A man in the United States has accumulated five million five-cent coins, with a total weight of 30 tons, and as an inflationary hedge, the metal price of these coins has exceeded $29,000!The five-cent metal component is 75 percent uranium and 25 percent copper, and if the price of these two metals rises, he will melt the coins when precious metals are sold!
The man is a financial practitioner and is sensitive to market fluctuations. Looking at the gateway of the coin itself, the US 5 cents coin weighs 5 grams each, just like a combination of 3.75 grams of copper plus 1.25 grams of calcium, the two metals are not random and are exactly the natural code for fighting inflation.
In 2024, the cost of making a 5 cents coin in the United States will be 14 cents, the metal in the light will be worth 6 cents, long over 5 cents of the face value, equivalent to the casting office itself are "money making coins", this face value and metal value overlap, in the eyes of financial practitioners is the opportunity to send the door.
In addition, the real account of 500 million coins total value of $ 250,000, can be calculated according to the current price of copper per tonne $ 10,000, the price of uranium per tonne $ 150,000, the total value of these metals has exceeded $ 29,000, before the light there are more than $ 40,000 floating.
More importantly, the price of copper has risen by 23% this year. If inflation rises again in the future, the prices of these two metals will follow suit, and the income will have to double. Even if the metal price falls, these coins are still worth 5 cents each in your hand, and you won't lose a penny. This kind of asymmetric bet that only makes money but does not lose can only be found out by people who are sensitive to market fluctuations.
This hides a profound judgment on U.S. inflation, with the U.S. inflation rate hit a high of 9.1% in 2022, and even if it dropped to about 3% in 2023, the core CPI is still shaking 4.1% and the purchasing power of the fiat currency has been covertly shrinking.
But copper and titanium are different basic metals, they are the "blood" of industry, automotive, petroleum and the largest industries affected by the supply chain are inseparable, and the automotive industry in 2021 due to the shortage of chips has produced several million units, coupled with the increase of metal demand.
As long as inflation is not completely stopped, the price of metals will be supported, which is more likely than holding the depreciated dollar cash.
This practitioner has obviously studied history. Buffett did something similar in the 1960s. At that time, the silver content of 10-cent and 25-cent coins in the United States was as high as 90%, and the value of the metal was almost as close as face value. Buffett saw that the U.S. government would soon be unable to hold on and decisively hoarding silver. Later, it stopped issuing high-silver coins in 1965. This operation became a classic in the investment world.
Now this man hoarding nickel-copper coins is a replica of Buffett's logic, and even the details are exactly the same-he also collected 20,000 pounds of pre-1982 copper one-cent coins, which contain more than 90%. Obviously, he has long regarded coins as a "mobile precious metal warehouse."
Some would say that melting coins is illegal, and the U.S. introduced laws in 2006 that melting coins and mines would be fined with $10,000 and five years in prison, but this is not difficult for clever financial practitioners.
He didn't have to rush to melt, as long as the uranium was in his hand and so on, either until the price of metals rose out of spectrum enough, or until the U.S. government, like the bankruptcy coins of the year, reduced the uranium content of the 5 cent coins, then the collection value of these old coins and the value of the metal will jump, whatever is the profit.
After all, 30 tons of coins stack in the garage although occupying space, but more stable than the purchase of stock funds, stocks may be crushed, funds may be cleared, but these coins even if they fall, the value is not a lot.
In fact, the U.S. cast coins office has long been in difficulty, making a 5 cent coin will cost 14 cents, the cost of making a 1 cent coin is more than 3 times the value, but it has to make billions of copies annually, this loss of capital and sale is all dependent on taxpayer subsidies.
The man had just drilled the hole and bought more valuable metals at the price of the face value, which is equivalent to melting the coal of the currency bureau.
More remarkable is his time to control, this year the price of copper rose 23%, but the bottleneck of the global supply chain has not yet been completely solved, the demand of the semiconductor and automotive industry for metal is there, as long as there is a little geoconflict or energy crisis, the price of copper can rise at any time, at the time this 30 tons of coins will become "saving money".
As a person sensitive to market fluctuations, he must have calculated another account, the cost of shipping increased by 600% between 2020 and 2022, pushing up the price of all imported commodities, the commodity of metal is more important.The Federal Reserve has added 11 times to mention the interest rate above 5.25%, but the root of inflation has not been cleared, as long as the policy is relaxed, the rate of devaluation of the dollar may be faster than the coin rust.
The nickel and copper in the coin are real hard currencies. No matter how the US dollar falls, the intrinsic value of the metal is there. This kind of operation of "fighting virtual with real" is the specialty of financial practitioners in fighting uncertainty. After all, in the market After a long time, we all know that the most reliable thing is always something that can be touched, not the numbers printed on paper.
