Kerby Anderson
I want to talk about the word unconfiscatable. Apparently, it isn’t even a word found in many dictionaries, which is why when I write it on my word processor, it has a red squiggly line beneath it. Mitchell Askew brought my attention to this word in his latest book.
He argues that the word isn’t used because nearly every asset we own can be confiscated. The money you have in the bank or the funds you have in the stock market through an IRA or 401k are ultimately in the hands of a third party. It is possible that they or the government could prevent you from getting your money. Just ask the people in Turkey who felt they needed to rob their local bank so they would get the money they put in the bank. Just ask the Canadian truckers who had their bank accounts frozen by the government.
Something that would be more difficult to confiscate would be what we refer to as a bearer asset. That means you have possession of it. One example would be gold. If you take possession of gold coins and put them in a safe deposit box in the bank, you have possession of them. Or do you? In 1933, President Franklin D. Roosevelt issued Executive Order 6102 that required Americans to give up most of their gold in exchange for cash.
We always assume that we have an inalienable right to private property. But sometimes, especially in other countries, that right to property can be lost. That is why Mitchell Askew argued that bitcoin is unconfiscatable as a form of property. It cannot be taken from you, and it can be moved to anywhere in the world. Few other assets in the world are truly unconfiscatable.