Silver Bullion - What are silver
derivatives?
Silver derivatives, without getting too
technical about it, are in essence financial instruments of which the value are dependent upon or derived from
the silver price. This is a bit of a misnomer if one
considers that silver derivatives are extensively used in silver market manipulation today. Thus,
the truth be told, the silver price under such circumstances is actually dependent upon or derived from silver
derivatives and not the other way around.
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Physical Silver vs. Paper
Silver
The above scenario is possible only because the current system
allows for the almost endless creation of paper silver which is used to manipulate the silver market, especially
through silver derivatives. Yes, silver derivatives are not paper silver in the true
sense of the word, but rather financial instruments that are used to create paper silver which are used in
silver market manipulation. It is no
secret after all that paper silver is used to dilute the demand for silver, artificially pushing down silver prices. However, to keep matters as
uncomplicated as possible, silver derivatives are seen as paper silver or synonymous with paper silver in the
context of the Silver
Bullion website. It is also important to note that similar to paper silver; silver derivatives
have no underlying or intrinsic value.
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metals today! Contact us for
details.
Physical Silver vs. Paper
Silver
Silver derivatives were originally used to hedge
against risks and to counterbalance possible losses in the silver market. Ironically, it has turned into a
proverbial beast, a beast which in its complete form (inclusive of all derivatives), has the capacity not only
to destroy the U.S. economy, but the global monetary or financial system in its entirety. The truth be told, the
financial system is nothing short of a gigantic casino today, a casino where astronomical bets are made on
almost everything imaginable through derivatives, silver derivatives included (at the time this was written).
The best of all is that this ‘grand casino’ is largely left unregulated, creating the perfect breeding ground
for scoundrels.
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