Florida to Make Gold and Silver Legal Tender

Florida Governor Ron DeSantis has signed a landmark bill that will soon recognise gold and silver as legal tender in the state, while also removing sales tax on both metals.

“Florida stands for freedom and economic self-determination, supporting people’s desire to protect themselves from government overreach,” DeSantis stated. “These outdated regulations and the sales tax have made it impractical for Floridians to enter the gold and silver markets.”

Florida is now the second state in a short period to move towards adopting gold and silver as currency. In March, Utah passed a law allowing the state to accept gold and silver payments. Despite strong bipartisan support, Utah Governor Spencer Cox vetoed the bill without providing substantial justification.

Florida’s new law will come into effect on 1 July 2026

Under this legislation, all coins intended for use as currency must indicate their weight, purity, and mint of origin. Notably, the law does not compel anyone to accept gold or silver as payment.

House Bill 999 lays the foundation for enabling both government entities and private businesses to use gold and silver to settle financial obligations, if they choose. This includes making purchases and even paying state taxes.

“Gold and Silver Protect Against a Weakening Dollar”

“We have taken a major step to secure your economic and financial independence,” DeSantis emphasised. He argued that precious metals offer protection against the risk of a declining dollar, which he attributes to the US government’s large budget deficit.

DeSantis noted that the price of gold has tripled since 2015, a reflection of the diminishing purchasing power of paper currency due to inflation.

“We are giving you the freedom to shield yourself from a weakening dollar,”

he said.

The law stipulates that businesses accepting gold as payment must hold the appropriate licence. Financial service providers handling cheques and similar transactions will be required to accept gold. To qualify as a payment method, gold must have a purity of at least 99.5%, and silver at least 99.9%.

Practical challenges remain, particularly regarding the handling and fractional use of physical gold. The Florida Financial Services Commission will establish detailed regulations to address these issues.

In April, the price of gold briefly reached an all-time high of $3,500 per ounce, driven primarily by market reactions to Donald Trump’s tariff policies. You can read more about the sharp rise in gold prices over the past 18 months [here].

Comment from Tavex Analyst

At the state level, there is a growing recognition that the US government’s fiscal policies are unsustainable and could ultimately undermine the dollar. The moves by Florida and Utah suggest that precious metals are regaining a place in mainstream economic and political thinking — and for good reason.

Gold acts as a bridge to help navigate economically challenging times, whether due to mild uncertainty, cyclical recessions, or even hyperinflation.

Mathematically, the US is on a trajectory towards a debt crisis that will inevitably lead to currency devaluation. Other nations, such as the UK, France, Italy, and even Canada, face similar challenges: excessive national debt, demographic pressures, and rising interest rates threatening to overwhelm their economies. Stopping this runaway train will be extremely difficult, if not impossible.