Protecting Gold, Silver & Bitcoin Against a Modern Financial Attack
1. Introduction
In today’s volatile monetary landscape, governments or central banks may attempt gold confiscation or rapid fiat debasement.
This guide shows you how to safeguard physical precious metals and digital assets through diversification, custody, legal structures, and contingency planning.
2. Diversification Strategy
Allocate across three core hard assets based on your risk profile:
Asset
Conservative (%)
Balanced (%)
Aggressive (%)
Gold
15
25
20
Silver
5
10
15
Bitcoin
2
5
10
3. Physical Storage & Custody
Allocated Vault Accounts
– Segregated bars/coins in Switzerland or Singapore; insured; annual fees apply.
Domestic Safe-Deposit Box
– Convenient local access; risk of government seizure under broad executive powers.
Home Safe (Hardened)
– Immediate access; protect with high-grade locks and concealment; risk of theft/fire.
Combine at least two storage methods to decentralize risk and avoid single points of failure.
4. Bitcoin Custody Best Practices
Use hardware wallets with air-gapped backups; engrave seed phrases onto steel plates.
Implement multi-signature schemes (e.g., 2-of-3 signers across Canada, Switzerland, Singapore).
Apply Shamir’s Secret Sharing to split private keys among trusted individuals or entities.
Conduct periodic recovery drills to verify that backups and procedures work under pressure.
5. Legal Structures & Entities
Onshore Asset-Protection Trust
– Spendthrift provisions for bullion and crypto; shields against creditors and seizure.
Offshore Foundation/Trust
– Established in treaty-friendly jurisdiction (e.g., Cayman Islands, Liechtenstein).
LLCs or Private Trust Companies
– Hold title; assign beneficial interests to family or a discretionary trust.
6. Liquidity & Contingency Planning
Maintain a “siege reserve” of stablecoins or short-dated foreign money-market funds (5–10%).
Pre-approved lines of credit secured by hard assets to avoid forced sales during a crisis.
Build barter networks for essentials (fuel, food, medicine) in case fiat collapses.
7. Ongoing Monitoring & Rebalancing
Quarterly review of inflation metrics and central-bank balance sheets.
Automated alerts for new executive orders, precious-metal regulations, or crypto bans.
Mechanical rebalancing back to target allocations to lock in gains and maintain hedges.
8. Advanced Tactics
Tokenized precious metals on permissioned blockchains with on-chain proof of reserves.
OTC bullion networks to minimize exchange reporting and institutional scrutiny.
Participation in international cooperatives for pooled custody discounts and legal firewalling.
Sources
Executive Order 6102, National Archives – Text of FDR’s gold seizure order.
Satoshi Nakamoto, “Bitcoin: A Peer-to-Peer Electronic Cash System.”
gold.tedlee.ca – “The Debasement Trade” framework.
Legal & Financial Disclaimer:
This webpage is provided for informational purposes only and does not constitute legal, financial, tax, or investment advice.
Always consult a qualified attorney, accountant, or financial advisor before making any decisions related to asset protection, investment, or tax planning.
Historical Precedents for Asset Seizure & Currency Debasement
Historical Precedents for Asset Seizure & Currency Debasement
This reference sheet highlights key historical events where governments seized private assets or debased currency to manage crises. These examples serve as warnings and guideposts for modern asset protection strategies.
Major Historical Events
Year
Country
Event
Impact
1933
United States
Executive Order 6102
Forced surrender of gold; criminalized private holdings over $100; price revalued from $20.67 to $35/oz
1971
United States
Nixon Shock
Ended gold convertibility; ushered in fiat era; USD devalued against gold and other currencies
2001
Argentina
Corralito
Bank withdrawals frozen; peso devalued; savings lost; barter networks emerged
2013
Cyprus
Bank Bail-In
Deposits over €100,000 seized to recapitalize banks; capital controls imposed
Physical gold and silver must be stored in jurisdictions with strong property rights and low confiscation risk.
Bitcoin and other digital assets should be self-custodied with multi-signature and geographic redundancy.
Legal structures like trusts and LLCs can shield ownership and complicate seizure.
Liquidity buffers and barter networks are essential during capital controls or banking freezes.
Monitoring policy changes and maintaining exit strategies are critical for early response.
Sources
National Archives – Executive Order 6102 (1933)
IMF – Argentina Crisis Case Study (2001)
ECB – Cyprus Bail-In Analysis (2013)
World Gold Council – Russia Gold Market Update (2022)
gold.tedlee.ca – “The Debasement Trade” framework
Legal & Financial Disclaimer:
This webpage is for educational purposes only. It does not constitute legal, financial, investment, or tax advice.
Always consult a qualified professional before making decisions related to asset protection or investment strategy.