I've heard talk recently of a new Bretton Woods style global reset, but this time with digital money potentially issued by central banks.
It's discussed in the video below....
In which Bank to the Future founder Simon Dixon, who apparently predicted the 2020 economic crisis 10 years ago, makes some new predictions (not time based this time) based on Recent references made to Bretton Woods by the IMF Managing Director.
In case you're not aware of the IMF's role in the World Economy, these are the guys who give countries credit ratings and hand out trillions of dollars worth of emergency aid to countries in financial crisis, if they agree to neoliberalise their economies in exchange.
Dixon imagines a future in which the IMF play an increasingly central role in the World Economy - interestingly he refers to them as a socialist institution, which is odd because I've always associated them the complete opposite end of the political spectrum.
I guess he'd rather see states just collapsing altogether>?
His prediction is basically this:
- Rather than bail outs for private banks this time around, you let them go bust, along with the debt based currency issuing system.
- Central banks will create new digital currencies that account holders will get to replace any money they had held in the regular private banks - all you'd need is an app. Central banks become the main debt-free (for now) new global currency issuers
- You then get currency wars in a 'debt free' economy as currencies battle for significance.
- The private banks have to re-invent themselves as Fintech companies.
- He mentions that real estate is going to be hit pretty hard, but doesn't really talk too much about this.
Restriction of Individual Freedoms...
The likelihood is that these new central bank digital currencies will be linked to individual identification networks and online activity, allowing governments to tax whatever they want - privacy is already dead, this is nail in the coffin.
A new role for Bitcoin?
He's not all-in on Bitcoin, but he does imagine a role for it in 'regulating the regulators' in monetary terms at least - completely outside of the coming new central bank digital system.
Also of course, Bitcoin allows us to control our own money, which will be more desirable as people realise they don't own their money in any kind of banking system!
Am I convinced by this argument?
Well national bank digital currency already exists in China, and there it's linked to social media in what seems to be something of a dystopian financial milieu, and I know a lot of central banks and the EU are interested in digital currencies - I mean just imagine how much easier control would be!
And I also know the IMF are more than happy to step in and prop up national banking systems of developed countries.
And then there's the fact that with the dollar being printed in such numbers... you know it wouldn't surprise me if that's a deliberate attempt to devalue fiat, brining on the move a new digital currency the Fed's probably already got one lined up for you!
Solutions....
Well for my it's Bitcoin and Barter, bypassing the state globally and locally!
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The reset is coming quickly.. 5 years or less.. I've been a fan of the barter system for years
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I think preppers really have got the right idea - around here in central Portugal it works so well with food, and labour the barter system.
It sort of stumbles when you need a new set of car tyres.
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A reset is something that has a lot of potential to happen. However, I don't know if it will be global.
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I don't know that it's impossible. I imagine something else to take its place during the transition while things settle. Perhaps someone would implement another "new normal" for paranoid places like the U.S. before things settle out to something new.
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Thinking about the transition is interesting - although I'm sure they know just how much poverty, chaos and violence the system can handle before it breaks down completely.
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Very fair point, there are over 100 central banks issuing currency after all, the likelihood of them all taking part in this is remote!
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This idea of the great reset gives me shivers. It is at base a very leftist utopia with a lot of control by the state. Debts are cleared for everyone, but you owe nothing more. Every time it was enforced, it failed terrible, why shall this work now?
Do you imagine that also computers suspected of hosting crypto-alternatives to the issued digital currencies, will be seized. That will be the challenge, to bypass the enforced system, to be able to use crypto.
Welcome to the world before 89 behind the iron curtain, with it's black economy...
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If my mortgage gets "cleared" who will lend us the money for the part of the purchasing price of the house that had to be borrowed?
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I guess your debt would just get transferred to the central bank?
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Makes a lot more sense.
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Here is the catch, your mortgage will be lifted, but you won't own the house anymore. That is a reset. It happened in communism, where houses have been seized by the state. You would "rent" them for a monthly small fee. That is the principle of communism, you own nothing anymore even if they say that all belongs to everyone, it is that you don't own a thing.
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That won't happen. Period. Private property is not going anywhere. I can guarantee you that. The reset they're talking about has nothing to do with communism.
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I hope also that this is not happening, but I was born a lived a fair amount in a part of the world, where it did happen and it happened very fast. If somebody fought back, either in a good case was jailed or shot directly.
