How can I transfer my 401k to gold without penalty?

OWNx TeamRetirement Planning

In the ever-changing world of finance, it’s important to look at different ways to save for retirement, and a top choice for many is the Gold Individual Retirement Account (IRA). With this option, you can shift your 401k into a Gold IRA smoothly, without any penalties. It’s a great strategy to mix physical gold into your retirement savings. Gold stands strong as a secure asset, especially when the economy is uncertain, holding its value while other investments might struggle.

Key Insights
Swapping your 401k for a Gold IRA lets you add solid gold to your retirement plan without penalties.
Gold IRAs swap the stock market’s ups and downs for the steady value of gold and other metals.
Checking if your 401k can move to a Gold IRA is step one, and OWNx is here to clear that up for you.
Picking the right Gold IRA company is crucial, and OWNx is all about making gold investments simple.
The transfer from 401k to Gold IRA is straightforward with OWNx, avoiding any tax troubles.
A Gold IRA doesn’t limit you to just gold; silver, platinum, and palladium can diversify your savings.
Rolling over to a Gold IRA means your money grows tax-free until you start taking it out.
To dodge tax penalties, stick to the rules, like the 60-day one for indirect rollovers.
OWNx guides you smoothly into a Gold IRA, setting you up for a secure retirement.
With OWNx, diving into a Gold IRA is smart, ensuring your retirement savings are diversified and sturdy.

Understanding 401k and the Advantages of  a Gold IRA Account

The 401k plan, a familiar player in retirement savings, is often at the mercy of the stock market’s rollercoaster. Enter the Gold IRA, a game-changer in the world of retirement planning. Opting for a Gold IRA means you’re investing in physical gold and other precious metals – real, tangible assets that have always been a solid bet. This move from a traditional 401k to a Gold IRA isn’t just about diversifying; it’s about securing your savings with gold, an asset that has always held its ground, even in rough financial seas. Gold IRAs bring the same tax perks as standard IRAs, blending growth potential with smart tax planning. With OWNx guiding the way, you’re in for a smooth transition to a more secure and potentially more rewarding retirement strategy

OWNx makes it simple to invest in precious metals.

Eligibility for 401k to Gold IRA Rollover: Understanding Your Options

When you’re looking at moving your 401k over to a Gold IRA, the first thing to figure out is whether your 401k is ready to make the leap. It boils down to two types of accounts: “active” and “eligible.” Active 401ks are those you’re currently contributing to through your employer. These are typically off-limits for a direct rollover into a Gold IRA. However, if you’ve got a 401k from a past job, that’s what we call an “eligible” 401k, and it’s set for the transition. Knowing which category your 401k falls into is key. At OWNx, we can help you figure this out, ensuring you’re on the right track from the get-go, without facing any unexpected tax hiccups.

Choosing the Right Gold IRA Company

When you’re gearing up to shift your retirement savings from a 401k to a Gold IRA, the decision of which company to trust is pivotal. It’s not just about finding a firm that’s got a great reputation; it’s about choosing a partner well-versed in the nuances of gold investments. This is where OWNx stands out. With a knack for breaking down complex processes into easy-to-understand steps and a proven track record, OWNx makes sure that your journey into gold investment is both informed and seamless. They guide you through every step, ensuring your move to a Gold IRA is as smooth and advantageous as possible.

The Rollover Process

Embarking on your 401k to Gold IRA rollover might seem like a daunting task, but with OWNx, it’s simplified. The process essentially involves a direct transfer of funds from your 401k to a new Gold IRA, a method that’s both efficient and penalty-free. OWNx assists you in navigating this process, ensuring that your rollover complies with all IRS guidelines, thereby avoiding any potential tax implications. Whether it’s understanding the intricacies of direct and indirect rollovers or managing the necessary documentation, our team of experts is there to support and guide you, making your transition to a gold-backed retirement smooth and stress-free.

Investment Options in Gold IRA

Stepping into a Gold IRA, you’re not just limited to gold – it’s a gateway to a variety of precious metals like silver, platinum, and palladium. This broad spectrum of choices empowers you to diversify your retirement portfolio, tailoring it to match your investment goals and risk appetite. Opting for a mix of these metals isn’t just about preference; it’s a strategic move to fortify your financial future against market fluctuations. Whether it’s the timeless appeal of gold or the industrial relevance of silver and platinum, a well-rounded precious metals IRA offers a balanced approach to safeguarding your retirement nest egg.

Tax Benefits of Gold IRA Investments

When you roll over your 401k into a Gold IRA, you tap into significant tax benefits, just like those offered by traditional IRAs. The most notable advantage is the tax-deferred growth of your investments. What this means is that the money you contribute, as well as the gains your investments accrue, won’t be taxed until you decide to make withdrawals. This feature of a Gold IRA is particularly beneficial for long-term growth, as it allows your investments to compound over time without the immediate burden of taxes. Additionally, depending on your specific tax situation, contributions to your Gold IRA may be tax-deductible, further reducing your taxable income for the year.

Avoiding Tax Penalties During the Rollover

Navigating the rollover process without incurring tax penalties is a crucial aspect of transitioning to a Gold IRA. To ensure a penalty-free rollover, it’s essential to adhere to IRS guidelines. One key rule is the 60-day rollover requirement: if you’re conducting an indirect rollover, you must deposit the funds into your new Gold IRA within 60 days of withdrawing them from your 401k to avoid penalties and taxes. However, the safest and most straightforward method is a direct rollover, where funds are transferred directly between custodians without you ever handling the money. This method eliminates the risk of missing deadlines and inadvertently triggering a taxable event. Proper execution of these steps ensures that your rollover to a Gold IRA is not only compliant with tax laws but also optimizes your retirement savings for future growth.

Conclusion: Transitioning to a Gold IRA with OWNx

Opting to transfer your 401k into a Gold IRA, with guidance from OWNx, is a prudent step towards securing your retirement. OWNx makes this transition seamless and compliant, ensuring a smooth process. By incorporating gold into your retirement strategy, you’re diversifying your portfolio and paving the way for a retirement that is resilient and adaptable in the face of economic shifts.

OWNx makes it simple to invest in precious metals.

FAQs

What should I look for in a Gold IRA company?

When searching for a Gold IRA company, consider their reputation, expertise in precious metals investments, customer service quality, and how well they guide clients through the IRA rollover process.

Are there different types of Gold IRA rollovers?

Yes, there are two main types: direct and indirect rollovers. A direct rollover involves transferring funds directly from a 401k to a Gold IRA, whereas an indirect rollover requires temporarily receiving the funds before reinvesting them into a Gold IRA within 60 days.

What makes a Gold IRA company reputable?

Reputable Gold IRA companies have a proven track record, positive client testimonials, transparent business practices, and compliance with IRS regulations regarding Gold IRAs and precious metals investments.

Can I include other precious metals in a self-directed Gold IRA?

Yes, a self-directed Gold IRA allows for investments in various physical precious metals, including gold, silver, platinum, and palladium, subject to IRS regulations.

What are the benefits of choosing a chosen Gold IRA company like OWNx?

