Gold monetization has made trading, investing and in a sense manipulating of the precious metal a whole lot easier. But eventually investors won't be satisfied with a piece of paper and will want to hold the physical metal to negate any counter party risk. So says investor, commentator and author Jim Rickards. Jim has written a couple of very successful books; the most recent being The Death of Money and its predecessor, Currency Wars, which was published a couple of years ago. In this interview with Greg Hunter, Rickards lays out his views on some upcoming drastic changes to the current financial system which would affect the lives of billions of people. This is a must watch interview regardless of your views on gold.

Here are a few snippets from the interview:

"What I tell clients and investors is itís not as if we are going to make some mistakes and some bad things are going to happen. The mistakes have already been made. The instability is already in the system. Weíre just waiting for that catalyst that I call the snowflake that starts the avalanche. You donít worry about the snowflakes; you worry about the snow and that itís unstable and itís just waiting to collapse. Thatís what the system is right now; we are just waiting for a catalyst. People ask me all the time, what could it be? Technically, my answer is it doesnít matter because it will be something. It could be a failure to deliver physical gold. It could be an MF Global financial failure. It could be a natural disaster. It could be a lot of things. The thing investors need to understand is the catalyst doesnít matter. Itís coming because the instability is already there.Ē

"(gold manipulation) will end when the physical shortage gets to the point that someone fails to deliver; which, at that point, there will be a buying panic. There could be a buying panic or what some people call a demand shock. One of the things I said about gold manipulation is if I was the manipulator, I would be embarrassed at this point. The manipulation is obvious. The evidence is coming in from all directions. . . . The manipulation is clear. When will it end? It will end when there is a physical shortage that pops up somewhere, or it will end with a short squeeze.Ē

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