Frequent Questions About Goldbacks
About Goldbacks
What are Goldbacks?
The Goldback® is a physical gold currency designed for everyday transactions. Created to circulate under applicable laws, Goldbacks are available in jurisdictions like Utah, Nevada, Wyoming, New Hampshire, South Dakota, Florida, Oklahoma, Arizona, and Idaho.
Unlike traditional gold products, which often have varying premiums, Goldbacks maintain interchangeable denominations that are each tied to a specific measurement of gold. For example, a 50 Goldback contains 1/20 t oz of gold and can be exchanged for fifty 1 Goldbacks, which contain 1/1000 of a t oz each. Any combination of 1,000 Goldbacks adds up to one full ounce.
We’ve created a merchant network of over 2,000 businesses who accept them as payment, right at the register. Thanks to their intrinsic value, Goldbacks can also be used in barter transactions anywhere in the world as an alternate currency.
Are Goldbacks legal?
Yes, Goldbacks are completely legal. They combine the principles of local currencies—which have existed in the United States for centuries—with the enduring value of gold. There are thousands of local currencies and gold products available in the U.S. today, and Goldbacks uniquely bridge the two by offering a practical, spendable gold currency. Their value is rooted in the fact that they are made of 24-karat gold and serve as an inflation resistant currency.
Which states have Goldbacks?
The states that have Goldbacks are Utah, Nevada, Wyoming, New Hampshire, South Dakota, Florida, Oklahoma, Arizona, and Idaho. Goldbacks can be owned and used by individuals in any region, and merchants in our network expand outside Goldback states and the U.S. They will accept any Goldback, no matter the series.
They are recognized as an official currency only in jurisdictions where local or state law authorizes them. In other areas, Goldbacks are often used as a barter tool or as a gold product with intrinsic value.
Interested in seeing a Goldback series for your state? New series can be sponsored through our Goldback Lease Program!
Can the Goldback be counterfeited?
Not anytime soon. The technology used to create Goldbacks took over 20 years to develop and remains unmatched in the industry. Much of this process is protected by patents and trade secrets, ensuring that no competitors can replicate it.
Goldbacks also feature several anti-counterfeiting measures:
- Negative Image: The reverse side has a visible and tactile negative image.
- Authentic Gold Appearance: The glisten of real gold is impossible to replicate, and no one else has mastered this specific vacuum deposition process.
- Advanced Security Features: The intricate design elements on the front include government-level security measures. UV-reactive ink is embedded in all Goldbacks year 2025 and forward.
How durable are Goldbacks?
Goldbacks are designed to be exceptionally durable and far more resilient than traditional paper currencies. While they hold up well under normal use, signs of wear, such as creases, can develop over time if not properly cared for. For added protection, consider storing your Goldbacks in inexpensive protective sleeves or custom leather wallets designed specifically for Goldbacks.
Using Goldbacks
Why should I buy things with Goldbacks?
Every time you make a purchase, it’s like casting a vote for the kind of world you want to support. Spending Goldbacks promotes sound money and helps build a stronger, more stable financial system. Just as buying organic food supports sustainable farming or choosing local businesses strengthens your community, using Goldbacks encourages the use of precious metals as practical, everyday currency.
Goldbacks are also a game changer in the world of precious metals. They are the most cost-effective 1/1000th of an ounce gold product ever created, making it easy and affordable to introduce others to the value of gold—whether it’s your nephew, your waiter, or anyone new to sound money. By spending Goldbacks, you’re not just making a purchase—you’re making an impact.
Where can I buy Goldbacks?
Arkla Precious Metals is an authorized distributor of Goldbacks. Conatact us to arrange to view or order Goldbacks.
Are Goldbacks liquid if I need cash later?
Yes, Goldbacks are highly liquid compared to other small denomination gold products. Many platforms, including eBay, Instagram, and Reddit, have active transaction histories of people reselling Goldbacks, often at prices above the average exchange rate. Additionally, online distributors such as Money Metals, Alpine Gold, and Defy the Grid offer competitive buyback programs, making it easy to convert Goldbacks back into cash.
If you prefer to sell locally, many coin shops may also purchase Goldbacks. However, since Goldbacks are relatively new, not all local distributors are familiar with them, and you may find a better value elsewhere.
Can I accept Goldbacks if my state doesn't have a series?
Yes! Goldbacks function the same in every state. As long as both parties agree, any Goldback can be used anywhere, even if your state doesn’t have a series yet.
What can I do if my Goldback becomes damaged or worn out?
Contat Arkla Precious Metals to receive a personal consultation on how to exchange your Goldback.
Goldback Pricing
Why do Goldbacks have a premium over spot?
Goldbacks have a premium over spot gold due to the labor-intensive process required to produce them. Unlike large gold bars, which are relatively simple to manufacture, Goldbacks are created using innovative technology that makes small, precise, and spendable denominations possible. This added effort results in higher production costs, similar to how a 2×4 piece of wood costs less per unit than the same amount of wood made into thousands of toothpicks.
Do I lose this premium when I spend Goldbacks?
Despite this premium, Goldbacks remain competitively priced compared to other small gold products, often costing about 25% less than similar-sized gold items. Additionally, you don’t lose the premium when you spend Goldbacks. Their value is tied to the average exchange rate published on our website, so if you buy a Goldback at the average price (e.g., $5.00), you can generally spend it at the same rate on the same day.
What are the tax impications of Goldbacks?
Goldbacks are sold and used worldwide, and tax implications can vary depending on your location. We strongly encourage anyone using Goldbacks to comply with all applicable local and national laws regarding the ownership, use, investment, or sale of precious metals. Please consult a tax professional for specific guidance in your area. Goldback Inc. does not endorse or support any form of tax evasion.