Choosing a company like OWNx ensures expert guidance, a smooth rollover process, compliance with IRS rules, and access to a range of precious metals investment options.

What is the role of a Gold IRA custodian?

A Gold IRA custodian manages the account, ensures IRS compliance, oversees transactions, and provides secure storage options for the physical precious metals.

How do precious metals IRAs differ from traditional IRAs?

Precious metals IRAs focus on investments in physical assets like gold bullion, whereas traditional IRAs typically involve paper assets such as stocks and bonds.

Are there any tax penalties to worry about during a Gold IRA rollover?

To avoid tax penalties during a rollover, adhere to the 60-day rule for indirect rollovers and prefer a direct rollover method, where funds are transferred directly between custodians.

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Home Storage Gold IRA: Is it Worth the Risk?

OWNx TeamRetirement Planning

Since 1997, folks have been able to add precious metals like gold to their IRAs, but the “home storage” option, popping up around 2014, has stirred up a lot of questions. In this post we hope to clear up any confusion around keeping your gold IRA coins and bullion at home.

Key Insights
Gold IRAs are a solid way to keep your retirement savings safe from unpredictable financial markets.
The idea of keeping your IRA gold at home has come up a lot since 2014 but it’s tricky because of strict rules.
The IRS isn’t on board with keeping IRA gold at home, pointing out it goes against their rules and could lead to trouble.
Trying to set up a home storage Gold IRA involves a lot of steps and legal stuff, making it a tough option for many.
It’s smarter and safer to go with Gold IRAs through a custodian who makes sure everything’s done right and stored safely.
Choosing to store your gold at home could lead to more IRS checks and big fines if things aren’t done correctly.
Keeping gold at home can bring extra worries and work, taking away from the enjoyment of your investment.
Investing in Gold IRAs the right way means working with trusted folks and sticking to gold that the IRS says is okay.
OWNx makes investing in gold straightforward and clear, focusing on what’s best for you without any hidden surprises.
Smart investing in Gold IRAs means staying informed, careful, and getting advice from pros to steer clear of scams.

OWNx makes it simple to invest in precious metals.

The Allure and Reality of Home Storage Gold IRAs

Home Storage Gold IRA sounds appealing at first glance – the idea of storing your gold assets conveniently at home while reaping the benefits of an IRA. This notion gained traction post-2014, as marketers introduced terms like “LLC IRA” and “checkbook IRA” to exploit legal loopholes. However, the IRS rules on IRAs have remained unchanged, casting doubts on the legitimacy of this approach.

The reality is that a Home Storage Gold IRA or Precious Metals IRA is not as straightforward as it appears. The IRS has been clear in its stance: storing IRA gold at home does not align with their regulations. Despite the attractive portrayal by some advertisers, the legal risks and potential for severe penalties for non-compliance cannot be overstated. Home storage Gold IRAs involve navigating a complex legal landscape, one that the average taxpayer is often ill-equipped to handle.

Qualification Criteria for Home Storage Gold IRAs

Qualifying for a Home Storage Gold IRA is an arduous process, laden with legal hurdles. To embark on this journey, one must:

  • Establish an LLC: This is the first step, requiring a specially crafted operating agreement.
  • Net Worth and Fiduciary Requirements: Prospective investors must demonstrate a significant net worth and possess a reputable financial background.
  • Legal and Administrative Barriers: The process involves meticulous legal and financial documentation, often necessitating professional assistance.
  • Audits and Compliance: Regular audits and adherence to stringent IRS regulations are mandatory to maintain the IRA’s status.
  • Eligibility Limitations: The truth is, very few taxpayers meet the criteria to qualify for a home storage Gold IRA, making it an impractical option for most.

Alternatives to Home Storage Gold IRAs

Given the challenges associated with Home Storage Gold IRAs, it’s prudent to consider safer alternatives. Self-directed IRAs managed by qualified custodians emerge as a more viable and legally sound option. These IRAs allow for investing in physical gold and other precious metals, while ensuring compliance with IRS regulations. A notable option in this space is OWNx, renowned for its fractional gold ownership system. This approach makes gold investment more accessible, enabling investors to buy smaller, manageable amounts of gold for their IRA.

Investors can benefit from the expertise and guidance of these custodians, who navigate the complexities of precious metal investments. Moreover, these IRAs provide secure storage options, eliminating the risks associated with home storage. By opting for a self-directed IRA, investors can still achieve the diversification and security offered by physical gold, without the legal ambiguities and risks of home storage.

The Risks of Home Storage Gold IRAs

Increased Audit Likelihood

Choosing a Home Storage Gold IRA significantly increases the chances of an IRS audit. The IRS often views these arrangements with skepticism, primarily due to their potential for non-compliance with strict IRA regulations. As a result, investors in Home Storage Gold IRAs may find themselves under closer scrutiny, leading to stressful and time-consuming audits.

Severe Financial Penalties

One of the most daunting risks of a Home Storage Gold IRA is the possibility of severe financial penalties. Non-compliance with IRS regulations can lead to substantial fines and the loss of crucial tax advantages associated with traditional Gold IRAs. These penalties can significantly diminish the value of your retirement savings, undermining the very purpose of your investment.

Security Concerns

Storing physical gold at home poses significant security risks. Unlike professional storage facilities that offer advanced security measures, home storage leaves your valuable investments vulnerable to theft, damage, or loss. This risk not only threatens your financial security but can also lead to a sense of constant unease regarding the safety of your assets.

Administrative Burdens

Managing a Home Storage Gold IRA demands an in-depth understanding of complex IRS rules and constant vigilance. This administrative burden can be overwhelming for the average investor, requiring continuous monitoring and management to ensure ongoing compliance. Any oversight or misunderstanding of the regulations can lead to serious legal and financial repercussions.

Professional Guidance

Without professional financial advice, navigating the intricacies of a Home Storage Gold IRA can lead to costly errors. The lack of expert guidance often results in missteps in compliance, investment decisions, and security measures. Professional custodians, like those in traditional Gold IRA setups, provide the expertise and oversight necessary to avoid such pitfalls and ensure a smooth and compliant investment journey.

How to Properly Invest in Gold IRAs

Navigating the world of Gold IRAs can be complex, but with the right approach, it can be a rewarding part of your retirement strategy. Here’s how to do it right:

  • Choose a Trusted Custodian: Select an IRS-approved custodian who specializes in self-directed Gold IRAs.
  • Understand IRS Regulations: Familiarize yourself with the rules and requirements for Gold IRA investments.
  • Select IRS-Approved Metals: Ensure that the precious metals you invest in are compliant with IRS standards.
  • Invest Through a Custodian: Purchase your gold and precious metals through the custodian to ensure proper handling and storage.
  • Opt for Secure Storage: Gold and other precious metals in your IRA should be stored in a secure, IRS-approved depository.

Investing in a Gold IRA offers a way to diversify your retirement portfolio and protect your savings against economic volatility. With professional guidance from a custodian, you can navigate the investment process with confidence.

