense. Its no secret that the army post has been home to mountains of gold bars secured under some of the best security measures available. The name of the location alone is synonymous with security and wealth. Still, some people are beginning to hypothesize that the gold holdings that once resided there are no longer in place.

In many ways, Fort Knox is a mystery. Rightfully so given the tremendous wealth that is reportedly stored there. In spite of the many conspiracy theories created to fill the gaps in knowledge about Fort Knox, this article will examine what is currently reported as true by the U.S. government. This truth is that there is a staggering amount of gold stored in Fort Knox and, surprisingly to many, there is a staggering amount of gold stored in other locations too.

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Fort Knox Gold Could Help Stabilize The World Economy

President Richard Nixon officially took the country off the gold standard in 1971, so why is there still gold in Fort Knox? Philp N. Diehl explains that there are two reasons the U.S. keeps gold: support for the world economy and the simple politics of gold.

As the former Director of the U.S. Mint, Chief of Staff for the U.S. Treasury Department, and current Chairman of the Industry Council for Tangible Assets and President of U.S. Money Reserve, Philip N. Diehl is among the most qualified persons to provide such insight.

Diehl suggests that any sign the U.S. was considering selling its gold could wreak havoc in the marketplace. In 2013, Cyprus looked into selling their gold reserves to deal with its debt crisis, and in response, world gold prices plummeted. The U.S. gold reserves are 330 times larger than Cypruss reserves.

He also writes, The politics of gold complicated, highly emotional and very partisan. Theres no compelling reason to empty the vaults at Fort Knox and selling the gold would ignite a political firestone. Better to let sleeping dogs lie.

And so, the gold stays at Fort Knox!

Roughly $500 Billion Worth Of Gold

The Gold Is SAFE Fort Knox!!!

Some of this gold is owned by other nations and is being held in trust. Anyone who has seen the movie “Die Hard with a Vengeance” will recall that the bad guys were attempting to steal the gold from the Federal Reserve in NYC using huge trucks and construction tunnels under the city.

Between Fort Knox and the gold held in the Federal Reserve Bank in Manhattan, there is more gold held on American soil than any other country in the world. But for all you super criminals reading this, the lesson here might be forget Fort Knox and focus on the Fed in Manhattan. Twice the payout!

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Fort Knox Is An Octogenarian

Fort Knox was constructed in 1937, meaning it is more than 80 years old now. The original construction cost of the gold bullion depository was $560,000, which would be around $10 million in todays money. It was built with more than 4,200 cubic yards of concrete and 16,000 cubic feet of granite, with 750 tons of reinforced steel and 670 tons of structural steel. Despite its age, the structure is solid and impenetrable. The roof is so strongly built that it is bomb-proof. The main vault door cannot be breached by explosives, blow torches, or drillsit is 21 inches thick and weighs more than 20 tons.

Fort Knox vault door. Source:

Even Presidents Dont Have A Key To Fort Knox

Even the President of the United States, the highest office in the country, is denied access to Fort Knox. Only one president has even been allowed inside the vaultFranklin Roosevelt. In 1943, Roosevelt was concerned that the vault was not secure enough to protect the gold reserves from an enemy invasion. He traveled to Kentucky to inspect the vault himself and reportedly was very satisfied with what he saw.

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How Important Is Fort Knox

The bad news for Goldfinger buffs, say gold analysts, is that Fort Knox doesnt really matter much anymore.

Fort Knox began losing its luster when the United States went off the gold standard in 1971. Before that, gold bars packed into a secure vault gave people faith in the countrys currency. Today, however, Fort Knoxs gold is now an asset on the Federal Reserves balance sheet, not a key part of our monetary system.

Though Fort Knoxs security overkill may seem a quaint relic of bygone days like the Beefeaters guarding the Tower of London the gold there and at U.S. Mint facilities adds up to one of the worlds largest bullion holdings. Still, its a tiny part of the nations total assets. In a $13.8 trillion GDP economy, 147.3 million troy ounces of gold barely registers.

It may lend some confidence to investors that we have large gold reserves, says Mark Zandi, chief economist at Moodys Economy.com. But its more symbolic than substantive.

