"We make you think!"

1933

Gold Confiscation Act
Presidential Executive Order 6102
 

Who was involved?
President Franklin D. Roosevelt, Federal Reserve, De Beers

What happened?
Illegally using wartime powers during a time of peace, President Roosevelt made it illegal for US citizens to posses more than $100 in gold. Requiring that all US citizens turn all gold in excess of $100 into the Federal Reserve in exchange for Federal Reserve Notes (USD$/Paper).

Why did it happen?
The Presidential Act forced the acceptance and use of Federal Reserve Notes (USD$/Paper) and gave the owners of the Federal Reserve all of the gold that belonged to the American people.

Where did it occur?
United States

Notes
* The Federal Reserve Notes were issued by the Federal Reserve Banks but required the United States Congress to grant them the status of "Legal Tender" i.e. force the acceptance by threat of imprisonment.

* Once the American public no longer had any significant supply of gold they could no longer use gold as a means of exchange.

* Over time people forgot that gold had ever been an alternative to Federal Reserve Notes.