Conclusion

The concept of a Home Storage Gold IRA, while attractive, is fraught with legal complexities and risks. The stringent regulations set by the IRS make it a challenging and often impractical option for most investors. Instead, a traditional Gold IRA, managed by a qualified custodian, provides a safer and more compliant path to including precious metals in your retirement plan. By understanding the risks and requirements, and seeking professional guidance, you can make informed decisions that protect your retirement assets and ensure a stable financial future.

OWNx makes it simple to invest in precious metals.

FAQs

Can I store my IRA gold at home?

No, IRS regulations mandate that IRA gold must be stored in an IRS-approved depository, not in a home storage setting. This rule is crucial for maintaining the tax-advantaged status of your gold IRA account.

Can you personally hold gold in an IRA?

You can include gold in an IRA, but it must be under the supervision of an IRS-approved custodian and stored in a secure depository. This ensures that your physical gold assets are well-protected and compliant with IRS guidelines.

What are the implications when a couple stored IRA gold at home and owed the IRS more than $300,000?

When a couple stored their IRA gold at home, the IRS treated it as a distribution, leading to significant tax penalties. This situation is a cautionary tale about the financial risks of non-compliance with gold IRA storage rules.

What is a home storage IRA?

A Home Storage IRA is an arrangement where an investor attempts to store IRA assets, such as gold bullion or gold coins, at home. However, this is against IRS rules and poses significant legal and financial risks.

Are there any tax advantages to a Home Storage Gold IRA?

Home Storage Gold IRAs do not offer the same tax advantages as standard Gold IRAs. Due to non-compliance with IRS regulations, they can lead to tax penalties instead of benefits.

How does storing gold in an IRS-approved depository benefit my retirement account?


Storing gold in an IRS-approved depository like the Delaware Depository ensures the security and compliance of your gold IRA storage. This arrangement protects your retirement funds and maintains the tax-deferred status of your IRA account.

What should I know about gold IRA rules concerning gold coins and bullion?

Gold IRA rules stipulate that gold coins and bullion must meet certain purity standards and be stored in an IRS-approved facility. Understanding these rules is crucial for ensuring your gold IRA account remains compliant and secure.

How can I ensure my retirement funds are safe in a Gold IRA account?

To safeguard your retirement funds in a Gold IRA account, it’s important to work with a reputable custodian and ensure your physical precious metals are stored in an IRS-approved facility. This minimizes risk and ensures adherence to gold IRA rules.


Is investing in a Precious Metals IRA a good strategy for diversifying retirement accounts?

Investing in a Precious Metals IRA is an excellent way to diversify your retirement accounts. It provides exposure to physical assets like gold and silver, which can hedge against inflation and economic volatility.


What is the process of buying gold for an IRA account?

The process of buying gold for an IRA account involves selecting IRS-approved gold bullion or coins through a custodian, who then arranges for the purchase and secure storage of the gold in an approved depository. This process ensures compliance with IRA rules and the security of your investment.

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IRA Approved Silver – What You Need to Know

OWNx TeamGold & Silver Market, Retirement Planning

Key Insights
Silver in IRAs: Boost your retirement savings with tax-efficient silver investments in your IRA.
Silver Market Strategy: Adjust your silver investments with market trends for a stronger precious metals portfolio.
Choosing IRA Silver: Select IRS-standard, high-quality silver from trusted mints for your IRA.
Easy Silver Investing: OWNx simplifies silver investing, ideal for beginners to start small and diversify.
Silver Investment Variety: Explore a range of IRA-approved silver options, from coins to bars, to suit diverse investment strategies.
Understanding IRA Silver Rules: Master the tax and investment guidelines of Traditional and Roth IRAs for effective silver inclusion

OWNx makes it simple to invest in precious metals.

The Benefits of Fractional Silver Ownership with OWNx

IRA Advantages

Investing in IRA-approved silver brings significant benefits. The main advantage is the tax benefit that comes with Individual Retirement Accounts (IRAs). Silver, being a physical asset, aligns well with IRA rules and offers a stable investment option. OWNx’s platform enhances these benefits by making it easy for investors to buy and sell silver within their IRA. This flexibility is especially useful in a fluctuating market, as it lets investors adjust their IRA approved gold and silver holdings quickly and efficiently.

Affordable Fractional Ownership

OWNx’s innovative fractional ownership model opens up the silver market to investors at a more reachable price. This approach makes investing in silver accessible to a broader range of investors, not just those with significant funds. At OWNx, even investors starting small can get a slice of the action, buying parts of larger silver bars or coins. This approach democratizes investing in precious metals, making it possible for more people to diversify their portfolios.

Maximizing Your Silver Holdings

The ability to grow your silver holdings in your IRA is crucial. As silver prices fluctuate, being able to adapt your investments to these changes is a key advantage. This strategy allows you to leverage market trends and strengthen your precious metal assets. It’s an essential approach for investors, both experienced and beginners, aiming to enhance the growth of their portfolios.

Understanding IRA-Approved Silver Products

For silver to be eligible for an IRA, it has to meet specific purity requirements set by the Internal Revenue Service (IRS). It also needs to be produced by either a national government mint or a recognized manufacturer. Popular IRA-approved silver items include the American Silver Eagle coins and bars from reputable mints like the Royal Canadian Mint and Sunshine Mint. Getting to know these qualifications is vital for investors who wish to add silver to their IRAs.

Investing in IRA-Approved Silver Coins 

When you’re looking to invest in silver, the option of fractional ownership is a game-changer. This approach lets you invest in parts of large IRA-approved silver bars and coins, making it both accessible and cost-effective. But, if you’re considering specific bars or coins, it’s important to know which ones are IRA-approved. Here’s a rundown of the most common IRA-approved silver coins and bars, ensuring your investment is in line with IRA regulations.

IRA-Approved Silver Coins

  • American Silver Eagle
  • Proof Silver American Eagle
  • Canadian Silver Maple Leaf
  • Silver Vienna Philharmonic
  • Australian Kangaroo
  • Mexican Libertad
  • South African Silver Krugerrand
  • Chinese Silver Panda
  • British Silver Britannia (from 2013 onwards)
  • Silver Morgan Dollar
  • Silver Peace Dollar
  • Austrian Silver Vienna Philharmonic
  • Australian Silver Koala
  • Australian Silver Lunar

Most Common IRA-Approved Silver Bars

If you’re interested in silver bars for your IRA, consider these widely trusted and IRA-approved options. Each bar meets the stringent standards for IRA eligibility, assuring both quality and adherence to regulations:

IRA-Approved Silver Bars

  • Johnson Matthey Silver Bar
  • PAMP Suisse Silver Bars
  • 10 oz Sunshine Silver Bar
  • A-Mark Silver Bar
  • Walking Liberty Silver Bar
  • OPM Silver Bars
  • RCM Silver Bars

Remember, to qualify as IRA-approved, silver bars need to be produced by an assayer or refinery approved by COMEX or NYMEX and must have a purity level of at least 0.999. In the same vein, the coins must also adhere to these purity levels and be minted by an official national government mint.

IRA Rules and Regulations

Knowing the differences between Traditional and Roth IRAs is key to effective retirement planning. Each type of Individual Retirement Account offers distinct tax benefits and operates under specific rules, catering to different financial needs.

