Over and over again I have talked about my conviction about a coming goldstandard for our western currencies, in particular the US currency. The more I see the developing breakdown of our financial system, the more I see there are no way around it. To avoid hyperinflation and Weimar republic/Zimbabwe problems gold will come back. But how and when?
Where they will find the gold to back a new financial system will just be a wild guess, but you may find some idea here and here . Why gold has value where few others can compete you will find some explanation to here. If you have not already read it you definitely should also read about «The Illusion of Money», which is about the fiat system we have at the moment this little article is written. This a a money system designed for fractional banking, inflation, and making a lot of money out of the interest alone. We talk about a system that could have been great for a fast, but tightly controlled growth. to make a better life for all.
But it is so vulnerable without tight governmental control. The big crisis we have in both the EU and the US is the best proof of that.
Soon change will come.
Here you will find a great explanation of what the gold-standard is, but it is also worthwhile to see the take in Wikipedia of it. But what anyone with the slightest interest in this should do is to watch the film: The Secret of Oz. For over a hundred years there has never been a more important time than now to try to get some understanding of this, because we can be fairly sure that very soon we will see our currencies being transfered from empty paper to be fully backed by the purest gold. At the same time there’s good reason to believe that electronic assets and paper will be left as valueless. The simple truth is that the amount of as an example derivatives in this world is more than ten times the combined yearly gross national product of the whole world. Can that ever be paid back?
When we will see this new system? It remains to be seen, but at the speed things are going when this is written I will be surprised if a new goldbacked currency has not seen the light of day before end of August. When that is said, americans should watch out for the new 100 dollar bill that seems to have been ready for a long time. The old 100 dollar bill are among the most counterfeited in the world. The new bill they say will fix that, but it has allegedly been many problems in the development of this new bill. When we look at it it is possible to think a lot of things about the explanation for the delay. The US went to the moon 42 years ago. Is this bill so difficult, or is it waiting for something to happen? I am just asking, but very soon I believe the answer must come.