Stradog, you are wrong! It is quite obvious you wrote this hideous and long paragraph for the sole purpose of causing mayhem. Stradog is just one of the many crazies out there who use manipulated articles that have no validity, written by radicals, activist, agitators, and outlandish campaigners who just want to start trouble by trying to persuade Americans that our Government is corrupt and that the yellow fringe is un-American....a crazy and ridiculous belief, and according to the Federal Courts, "without merit” and “totally frivolous". Some delusional people, like "Stradog" thrive on this kind of stuff and get excited in writing such invalid blather.
The quote below concerning gold fringe on the Flag is from the book "So Proudly We Hail, The History of the United States Flag" Smithsonian Institute Press 1981, by Wiliam R. Furlong and Byron McCandless. "The placing of a fringe on Our Flag is optional with the person of organization, and no Act of Congress or Executive Order either prohibits the practice, according to the Institute of Hearaldry. Fringe is used on indoor flags only, as fringe on flags on outdoor flags would deteriorate rapidly. The fringe on a Flag is considered and 'honorable enrichment only', decoration only, ceremonial only, and its official use by the US Army dates from 1895. A 1925 Attorney General's Opinion states: 'the fringe does not appear to be regarded as an integral part of the Flag, and its presence cannot be said to constitute an unauthorized addition to the design prescribed by statute. An external fringe is to be distinguished from letters, words, or emblematic designs printed or superimposed upon the body of the flag itself. Under law, such additions might be open to objection as unauthorized; but the same is not necessarily true of the fringe.'"
The gold trim is generally used on ceremonial indoor flags that are used for special services and is believed to have been first used in a military setting. It has no specific significance that I have ever run across, and its (gold trim) use is in compliance with applicable flag codes and laws.