Traditional IRAs

Traditional IRAs feature tax-deferred growth. Contributions to these accounts may be tax-deductible, and taxes are only paid upon withdrawal, typically during retirement. This can be particularly beneficial for individuals in higher tax brackets now who expect to be in a lower bracket after retiring.

Roth IRAs

Roth IRAs, in contrast, provide tax-free growth. Contributions are made with after-tax dollars, so withdrawals during retirement are not taxed. This is ideal for individuals who anticipate being in a higher tax bracket in the future, or for those who prefer the assurance of no taxes on their retirement withdrawals.

Both account types have their own set of rules regarding contribution limits, eligibility based on income, and conditions for withdrawals. They also offer a range of investment options, including stocks, bonds, and under certain conditions, precious metals like silver and gold. Fully understanding the structure and benefits of these IRAs is crucial for making well-informed decisions for a secure and prosperous retirement..

OWNx: Guiding Your Silver Investment Journey

OWNx is committed to a seamless and transparent experience in silver investing. Their platform is designed for investors at all levels, offering insights, tools, and support needed to make well-informed decisions. Whether you’re new to silver investments or looking to grow your existing portfolio, OWNx is a trustworthy and reliable partner in your investment journey.

FAQs

What Makes Silver Eligible for IRAs?

Silver is considered IRA-approved when it meets the IRS’s specific purity requirements. This includes silver bullion coins and bars sourced from accredited manufacturers. Typically, to be eligible, silver needs to be 99.9% pure and produced by recognized mints, such as the Austrian Silver Philharmonic or other national government mints.

How Does Fractional Ownership Work at OWNx?

Fractional ownership with OWNx enables investors to own portions of larger silver and gold bullion assets. This method makes investing in IRA-approved precious metals more accessible, as you can invest in smaller, manageable parts of gold coins or silver bars, still enjoying the security and growth potential of the full asset.

Can Gold Coins Be Part of a Precious Metal IRA?

Yes, certain gold coins can be included in a precious metal IRA. These coins, including gold bullion coins, must meet the IRS’s purity criteria and be minted by accredited sources, ensuring your IRA investment is both secure and compliant. Buy gold here.

What Benefits Do Silver Bullion Coins Offer in Silver IRAs?

Incorporating silver bullion coins into a Silver IRA provides diversification, a potential hedge against inflation, and growth opportunities. Coins like the Austrian Silver Philharmonic are popular for their purity, legal tender status, and global recognition.

Are Proof Coins Suitable for a Roth IRA?

Yes, some proof coins are suitable for inclusion in a Roth IRA, as long as they meet the IRS’s minimum purity requirements. This includes select gold and silver proof coins valued for their collectability and investment worth.

What Are the Main Advantages of Silver IRAs?

Silver IRAs offer several benefits, including portfolio diversification, potential protection against inflation, and the stability of owning tangible assets. This type of IRA permits investments in physical silver, like bullion coins or bars, serving as a hedge against market fluctuations

OWNx makes it simple to invest in precious metals.

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IRA Approved Gold – What You Should Know

OWNx TeamGold & Silver Market, Retirement Planning

Key Insights
Gold IRAs offer protection against economic downturns and market volatility.
OWNx facilitates fractional ownership of large, IRA-approved gold and silver bars, enabling instant IRA transactions and competitive pricing.
A range of IRA-eligible gold coins and bars provide diversification, quality, and investment flexibility.
Gold IRAs offer tax advantages, portfolio diversification, and a safeguard against diminishing purchasing power.
Withdrawing before age 59½ can lead to penalties, making it important to choose a reputable company like OWNx for Gold IRA guidance.
Compliance with IRA-specific rules and the requirement of IRS-approved depositories are essential for the security of gold investments.
As the gold IRA market evolves, OWNx remains at the forefront, offering diverse gold investment options suitable for various IRA types.

OWNx makes it simple to invest in precious metals.

Understanding IRA Approved Gold

When it comes to securing your retirement against the unpredictability of the stock market, turning to gold IRAs emerges as a prudent strategy. Gold, often seen as an excellent hedge against inflation and market volatility, is a preferred choice for diversifying retirement funds.  However, if you’re considering adding gold to your retirement strategy, it’s important to understand the concept of IRA approved gold.  This includes gold coins like the American Eagle and the American Buffalo, and bulk gold in bars produced by certified manufacturers. Notably, collectible coins usually don’t meet the criteria for IRA investment.

OWNx: A Gateway to Fractional Gold Ownership

The OWNx platform revolutionizes the way you can interact with gold and silver, offering fractional ownership of large, IRA-approved bars. This approach enables investors to buy and sell within their IRA instantaneously, secure metal at competitive prices, and maximize their ounce holdings. Embracing bulk gold in your IRA strategy aligns seamlessly with the tax-deferred nature of retirement accounts, allowing you to accumulate more metal, ensuring steady growth and shielding against the volatile numismatic values of certain coins.

Please note: The OWNx platform enables you to own gold and silver in the form of fractional ownership of IRA-approved large gold and silver bars.
The benefits of this are the ability to:

  1. Buy and sell gold and silver instantly within your IRA.
  2. Obtain metal at the lowest possible price.
  3. Maximize the number of ounces you hold.

Diverse IRA Eligible Gold Coins

Diversification is key in gold IRAs, and this is where IRA eligible gold coins come into play. These coins, ranging from American Gold Eagle bullion to Australian Kangaroo/Nugget coins, adhere to stringent quality standards. They must originate from NYMEX or COMEX-approved refineries or national government mints, meeting essential fineness criteria. These coins, including the British Gold Britannia and Chinese Gold Panda, are popular for their reliability and quality, making them a staple in gold IRA portfolios.

Most Common IRA Eligible Gold Coins

Here are some of the most common IRA eligible gold coins that are popular among investors for their reliability and adherence to quality standards:

  • American Gold Eagle bullion coins
  • American Gold Eagle proof coins
  • British Gold Britannia coins (from 2013)
  • British The Queen’s Beasts coins
  • British gold Shēngxiào Lunar Series coins
  • Canadian Gold Maple Leaf coins
  • Austrian Gold Philharmonic coins
  • Australian Kangaroo/Nugget coins
  • Chinese Gold Panda coins
  • American Gold Buffalo uncirculated coins (proofs not allowed)​​.

Best IRA Approved Gold Bars

For those inclined towards gold bars, a range of IRA-approved options awaits. Each type of bar, from the 1 oz PAMP Suisse to the 400 oz London Good Delivery, offers unique benefits tailored to different investment goals. These bars, known for their purity and credibility, include the 10 oz Credit Suisse and Kilogram Perth Mint bars, making them a secure choice for your gold IRA. With OWNx, these bars become accessible, allowing for a diversified and robust gold IRA.

