ISIS stunt to mint own coins will backfireDecember 1, 2014
ISIS announced its intentions during sermons in northern Iraq this month to begin minting its own gold dinars and silver dirhams in keeping with the traditions of Muhammad and the old caliphate. Shortly afterward, one ISIS member conceded that the proposal is a stunt. But the hoax is yet another indication of the desire of jihadists, Islamists, and caliphate revivalists to flush paper fiat currencies, which they regard as infidel currencies, down the toilet, and replace them with the metal coins of antiquity.
A return to gold and silver are broadly supported by prominent Muslims including former Malaysian prime minister Mahathir Mohamad and Islamic lecturer Imran N. Hosein despite the inefficiencies of using gold as a medium of exchange and the frightening volatility of the global gold prices.
Currency expert Axel Merk told CNN that even if ISIS were able to build a monetary system with gold, the terrorist organization would eventually run out of money and begin lowering the content of gold in their coins to stay solvent like past gold-based economies.