Liberty Dollars banned on eBay by U.S. Secret Service over counterfeit fears

Popular online auction site eBay has confirmed that it can no longer allow sellers to offer Liberty Dollar medallions that are made in gold, silver, copper and platinum. The removal was per the order of the United States Secret Service, which deemed National Organization for the Repeal of the Federal Reserve Act (NORFED) Liberty Dollars as counterfeits.

Employees at eBay show that the removal process starting Nov. 29 of the listings will coalesce with its policy that will be implemented on Feb. 20 that bans both replicas and counterfeits on its website. Although it will be part of its usage guidelines, eBay officials told sellers in an email that they regret the decision.

“The United States Secret Service has requested the removal of all Norfed Liberty dollars on the eBay site as counterfeits. Please do not relist this item(s),” wrote eBay spokesperson Ryan Moore in an email.  “We appreciate that you chose to list this coin on our site and understand there was no ill intent on your part. Your listing fees have been credited to your account.”

Liberty Dollars were produced by Bernard Von Nothaus’s company, NorFed.  Early last year, he was convicted by the U.S. government and was even labeled as a domestic terrorist by the federal prosecutors for minting his own gold and silver coinage in 1998 and then later selling the bullion to customers.

“Attempts to undermine the legitimate currency of this country are simply a unique form of domestic terrorism,” said U.S. Attorney Anne M. Tompkins in announcing the verdict.  “While these forms of anti-government activities do not involve violence, they are every bit as insidious and represent a clear and present danger to the economic stability of this country.”

It is noted by that the federal government believes the American people would also be confused to surmise that the Liberty Dollars are official U.S. legal tender. For instance, if a consumer purchases a $1 bag of chips then the individual would give a $5 Liberty Dollar.

Following the conviction, he was deemed as a counterfeiter, even though Von Nothaus was not counterfeiting currency and was simply creating an alternative form of money that can be used in exchange for goods and services. The Secret Service warned that it would be confiscating all Liberty Dollars.

Despite the federal government’s intentions, the value of NORFED Liberty Dollars soared and eBay sales skyrocketed.

Doing a simply eBay search will show that when users type in “NORFED” only nine items come up with three of them claiming not to be NORFED.  When potential bullion buyers type “Liberty Dollars” in the search box, only two products appear, which also state that they are not NORFED.

A key question that could be asked: should goldbugs be considered as domestic terrorists?

According to an 18-year law enforcement official, there are several traits that the Department of Homeland Security (DHS), the Transportation Security Administration (TSA) and Federal Emergency Management Agency (FEMA) consider when identifying supposed domestic terrorists:

–          Libertarians

–          Proponents of homeschooling, the Second Amendment, the Constitution and religion

–          Views that suggest a belief in the New World Order

–          Being self-sufficient, such as stockpiling on food, having medical supplies and maintaining hand tools

–          Fears of the government

For years, and most recently during the 2012 presidential campaign, retiring Texas Republican Congressman Ron Paul has advocated the legalization of competing currencies, which is also another aspect advocated by many Austrian Economists.

“The only way to counteract this problem is to break the government monopoly on the issuance of money,” stated the three-time presidential candidate in a speech before the U.S. House of Representatives, Committee on Financial Services, hearing on HR 1098: the Free Competition in Currency Act.  “The Constitution does not grant the federal government this monopoly, a fact which was not in dispute for nearly a century after this country’s founding. The federal government has become complacent, forgetting the need for sound money, and the only way to break this complacency is to break the monopoly.”

Friedrich Hayek published a book titled “Choice in Currency: A Way to Stop Inflation” that was based on an address titled “International Money” that was delivered to the Geneva Gold and Monetary Conference in September of 1975.

“This would deprive government of the power to counteract excessive wage increases, and the unemployment they would cause, by depreciating their currency,” wrote Hayek.  “It would also prevent employers from conceding such wages in the expectation that the national monetary authority would bail them out if they promised more than they could pay.”

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  1. First counterfeit currency in history with more value than what it purports to copy.

  2. Also the first counterfeit in history that looks much much different than the (cheaper) item it supposedly counterfeited.

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