IRA Approved Gold Bars

  • 1 oz PAMP Suisse Gold Bars: Highly regarded for their purity, perfect for personal portfolios.
  • 10 oz Credit Suisse Gold Bars: A balance of value and manageability, known for quality.
  • Kilogram Perth Mint Gold Bars: Ideal for substantial investments with lower premiums.
  • 100 gram Royal Canadian Mint Gold Bars: Flexible and valuable, a mid-range investment choice.
  • 50 gram Valcambi Gold Bars: Suitable for incremental strategies, smaller and practical.
  • 1 oz American Gold Eagle Bar: A U.S. favorite, combining trust and prestige in a compact form.
  • 10 oz American Gold Buffalo Bar: Offering U.S. mint craftsmanship, a blend of heritage and value.
  • 400 oz London Good Delivery Gold Bars: The gold standard for significant, long-term investment.

Benefits of Investing in Gold IRAs

  • Tax Advantages: With a traditional gold IRA, your contributions might be tax-deductible. Plus, your investment grows tax-free until withdrawal.
  • Portfolio Diversification: Gold often moves in a different direction to stocks and bonds, offering a balancing effect to your overall investment strategy.
  • Inflation Protection: Historically, gold has been a reliable asset during high inflation, preserving its purchasing power.

OWNx makes it simple to invest in precious metals.

Understanding Early Withdrawal Implications

It’s crucial to remember that withdrawing your gold from an IRA before age 59½ could lead to penalties. Consulting with a financial advisor is advisable before making such decisions.

Choosing the Best Gold IRA Company

When selecting a company for your Gold IRA, it’s important to consider their expertise, fee structure, and customer service. OWNx stands out as a top choice due to its straightforward and transparent approach to Gold IRA investments. With OWNx, you gain access to a broad range of IRA-approved gold options and benefit from their expert guidance, making the process of setting up and managing your Gold IRA both simple and efficient.

Understanding IRA Rules and Regulations

Different IRAs, Different Rules

Each IRA type offers different advantages and limits. For example, traditional and Roth IRAs have contribution limits and withdrawal restrictions. Self-directed IRAs offer more flexibility but might have higher fees.

The Importance of an IRS-Approved Depository

All IRA eligible gold must be stored in an IRS-approved depository. This ensures safety and compliance with IRS regulations. OWNx enhances this security aspect by offering storage for your gold, silver, platinum, and palladium at world-class non-bank depository facilities located in Delaware and Texas (USA). These facilities are internationally recognized for their robust security measures, ensuring the safety of your investments. 

The Future of IRA Approved Gold Investments

Keeping Up with Emerging Trends

The gold IRA market is evolving with new options like futures, ETFs, and mutual funds. Traditional investments in bars and rounds remain popular.

A Bright Future Ahead

With a range of options available, the future of IRA approved gold investments looks promising. Whether you prefer physical gold or other investment vehicles, there’s likely an option for you. OWNx offers a variety of gold investment options suitable for IRAs, catering to diverse investment preferences. This flexibility, combined with adherence to IRA regulations, makes OWNx a practical choice for those looking to include gold in their retirement portfolios.

By following the guidelines, you can start building a secure future today. Investing in IRA approved gold offers peace of mind and a hedge against market volatility.

FAQs

How Do Gold Bullion Coins Fit into a Gold IRA Account?

Gold bullion coins, like the American Eagle and American Buffalo, are key IRA eligible gold products, offering a way to diversify Individual Retirement Account portfolios.

What Role Do Gold Mining Companies Play in Gold IRA Investments?

Gold mining companies provide alternatives to physical gold in Gold IRAs, influencing the availability and price of IRA eligible gold products.

What to Know About Purchasing IRA Eligible Gold?

When buying IRA eligible gold, ensure the products, like certain gold bullion coins and bars, meet IRS purity standards and are from certified manufacturers.

Can Gold Bullion Be Part of Precious Metals IRAs?

Yes, gold bullion, including specific high-purity bars and coins, is allowed in Precious Metals IRAs, serving as a hedge against market instability within Individual Retirement Accounts.

What Benefits Does a Gold IRA Account Offer?

A Gold IRA account, within an Individual Retirement Account framework, provides portfolio diversification, potential tax benefits, and inflation protection.

How Do Precious Metals IRAs Differ from Regular IRAs?

Precious Metals IRAs include physical assets like gold, silver, and platinum, offering additional security against economic uncertainties, unlike regular retirement accounts.

What Should You Consider When Setting Up a Precious Metals IRA?

Setting up a Precious Metals IRA involves choosing a reliable custodian and understanding the rules for IRA-eligible gold and other precious metals, ensuring that your investments comply with IRS regulations and align with your financial goals.

OWNx makes it simple to invest in precious metals.

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Platinum and silver value

Why is Platinum Cheaper than Gold?

OWNx TeamGold & Silver Market

Platinum is one of the rarest and most valuable metals in the world, yet it is often cheaper than gold. This may seem counterintuitive, but there are several factors that influence the pricing of these precious metals. In this section, we will explore these factors and provide insights into why platinum is cheaper than gold.

Key Insights
Platinum is a rare and valuable metal that is often cheaper than gold.
The pricing of precious metals is influenced by a variety of factors, including market dynamics, industrial demand, and historical trends.
Understanding these factors can help investors make informed decisions about whether to invest in platinum or gold.
Despite being cheaper than gold, platinum has significant industrial applications and is a popular choice for jewelry and other luxury goods.
Ultimately, the decision to invest in platinum or gold should be based on individual financial goals and market conditions.

OWNx makes it simple to invest in precious metals.

Understanding Precious Metals

If you’re interested in platinum and gold, it’s important to understand the nature of precious metals. Precious metals refer to naturally occurring metallic elements that are highly valued for their rarity, beauty, and durability. These metals have been used for a range of purposes throughout human history, including jewelry, currency, and industrial applications.

The four major precious metals are gold, silver, platinum, and palladium. Gold is the most well-known and widely used of the precious metals, with a long history of use in jewelry, currency, and investment. Silver is the next most commonly used precious metal, with a wide range of industrial and decorative applications. Platinum and palladium are also used in jewelry and in a variety of industrial processes.

When it comes to jewelry, gold and platinum are the two most popular precious metals. Gold is available in two colors: yellow gold and white gold. Yellow gold is made by mixing pure gold with other metals such as copper and silver. White gold is made by mixing pure gold with other metals such as palladium, nickel, and silver. Platinum, on the other hand, is naturally a white metal, with a bright, shiny appearance that is often compared to white gold.

Gold and platinum are both popular choices for jewelry. While they may look similar, there are some key differences between the two metals. Gold is a softer metal than platinum, which means it is more susceptible to scratches and dents. Platinum is a harder metal and more resistant to damage, making it a popular choice for engagement rings and other frequently worn pieces of jewelry. Platinum is also hypoallergenic, making it a good choice for people with sensitive skin.

Yellow Gold vs. White Gold

gold coins

As mentioned earlier, gold is available in two colors: yellow gold and white gold. Yellow gold is the traditional color of gold and is often used in classic and traditional jewelry styles. White gold, on the other hand, has a more modern and contemporary look, making it a popular choice for engagement rings and other modern styles of jewelry. White gold is created by mixing pure gold with other metals such as palladium, nickel, and silver, which gives it a bright, silvery appearance.

While both yellow gold and white gold are popular choices for jewelry, they have different properties that make them unique. Yellow gold is a softer metal than white gold, which means it can be more easily scratched or dented. White gold is generally more durable and resistant to damage, making it a good choice for everyday wear.