History shall not be forgotten as it can happen again and again. I see so many young communist, that don't have a clue what they want.
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The world is run by wealthy old people, not young communists. Forget about communism. Not happening.
I hope you are right :)
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It's already in place in China. According to a couple of friends of mine working out there even the market vendors and buskers have apps - you just bump your phone to pay them, it's all linked into personalised surveillance.
It'd be unlikely that they could take down every Bitcoin rig, it's highly unlikely this will be every country joining in the global reset.
I could imagine South America and Africa becoming very popular with miners. I mean let's face it, one thing no one associated the government in DRC with is 'control of the country'.
Come to think of it wasn't Stan Larimar banging on about hosting on boats a while ago to circumvent national restrictions?!?
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Insanity at it's best. Everything you do is rated by AI and influences your life. Good puppy of the party, decent life. Fighter for freedom, family get's to pay the bullet after execution.
Guys from Google wanted to create a city like this outside of SF to bring in talent that does not get a working visa easily.
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I have no doubt that Central Bank Digital Currencies will be launched, but whether they’ll succeed is another issue. The U.S. Treasury was recently hacked. Any centralized system can be hacked. If the Fed or the ECB launched a CBDC, it would be the mother of all honeypots. Millions of black-hat hackers would be in a frenzy.
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Man I think you are right! That would be attractive!
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Exactly. A cashless society with CBDCs as the only currency option we can say good bye for good to privacy.
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You've made me want to buy a second device to do all my crypto related interactions!
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Life's complicated. I know :))
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Re-re-reset, when the banks say Brr selecta!
Yeah I've read and heard from a few sources about resets and all that. Even the UK is looking at a CBCD (or whatever the acronym is) for the £. It's only a matter of time before everything is visible. You look at how most adopt the smartphone that tracks everyone, pretty sure the same thing will come with money.
Absolutely everything will be tracked and there'll be people who say "well I've got nothing to hide so I'm not worried", totally missing the point about privacy.
Just makes you wonder how things will pan out in the coming decade. Starting with the economic impact of the pandemic
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It just makes me want to get established on my land and go even more money free ASAP!
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thanks for your information...
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More info why you see this here.
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Hey, nice to see you!
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I guess Bitcoin is all set for mass adoption but a little work needed in fast confirmation and some "fixed" fee system/
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Tell me about it! I'm please with < $5 and < 1 hour, that's not so great!
It's why I use LTC to transfer between exchanges, I seem to always get a decent <$0.50 fee and a < 30 min time for the transfer.
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Answer is Lightning Nwtwork , It works too but not thoroughly tested and not "endorsed" till now by core developers.
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I hope we can scape from all this non-sense forever debt, is going to be ugly in the next years :_(
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Global financial reset is not possible.
If it existed it would be that all countries would agree that they would stop having debts and that they would all start from scratch and this is unthinkable.
Countries cannot reach agreement on other matters, let alone on financial matters.
Countries like the USA have every interest in maintaining their current position as the most relevant currency in the world and continue to control several underdeveloped countries like Venezuela.
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Yeah, this situation worries me quite a bit. I feel for the little guys especially since I'm one of them. Thanks for posting the video.
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Rather than bail outs for private banks this time around, you let them go bust, along with the debt based currency issuing system.
Central banks will create new digital currencies that account holders will get to replace any money they had held in the regular private banks - all you'd need is an app. Central banks become the main debt-free (for now) new global currency issuers
You then get currency wars in a 'debt free' economy as currencies battle for significance.
The private banks have to re-invent themselves as Fintech companies.
He mentions that real estate is going to be hit pretty hard, but doesn't really talk too much about this.
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Especially considering that 35% of money was printed this year, they're going to feel the pain when the long term effect of that kicks in. Like, why did you just devalue my money I worked so hard for!
Bitcoin def needs more politicians supporting it, then it's over!
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This fiat money game is stronger than any of us will ever know because is a global one, there's no place apart from Bitcoin and precious metals to jump into and those are not practical people still get their salaries and live mainly in fiat so they will be used and abused by governments and banks for way longer
The reset will be a phased approach with many trying different things as everyone is in a different stage of the inflation game
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Appealing
Nice way to learn and earn at the same time
Crypto world is here!!!
Daily Manager
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