With Donald Trump back in the White House and a Republican Senate majority, a return to the gold standard—a long-held vision of Trump’s—is closer than ever. The Gold Standard Restoration Act (H.R.2435) has gained new momentum in Congress, promising a dollar pegged to gold to protect Americans’ savings from inflation. However, with House control still undecided, the bill’s journey may be complex. Yet Trump has another option: executive action, which past presidents have used to redefine the dollar’s relationship with gold.
The Gold Standard Restoration Act – H.R.2435
H.R.2435, introduced in March 2023 by Rep. Alexander Mooney (R-WV-2), provides a detailed plan for re-establishing the gold standard. Under this bill, the U.S. Treasury would peg the dollar to a daily market price for gold. Federal Reserve Banks would be required to exchange dollars for gold at this rate, giving Americans a secure way to convert their money. If any Federal Reserve Bank fails to comply, the Treasury would enforce compliance by placing a lien on that bank’s assets.
Can Trump Use an Executive Order to Reintroduce Gold?
If Congress fails to pass the Gold Standard Restoration Act, Trump could still use an executive order to influence the dollar’s relationship with gold, following in the footsteps of previous presidents. For instance, in 1933, Franklin D. Roosevelt issued an executive order requiring Americans to turn in their gold, effectively ending the gold standard domestically. Nixon, in 1971, took another executive action that severed the dollar’s link to gold internationally.
Trump could use the Treasury’s Exchange Stabilization Fund, authorized under Title 31, Section 5302(b) of the U.S. Code, to buy and sell gold, potentially stabilizing the dollar in relation to a gold benchmark. While a full, legally-binding gold standard would require Congressional approval, Trump could set a “gold target” for the dollar, creating a soft link to gold without committing to a formal gold standard.
However, a full reimplementation of the gold standard would be legally challenging. A 1976 amendment to the IMF’s articles prohibits member countries from pegging their currencies directly to gold, making a binding gold standard difficult without changes to international agreements.
A Global Gold Standard?
While H.R.2435 primarily addresses domestic monetary policy, Trump’s team is also looking at the global stage. Economist Sean Rushton proposed a tripartite gold fix involving the U.S., Eurozone, and China. This international standard would stabilize exchange rates and curb currency manipulation, creating a stable environment for global trade. If Trump leads this effort, the U.S. dollar could reclaim its position as a stable, trustworthy currency, benefiting both American and global markets.
A tripartite arrangement would also reduce speculation and volatility, making it easier for businesses and individuals to plan financially. By collaborating with major economies, Trump could give the dollar a lasting foundation in the global economy.
Fiscal Responsibility and a Gold-Backed Dollar
The Gold Standard Restoration Act offers more than just monetary stability—it’s a move toward fiscal responsibility. A gold-backed dollar would naturally restrict the government’s power to inflate the currency by printing money, ensuring disciplined federal spending. For Republicans, H.R.2435 aligns with a vision of smaller government and balanced budgets, reducing the national debt and building a sustainable financial future.
With Trump in office and a Republican Senate, this return to fiscal responsibility could help end the inflationary spending that has fueled national debt. By enforcing a gold-backed dollar, H.R.2435 would signal to Americans and the world that the U.S. is committed to sound money and economic discipline.
Could the Gold Standard Curb Boom-and-Bust Cycles?
For decades, the U.S. economy has been a rollercoaster of booms and busts, from the tech bubble to the housing crisis. Each crash has been fueled by cheap credit and speculative market practices. Supporters argue that a gold-backed dollar would offer a stable currency, discouraging risky borrowing and reducing the impact of future crashes.
If passed, the Gold Standard Restoration Act would stabilize the dollar, reducing the financial fluctuations that have hurt American families and businesses alike. By tying the dollar to gold, Trump could create an environment of long-term stability, shielding Americans from the unpredictable swings of today’s economy.
What a Gold Standard Could Mean for Americans
A return to the gold standard would mean a stronger dollar with greater purchasing power. Inflation would be contained, allowing Americans to save with confidence, knowing their money will hold its value over time. For retirees and families saving for the future, a gold-backed dollar offers a secure foundation.
Imagine a world where your savings aren’t constantly eroded by inflation. A gold standard would provide a stable currency for all Americans, shielding against government-induced inflation and economic instability.
Trump’s Path Forward With H.R.2435
With Trump’s victory and a Republican Senate majority, the Gold Standard Restoration Act is closer than it’s been in years. Even with the House control undecided, this bill has a strong chance of advancing. And if Congress hesitates, Trump’s executive authority gives him a backup option to make progress on this issue.
Trump’s leadership and the Gold Standard Restoration Act represent more than just monetary policy—they’re a return to sound money principles. With H.R.2435, the U.S. can fortify the dollar, ensure economic stability, and protect Americans’ financial futures. Whether through Congress or executive order, Trump’s push for a gold standard is a step toward a stronger, more stable America.
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