“My father taught me many things here. He taught me, ‘Keep your friends close, but your enemies closer.’”
- Michael Corleone – The Godfather
It’s hard to know exactly what Don Corleone meant by that in The Godfather but, with fear and suspicion running internationally rampant, there are plenty of enemies to go around. Ukraine is certainly experiencing upheaval due to the devastating invasion of the country. That happened even after last February when, with thousands of Russian troops perched on the Ukrainian border, Russia categorically denied it had any intention of invading the country. Of course, they did. They surely misled their enemies while keeping them “closer.”....
Russian dictator Putin has justified his actions by claiming Nazi’s were still in Ukraine. Considering the genocide Nazi’s inflicted on Russia in World War II, making Ukraine a defacto enemy is a creative tactic for Russia to validate its actions.
Hard as it is to admit, some of Ukraine did side with Germany in World War II. Worse, thousands of “Trawniki’s” or Ukrainians who collaborated with the Nazis also served under the SS in concentration camps exterminating Jews, Russians, Poles and others. Conversely, over four million Ukrainians fought against Germany alongside the Russians.
All that was 80 years and almost three generations ago. Ukraine was once so aligned with Russia it was known as the Ukrainian Soviet Socialist Republic. Given the connection and affiliated dishonesty, it’s not surprising corruption is said to still be rampant. One reason for that could be Ukraine’s abundant natural resources.
Many people believe Russia merely wants part of Ukraine to be a land bridge between the Donbass region and Crimean peninsula. That may be true. However, on top of that Ukraine is well known for endless supplies of wheat and potatoes, coal, iron ore, natural gas, timber and more. Oh, and there’s a little added bonus called gold.
It’s believed that Ukraine sits atop roughly 3,000 tons of gold. That’s almost as much as is in Fort Knox. Another 500 tons is in the Donbass region that Russia has already overrun. At $65 million per ton, that would be a major boon to help bolster the economic doldrums Russia is in.
Many of those who fled eastern Europe in World War II did so by stashing and carrying small gold coins. These were used to bribe border guards and soldiers. The gold was also vital in helping fleeing refugees establish themselves and family members in a new life.
Many of those coins would have been the Russian five or 10-rubles pieces minted between 1898 and 1911. Russian gold ruble coins had been the official currency of the Russian Empire for 500 years, dating to Peter the Great in 1551. Because of its abundance, the Russian 10-ruble gold coin has long been easily obtainable and remains one of the popular ways for collectors and investors to own gold. The coins feature a portrait of Nicholas (Nicolai II) on the front and the classic Russian double-headed eagle on the reverse.
Each gold ruble is 90 percent pure and weighs just a shade under one-quarter ounce. It is a bit smaller and thinner than a US quarter. With gold now trading slightly over $1,800 an ounce, each of the coins are currently worth about $425.
A more relevant alternative would be the gold Ukrainian Hryvnia. Issued since Ukraine gained its independence in 1991, one of the pure 999.9 coins weighs one-ounce of gold and features an image of Michael the Archangel wearing wings and flying with a sword. The gold coins aren’t often seen because of their very limited mintages. In addition to the one-ounce version, other smaller denominations exist. None have mintages above 8,000 pieces.
Should one of the Hryvnia coins become available, collectors are advised to have them tested and/or certified. That’s because counterfeits certainly exist. As I said, corruption in the region surely exists.
In the past, counterfeit currency has been an effective weapon in war. In the 1700s, England extensively counterfeited US paper money making our genuine bills effectively worthless. We used a similar tactic against Germany during World War II.
This time, the counterfeiting ploy would be for personal enrichment rather than as a tool of war. Counterfeiters would profit by passing gold coated brass or lead coins for the real deal. Consider this a friendly “caveat emptor” in a time of war.
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