While many are buying into the latest fads the central banks, major banks and billionaires are continuing to amass massive amounts of gold. How much? The global demand rose 5% year over year in the third quarter. It is an all-time record for a third quarter of 1,313 Tons.
I believe they all know that they are “printing” their fiat currencies into oblivion and are preparing for a new system that will likely be hatched shortly. Remember the Bank of International Settlements made it mandatory for all central banks to have a digital currency by 2025.
Does that mean that we will have a meltdown and a new financial system in 2025? Only time will tell what the timing may be, but it bears watching closely.
I cannot help but speculate that Bitcoin is being used to divert money that normally would go into gold so that the “dollar strength” illusion can be maintained. I also cannot help but believe that Bitcoin may be used to usher in a new monetary system.
Before any Bitcoin enthusiasts get too excited, I am NOT saying Bitcoin will be used in the new system- just used to usher it in.
How might this happen?
Bitcoin gets bid up higher and higher. At a certain point (likely when the banks choose) it collapses, and many get wiped out. Those “in charge” will likely blame the fact that there is no central bank that is monitoring the situation and that only a centrally planned currency can prevent this type of catastrophe from happening again.
Enter the CBDC. Far-fetched? Let’s see.
I believe that the reason this is taking so long to play out is that central banks were, for the longest time, working together to keep the illusion alive. Currently, there are major cracks in that arrangement.
There are the BRICS nations looking to set up alternative payment systems to de-dollarize and avoid any country being able to unilaterally impose sanctions. I have written about this extensively.
Another MAJOR development is that many of the western players are running out of other people’s money and the natives are getting restless. Fiscal problems in Europe and Asia are causing central banks to intervene in the currency “markets” to support their currencies. In the case of Japan, as the Yen has been in freefall, they have been repeatedly trying to prop up the Yen by selling assets like US Treasuries and buying the Yen to give the illusion of Yen strength. They have spent over $100 BILLION in recent years to prop up the Yen.
The result? In the last 5 years gold has risen from 160,000 Yen to OVER 400,000 Yen today. In the last 12 months it takes nearly 100,000 more Yen to buy one ounce of gold. (It really is not gold rising- it is the Yen collapsing). Gold just holds its purchasing power. (Kitco)
Because of these actions- Japan- an ally sold 61.9 BILLION in US Securities in the third quarter of 2024.
China- for other reasons- sold $51.3 BILLION of US securities in the same period.
Another staggering number is the $500 Billion in debt run up in the month before the US elections. With this level of debt being created and foreigners SELLING our debt how much “money” is the Fed ACTUALLY conjuring up from nowhere? It could be TRILLIONS that are unaccounted for.
Remember, the $540 Billion conjured up to pay social security and Medicare last year are NOT a part of the $36 TRILLION in admitted national debt. That is also true for the wars and many other off-budget items.
Even without the unfunded liabilities and the wars the numbers would be scary enough. $36 TRILLION plus in national debt and $2 TRILLION in an annual deficit adding to it day by day.
Total debt (not just federal debt but all debt) according to USDEBTCLOCK.ORG is rising at a MILLION dollars every 8 seconds. OUCH!
There is not any chance that any amount of taxation can fix this. Anyone who thinks taxes could cover this is delusional. I have to ask- what is there left to tax anyway?
We already pay :
Property Tax, Sales Tax, State Income Tax, School Taxes, Vehicle Registration Fees, Business Permit Fees, Death Taxes, Cigarette Taxes, Court Fees, Garbage Tax, Liquor Tax, Luxury Tax, Medicare Tax, Social Security Tax, Parking Fees, Passport Fees, Air Transportation Tax, Professional License Fees, Biodiesel Fuel Tax, Highway Tolls, Unemployment Tax, Hotel Tax, Gasoline Tax, Health Insurance Tax, Inheritance Tax, License Plate Fees, RV Tax, Self-Employment Tax, Tire Tax, State Park Entrance Fees, Inspection Fees, Sport Stadium Tax, and Federal Income tax- just to name most.
It is actually amazing that with all these hands in our pockets that we still have a bit of a functioning economy. All of these taxes COULD have been used for innovation and infrastructure but instead are blown on foreign wars, illegal immigrants, and other boondoggles that do NOTHING for us.
My point here is that we are at a point where we are nearing an end game. The numbers are so staggering at this point that the very act of keeping this system artificially inflated could lead to an inflation nightmare very soon. To stop this from happening the money supply and credit would have to be contracted which would lead to an imminent collapse if that path were taken.
The bad news is that those “in charge” will know in advance how this will play out and we won’t know until it is too late. I believe that one minute may be too late.
Be Prepared!
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