The Feds gold is valued at a tremendously low figure just $42.22 an ounce. The rock-bottom figure was set in 1973, two years after we left the gold standard, primarily to avoid wild accounting swings. What would happen if the price of gold drops dramatically? asks Dimitri Papadimitriou, president of the Levy Economics Institute at Bard College. The Fed balance sheet would be dramatically lower.

Historic Gold Holding Records

Fort Knox gold does not exist

Gold first found its way to Fort Knox in 1937. The record for most gold holdings at the Fort Knox vault is 649.6 million ounces. The U.S. set this record on December 31, 1941.

Currently, it has been decades since any gold has been moved to or from the facility. Gold is only moved when experts sample small amounts to test its purity.

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How Is The Gold Owned By The Government

All the nations gold in effect came under direct government ownership. Now, this is key: The Federal Reserve is actually a private system, while the Treasury is an arm of the U.S. government. And the Fifth Amendment of the Constitution prevents the government from taking private property without just compensation.

Guards And More Guards

Fort Knox is guarded by members of the U.S. Mint Police, one of the oldest federal law enforcement agencies. It was established in 1792!

The officers undergo 12 weeks of basic training, followed by five weeks of field training. They learn a long list of heavy-duty skills, including weapons handling, cornering, door entry and room clearing.

If that doesn’t seem intimidating enough, Fort Knox sits at the center of a 109,000-acre U.S. Army post and is a training ground for military troops from around the country.

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Most Read Nation & World Stories

The depository holds more than 147 million ounces of gold, which puts its market value at more than $186 billion. While primarily known as a vault for gold, the depository also held the Declaration of Independence and the U.S. Constitution during World War II.

Mnuchin said it was the first time Fort Knox opened its vaults to outsiders since a Congressional delegation and some journalists were let in to view the gold for the first time in 1974. McConnell said he had never thought about visiting Fort Knox before, but jumped at the chance when Mnuchin offered to take him.

It just kind of came up as a result of a casual conversation, McConnell said.

A movie producer before becoming treasury secretary, Mnuchin told a group of Louisville business leaders earlier in the day it was important for him to see the gold to attest that it is part of our national assets.

I assume the gold is still there, he said. It would really be quite a movie if we walked in and there was no gold.

In an interview, McConnell said he could not say much about the visit for security reasons. But Bevin, speaking on WHAS radio, divulged a few more details. He said it took quite a bit of time to get in and out of the facility, and said officials had to cut a seal to open the vault for them.

All I will say is that it is freakishly well secured, he said. The gold is safe.

Ron Paul Bill To Audit Federal Reserve

Fort Knox

2008 Libertarian Presidential candidate Ron Paul went on record saying that he wanted to have a look. To that end, he pushed for a bill intended to audit the Federal Reserve. Paul doesnt believe in the conspiracy that Fort Knox is totally empty though.

My attitude is, lets just find out whats there.

Ron Paul

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Other Treasures In Fort Knox

One of the many lesser-known facts about Fort Knox is that it has held more treasures than just gold over its lifetime. Currently, in addition to the tons of gold sitting in the underground vault, Fort Knox also holds ten 1933 Double Eagle Gold Coins, a 1974-D aluminum penny, and twenty gold Sacagawea dollar coins that flew on the Space Shuttle. It isnt a stretch of the imagination to assume that one of the United States most impenetrable vaults overseen by the Treasury Department also currently holds many other undocumented treasures.

Throughout history, the vault has stored many other valuable items as well. World War II, in particular, marked a period of great uncertainty that drove many treasures into hiding underground. As cities were bombed and the German advance seemed inevitable, the Librarian of Congress at the time, Archibald MacLeish, pushed for valuable documents to be secured in bomb-proof vaults in the United States. Fort Knox was offered as the solution and a few cubic meters of space were made to hide essential items.

The Us Government Spent Fort Knox Goldhundreds Of Times

by Gary Christianson | Apr 21, 2020 | Articles

Miles Franklin sponsored this article by Gary Christenson. The opinions are his, and they are not investment advice.

Fort Knox Gold: Once upon a time, the Fort Knox Bullion Depository was a vast storehouse for American gold. Official records claimed 20,000 tons in the 1950s. Over 640,000,000 ounces of real money sat behind those massive locked doors.

