What happens to the US Dollar if the fed is takenover by the Treasury Department? When we went off of the gold standard, the Fed replaced silver certificates with Federal Reserve notes (FRN's). What happens when this is reversed? Since Q says gold will be the downfall of the Fed, do we have enough gold to back al of the FRN's in circulation? If not, does the dollar (whatever that is) get devalued? By how much?