Australia Bans $10,000 Cash Transactions

Posted | 09/05/2018 / Views | 6725
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In yet another move under the sole pretence of cracking down on the ‘black economy’, the budget last night announced that from 1 July 2019 you will not be able to pay for, or be paid for, any good or service with more than $10,000 in cash.

We have reported previously (“Banning ‘Big Note’ Cash”) about the global move to ban cash and centralise ‘money’ through our banks and other institutions.

That pretence assumes anyone transacting in higher values of cash must be a criminal.  Now we absolutely agree that there will be a sizeable proportion in that cohort and we should try to crack down on it, but as dealers in monetary assets, real monetary assets, we also see honest everyday Australians simply wanting to have a sizeable portion of their hard earned wealth outside of that centralised system, often locked away in an independent vault like Reserve Vault.  They are not tax evaders or criminals, they are people with a healthy knowledge and regard for monetary history and a resulting evidence based distrust of government control of people’s money.

The legislation does not cover transactions between individuals so it’s a little laughable to believe ‘banning’ cash transactions excluding individuals will make any tangible impact on criminal activity.  The real allure of this legislation will be containing all money in a digital centralised system.

Precious metals bullion is a 5000 year proven hard asset with no counterparty risk or piece of paper saying you have something.  You hold it.  Large cap crypto currencies are decentralised, cryptographically secure (with an unhackable cold wallet like our Ainslie Crypto Wallet), stores of value by virtue of limited supply, use and network effect.  Cash is a fiat based piece of plastic inconveniently outside the centralised digital realm of control of government.  If your motivation to hold and transact in cash is to hold value outside of that ‘centralised digital realm’ at least you still have options.