That gold gradually disappeared until President Nixon refused to exchange dollars for gold in 1971. Officially in 2020, 147,000,000 ounces of gold remain inside those locked vaults.

Fort Knox gold has not been audited since the 1950s. Supposed audits since then have been unsatisfactory. Dont ask, dont tell works in the military, in COVID-19 testing, and with Fort Knox gold.

Legends about gold include:

The Seven Cities of Gold

Grand Canyon Gold

Buffets Bury It story

The Feds Traditional Asset dismissal

Fort Knox still contains 147 million ounces of gold

WE DONT KNOW THE TRUTH ABOUT THE QUANTITY OF GOLD THAT REMAINS VAULTED IN FORT KNOX!

The Better Question is: Does it matter?

The gold exists, is partially gone, or is missing. But there is nothing to be gained by a Treasury Audit. They support the narrative and dont tell.

Besides, 147 million ounces is only worth $250 billion dollars. Congress just passed a stimulus bill worth over $2 trillion, eight times the supposed value of Fort Knox Gold. Wow!

DISCUSSION:

1) Yes, gold is important.

1) No, gold is not important.

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The First Gold Arrived At Fort Knox In Early 1937by Mail

Congress passed the Deficiency Act on July 22, 1936, which established a bullion depository in Fort Knox, KY to store the nations precious metal bullion reserves. Since the gold was too heavy to fly in by plane, it was mailed to Fort Knox by train through the United States Postal Service. Can you imagine how dangerous such a trip wouldve been by train in the 1930s? Talk about precious cargo

History With Phil: Fort Knox Reportedly Stores $62 Billion In Gold

How Much Gold Is in Fort Knox: Did You Know?
  • PHIL CONNELLYfor the Ravalli Republic
  • May 6, 2021

Fort Knox was constructed in 1937 at Camp Knox. In 1918 one-twelfth of Hardin County in Kentucky was transferred to the U.S. Government to establish Camp Knox.

Congress designated Camp Knox as a permanent garrison in 1932 and also changed its name to Fort Knox. Fort Knox now occupies 61,000 acres.

In 1936, the Treasury Department began construction of the U.S. Bullion Depository.

The depository was constructed using 16,000 cubic feet of granite, 750 tons of reinforced steel and 670 tons of structural steel. Not only is the roof bomb-proof, but the main vault door also cannot be breached by explosives, drills or blow torches it is 21 inches thick and weighs in at more than 20 tons.

It cost $560,000 to construct the depository .

To enhance security, no one person knows the entire entry combination to access the gold vault. Instead, the information is divided up among several people.

Even the names or positions of those who know a piece of the combination are classified.

Not even the president can gain entry to the vault (the only president to have done so was FDR during 1943. Roosevelt wanted to make sure the vault was secure enough to protect the gold reserves from an enemy invasion he was satisfied with what he saw.

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Why Was Fort Knox Built In The First Place

There is a lot of confusion on this subject. First off, Fort Knox was built in 1937 partly to house gold that the Treasury was scooping up after the Gold Reserve Act took effect. The gold had been kept it in vaults in the basement of the Treasury. But they ran out of space, so they built Fort Knox to house the gold.

Time For Fort Knox To Sell

The Fed wont be unloading large stashes from Fort Knox anytime soon. Doing so would flood the market and send the price of gold spiraling downward. A small, vocal group of gold bugs would be against it, says John Irons, research and policy director at the Economic Policy Institute, a liberal think tank. The Fed wouldnt want to stir things up.

But Irons and some other economists would like to see the U.S.s gold reserves thinned out. The Fed could sell a lot of the gold, says Irons. Its better used in jewelry or in electronics. It can be useful to the private economy rather than buried in a vault. The sale could make a small dent in the $12.1 trillion national debt and, with the price of gold near its all-time high, this is a particularly good time to sell.

The reason Fort Knox will remain a mighty fortress, however, may come down to something Alan Greenspan once told Paul. When Paul asked the former Fed Chairman why the Fed hangs onto its hefty gold reserves, Greenspan said just in case we need it, says Paul. You hold onto it because its the ultimate in money.

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