Could OIL become the next "gold" for a backed currency?

[Pennybug]

Hello to all! I've been silent for many months... been "working" on things! .

OK... so I'll have to start by saying this is somewhat tied into the whole Iraqi Dinar theories... and yes... I do have some Dinars (they LITERALLY fell out of a piece of furnature I bought years ago on C-List so I didn't "invest" in them. God just wanted me to have some Dinars I guess... ). Anyhow...

We are already seeing a move of many nations towards gold. We are also seeing that the dollar is being slowly moved out of the seat as the standard for oil trading. Some nations are working it out so that oil is to be traded for gold. This in essence will tie the price of gold and oil directly together. Now the logistics of moving that much gold around the world all the time is... well... a main reason for why paper currencies were created in the 1st place. Now consider this...

Instead of all these OPEC nations wondering what currency to accept... they only accept currencies that are backed by... OIL???!!!... WAIT... that's what the US has already done in essince right? So if the Yaun takes center stage over the dollar... then the Yaun is backed by oil?

http://www.examiner.com/article/dollar- ... using-yuan

Now wait a minue here... this ISN"T the same as the currency being BACKED by oil is it? I mean... a silver certificate GUARANTEED a dollar of silver back in the day. Does my dollar GUARANTEE me to a certain amount of oil? Well if it does... then why is the price of oil rising in relation to the dollar? Didn't the GOLD STANDARD mean that a dollar could ALWAYS be traded in for a certain amount of gold? I could go on here...

So then... if someone wanted to SERIOUSLY create a new currency... all they would need to do is to tie the "base unit" of the currency to a base unit of oil (instead of oz of gold) right? Has this really been attempted or proposed?

http://www.foxnews.com/story/0,2933,511815,00.html

Imagine that! Chavez has! I would imagine as time goes on... this will be attempted somewhere. As a NWO comes into place... could this be the backing for a one world currency that would get almost everyone's buy in? Theres NO WAY the US or China will somehow previal going into the future as being the world standard. The dollar is toppling and while China may fill that gap for a while... that would only be a short term "fix" if so. I wonder if the UN has this up their sleave somewhere?

I dunno... I guess I'm just rambling here. Thoughts?

[Engineer]

Leaders of oil exporting countries tend to die soon after demanding gold for oil.

[Chief]

Leaders of oil exporting countries tend to die soon after demanding gold for oil.

I was thinking something along these lines...

[dannan14]

Leaders of oil exporting countries tend to die soon after demanding gold for oil.

I was thinking something along these lines...

So does that mean you expect Ahmadinejad and/or Khamenei to be assassinated soon? i remember India announcing that they were working on a deal to trade gold for oil to get around the "blockade" on Iran of the usual means of transferring large amounts of cash.

[Hawkeye]

I'm curious to see what happens as we start to see more and more of these bilateral trade deals involving gold and oil. You can stop one or two two-bit nations, but if and when any of the big boys start doing this, it might be lights-out. Should be interesting to watch unfold.

[Chief]

Leaders of oil exporting countries tend to die soon after demanding gold for oil.

I was thinking something along these lines...

So does that mean you expect Ahmadinejad and/or Khamenei to be assassinated soon? i remember India announcing that they were working on a deal to trade gold for oil to get around the "blockade" on Iran of the usual means of transferring large amounts of cash.

I do expect Iran to be dealt with, but who knows when?

[ZenOps]

I always thought nickel was better for trade with oil.

Back in 2006, Egypt tried to re-introduce cupronickel for their One Pound coin, but had to abandon it a year later after the price of nickel spiked to $23 (too expensive to use 8 grams of 25% nickel at a denomination of one pound)

Lest one forget, pre-nixon 1970 that a pound of nickel was $7 and a barrel of oil was $3.36. Meaning that one box of CDn nickels was trade equivalent to 40 barrels of oil.

Logistically at $1600 per ounce, there is not anywhere near enough gold to purchase enough oil to even keep one city going, nevermind a country. I believe that India has 19.6 million gold ounces for over one billion people. But then again, logistically speaking, there would technically not be enough nickel either.

Which is probably why very wise people chose copper, nickel, silver and gold to back the currency a hundred years ago. All of them.