In the next section, we will explore the rarity of platinum and its impact on prices compared to other precious metals.

The Rarity of Platinum

Platinum is a shiny white metal that is rarer than gold. It is found in the Earth’s crust at concentrations of only 5 parts per billion, compared to 0.004 parts per billion for gold. This scarcity contributes to the higher value of platinum compared to other metals.

Platinum is also denser than gold, meaning that a piece of platinum will weigh more than a piece of gold of equivalent size.

Despite its rarity, platinum has several industrial uses. It is a key component in catalytic converters, which reduce harmful emissions from vehicles. The metal’s durability and resistance to corrosion also make it a popular choice in laboratory equipment and electrical contacts.

Overall, the combination of its scarcity and industrial demand contributes to the pricing of platinum in the precious metals market.

Industrial Uses and Demand

Platinum has significant industrial applications, making it one of the most important industrial metals in use today. It is used in the manufacture of various products, ranging from jewelry to electronics, but its most important application is in catalytic converters.

Catalytic converters are essential components in the exhaust systems of automobiles. They reduce the amount of pollution released into the atmosphere by converting harmful gases into less harmful ones. Platinum is a key component in the manufacture of catalytic converters, making it an important part of the automotive industry.

As a result, the demand for platinum from the auto industry has a significant impact on the platinum market. Any changes in the demand for automobiles or in government regulations that govern emissions can affect the price of platinum.

Platinum is also used in the manufacture of other industrial products due to its unique properties. It is a dense, malleable, and ductile metal that is highly resistant to corrosion. These properties make it ideal for use in a wide range of industrial applications.

In terms of color, platinum is a silver colored metal that is often used in jewelry as a substitute for white gold. However, the industrial uses of platinum are far more important than its use in jewelry in terms of its impact on the platinum market.

“Platinum is an important part of the automotive industry due to its use in catalytic converters.”

Historical and Investment Factors

Understanding the historical value of precious metals such as gold and platinum is important when considering their investment potential. The price of gold has been historically stable, and it has been a symbol of wealth for centuries. Physical gold is often seen as a safe haven investment during times of economic crisis or downturn.

On the other hand, platinum’s price fluctuates differently compared to gold. Its industrial uses and demand have a significant impact on its price, making it less stable as an investment option. However, some investors see platinum as an attractive option due to its rarity and potential for higher prices.

It’s important to note that other precious metals such as silver also play a role in the investment market. While not as valuable as gold or platinum, silver’s historic value and industrial uses make it a popular option as well.

Investors should also consider the impact of economic crises and downturns on precious metal prices. During times of uncertainty, gold and platinum prices may rise due to their perceived material value and stability in the market.

While investment in precious metals may be appealing for some, it’s important to weigh all options and consider their role in a diversified portfolio. Traditional stocks and other investment options should also be considered when planning for the future.

OWNx makes it simple to invest in precious metals.

Market Dynamics and Price Differences

Platinum prices have fluctuated differently compared to gold prices over the years, making it an affordable option for investors. The price of platinum is affected by a variety of market dynamics, including supply and demand, economic conditions, and geopolitical events, among others.

The price of platinum is also affected by the price of gold, as both precious metals are often compared to one another. Currently, platinum is cheaper than gold due to a combination of factors, including its industrial uses and historical factors.

Price DifferencesReasons
Platinum cheaper than goldIndustrial demand for platinum in the automobile industry, among others, has a significant impact on the price of platinum, making it more affordable than gold despite its rarity.
Price of platinum fluctuates differently compared to goldWhile gold is considered a more stable investment option, platinum prices tend to fluctuate more due to its industrial uses and market dynamics.

In recent years, platinum prices have been affected by the rise of electric vehicles, as they do not require catalytic converters, the primary industrial use for platinum. However, demand for platinum for other industrial uses, such as in the healthcare industry and in electronic devices, has remained strong.

Overall, the price differences between platinum and gold are influenced by a variety of factors, including market dynamics, historic value, and industrial uses. It’s important for investors to consider these factors and the unique characteristics of both metals when making investment decisions.

Investors often consider both platinum and gold as potential investments due to their material value, stability in the market, and their role in diversified portfolios and retirement savings. When buying precious metals, it’s essential to understand the weight and purity of the metal, which is measured in troy ounces.

FactorsPotential Impact on Platinum Prices
Demand for Electric VehiclesIncrease in demand for platinum in fuel cell technologies
Utilization in Fuel Cell TechnologiesPotential growth in platinum demand across various industries
Supply DisruptionsPossible decrease in platinum supply and higher prices

Platinum options include buying physical platinum, platinum ETFs, or purchasing platinum futures. However, buying physical platinum requires a higher investment due to its higher price per troy ounce than gold. For traditional stocks, investing in mining companies or mutual funds that own precious metals is an option, but it’s essential to research these options thoroughly to ensure they align with your investment strategy.

Gold is often considered the gold standard of investments due to its steady returns and historical value. It’s also a popular choice for retirement savings because it’s a tangible asset that can be stored and sold at any time. Gold prices tend to fluctuate less than platinum prices, making it a more stable investment option for some investors.

When compared to gold, platinum’s price has historically been more volatile, but it can offer higher returns over time. Investing in platinum offers a way to diversify a portfolio and hedge against inflation. However, it’s important to do your research and monitor market trends to make informed investment decisions.

It’s essential to consider your financial goals, investment strategy, and risk tolerance before investing in any precious metals. Platinum and gold both offer unique benefits and drawbacks, and it’s important to weigh these factors before deciding which metal to invest in.

Industrial and Financial Outlook

The auto industry has a significant impact on the prices of platinum and gold. Platinum is widely used in catalytic converters, making it a crucial component in reducing emissions from vehicles. As the auto industry shifts towards more eco-friendly technologies, such as electric vehicles, the demand for platinum may decrease, resulting in a decrease in its price.

Platinum and gold hold a special place in the hearts of the most well-informed investors. Despite being a less popular investment option than traditional stocks, many investors consider them as a safe haven during times of economic uncertainty. As a result, they tend to hold their value well during economic downturns, making them a valuable addition to diversified portfolios.

Some credit card companies even offer platinum credit cards for high net worth customers, highlighting the precious metal’s association with wealth and luxury.

The global economy also has a significant impact on the prices of platinum and gold. As the world becomes more interconnected, economic crises in one region can affect the prices of precious metals worldwide. In times of global instability, investors may seek to invest in precious metals as a hedge against inflation and other economic risks. This increased demand can lead to higher prices for both platinum and gold.

Overall, the industrial and financial outlook for platinum and gold is complex and multifaceted. However, their unique characteristics and uses make them intriguing options for investors looking to diversify their portfolios and protect their retirement savings.

While platinum and gold are both precious metals, they have distinct differences that make them unique assets. Despite being rare metals that are often used in jewelry, they have different industrial uses and play different roles in the financial system.

