Puppet Masters
For years, commentators (myself included) have discussed the next global monetary realignment, which is sometimes called The Big Reset or The Great Reset.
Now, it looks like the long-expected Great Reset is finally here.
Details vary depending on the source, but the basic idea is that the current global monetary system centered around the dollar is inherently unstable and needs to be reformed.
Part of the problem is due to a process called Triffin's Dilemma, named after economist Robert Triffin. Triffin said that the issuer of a dominant reserve currency had to run trade deficits so that the rest of the world could have enough of the currency to buy goods from the issuer and expand world trade.
But, if you ran deficits long enough, you would eventually go broke. This was said about the dollar in the early 1960s.
In 1969, the International Monetary Fund (IMF) created the SDR, possibly to serve as a source of liquidity and alternative to the dollar.
In 1971, the dollar did devalue relative to gold and other major currencies. SDRs were issued by the IMF from 1970 to 1981. None were issued after 1981 until 2009 during the global financial crisis.
"Testing the Plumbing"
The 2009 issuance was a case of the IMF "testing the plumbing" of the system to make sure it worked properly. Because zero SDRs were issued from 1981-2009, the IMF wanted to rehearse the governance, computational, and legal processes for issuing SDRs.
The purpose was partly to alleviate liquidity concerns at the time, but it was also to make sure the system works, in case a large new issuance was needed on short notice. The 2009 experiment showed the system worked fine.
Since 2009, the IMF has proceeded in slow steps to create a platform for massive new issuances of SDRs and the creation of a deep liquid pool of SDR-denominated assets.
On January 7, 2011, the IMF issued a master plan for replacing the dollar with SDRs.
This included the creation of an SDR bond market, SDR dealers, and ancillary facilities such as repos, derivatives, settlement and clearance channels, and the entire apparatus of a liquid bond market.
A liquid bond market is critical. U.S. Treasury bonds are among the world's most liquid securities, which makes the dollar a legitimate reserve currency.
The IMF study recommended that the SDR bond market replicate the infrastructure of the U.S. Treasury market, with hedging, financing, settlement and clearance mechanisms substantially similar to those used to support trading in Treasury securities today.
China Gets a Seat at the Monetary Table
In July 2016, the IMF issued a paper calling for the creation of a private SDR bond market. These bonds are called "M-SDRs" (for market SDRs), in contrast to "O-SDRs" (for official SDRs).
In August 2016, the World Bank announced that it would issue SDR-denominated bonds to private purchasers. Industrial and Commercial Bank of China (ICBC), the largest bank in China, will be the lead underwriter on the deal.
In September 2016, the IMF included the Chinese yuan in the SDR basket, giving China a seat at the monetary table.
So, the framework has been created to expand the SDR's scope.
The SDR can be issued in abundance to IMF members and used in the future for a select list of the most important transactions in the world, including balance-of-payments settlements, oil pricing and the financial accounts of the world's largest corporations, such as Exxon Mobil, Toyota and Royal Dutch Shell.
Now, the IMF is planning to issue $500 billion of new SDRs, although some Democrat senators are lobbying for an issue of $2 trillion SDRs or more.
This would be almost ten times the amount of SDRs issued in 2009 and would go a long way to increasing SDR liquidity and advancing the globalist agenda of eventually having the SDR replace the U.S. dollar as the leading reserve asset.
This proposal closely follows the global elite game plan predicted in chapter 2 of my 2016 book, The Road to Ruin.
Over the next several years, we will see the issuance of SDRs to transnational organizations, such as the U.N. and World Bank, to be spent on climate change infrastructure and other elite pet projects outside the supervision of any democratically elected bodies. I call this the New Blueprint for Worldwide Inflation.
More Than Just SDRs
But there's more to the Great Reset than the issuance of new SDRs. Here's another breaking news story that validates the longstanding prediction of a coming reset in the global financial system.
In 1999, the euro replaced the individual currencies of Germany, France, Netherlands, Italy and other major economies in Europe. Today, the number of countries that have joined the euro is up to 19, and more countries are awaiting admission.
The euro is the second largest reserve currency asset after the U.S. dollar. The creation of the euro can be thought of as a stepping stone from national currencies to a single world currency.
Now, the euro (along with the Chinese yuan) is moving quickly to become a Central Bank Digital Currency (CBDC). A CBDC combines a traditional currency with the blockchain technology of a cryptocurrency.
It's an important move in the direction of eliminating cash and forcing users into a 100% digital system using credit cards, debit cards, and smartphone apps.
Why are China and Europe so focused on eliminating cash?
Use It or Lose It
I've said all along that you cannot put negative interest rates on consumers until you eliminate cash. Otherwise, savers would just withdraw cash from the banks and stuff it in mattresses to avoid the negative rates. Implicitly, the European Central Bank (ECB) seems to agree.
One of the ECB Board members says that negative rates (really confiscation) will be applied as a "penalty" against "hoarding" cash. In plain English, that means they will create digital money, force you to spend it, and if you don't spend it, they will take it away as a "negative rate."
Now all of the pieces of the global elite plan are converging.
The IMF SDR issuance will reliquify global central banks that cannot print dollars. Then CBDCs will be used to eliminate cash.
Once the cattle (that's us) have been herded into the digital slaughterhouse, we will be told to "use it or lose it" when it comes to our own money. In other words, either we spend the money, or the government will take it away.