The man is a financial practitioner and is sensitive to market fluctuations. Looking at the gateway of the coin itself, the US 5 cents coin weighs 5 grams each, just like a combination of 3.75 grams of copper plus 1.25 grams of calcium, the two metals are not random and are exactly the natural code for fighting inflation.
In 2024, the cost of making a 5 cents coin in the United States will be 14 cents, the metal in the light will be worth 6 cents, long over 5 cents of the face value, equivalent to the casting office itself are "money making coins", this face value and metal value overlap, in the eyes of financial practitioners is the opportunity to send the door.
In addition, the real account of 500 million coins total value of $ 250,000, can be calculated according to the current price of copper per tonne $ 10,000, the price of uranium per tonne $ 150,000, the total value of these metals has exceeded $ 29,000, before the light there are more than $ 40,000 floating.
More importantly, the price of copper has risen by 23% this year. If inflation rises again in the future, the prices of these two metals will follow suit, and the income will have to double. Even if the metal price falls, these coins are still worth 5 cents each in your hand, and you won't lose a penny. This kind of asymmetric bet that only makes money but does not lose can only be found out by people who are sensitive to market fluctuations.
This hides a profound judgment on U.S. inflation, with the U.S. inflation rate hit a high of 9.1% in 2022, and even if it dropped to about 3% in 2023, the core CPI is still shaking 4.1% and the purchasing power of the fiat currency has been covertly shrinking.
But copper and titanium are different basic metals, they are the "blood" of industry, automotive, petroleum and the largest industries affected by the supply chain are inseparable, and the automotive industry in 2021 due to the shortage of chips has produced several million units, coupled with the increase of metal demand.
As long as inflation is not completely stopped, the price of metals will be supported, which is more likely than holding the depreciated dollar cash.
This practitioner has obviously studied history. Buffett did something similar in the 1960s. At that time, the silver content of 10-cent and 25-cent coins in the United States was as high as 90%, and the value of the metal was almost as close as face value. Buffett saw that the U.S. government would soon be unable to hold on and decisively hoarding silver. Later, it stopped issuing high-silver coins in 1965. This operation became a classic in the investment world.
Now this man hoarding nickel-copper coins is a replica of Buffett's logic, and even the details are exactly the same-he also collected 20,000 pounds of pre-1982 copper one-cent coins, which contain more than 90%. Obviously, he has long regarded coins as a "mobile precious metal warehouse."
Some would say that melting coins is illegal, and the U.S. introduced laws in 2006 that melting coins and mines would be fined with $10,000 and five years in prison, but this is not difficult for clever financial practitioners.
He didn't have to rush to melt, as long as the uranium was in his hand and so on, either until the price of metals rose out of spectrum enough, or until the U.S. government, like the bankruptcy coins of the year, reduced the uranium content of the 5 cent coins, then the collection value of these old coins and the value of the metal will jump, whatever is the profit.
After all, 30 tons of coins stack in the garage although occupying space, but more stable than the purchase of stock funds, stocks may be crushed, funds may be cleared, but these coins even if they fall, the value is not a lot.
In fact, the U.S. cast coins office has long been in difficulty, making a 5 cent coin will cost 14 cents, the cost of making a 1 cent coin is more than 3 times the value, but it has to make billions of copies annually, this loss of capital and sale is all dependent on taxpayer subsidies.
The man had just drilled the hole and bought more valuable metals at the price of the face value, which is equivalent to melting the coal of the currency bureau.
More remarkable is his time to control, this year the price of copper rose 23%, but the bottleneck of the global supply chain has not yet been completely solved, the demand of the semiconductor and automotive industry for metal is there, as long as there is a little geoconflict or energy crisis, the price of copper can rise at any time, at the time this 30 tons of coins will become "saving money".
As a person sensitive to market fluctuations, he must have calculated another account, the cost of shipping increased by 600% between 2020 and 2022, pushing up the price of all imported commodities, the commodity of metal is more important.The Federal Reserve has added 11 times to mention the interest rate above 5.25%, but the root of inflation has not been cleared, as long as the policy is relaxed, the rate of devaluation of the dollar may be faster than the coin rust.
The nickel and copper in the coin are real hard currencies. No matter how the US dollar falls, the intrinsic value of the metal is there. This kind of operation of "fighting virtual with real" is the specialty of financial practitioners in fighting uncertainty. After all, in the market After a long time, we all know that the most reliable thing is always something that can be touched, not the numbers printed on paper.