One key difference between platinum and gold is their industrial uses. While gold is primarily used in jewelry and as a store of value, platinum has significant industrial applications. Platinum is a crucial component in catalytic converters, making it an essential metal in the automobile industry. Additionally, platinum is used in electronics, medical equipment, and other industrial applications, giving it a broader range of industrial uses than gold.

Another difference between the two metals is their role in the financial system. Gold has long been recognized as a store of value and a hedge against inflation, making it a popular investment choice. Platinum, on the other hand, has a smaller role in the financial system and is not widely recognized as a store of value. This difference in perception has resulted in different price trends for the two metals.

While platinum and gold are both considered precious metals, they are part of a broader category of metals that includes silver and palladium. These metals have different characteristics and uses, making them distinct assets within the metals market.

Overall, the key differences between platinum and gold lie in their industrial uses and their role in the financial system. While they are both valuable metals with unique properties, the factors that set them apart make them distinct assets for investors to consider.

Conclusion

Investors have a lot to consider when choosing between investing in platinum or gold. While platinum is rarer than gold, its price is generally cheaper due to market dynamics, industrial demand, and historical factors. The price of platinum also fluctuates differently compared to gold, making it an intriguing option for investors. It’s important to consider the unique characteristics and uses of platinum and gold when making investment decisions. Platinum has significant industrial applications, particularly in the automobile industry where it is used in catalytic converters. Meanwhile, gold is often used in jewelry and is considered a safe-haven asset in times of economic uncertainty. Investing in precious metals can be a wise move in diversifying your investment portfolio, but it’s important to understand the risks and benefits of each metal. While some investors prefer traditional stocks or the gold standard, platinum options are also worth considering. As the global economy continues to evolve, the prices of platinum, gold, and silver may also fluctuate. However, by understanding the key differences between these metals and evaluating their industrial and financial outlook, investors can make informed decisions about their investment strategies. In the end, whether you choose to buy platinum, gold, or silver, remember to always consult with a financial advisor and do your own research to make the best decision for your retirement savings and investment goals.

OWNx makes it simple to invest in precious metals.

FAQ

Why is platinum cheaper than gold?

Platinum is generally cheaper than gold due to market dynamics, industrial demand, and historical factors that influence its price. Despite being rarer than gold, platinum’s price fluctuates differently, making it a more affordable precious metal.

What are the key differences between platinum and gold?

Platinum and gold have key differences beyond their price. Platinum has significant industrial uses, particularly in the auto industry, while gold is often associated with its historic value and role in the financial system. These differences set them apart as metals.

How does industrial demand impact the price of platinum?

Industrial demand, especially in the automobile industry where platinum is used in catalytic converters, has a significant impact on the price of platinum. The demand for platinum in industrial applications can affect its prices compared to other precious metals.

What role do historical factors play in the price differences between platinum and gold?

Historical factors, such as economic crises and downturns, can influence the prices of platinum and gold. Gold is often considered a safe-haven investment during uncertain times, which can affect its price compared to platinum.

How do platinum and gold compare as investment options?

Both platinum and gold are considered potential investments. Investors often evaluate their stability in the market, material value, and their role in diversified portfolios and retirement savings when comparing platinum and gold as investment options.

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The Wisdom of Simplicity

OWNx TeamGlobal Finance and Economics, Money & Financial Technology

You can sense it, can’t you? Fatigue is setting in. The degree with which technology has changed the world in the last decade has been enormous. Yet a common refrain among our friends and family goes like this…

“If technology is supposed to save me all of this time, why do I feel like I have less of it to enjoy my friends and family?”

The answer seems obvious. The average American receives between 50 and 70 push notifications on their phone every day. This is hyperconnectivity to a world in which relationships are diluted; a world that is increasingly polarized in how to deal with a diverse set of socioeconomic challenges. It is fear of missing out on “the new thing.” It is technology owning our time — not liberating us to enjoy our lives.

And it’s not going to get better anytime soon. We are on the verge of a massive acceleration in global change due to new technologies coming online in areas ranging from robotics, to AI, to healthcare, to financial services. Few are prepared to deal with the adjustments humanity will need to make to accommodate this disruption.

So what is the answer?

Take control now. Make a conscious decision to ruthlessly eliminate anything that does not contribute to your economic, physical, spiritual, and relational health. That may be a tall order, however, those who make the choice today to prune all but the essentials in life will find themselves happier and more fulfilled in the years to come.

This may sound a little odd coming from a company that provides access to gold and silver. However, it is at the heart of why we do what we do. Smart. Simple. We believe that the need to live life with those two words in mind will emerge as a mega-trend of its own. It only makes sense, then, to apply them to how you manage your silver and gold investments.

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Silver: The Magic Metal

OWNx TeamGold & Silver Market, News & Current Events

Okay. It may be a bit of an exaggeration to call silver bullion a “magic” metal. However, in the age of high tech, there is little argument that it is one of the most versatile industrial metals. For decades it has been used in solar electric panels. It is used as an anti-bacterial in clothing. A tiny bit of silver is even used in every smartphone created today.

For decades there has been concern about the impact on your health from smartphone radiation. As new 5G technologies are deployed, your smartphone is going to be in an even more constant state of data exchange between them and their cell towers. That means more radiation.

Now, a French company claims that their silver ink passive antenna will protect you from smartphone radiation. They even have a handy-dandy little guide to help you perfectly place the silver patch in the exact spot on your phone for maximum protection. Now, whether or not you believe that smartphone radiation is a concern isn’t the point. What is interesting is that once again, silver bullion is the metal of choice to solve problems in high tech applications.

When the economy is humming along, as it is now, silver is consumed by industrial applications at a rapid clip. The Silver Institute is forecasting that green technologies alone will use 1.5 billion ounces of silver by 2030. That is why we have maintained our position that industrial applications for silver will put a floor under the market for the next two decades, and could send the price of silver much higher.

Silver bullion is often seen as playing second fiddle to gold bullion. When it comes to powering the future economy in a very practical way, however, silver wins hands down. Another reason why you might want to add to your own personal stack.

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Inertia Interrupted: New Megatrends Are Emerging

OWNx TeamGlobal Finance and Economics, News & Current Events

Inertia is a powerful law of physics. A body in motion stays in motion until energy is applied in a new direction. It’s what we’ve experienced in the geopolitical and economic realm for decades. Momentum was building toward a world with ever-increasing centralized control and authority. National government’s power was expanded. Financial institutions became “too big to fail.” Amazon, Facebook, and Apple have become dominant players in retail, social media, and smartphones.

Then something happened. In Europe it was Brexit. In the Middle East it was the Arab Spring. In the United States it was the election of Donald Trump. Each of these were polarizing events; each in different areas of the world; each impacting different cultures. Together they have created enough energy to disrupt the momentum of centralism and much more. The principles of localism (making decisions in communities vs. national governments), separation of powers (check and balances), and jurisdiction (proper authority) are all storming back into the social conscience.

Citizens are questioning the wisdom of world leaders and re-examining their own beliefs about who should have the proper jurisdiction to make decisions that impact their states, provinces, territories, and local communities. You can feel the shift. It is not subtle. It has caused tension between those who embrace the disruption of inertia, and those who want to nudge the momentum back onto its previous course.

