Preparing for the Currency Reset: Lynette Zang’s Case for Physical Gold & Silver

How to Protect Your Wealth as the Dollar Fails (YouTube link)

The discussion between Michael Gayed and Lynette Zang focuses on gold, sound money, distrust in the Federal Reserve, and investment strategies amid a perceived failing fiat currency system. 

Key Points

Here’s a summary:

• Lynette Zang’s Background and Philosophy:
• Lynette, with over 60 years in financial markets (since 1964, starting at age 10), is a former banker and stockbroker who has studied currency life cycles since 1987. She runs Zang Enterprises, helping clients adopt a "sound money strategy" using physical gold and silver to become their own "central bankers."
• She distrusts the Fed, viewing it as serving banks and corporations, not the public, by regulating inflation to erode purchasing power. Lynette believes fiat currencies are nearing the end of their life cycle, with only 3 cents of purchasing power left per the Fed’s data.
• Sound Money and Physical Gold:
• Lynette advocates for physical gold and silver as "sound money" beyond government or central bank control, with zero counterparty risk (per the Bank for International Settlements). These metals are indestructible, have broad global demand, and cannot be inflated away.
• She distinguishes physical gold from "paper gold" (e.g., ETFs like GLD), which tracks the spot market but lacks redeemable gold, has management fees eroding value, and involves contracts for non-existent metal, suppressing true value.
• Gold’s True Value and Market Suppression:
• Lynette estimates gold’s fundamental value at over $40,000/ounce by dividing global debt by all existing and mineable gold, contrasting its current ~$3,300 price. She attributes the undervaluation to market manipulation, as rising gold prices signal fiat currency failure, which governments suppress via derivatives (e.g., 62,000 digital ounces per physical ounce in 2009).
• Physical-only markets (e.g., rare pre-1933 coins) show smart money moving first, with ultra-rarities hitting all-time highs, unlike the spot market’s pullbacks.
• Gold-to-Silver Ratio and Other Ratios:
• The gold-to-silver ratio (~100:1) has diverged from its historical 20:1 (e.g., $1 gold coin = $1 silver dollar). Lynette expects it to narrow during hyperinflation but not return to historical lows, as gold, the primary currency metal, outperforms silver, which maintains purchasing power.
• Other ratios (e.g., gold-to-oil, gold-to-real estate) vary by context, but gold’s role as a hedge against currency devaluation remains central due to its use across all economic sectors.
• Gold’s Role in Portfolios:
• Lynette sees gold as the ultimate diversifier, not correlated with intangibles like stocks or bonds. For risk management, she suggests balancing gold against other assets (e.g., 10 ounces for $400,000 in stocks) to hedge against market downturns and currency resets.
• Gold protects and expands wealth during currency transitions, allowing investors to capitalize on undervalued assets post-reset. She also recommends tangible assets and preparedness (food, water, energy, community) for systemic shifts.
• Gold Miners vs. Physical Gold:
• Gold mining stocks are riskier, as they represent companies, not the commodity, and underperform physical gold during crises (e.g., 2008). Lynette advises prioritizing physical metals for diversification over intangibles like miners or cryptocurrencies.
• Short-Term Gold Outlook:
• Recent gold price run-ups (~$3,500) are overbought in the spot market, inviting profit-taking, but Lynette remains bullish long-term due to currency devaluation and geopolitical risks. She dismisses mainstream coverage (e.g., Forbes) as a top indicator, focusing on physical demand and central bank gold buying.
• Critique of Fiat System:
• Lynette views the fiat system as a “con game” reliant on consumer confidence, with the Fed’s QE inflating assets (stocks, real estate) while eroding purchasing power. Global central banks’ record gold purchases signal preparation for a reset, which she’s warned of since 2009, citing Christine Lagarde’s comments.

Conclusion: 

Lynette is “all in” on physical gold and silver as hedges against an imminent currency reset, driven by fiat failure and Fed policies. She advocates for physical metals over paper gold or miners, emphasizing diversification and preparedness. Gold’s true value is suppressed but poised to surge, making it critical for wealth preservation.

Resources: Follow Lynette Zang on YouTube, X (@LynetteZang), Instagram, Facebook, or contact Zang Enterprises at 833-GLD-ZANG.