Quote:
Originally Posted by woj
With banks at least the funds are FDIC insured, with gold money if something goes wrong, you are shit out of luck... if respected wall street guys can run a 50 Billion ponzi scheme for years, it wouldn't exactly be a shocker if gold money turned out to be running a ponzi scheme or some other scam too...  |
Funds are only FDIC insured in the United States but well said........ so essentially it boils down to trust. Madoff was plenty respectable and trustworthy in the eyes of those who invested with him and they made the wrong decision and therefore paid the price. Those who've invested with Goldmoney might find themselves in the same position.
However, the odds on that are quite low on balance and its always a case of "do your own research". If you can't hold too much physical gold yourself, goldmoney is quite a good option compared with other strictly non physical options like certificates. At the end of the day, the business model does make sense.