Fiat currency isn’t your friend. The money of today is controlled by governments and Central Banks. It is used to hurt the average human. Huge numbers of people on the planet are poor. How do we define “poor” – a person who lives on less than $3.20 a day.
Is this the fault of governments?
Sort of. But here is the thing – fiat currency is inherently inflationary from a practical perspective. There is no way for unbacked currency to maintain its value when it is created in ever increasing amounts.
Fiat currency loses value because it is debt – and governments keep spending more than they have. Add to this equation the impact of fractional reserve banking, and its easy to understand why that fat $3.20 a day isn’t going as far as it used to.
But wait – it gets a whole lot worse!
Not only does fiat currency rob the poor of their tiny amount of buying power – it also empowers governments and the wealthy. Don’t worry – this article isn’t some socialist nonsense that leads to a North Korean economy.
In fact – we think that the only way forward from here is embracing total laissez-faire monetary systems at a global level.
Central planners be dammed!
Sorry Boomer – Central Banks Mean Central Planning
We are not here to teach you any history. It’s boring for most people. In the crypto game – people come for profits. Small problem – crypto profits are measured in fiat currency.
Central banking isn’t some agnostic force in the world of money. Banks like the US Federal Reserve have a product – and that product is money (the USD). By issuing one of the most important currencies in the world, the FED has an incredible amount of power.
Also, for those of you that didn’t know, the f***ing FED is a private, for-profit entity. The owners of this entity are a secret. And just for fun, the FED sits at the center of the Western financial system.
Books have been written about this situation, and they are worth reading. All that said, the takeaway for the purposes of this article is that the FED, and all the other major Central Banks enable global central planning.
Setting interest rates is a crude tool for central planning, but the active bailouts that happened in the wake of 2008 are far more insidious. While poor suckers who bought houses they could never afford at higher interest rates were evicted – penniless – the money center banks made off with multi-billion dollar bailouts.
Money Shouldn’t Be A Product
Yuval Noah Harari trusts “the system” to an unhealthy degree. You can see his views on Bitcoin, which likely extend to all cryptos, here.
If you are more of a reader who burns YouTube in effigy when they can, Harari doesn’t like Bitcoin because it means bankers are limited when it comes to creating money for governments. He also hangs around with Klaus Schwab at the WEF, which would be way less creepy if it was all cosplay.
Strange personal choices aside, Harari actually wants governments to debase money, make the poor ever more poor, and enable the military-industrial complex to spread war. We are not just talking about the USA’s military-industrial complex – fiat currency allows every government to support the arms trade and the mass death it creates.
If we used sound money, Harari would have to trust the money, not the governments and Central Banks.
The shadowy groups that actually own Central Banks have every incentive to protect their monopoly over money, so don’t expect positive change to come from within the system. In fact, you can expect the situation to become even more extreme – and it is all centered on lust for power.
Let’s Get Back To North Korea
The modern Western mind doesn’t understand the dangers of real authoritarianism. North Korea is a lovely place to look if you want to understand how bad things can get when humans allow concentrated power to metastasize in vital social systems, and how many people die as a result.
Of course, none of this is new. The same thing happened in the USSR when a lovable scamp named Trofim Lysenko was put in charge of agriculture. So many people starved to death. And not just in the USSR!
Lysenko’s ideas were embraced by Chairman Mao in China at the time, and tens of millions more died. The scientist thought he could train plants to jump high enough to slam-dunk in the NBA, but the whole thing fell apart when Stalin told him that professional basketball was a tool of the bourgeoisie.
Just kidding about the basketball part.
What actually happened was far worse. Lysenko’s abysmal ideas destroyed the ability of both the USSR and China to grow food at previous levels, and mass starvation ensued. To make things even worse, he had anyone who opposed him killed or sent to the gulag, so his power and dangerous policies went unquestioned until Stalin died.
In other words, Lysenko was a sociopath that became an authoritarian, and his ideas killed an incredible amount of people (the total is likely in the hundreds of millions).
Now, the same authoritarian tendencies are consolidating power in the Western fiat currency structure, which is likely to cause problems for your average human. There was also a lot of cannibalism in China as a result of Lysenko’s ideas – which may have thrown off the death toll.
You can’t count what you can’t see!
An Anchor For One, A Collar For The Other?
Gold is hated by modern central bankers. When the world used gold as the basis of value for money, there was a limit to how much money could be created. In a sense, gold acted as a collar on the ability of central bankers to create money from nothing.
Power-mad sociopaths hate limits, so it was great for the modern technocrats when the post-WW2 gold standard fell apart as a result of wild spending on wars in South East Asia by the USA.
For everyone besides the bankers and wealthy warmongers, gold acted as an anchor. It held the bankers to account, and made sure that fractional reserve banking couldn’t go way too far multiplying money. Despite massive gold buying by Central Banks, they won’t be bringing back the gold standard anytime soon.
If we want sound money, we have to choose assets like Bitcoin. It isn’t enough to own cryptos – we have to use them.
Fiat currency maintains its power because it is used every day by billions of people all over the world. Crypto can replace fiat currency in most cases. If the masses understand that they are empowering the worst parts of the human psyche, real change is possible.
In fact – with the level of development cryptos have right now – the fiat currency system could be replaced in a week or two. All it takes is for the people to wake up – and start using honest digital money.
