When the Music Stops ….
… The Dollar won’t be used for global trade.
Skeptics will surely claim that a BRICS-based anti-dollar alliance will not manage to deprive the dollar of its global reserve currency status. Instead of arguing against this line of thought, it is easier to point out that Washington is doing its best to enlarge the ranks of the enemies of the dollar. Asked by the Russia 24 channel to comment on Nabiullina statements, Sergey Kostin, the president of the state-owned VTB bank and one of the staunchest supporters of anti-dollar policies, offered an interesting perspective on the situation in Europe:
“I think the work on ruble-yuan swap line will finalized in the nearest future and the way for ruble-yuan settlement will be open. Moreover, we are not the only ones with such initiatives. We know about the statements made by Mr. Noyer, chairman of the Bank of France. As a retaliation for what Americans have done to BNP Paribas, he opined that the trade with China must be done in yuan or euro.”
If the current trend continues, soon the dollar will be abandoned by most of the significant global economies and it will be kicked out of the global trade finance. Washington’s bullying will make even former American allies choose the anti-dollar alliance instead of the existing dollar-based monetary system. The point of no return for the dollar may be much closer than it is generally thought. In fact, the greenback may have already past its point of no return on its way to irrelevance.
This is the one animal in the room that scares me more than anything else, fiscally. Its out in the open, no secrets, but the Washington crowd have no idea of the impact to our economy. The American public even less. But when 2x as many dollars come floating back home that we have in circulation domestically, nothing good is going to occur. What’s worse is that one day a USD/BRIC global interaction is OK, the next the USD is in collapse as a major player or players switch sides.
But BRICs are moving forward with their intentions.
PS: The 30000 BTC the Feds seized from Silk Road went to auction for $15m.
![](http://www.parentalrights.org/vertical/Sites/%7BC49108C5-0630-467E-9B9B-B1FA31A72320%7D/uploads/%7B3EA8D754-D841-4FF4-882C-32895D89991D%7D.PNG")
[1]
“The secret of monetary stability and sound money is not to capture the Federal Reserve System. The secret is to pass a very simple law which abolishes the Federal Reserve System. The law revokes the Federal Reserve Act of 1913. The secret is not monetary sovereignty by Congress; the secret is monetary sovereignty in the free market social order.
The secret of better education is not capturing the public school system. The secret of better education is to go online, cut the cost of education, decentralize the entire process, and put parents in control of their families’ educational programs. But conservatives learn slowly. They always want to capture the liberal system, because they have a better plan to make it work. That was what the Bolsheviks did with the Czar’s bureaucracy. That was what the French revolutionaries did with Louis XVI’s bureaucracy. That was what the American revolutionaries did with George III’s bureaucracy. That is what the South would have done, if it had won. Gov. Brown saw this, and he resisted it.
The open source revolution is going to decentralize more of the world. Decentralization is not going to lead to revolution. Decentralization is going to lead to secession. I mean secession in Gandhi’s way. I mean the withdrawal of support. You don’t take up arms against the state; you simply refuse to cooperate with the state. You make it more expensive for the state to tyrannize you.
There is no Yugoslavia anymore. There is no Soviet Union anymore. This is the wave of the future. The statists and would-be statists keep looking for the great revolution. Just like Marx, they see it on all sides. Well, it never came. The communist revolution came where it didn’t belong, according to Marxist theory the rural Empire of Russia. The urban proletariat didn’t pull off the revolution; a bunch of alienated intellectuals and bank robbers did.
What are we going to see is the withdrawal of support from central regimes. The revolutions in the Arab world did not decentralized anything. It just re-centralized with another group of tyrants running the show. It is nice to see existing tyrants embarrassed. It is nice to see them overthrown, at least from a distance. But it doesn’t change anything. Egypt is just what it was under Mubarak. It is a military dictatorship. The revolution didn’t do anything.
Revolutionaries have to have a centralized agenda. Either it’s open, or it isn’t. But there is always a centralized agenda with every revolutionary movement. Every revolutionary always thinks his revolution is going to be the last one. Every revolutionary thinks that when he gets in control of the hierarchical chain of command, things are going to be different. Yes, they will be different. There will be a different set of looters skimming off the productivity of the victims.
Until conservatives stop dreaming about capturing existing hierarchical systems of power, nothing is going to change.”
http://www.garynorth.com/public/12619.cfm
[2]
As I recall when the Pound Sterling was replaced by the Dollar as the World’s Reserve Currency it lost 27% of its value.
With all the money that has been printed we would be lucky to avoid a 50% devaluation, not to mention the subsequent inflation.
Of course Obama would love that………government to the rescue by stealing everyone’s money and property.
[3]
bruce: “Of course Obama would love that………government to the rescue by stealing everyone’s money and property.”
and then most people having to line up with their hands out to beg for sustenance, fuel, etc
oh, and those that DON’T have to line up…because they planned ahead? Obama would demonize THEM as THE problem!!! And point the desperate people at them!