Of course, the spending can be channeled into politically correct causes by excluding unpopular vendors such as gun dealers or conservative social media platforms from the payment system. This represents total domination of human behavior through world money + digital currencies + confiscation.
This is not speculation anymore; it's happening in front of our eyes. The Great Reset is coming fast. The future is here.
The only solution is to use a non-digital, non-bank store of wealth that cannot be traced or manipulated. Given the planned dollar devaluation, it's one more reason to own physical gold and silver.
Get it while you still can.
Reader Comments
[Link]
Clearly, the system we use to distribute income is unsatisfactory; this is evidenced by the great disparities that exist between poverty, destitution, and owners of great wealth. We need a system, that will take nothing from the rich, whilst, at the same time, guaranteeing to every living individual, the means to live, to be fed, housed, educated and maintained in good health.
We possess the means to achieve this, but they have been usurped, taken for themselves, by a small group of individuals in the past, at a time when they were in positions of power. They held the keys to this solution, but were not willing for it to be shared to the greater populations for the "General Good". There is no longer any need for this great injustice to continue; for if great numbers of people accept this proposed system, which may be introduced at very little cost or inconvenience; then it will be Democratically introduced.
This proposed system relies principally that People revise their understanding of "Money" , to discard all the fake mystery's they have been taught, and to understand the simplicity of printed debt free, interest free Government controlled money and how it can best serve humanity. To begin with, Money and Currency is simply printed at very little cost; and this is safe provided the printing of it is very difficult to copy, is controlled only by Governments, and some "safeguards" are introduced to prevent misuse and control of any greedy and unnecessary accumulations. This is easily accomplished without disrupting or interfering with trades and entrepreneurship.
The cry will arise from the wealthy that printing money will devalue that already in circulation, and that it will create untold levels of inflation; in fact none of this is true. Money that is printed and issued interest free and debt free, because we do not need to borrow it, and it is destined to be "Spent" directly and immediately into circulation, does not create inflation, money already in circulation will continue to buy anything and everything because nothing else has changed, and money cannot devalue itself.
This system will pay to every individual that needs it, a basic living income for life, it will be paid to everyone whose means either do not exist, or they fall below a calculated "break-even" amount; this group of individuals must perforce spend this income directly into circulation in order to live. The amount paid will be under constant Government controlled review to ensure it keeps pace with the real economy. This represents the basic fail-safe economy because it will prevent Bank initiated depressions, Stock Market and Financial Market initiated slumps and collapses from affecting the basic economy or the security of incomes, and it will be the primary motivation for production and supply for all Corporations, Companies, manufacturers , retailers and sole traders.
Those in receipt of the guaranteed income will be encouraged to take up employment from whom ever may provide it; The guaranteed income may be supplemented by such other earned income as may be gained, without loss or penalty deductions from the Guaranteed Income amount; this will encourage those who are able and willing to work to further improve their standard of living; some will choose not to do so, and they must still be cared for.. Such additional income will be earned at reduced rates, because it will stand on the shoulders of the Guaranteed Income, and this will benefit the employer and business and may be viewed as an investment in the economy; individuals will be absolutely free to choose employments and working/environments settled and decided amicably between employer and applicant. When the conditions or environment are unsatisfactory people need not accept them, unless they accept a suitable compensatory reward.
Individuals taxation will cease, until their death, when "Estates" will be assessed, using criteria that formulates to prevent personal fortunes becoming too great, which may then distort several areas of the economy. Only Corporations and Commercial entities will be assessed for taxation for the same reason,and the paramount need to prevent monopolies being created, which also distort Economies.
This is a system capable of adjustment and variation, at very short notice, which is a point not to be overlooked.
Government will finance all infrastructure building and All Social Services using the debt free, interest free, printed money, because by definition, all this money is spent directly into the economy. This will include the building of accommodations for those in the lower incomes bracket.
This system will facilitate, in effect, a two tier Economy. One tier will encompass those entitled to receive the Guaranteed Income, together with their Social needs; the upper tier will encompass all others, and will operate like any other Capitalist Free Market Economy, subject to those constraints recorded earlier above.
The purpose of this Funding invitation is to create a Web-Site where those in agreement with this proposed system may meet, form the steering Committee, create the necessary documentations for the Incorporation of this New Entity, in order to comply with the "Corporations Act", to assume control of the Banking and Finance affairs, through those they appoint. And together, democratically, amend, improve, and finally work to establish this Improved method of Social Care, Financial and Political Economy.
To continue fund raising and membership drives, and continue to educate the General Public on the advantages of creating an interest free, debt free, Sovereign Currency and Money Supply. Every Sovereign Nation possesses the right to introduce such a system, no permissions are required from any other entity to do so.
I LOVE the name: "Unlimited Hangout". EXCELLENT!
A question. It's 12.33a on 3/1/2021. I am listening to an album. The song I just heard repeats "Tell the moon don't tell the marcher". Who is it? Now "Were we ever colder on that day?" GREAT SONG! GREAT ALBUM! (I bet that you know. It's Yes. I had to say that because I had to say this which would have given away the game: Steve Howe's guitar is SO phenomenally cool!)
RC
You too have a great day my friend!
RC
Comment: For a more nuanced explanation of digital currencies, see this by James Corbett.
See also: