Overstock Holds 3 Months Of Food, $10 Million In Gold For Employees In Preparation For The Next Collapse

[Bantiarna Drucht]

Overstock CEO Patrick Byrne's crusade against naked short sellers in particular, and Wall Street and the Federal Reserve in general, has long been known and thoroughly documented (most recently with his push to use blockchain technology to revolutionize the multi-trillion repo market).

But little did we know that Overstock's Chairman Jonathan Johnson is as vocal an opponent of the fiat system, and Wall Street's tendency to create bubble after bubble, if not more than Byrne himself.  That, and that his company actually puts its money where its gold-backed money is and in preparation for the next upcoming crash, has taken unprecedented steps to prepare for what comes next.

One week ago Johnson, who is also candidate for Utah governor, spoke at the United Precious Metals Association, or UPMA, which we first profiled a month ago, and which takes advantage of Utah's special status allowing the it to use gold as legal tender, offering gold and silver-backed accounts. As a reminder, the UPMA takes Federal Reserve Notes (or paper dollars) which it then translates into golden dollars (or silver). The golden dollars are based off the $50 one ounce gold coins produced by the Treasury of The United States. They are legal tender under the law and are protected as such.

What did Johnson tell the UPMA? Here are some choice quotes:

We are not big fans of Wall Street and we don't trust them. We foresaw the financial crisis, we fought against the financial crisis that happened in 2008; we don't trust the banks still and we foresee that with QE3, and QE4 and QE n that at some point there is going to be another significant financial crisis.

 

So what do we do as a business so that we would be prepared when that happens. One thing that we do that is fairly unique: we have about $10 million in gold, mostly the small button-sized coins, that we keep outside of the banking system. We expect that when there is a financial crisis there will be a banking holiday. I don't know if it will be 2 days, or 2 weeks, or 2 months. We have $10 million in gold and silver in denominations small enough that we can use for payroll. We want to be able to keep our employees paid, safe and our site up and running during a financial crisis.

 

We also happen to have three months of food supply for every employee that we can live on.

The contents of the rest of his speech are largely familiar to advocates of sound money: fiat paper has no value, solid gold - as both a currency and an asset - has tremendous value but is difficult to transport (and since a systemic collapse would certainly involve gold confiscation, portability would be an issue); gold-backed money may be the best option, and so on.

We are confident the echo-chamber of worthless econohacks and macrotourists, the same ones who were absolutely certain the great financial crisis will never happen, will be quick to mock "prepper" Johnson and Wall Street pariah Overstock. And they have every right to do so. We only hope that after the next crash, with central banks all in and when calls for another global bailout hit a fever pitch, that all those pundits who made fun of the Johnsons of the world, will keep their damn mouth shut.

[M]

Hi Banti and Kat,

I think that it's the progressives like the group of Ultra Rich like Gates, Turner, et.al. who in 2009 were caught on a stealth video that they soon had removed, were talking about how they should pool their resources and fortunes to insuring that the world population did not go past 8.5 Billion and eventually reduce it to the manageable sum of 1.5 Billion. Considering the birth rates, how else could that be accomplished except by partial Genocide of 7/8 ths of the Human Race. Such Hubris those Elitists have that they believe they can set themselves up as Gods over us "lesser folk". What better way than a total collapse (except for them of course) to lower the world's population? We do have the technology to destroy people and leave structures and the infrastructures intact. Will they utilize those techs? Who knows. Will the general population be ready for it if it dopes happen? No Way since they have been deliberately brainwashed to not even see it when it's clear as a bell ringing. 

On another thread I postulated a scenario where people could keep expanding and prospering. We do have the flrdgling technologies where we could construct livable habitats at the Earth's LaGrange points. those habitats would consist of two hollow cylinders counter rotating to create a false gravity inside. They were actually calculated in the 1960's to be each a mile long and a half mile in diameter. There are 5 points (http://hyperphysics.phy-astr.gsu.edu/hbase/mechanics/lagpt.html) where these habitats would be located and the inside depending on the configuration was calculated to hold 3 to 5 times the land mass as the Earth. I doubt if it will ever be done because the current crop of Elitist masters would lose their strangle hold over the people just like they did when America revolted against King George.

[USA_kat]

Mornin, Banti!  I doubt "they''ll keep their damn mouths shut as, initially, they will be salivating with hunger!

Didn't know gold was legal tender in Utah! Thanks! Gold and polygamy; you can just see how the two go together! Trouble with that is its perfect for the shirriah proponents (or freaks,as I prefer)!

So I see Johnson wants to keep his business up and running --- commendable! Exactly, who does he see as his customers; what a Crash Unlike Any Ever Seen Before In the USA?  Also, don't know how long he figures he'll be able to pay his employees, but with the Nation falling down all round Utah and every other State, and the impact World-Wide, I don't think his employees can can't stay around, especially those with families, children -- unless, of course, he has fully equipped bunkers:  Lots of MRE's, Medical Care Teams, Equipment, Supplies, clothing, firearms, ammunition,generators, disinfectant, vaccines -- sure you get my point!

Those who accept the inevitability of such a massive crash (as I do), just may have to also accept the bleak reality of the "survival of the fittest"!   Nothing like anarchy to learn real quick who your real friends are; unfortunately, for those among us who count their real friends as living in Cybervillle, how to we find each other then; and could anyone even really try!  

Maybe it's time for less anonymity at the level of a keyboard--in all likelihood, it's only a matter of time before the internet "regressives" (see the Ma Bell  l934 FCC Law recommissioned not too long by Congress and BHOTraitor) Controllers, USA Style, exert total control and/or pull the giant plug; it's a crap-shoot as to which will happen first!

Just some cherry thoughts for a Tuesday Mornin!

Quite Depressing! God Help Us All!  We Pray This in the Name of Your Son, Jesus Christ - Amen!