Bill > HB386

This bill establishes a comprehensive legal framework for Louisiana to create a state-based gold and silver currency system, allowing individuals and entities to deposit, hold, and transact using precious metal-backed currency. The legislation defines key terms like "bullion," "specie," and "currency," and empowers the state treasurer to create and manage a bullion depository that will hold gold and silver in trust for account holders. The bill allows people to purchase currency by depositing gold or silver, or by paying money to the treasurer to acquire precious metals, with each currency unit precisely representing a specific fraction of a troy ounce of gold or silver. Account holders can redeem their currency either for U.S. dollars (at market rates) or for the actual physical gold or silver they represent, subject to administrative fees. Importantly, the bill mandates that the deposited precious metals cannot be loaned out or invested, ensuring that all deposited metals remain the sole property of the depositor. The treasurer is tasked with establishing security protocols, protecting depositor privacy, and preventing fraud, while operating the system without incurring additional costs to the state's general fund. This legislation appears designed to provide an alternative currency system based on intrinsic value and to give Louisiana residents a hedge against potential economic instability.

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https://www.legis.la.gov/legis/BillInfo.aspx?s=25rs&b=HB386&sbi=y