Gold-dispensing ATMs coming to America

[EE_]

http://www.walletpop.com/blog/2010/10/04/gold-dispensing-atms-coming-to-america/

What do you think about these?

[Dogman]

http://www.walletpop.com/blog/2010/10/04/gold-dispensing-atms-coming-to-america/

What do you think about these?


What do you want to bet the prices will be at ripoff rates!

[FunnyMoney]

Some may be positioning themselves to take advantage of a future severe decline in fiat and a rise in black market commerce.

If hyperinflation takes hold, then people are going to want to get gold for their paychecks and whatever income they have at all hours of the day and night. This way when they need to buy things later in the month, they'll have protected their purchasing power for that period of time.

[Liquid]

This is confusing and some what creepy...

"The machines come with sophisticated security precautions and are programmed to combat money laundering, although just how this works is not clear. The machine accepts currency, as well as credit cards."

If they accept currency...what is this system to combat money laundering? ???

[chad]

This is confusing and some what creepy...

"The machines come with sophisticated security precautions and are programmed to combat money laundering, although just how this works is not clear. The machine accepts currency, as well as credit cards."

If they accept currency...what is this system to combat money laundering? ???


facial recognition cameras + algos. too many purchases by the same face, and the system refuses to dispense any more. read about it when they launched in germany.

[Dogman]

This is confusing and some what creepy...

"The machines come with sophisticated security precautions and are programmed to combat money laundering, although just how this works is not clear. The machine accepts currency, as well as credit cards."

If they accept currency...what is this system to combat money laundering? ???


http://www.engadget.com/2010/09/29/gold-to-go-atms-dispense-precious-metals-to-the-superwealthy-he/

They also feature an ID scanner / camera combo for preventing (or at least slowing down) potential money launderers.

[platinumdude]

So where a mask then and some gloves.

[FunnyMoney]

Later this decade when fiat money begins to really show its true nature worldwide, these things may become very popular in airports and other high traffic locations.

A typical travel day for a businessman might go like this...
Layover at the airport, starting to get hungry, go to the ATM to get some spending money for the day, transfer half the money into gold at the "gold vending machine", spend the other half on food and some gifts, take the gold with you to your next destination because if you had taken the fiat it would be worth some percent less by they time you arrive.

[madfranks]

Later this decade when fiat money begins to really show its true nature worldwide, these things may become very popular in airports and other high traffic locations.

A typical travel day for a businessman might go like this...
Layover at the airport, starting to get hungry, go to the ATM to get some spending money for the day, transfer half the money into gold at the "gold vending machine", spend the other half on food and some gifts, take the gold with you to your next destination because if you had taken the fiat it would be worth some percent less by they time you arrive.


If the dollar is hyperinflating to the point that within a time period of a two-hour long layover it loses a significant enough percentage to warrant switching it to gold, there will be no traveling businessmen buying food and gifts at the airport calmly waiting for their departure. Business and the economy would not be able to function in such an environment.

[Ironfield]

Emirates Palace gold ATM (http://gold-silver.us/forum/gold-silver-precious-metals/abu-dhabi-hotel-boasts-a-gold-dispensing-atm/)
Hmm amazed it actually picked up and is winging its way state side. I do see the one here used every once in a while when I’m at the hotel. More of a touristy thing than anything else really, but what other purpose was it meant to have for the masses.

-Ironfield

[Sparky]

It makes no sense really.

In FM's example, if you were really concerned about loss of buying power, you would have already converted a suitable portion of your assets to gold before you departed for your trip. This example presents their utility as a "unexpected collapse" emergency convert-to-gold ATM. I don't get it.

I believe when this first came out more than a year ago in Europe, there was a very high premium. If you were savvy enough to value gold in the first place, wouldn't you be savvy enough to not pay high premiums from an ATM?

[FunnyMoney]

It makes no sense really.

In FM's example, if you were really concerned about loss of buying power, you would have already converted a suitable portion of your assets to gold before you departed for your trip. This example presents their utility as a "unexpected collapse" emergency convert-to-gold ATM. I don't get it.

I believe when this first came out more than a year ago in Europe, there was a very high premium. If you were savvy enough to value gold in the first place, wouldn't you be savvy enough to not pay high premiums from an ATM?


First of all, how do we know the premiums are going to be that high? Second of all, you negate human nature. What about the people who simply forgot to protect all their money prior to the trip or simply underestimated the amount that they would need? What about the people that brough money with them to buy lunch but then had more left over than they expected and decide to put it into gold? There are numerous human nature scenarios that might attract people to a vending machine. Just because my scenario is not the most perfect, so what, it's just one example.

Plenty of people bring a soda to work in their lunch box (at 25 cents a can) but plenty of people buy one from the vending machine at work instead (at from 50 cents to over a dollar a can). Do the calculation there. Do not negate human nature. When gold goes mainstream, vending machines could play a role. I'm not saying they will play a primary role but nevertheless a role.

[chad]

i assume these will be novelty machine.

"oh honey, look, a gold machine! buy me a piece of gold will you? pleeeeease?"

guy sheepishly shells out $100 for an overpriced gram of au.

it's like the $.25 sticker and plastic ring machines when you walk in to walmart that my 7 year old always wants to use, only for adults.

[Liquid]

They also feature an ID scanner / camera combo for preventing (or at least slowing down) potential money launderers.


Is it to prevent money laundering, or to ration that amount purchased? Sounds like rationing to me, much like during the oil crisis in the 70's, where you could only purchase gas on certain days of the weeks.

Image in a currency crisis, long lines where folks could only buy a gram a week..

[Sparky]

...
First of all, how do we know the premiums are going to be that high?
...


When these first came out a year ago, I recall someone on GIM finding out that the premiums were very high. They'd have to be to pay for the sophisticated unit, and its maintenance and service, in addition to leasing the space at the airport or wherever.

I agree with what you say about paying more for vending machines, but those are more for consumables to meet an immediate desire. But that seems like such a different category of product. Gold isn't really an impulse buy or a convenience buy. It's more strategic.

Since they've been around for more than a year, maybe someone will come across a report of the volume of business they have been doing. That would be interesting.

[Dogman]

For the very rich maybe premiums are not that much of a concern the novelty of it and maybe trinkets to hand out in lue of tips who in the hell knows. Brings woman/man depending on sex Not wife/husband out to play and novel gift? Lots of possibility's.

premiums maybe sky high but to some , who cares!