Tuesday, August 4, 2015

Death of the GRF

We have discussed at length the structural deficiencies of fiat money. It is always based upon debt (which makes it inherently unstable over time). We have even touched upon the idea that fiat is a form of Chris Hedges "triumph of spectacle over substance" as we apply that concept to our financial markets today, and the fiat valuation system that allows them the exponential leverage that sound money prohibits.

Paper is the vehicle for this culture of illusion, of image and spectacle, whereas gold is the vehicle for a culture of substance, of timeless truth and sustainability.

Along these lines, one important aspect of a Global Reserve Fiat (GRF) is a geo-political consideration, one of several considerations in the "moral hazard" category, which imparts another tremendous advantage to those who control and influence its issuance at the source.

We use this easily created fiat to fund foreign NGO's (non-governmental organizations) in order to buy elections, topple regimes, create destructive chaos and even fund terrorism all over the world. So the political advantage of our GRF has been weighed and "outed" by the emerging system, as succinctly described by Bill Engdahl.

Here again, in a system of global corporatism, where debt is held as a wealth reserve asset, all manner of moral hazard, spectacle and illusion is unleashed. But the question arises - is this really the "U.S. Dollar"? Does it represent only the debt of a single nation? Or is it the Global Dollar, a fiat which holds no sovereign or national alliance at all - much like those who abuse the privilege of its issuance?

These questions must be asked, because we know that no member of the dollar faction, at the systemic level, truly believes that taxation of the American people will ever fulfill the obligations denominated in this currency and its derivatives. We must, at this point in time, accept that the old adage of a currency being "backed" by the future production of a nations' people has become obsolete, and that instead, it is the future production of ALL middle classes world-wide which now back it.

The repudiation of this backing is in fact the essence of the competing system. Foreign support for the dollar has been discussed yes, and it is being withdrawn, yes. But we must understand that in part this withdrawal represents the competing systems' desire to free its middle classes from the obligation to illegitimate future promises which that continuing support implies. The tribute to global empire has ended.

When the dollar is used so egregiously to undermine the sovereignty of the nations that indirectly support it, the people will instinctively learn the truth through the moral response by their leaders. This is why Putin enjoys such an overwhelming favorability rating worldwide as compared to the puppet Obama.

We read more and more about how the people of the world, even the people of the United States in some notable cases, reject the propaganda that has enslaved them, while that propagandas' illusion pretends so convincingly to be something benign, even beneficial.

As the global reserve fiat dies, it dies a thousand deaths, and a thousand different masks of deception are slowly removed - those of the compromised press, those of the compromised political class, those of compromised academia, and most ironically, those of the NGO's like the so called "National Endowment for Democracy".

It is beyond contempt to see such "morally upright sounding" names given to these nefarious agents of global empire. This is to perpetuate the illusion of the good shepherd for "democracy", while in truth these facades are (nearly universally) agents of financial fraud, regime change, wealth appropriation, sabotage, death and destruction. This is one of the more despicable aspects of a GRF, such that it rewards terrorists, saboteurs, puppet dictators and the like in countries where the currency is gladly accepted, to undermine the sovereignty of its own citizens.

Rejoice in the slow and agonizing death of the global reserve dollar, despite any loss of crumbs allowed to grace your tables as they spill to the floor. A feast of honest money and free markets awaits in the coming equity based system, and your national dollar will survive, to compete on honest terms with other national currencies, all valued impartially against gold.

Some small sacrifices will be made as we pay our final respects, but to be rid of the corruption that absolute power enables will, in the long run, be in the best interests of all people, and of all classes.

1 comment:

  1. This GRF series is really well written. Have you considered submitting it to the Economist or Zerohedge?