Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1862-01-25
Iaconvertibie BalIion ia tlae eoath.

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Matamoras under very suspicious circumstances
Enconyersibse Bullion ia tlse sonsh.
An anonymous writer in the Charlotte IN.
c. Balstin makes the following Interesting OBJ
servations:
In Consequence of the complete suspension of
coinage at al southern minis, with simultaneous
interruption of foreign commerce, gold and sill
yer have been boarded by banks and private in
dividuals. Such Yaluables daily diminish among
US smuggling to the North because certain ar
tieles Ct urgent necessity, expensive drugs, for
instance, can only be obtained By means Of gold.
Coin is demanded in the West for purchases Of
meats for eOmmissaries' stores, as well rs for
arms and ammunition in Europe, On the con-
trary, the uses of paper money are limited IN
extent by our W borders; while the amount IN
State or COnfederste notes and bonds has largely
increased, by imperative necessity 10 cary on
the war. There is plenty of money everywhere
among us, with an obviously diminished supply
of gold and silver CONS. Larger sums, IN paper
money, must consequently be paid for gold and
silver by a common law of trade, aswe are en-
tirely cut off from foreign coins in exchange for
products.
During a period of fifteen years, according to
official proof, the product Of gold from southern
mines, in the Carolinas, Georgia, Alabama, Viz
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the sum of eighteen millions Of dollars. The an
nual average supply of gold for that series Of
years being, consequently, equal to twelve hun
dred thousand dollars, some advantages might
be felt in the Confedsrsey at this time, by an ex-
ertiOn to coin native gold, to meet the great de-
msnd for its important, wei appreciated uses.
BY simpliication aud management in the de-
tails of expense, a seigneurage, or charge Of FIVE
per cent. npon the value OF deposits Of bullion,
vv1rr1I -,A,A Aha ,a~4 IS EL-g.,ss., 49,. .~sn
without other appropriation by the government
than a permanent fund to pay depositoTs a full
equivalent for their bullion, directly after assay,
according to usage.
A law has been drawn up by the Confederate
Congress to establish assay Offices at the minis
in North Carolina and Georgia, without privilege
to coin IA sovereign power claimed by the Con
federacy, and not reserved by any State, also
without any permanent fund 10 provide prompt
payment after assay, according TO custom and
utility. Hence this law seems 10 be . dead let
ter for every practical purpose that suggested its
enactment.
An adequate deposit, for immediate payment
after assay, would at once bring an assay Office
into activity, and enable miners to engage prof
itably IN their wonted industry, which could az
lord, under existing circumstances, to defray ell
necessary expenses of manufacture hitherto
supported by government. Whereas no one ap-
pears willing to assume the onerous response
bilities which devolve upon an assayer under
the new law.
The 5@aks in mining districts retain large
SUM- in bullion, which are not now available
for domestic exchanges, nor as currency, be-
cause it does not possess the form Of coins {;
while the owners of gold bullion pay interest
upon advances made in paper upon such bullion.
Banks with limited capital or restricted charters
cannot continue to purchase or make advances,
in notes upon bullion beyond a certain amount
70 their funds, which many have already reached.
When our ports are opened to foreign com
merce, some foreign coin may be anticipated,
and bars of native bullion, the product of south
ern mines, may be exported for foreign ex-
changes, with advantage over coin. But the
people Of this country, educated by the expert
ence of a foreign revolution, prefer that the pre-
eious metals be occasionally intermingled with
paper money in the currency