GoldMoney’s Andy Duncan interviews Thomas Jacob, President of the Swiss Gold Franc Association – a group campaigning for the reintroduction of physical gold money in Switzerland. The group currently enjoys cross-party political support, and is attracting more attention owing to the eurozone’s debt crisis and central bank money printing (not least from the Swiss National Bank).
Jacob comments that “there is nothing as powerful as an idea whose time has come”, noting that his is a “non-threatening” means of reintroducing gold as currency again. His group is seeking a constitutional amendment in support of this initiative. Jacob calls it a “complementary” currency, and is emphasizing its function as a means of allowing people to save rather than as a medium of exchange.
He thinks that its introduction could potentially help the existing fiat Swiss franc, as it will divert safe-haven buying from it to this new gold alternative. This will mean the SNB has to expound less effort on trying to suppress the value of the franc.