Let me explain that a bit better in easy-to-understand terms. - TopicsExpress

Let me explain that a bit better in easy-to-understand terms. Gold is traded with contracts. Real bars arent transferred back and forth, you just get a paper that says youre entitled to your purchase in real gold. Problem is, there are over 65 people promised the same ounce! The COMEX warehouse has the option to settle in a cash equivalent, so when all of these people find out the warehouse is empty, and they are holding paper that has nothing to redeem, what are people going to do?

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