Hard assets…things with intrinsic value…the ONLY true currency.
[4]
Well it looks like I am classified as a member of an extremist forum — http://www.linuxjournal.com/content/nsa-linux-journal-extremist-forum-and-its-readers-get-flagged-extra-surveillance — When NSA classifies everyone a terrorist we can all get free meals from FEMA.
[5]
geez, drdog, I woulda thought being on THIS forum would have gotten you classified as a “Terrorist”
*sigh* …we’re just not trying hard enough!! 👿
[6]
btw, Mullah Obama was at it again today…saying we need people to exhibit “Economic Patriotism”
translation: “I’m gonna TAKE your stuff, and if you don’t SMILE when I do, then you’re UN-Patriotic…and a terrorist!”
[7]
About that 288k employment number — http://www.zerohedge.com/news/2014-07-03/june-full-time-jobs-plunge-over-half-million-part-time-jobs-surge-800k-most-1993
[8]
As the world’s largest economy goes down, the rest of the world is going to get sucked down with it. They can try to avoid it, they can try to minimize it BUT in the end, they are going down too.
[9]
GN,
The analogy I use is a commercial jet. The first world might be flying in first class and the third world in coach, but when the plane crashes it really don’t matter; everyone is dead.
[10]
Would you like extra wood pulp with that order Sir? — http://qz.com/223742/there-is-a-secret-ingredient-in-your-burgers-wood-pulp/
[11]
Public health and welfare be damned — http://www.dallasnews.com/news/columnists/gromer-jeffers-jr/20140630-immigrant-plan-moves-clay-jenkins-out-of-john-wiley-prices-shadow.ece
[12]
Not unsurprisingly, a study published by Fortune Magazine lists Mississippi as the nation’s most corrupt state:
http://fortune.com/2014/06/10/most-corrupt-states-in-america/?xid=tab_rss
[13]
[14]
JR,
Reading Linux Journal only makes me Extremist. Being a BJGer labels us Terrorist. I am sure there is a difference to the Kommandant of Hut 1369 but I don’t know what it is.
[15]
Terrorists get one half of a rat’s hindquarter, extremists get the whole hindquarter.
[16]
let us hope, but then again we will still be electing dem lite.
[17]
My Gawd. Go look at Drudge’s lede story.
[18]
Wouldn’t surprise me one bit. Actually michelle may be the sperm donor, and Obama has the vulva.
[19]
The threats of imposing amnesty by exec order are starting to have an impact on the public and may well backfire big time against obumbler.
Lamar alexander may lose his primary because of it.
[20]
Been on storm watch today which is more palatable than amnesty watch. A storm for all the damage it does has a cleansing effect. Amnesty, on the other hand, creates a stain that just won’t wash away. I’ll take a hurricane any day.
Closed the deal on my house just 36 hours ago, and got 86 mph winds clocking across it right now. Fortunately, I’m not there, and whatever happens can be fixed. They say rough weather makes good timber, so we accept God’s plan for us, and be better for it.
Thanks Gn, and all, for your well wishes.
[21]
Dog 17….you saw him throw the baseball didn’t you?
[22]
I heard that when the World Cup US team comes to the White House he wants to shower with them. Don’t drop the soap!
[23]
Editors note:
We welcome all constructive input except ad hominem attacks against other bloggers, which are counter productive. Feel free to join in, but leave your childish sarcasm at HHR.((such attacks against politicians perfectly acceptable)
___The management___
[24]
Another taxpayer relief shot
[25]
“….you saw him throw the baseball didn’t you?”
Yeah, and the mom jeans, and the stupid bike photo. That’s all pee-wee herman stuff tho’ ya know. I guess Joan Rivers won’t be invited as the opener to the next White House Correspondents gala eh?
[26]
She is holding obama’s balls for him
[27]
The mechanism of the Welfare State — http://www.zerohedge.com/news/2014-07-03/cloward-piven-strategy-being-used-destroy-america
[28]
I guess Joan Rivers won’t be invited as the opener to the next White House Correspondents gala eh? – Dr Dog
You are probably right about that. In fact she probably has IRS agents camped out on her front yard right now.
IP – ugh, where did you get that one? Ruined my coffee, man.
How do you embed those pics in your comments, knuckledragger would like to know.
[29]
I asked a serious question, Justrand. What happens after your revolution? What is the structure of America then? You could answer or just delete the question like you often do.
[30]
Il Duce (aka: Mullah Obama) is apparently going to use an INDEPENDENCE DAY speech to push for the END of our independence!
Because eliminating our ability to function as a sovereign nation by eliminating our right to an actual BORDER and LAWS which govern who may cross it, will indeed mean America ceases to exist as our Founders intended.
The physical land will still be here…but that’s it.