The question is, has the shift in momentum reached critical mass? Can the previous path be restored? Increasingly, the answer suggests that we are in a new era. Previous megatrends across social, economic, and geopolitical spheres cannot be restored. Instead, new megatrends will be defined over the next decade that will carry us well into the 21st century. It will take five to ten years at least to establish a stable path.

It is difficult to imagine the implications of this level of disruption, or to begin to quantify the impact. Both the short and long-term economic impact are in question. Analysis ranges from a new era of prosperity to a full-blown financial system meltdown. Who is right? What role does the emerging world of cryptocurrencies (real currencies, not ICO scams) and blockchain technology have in moving the needle toward either scenario? How will all of this impact the price of gold and the price of silver in the years ahead?

Reality is, you can find newsletter writers and analysts to echo back to you whatever outcome that you want. Unbiased–and accurate–analysis is rare because removing bias and seeing the world for what it is rather that what was is very difficult.

The new megatrends will be established upon a new set of guiding principles. The question is, will the principles for their foundation be idealistic and relative, or results-proven and immutable? At OWNx, we prefer the latter. However, we also understand that everyone has a limited sphere of jurisdiction. As such, we live by example. Our part in applying energy to the emerging megatrends is in how we treat our clients. It is in the tools we provide and in the partnerships we form.

Smart, simple access to physical gold and silver is just the beginning. We have our eye on the megatrends and are intentionally and diligently aligning with them where they align with the principles both we and our clients share. It’s going to be an interesting decade ahead.

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Decentralization is the New Mega-Trend

OWNx TeamMoney & Financial Technology, News & Current Events

One word you’ll hear a lot in the financial world is “decentralization.” We use it frequently and doubtless you’ve encountered it in other blog posts, podcasts, and books discussing the subject of money. But today, let’s dig a little deeper into what decentralization means, and look at some practical ways it is being implemented in our society.

DECENTRALIZATION AS A CONCEPT

To summarize, the concept of decentralization is the tendency and desire to gravitate away from larger, highly regulated entities toward smaller entities that allow for more individual freedom. Merriam Webster defines it as: “the dispersion or distribution of functions and powers.”

Certainly this concept applies to the financial system, but it is also interesting to note the trend of decentralization across other areas of our lives, and the practical steps that have been taken to implement it.

DECENTRALIZATION TODAY

Centralized entities are prevalent throughout our society, from social media platforms, to large businesses, to educational insitutitions, news media, and beyond. Until recently, these entities were growing at an incredible pace. So what has caused their growth to slow?

Let’s look at Facebook, for example. The largest social media platform in the world has recently undergone a rather steep decline in use and growth. There are several reasons for this, including:

  • Ads – Users are tired of having their Facebook feeds spammed with ads they did not opt in to see. This has resulted in lower engagement for businesses on the platform, and even paid ads aren’t getting the reach they used to due to changes in the FB algorithm.
  • The Algorithm – Many users don’t like the fact that the Facebook algorithm changes constantly and heavily filters which posts they see in their feed, limiting their connection with family, friends, and news sources they actually want to hear from.

These are aspects of centralization and high concentration of power (to say nothing of the recent privacy debacle), and people are gravitating away from the platform toward others that allow for more individual freedom, such as Instagram and MeWe.

Another example of decentralization in action is found in the dramatic increase in the small business survival rate. Increasingly, consumers are moving away from larger entities, and channeling that support toward smaller local companies whom they have a stronger relational connection with. In this digital age, personal touch matters more than ever.

Similar shifts are occurring in the spheres of media, education, and government. There is no question, decentralization is on the rise, with people taking action to implement it in their own daily lives.

MONEY AND DECENTRALIZATION

This brings us back to the issue of money and the financial system. Unlike many other spheres, financial institutions have been steeped in the centralization of big banks for longer than anyone can remember, making solutions to the problem much more hazy and uncertain.

Without a doubt, the monetary system is also moving towards decentralization, as we have seen with the crypto craze. However, at this time no one is quite sure what a decentralized monetary eco-system will look like.

In some cases, the surrounding confusion can lead to paralysis, as people are uncertain of how to proceed and whom to trust. Some were burned by volatility in the crypto market. Others simply aren’t sure where to start when it comes to protecting their wealth and savings as the investment landscape begins to shift.

GOLD AND SILVER OFFER PROTECTION

In times of uncertainty, the stability of gold and silver provides a way to apply the concept of decentralization to your investments. Owning them allows you to:

  • Protect your wealth
  • Build your savings
  • Secure your investments in proven, tangible assets

Our platform puts control in your hands. You have the power to choose when and how you want to save and invest, and where you want your assets stored. This flexibility allows you to operate outside of larger entities without depending on them for your financial security.

Despite the foggy horizon regarding the future of the monetary system, you can rest assured knowing you own assets that have been proven throughout history to protect against times exactly like these.

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Centralization vs. Decentralization: The Battle is Underway

OWNx TeamNews & Current Events

Right now we are witnessing an epic battle between two competing principles – centralization and decentralization of systems that influence our culture. Let’s look at two examples and how they are creating major cross currents in the world today.

The Global Monetary System

For several hundred years, the world’s monetary system has trended toward increased centralization. So much so that today, money creation and management around the world is concentrated in the hands of national governments or privileged, monolithic entities that have central government approval. Within the last fifty years, further consolidation has occured as the Euro currency displaced the currencies of previously sovereign nation states.

The rules by which currency exchange is conducted are written by those who control the flow of funds. This exposes a little known reality – money at its core is not an item, such as a Euro, dollar, gold, or silver. Rather, it is an agreement between the people in a community (in this case, nation states) to use various items as a medium of exchange and store of value. Today, the contract is negotiated between nation states, and the system they have designed requires moving every person’s assets through a highly controlled and efficient system.

Communication

In the last decade, there has been an explosion of avenues for people all over the world to directly share their views with one another. A person in Africa has immediate access to the “feed” of people they are connected with in the Americas and vice versa. Ideas about how the world should be ordered are exchanged at the speed of light. Decentralization of how ideas and concepts are birthed lies in direct contrast to the system of money that gives resources to the world economy, which can bring those ideas and concepts into reality.

Decentralization is Winning

This tension between principles is playing out in the marketplace today. Not satisfied with the existing system of control over resources, those who are collaborating in cyberspace about how the world should be governed are turning to another source – cryptocurrencies and decentralized trade of the ownership of assets.

The marketplace of ideas is making a statement. Decentralization is favored over centralization. The decades-long domination of mainstream media is dying as social media continues to grow. Now, the centuries-long domination by the global monetary system is being challenged by cryptocurrencies and micro-loans.

The trend toward global decentralization reaches far beyond economics. It is producing a massive global culture shift with implications that have yet to be fully understood, and are not likely to be entirely manifest for another decade or more. While not in the prediction business, we can offer an observation. In the future, real, tangible items such as gold and silver will become more important to a wider group of people. Not just because of the likely volatility that will accompany the transition to a decentralized, technology-based world. But also because, like a cold drink of water on a hot day, they remind us that we are still real, physical beings in need connection to a physical world.

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