The Goldback is a family of local currencies operating in five U.S. states and launched by Goldback, Inc. in Utah in 2019. Goldbacks contain a thin layer of gold within a polymer coating.
Overview
Goldbacks are shaped like regular currency notes but contain 24K pure gold. The gold is safely contained between two layers of clear polyester, which add artistic elements to the fractional gold bullion they contain. The term Goldback refers to each unit of the currency and is 1/1000 of an ounce of pure gold. The Goldbacks are issued in denominations of 1, 5, 10, 25, and 50, each containing proportionally larger amounts of gold. The notes are minted by Valaurum, a regulated and certified private mint which mints gold products for various governments across the world. Valaurum uses a proprietary and patented vacuum deposition process to fuse gold atomically together into thin sheets encased in a plastic film designed to hold the gold. Since the launch of the Goldback, the company also sells a leather wallet designed for Goldbacks. Initially funded by a lease of Gold from the United Precious Metals Association, with approximately US$1,000,000 in gold, demand has grown from $100k per month, to over a million USD per month in sales. More than US$20 million worth of Goldbacks have been manufactured and circulated, although an up-to-date market cap is not published. While it is sold as a local currency only in four regions, they have been purchased as a gold product, or for their collector's value, worldwide.
The Utah goldback was launched in 2019, with series for Nevada, New Hampshire, and Wyoming launching in 2020, 2021, and 2022, respectively.South Dakota launched the goldback in 2023, becoming the fifth U.S. state to introduce the currency.
Reported use
KSL 5 TV, the NBC affiliate of Salt Lake City, reported local businesses seeing a surge of people using Goldbacks in everyday transactions. Reuters has reported as of 2022 that as many as "a quarter to half of small businesses in Utah will accept the [Goldback] notes". Meanwhile, Nevada has seen some buyers purchasing Goldbacks as part of an inflation hedge investment vehicle.
In association with members of the libertarian Free State Project in New Hampshire, widespread use has been reported of people spending Goldbacks on various goods and services within the state.
Design
Each Goldback features a feminine figure, symbolically representing a cardinal virtue. Which virtues are represented and how they are represented varies according to the state series and region it serves. While each series is different in design, they are all interchangeable and contain the same amount of gold. The size and shape of each bill can also tell part of the story of money. The 1GB is the same size and shape as some Early American currency, The 25GB note is identical in size to a Federal Reserve note, with the 50GB note the size of an old Gold certificate. The 5GB and 10GB notes are proportionally larger than the one and smaller than the 25. This enables most wallets to comfortably hold Goldbacks.
The Utah series depicts the virtues of Liberty, Victory, Justice, Truth, and Prudence. The Nevada series depicts the virtues of Liberty, Fortitude, Justice, Wisdom, and Charity, while the New Hampshire series depicts the virtues of Liberty, Fortitude, Foresight, Truth, and Grace (or Gratitude). All three Series also feature animals and plants native to the states.