This should come as no surprise since he is a gold bug and Bitcoin Maxi. Thus, it makes sense for him to be completely clueless about things, especially the USD.
Nevertheless, the fact that he has been wrong for decades, like most of the "USD collapse" crowd, it doesn't stop him from showing the world how ignorant he is. This is what happens when people let ideology get in the way of how things actually work.
So what did Sir Robert the Fool do now to get my gander going?
We will review it along with the lies he keeps telling.
Source
Buy Gold, Bitcoin, and Silver?
This is the foolishness of his financial advice. He says the USD is toast and because of that, everyone should buy gold, silver, and Bitcoin.
Bye bye US $. Saudi Arabia officially joins BRICS. 1974 US $ became PETRO $. Day after Biden pulled out of Afghanistan, Saudis began negotiations with Russia and China … US $ toast. Buy, gold, silver, bitcoin.
His justification: the petrodollar.
Here is a guy who actually believes in the myth of the Petrodollar. These people believe the strength of the USD comes solely from the fact that oil contracts are written in USD. Hence, if they are written in something else, it is end.
This is wrong and utter nonesense.
How about the Petroyuan? Why not start that and wipe the USD off the face of the international map?
The truth is that already happened, at least the forming of the Petroyuan. The Chinese government set that up in 2018. It is almost 5 years old and the only ones reading these words who are aware of it are ones who saw us mention it a few months back.
Petroyuan[1][2] is a form of the official Chinese currency, the Yuan intended at least initially for oil trading.[3] On March 26, 2018, the Chinese government issued the first long term oil trading contracts denominated in Petroyuans
There it is hidden in a Wikipedia page. It seems this is too much research for the esteemed Kiyosaki.
He also believes that commodity backed money is the only real money. At least he didnt use the term "God's Money" like he did in the past when referring to Bitcoin.
Of course, this is the same fool who said to buy gold, silver and Bitcoin because we were going to see massive inflation.
Well, we had prints on the CPI that were not seen in 40+ years and gold, silver, and Bitcoin (especially) did not take off. What gives?
The answer is these people are selling a load of crap. There lack of understanding of the monetary system screams ignorance.
What It Takes To Be A Reserve Currency
The Peterodollar is a myth because it takes a lot more than just being tied to a commodity. In reality, we are dealing with a highly complex system of banks, traders, countries, and markets that are far too complicated for a simpleton like Kiyosaki. His Rich Dad Poor Dad series was outstanding for the basics of personal finance. However, it is evident that he isnt not more advanced than his books.
For a currency to operate globally, it must be:
- liquid
- have depth
- be sophisticated
- widely distributed
There is on currency that has that: the USD.
Not even the EURO, which is the second largest currency, even comes close. That is nothing more than a regional currency that is used as a backup to the USD.
Let us look at a few other numbers:
- 88% of the FOREX pairs are to the USD
- the $5 trillion overnight Repo market is all USD
- US Treasuries (future dollars) are the world's only pristine and high quality collateral for international banking
- Nearly half the $300 trillion global debt denominated in USD
- A net $10 trillion in capital flow into US assets since the beginning of 2018
- Almost 3/4 the derivatives markets are denominated in USD (estimated a quadrillion dollars)
We could go on but you get the point.
The reality is that banks offer the best rates on USD denominated debt because they know they can hedge by selling it to Wall Street. Pension and hedge funds will not touch debt written outside the USD.
Basically it is foolish to think the USD is going away. A simple understanding of supply and demand. Throughout the entire monetary system, we see a massive demand for USD (and its assets), at a time when there is a shortage of it.
But then, Kiyosaki actually believes the Fed prints dollars.
You would think he would do a few web searches to figure out how things work. Yet, if he did that, it would ruin his ideological stance.
People like Kiyosaky are dangerous. They espouse these ideas that are based in fallacy and people listen. That causes them to lose money since they figure these people know what they are talking about.
It is time to start calling these people out.
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Yea, Bitcoin hasn't quite rocketed.
No CPI up and Bitcoin down significantly is not how the idea of that currency was promoted.
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Some don't talk about reality, they just say they dream.
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He spouts shit out of his mouth to make money. Look at all the pumpers on YouTube with hundreds of thousands of views. For someone that is saying the dollar is collapsing he sure is trying hard to make more of it spewing his shit.
You are right. That is a great way to get views. They are addressing the thirst of the market so it is hard to blame the from that view.
However, it is a bit different from someone espousing whatever on YouTube and someone the media keeps promoting like Kiyosaki.
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True. But the media promotes worse then him. Everyone is born with two ears, two eyes and a brain. If you don’t use all three then your bullshit detector doesn’t work. 🤣
The dollar isn't going anywhere and I don't think it will be disappearing anytime soon. There just isn't a good alternative that is stable enough for people to choose so there really isn't any alternative when it comes to international trade.
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It is hard to see how the numbers work out any other way. Too many think creating a replacement is just something that people do overight. This is not true.
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I never understood the sensation of saving gold and silver in individual level. They are so vague in terms of return.
Also, BTC doesn't sound lucrative for the upcoming days.
I agree, there are so many things that determine USD value. Only talking about a few and ignoring others sure indicate an evil cause.
It is a religion and a total misunderstanding of money along with its history. People who believe this either are misleading people or completely clueless.
The bankers laugh at these people.
As for gold and silver, not a bad idea for diversification and as a hedge. But it is not a sensible investment strategy. Kiyosaki said he has been "investing" in gold for 50 years. This means he is touting that he got lackluster returns.
Not something I would be advertising.
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I agree. Investing in gold and silver is not a bad idea but there are plenty of other sectors where money can be pretty 'safe' and give us good returns.
We all have different investment strategies but misguiding and giving false impressions doesn't seem the right thing to do.
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Well, based on this logic, HIVE is St, Peter's money... I don't like this guy, never did, I consider him to have had more luck than wisdom in making all the cash he has, but definitely not a fan. All he does is beat an old drum. Someone should tell him to get over it...
I was never able to quite understand why this guy achieved such "God like" status with so many people... sure, the fundamentals he laid out was fine, but he's no better than anyone else at predicting the future.
I'd also say his crazy predictions serve little more purpose than to gain views on YouTube (or wherever he is) where a bunch of end-of-the-worlders chase him around and hang on his every word as "proof" that we're all doomed.
I expect the dollar will be around for a long time... it is already as close to a global currency as we have. Just from a purely functional street-level perspective, consider how many countries in the world there are where you could hand a cab driver a $20 bill, and he/she would totally accept it as payment for your fare...
=^..^=
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