Iraqi Dinar Speculation
Thanks for the info. It is useful and appreciated. I hope you can clear up a couple of new questions that info gave me. We all knew what a gamble this was in the first place but I have been a gambler all my life and this one would have paid off exponentially better than any blackjack or poker game I have ever played if it did pan out. So I welcome any information available.
From fact 1. From the get-go, it has been my understanding that not being able to freely trade Dinars would be the case until the U.N. lifted all sanctions. There are indications that the sanctions might be lifted after this next round of elections. Any news on that?
From fact 2. The Dinars we have are post-Saddam. These are used as the current currency so I don't see any problem there. Do you concur?
From fact 3. This is pretty much how we figured things too. Did you notice the date this article was written? I clicked on the link but the filters here at work won't let me go to the site. We anticipated things taking a while to develop and have been sitting on these Dinars for several years now.
Thanks again for the helpful info.
from Fact 1- freely "trading" Dinars is one thing, having a set "exchange rate" is another. Just lifting the sanctions will not ( from what I know ) create an "exchange rate" for the Dinar. The current exchange rate is like .00086 - what the speculation is about is "redenomination" - so if you have a IQD 25,000 note, and they redenominate to make that note 25 IQD then the exchange rate must move from .0086 to .86. The speculative part is that now the rate will eventually climb.
So if you hold 1,000,000 in IQD 25,000 notes and they redenominate this way, you will now hold 1,000 in 25 IQD notes. But the valuation is still the same. Now you wait for the exchange rate to climb. So many variables in this.
Fact 2 - sure...so long as during the redenomination, they do not re-issue hard currency again. If so, then just like the other poster who had the Dinar with Saddams face, it will be worth only the paper its printed on. The other issue is how do you "exchange" your Dinar for US dollars? You can't go to the open market, well, because there is no market to trade Iraqi Dinars for US Dollars. ( well you can use these guys and end up losing even if you see a 10% increase -http://www.exchangeyourdinar.com/exchange-iraqi-dinar-info.html )
Fact 3- the word now is sometime after the elections on March 7 - as for when that article was written- it doesnt say. But it references 2008 in the past so it has to be 2009.
I hope everything works out. I know alot of young servicemen who have purchased the Dinar. Spent alot of thier HARD EARNED MONEY to do so. I am just a bit skeptical when my personal financial advisor and other friends who are avid investors, scoff at this investment opportunity.
Now, if our Congressmen and other higer ups start buying, then you are on to something. :ezbill: