On May 28, Gov. Ron DeSantis signed House Bill 999, making it legal for gold and silver coins to be used as forms of payment in Florida. Under this new law, both public agencies and private businesses can choose to accept these precious metals in exchange for goods, services or to settle debts. The legislation is set to go into effect on July 1, 2026, provided that the Florida Legislature approves the final implementation details.
This move is part of Florida’s broader push to assert what state leaders are calling “financial sovereignty.” By recognizing gold and silver as legal tender, the state gives its residents greater control over how they manage and protect their wealth — especially in the face of inflation and federal monetary shifts.
The motivations behind this policy are political, economic and ideological. Supporters argue that precious metals offer a safeguard against the declining value of the U.S. dollar, which can be impacted by large-scale federal spending and policies set by the Federal Reserve. Gold and silver are viewed as stable stores of value that retain purchasing power over time.
With this legal framework, Florida is taking steps to reduce reliance on federal institutions and position itself as a destination for investors who favor a more decentralized financial model. The state also hopes to attract new business in the financial sector — such as gold vaulting services, bullion dealers, and alternative asset investors.
The law leans on constitutional authority: Article I, Section 10 of the U.S. Constitution allows states to adopt gold and silver as legal tender. Florida now joins Utah and Wyoming, two other states that have adopted similar legislation, in branding itself as a pro-precious-metals state.
Several practical steps are required for the bill’s full rollout:
Purity requirements: Gold must be at least 99.5% pure, and silver must meet a 99.9% purity threshold to qualify.
Tax treatment: Transactions involving gold or silver worth over $500 would be exempt from state taxes.
Electronic payments: State and local agencies must be able to process gold and silver payments electronically to streamline public use.
These provisions are still awaiting final legislative approval.
While this move is seen by advocates as a way to preserve financial stability, critics note that it may undercut the Federal Reserve’s role in managing national monetary policy. The Fed, established in 1913, was designed to regulate the supply of money and stabilize the banking system. By giving legal standing to an alternative form of money, Florida could reduce the effectiveness of those tools — at least within the state.
For Florida residents, the law offers a choice: use traditional fiat currency with its flexibility and federal backing, or turn to gold and silver, which offer protection from inflation but lack the agility of modern economic instruments.
From a technical standpoint, pegging financial assets to a fixed commodity like gold may prevent erosion of value. With proper valuation tools and payment platforms, it’s even possible to use these metals in everyday transactions. However, because their supply is limited, this could cap the volume of transactions. Unlike fiat currency, gold and silver reserves cannot be printed or expanded to stimulate economic growth during downturns.
This points to a central challenge: fiat currencies offer flexibility but are prone to inflation, while commodity-backed systems provide stability but lack scalability. Florida’s strategy may ultimately lead to a hybrid system — where traditional currency and precious metals function side by side. Such a balance would allow the state to respond to shifting economic conditions with more optionality.
Another possibility is that Florida could expand its monetary toolkit through derivatives. Financial instruments like gold futures, options, and exchange-traded funds (ETFs) could help increase liquidity and flexibility without relying solely on physical reserves. However, this would require clear regulations to avoid excessive speculation.
In the bigger picture, House Bill 999 represents more than just a legal change — it signals a shift in how Florida sees its role in the national financial conversation. By giving precious metals legal status, the state is exploring a path toward greater diversification and decentralization in its economy. Whether this approach will succeed depends on how effectively the state can balance stability, flexibility, and innovation in the years ahead.
Luciano Duque, who lives in Jacksonville, is the CIO of C3 Bullion, a gold-investment firm.
