Category Digital Money

Aug 28 2023

Debanking Gold Dealers


Armstrong Economics Blog/Banking Crisis Re-Posted Aug 28, 2023 by Martin Armstrong

https://youtube.com/watch?v=5yW8IVqaqdM%3Ffeature%3Doembed

I reported previously that a dealer I knew suddenly had his credit line closed. I have warned that besides banks preparing for the coming CBCDs closing local branches in the USA as well as in Britain, I seriously question if they will allow people to buy precious metals and use cryptocurrencies post-CBDC. This is about control, and they want to shut down what they view as the underground economy, which they estimate is 20%-35%, and this is about increasing their taxation to automatic theft. This is the net result of Direct Taxation, which the Founding Fathers warned would happen, so they prohibited any form of Direct Taxation in the Constitution. The Socialists seized power and pushed for the income tax in 1913, and that has been a slow grinding process that led to eventually owning nothing and being very miserable – not happy.

Welcome to the Tyranny of Republics that NEVER Represent the People as History Warns

Aug 2 2023

Hard Currencies – Fiat v Legal Tender


Armstrong Economics Blog/Great Reset Re-Posted Aug 2, 2023 by Martin Armstrong

A man attempted to purchase strawberries with cash at an Aldi grocery store in the UK, possibly leading to his arrest. They want us to adjust to the cashless society that will implement globally by the World Economic Forum under its Digital Currency Governance Consortium. Some call cash “hard currency” to further differentiate it from the coming digital world of finance. Piers Corbyn, who happens to be the brother of British Labour Party leader Piers Corbyn, has gone viral for what many are calling an act of rebellion against the globalists.

The Aldi in Greenwich only accepts payments through the Aldi App. Aldi implemented this measure during COVID and never repealed it. Stores are commonly banning all cash transactions, and it is legal for them to deny cash. These stores may not realize that the WEF will soon implement one “globally coordinated approach to [digital currency] regulation” and their individual apps will be obsolete.

As for Corbyn, he placed his cash on the counter and left the store with his strawberries. People cheered as he left the store. Aldi employees called the authorities. “I’m offering exactly the right amount of money here,” he announced, “I’ve paid my legal tender.”

“Legal tender” is merely any form of payment accepted by law. So while the “hard currency” produced by the Royal Mint may be considered legal tender to some, the grey area here is that sellers do not need to accept it as a form of payment. So what was once a commonly accepted legal tender is now fiat, containing no intrinsic value without the backing of CONFIDENCE.

When the gold coin was money during the 19th century, it rose and fell in purchasing power no different than any paper currency. You cannot walk into a grocery today and pay in gold. People only accepted paper money because they knew others would accept it as a form of payment. Fiat is simply an arbitrary decree.

Governments are telling the people loud and clear that cash will be phased out. They are making us accustomed to the idea, gaslighting us into thinking digital is more convenient. The truth of the matter is that the day will come when they ask us all to turn in our “hard currencies” in exchange for CBDC. I applaud this man for his act of bravery and hope he was not arrested over a pint of strawberries.

Jul 29 2023

CBDC & the Fall of Western Society


Armstrong Economics Blog/Cryptocurrency Re-Posted Jul 28, 2023 by Martin Armstrong

QUESTION: You said that when Rome fell it took 700 years before gold coins reappeared. Are we facing something like that again?

PO

ANSWER: Yes, when Rome fell, gold continued in the East under the Byzantine and Islamic Empires. However, in Europe, the last Western emperor was Romulus Augustus (475-476AD) who was a puppet anyhow. He was a young son, whereas today, we have senile leaders who are puppets and incapable of independent rational thought. The first gold coin to reappear in Western Europe was that of Frederick II of Sicily (1231-1250AD). The Augustale was a gold denomination of about 5 and a half grams which Frederick II introduced to Sicily in 1231AD, and it was primarily issued for international trade.

Fibonacci-1

Actually, Fibonacci (1170-1240 AD) published in 1202 his “Liber Abaci” (Book of Abacus). He introduced Hindu-Arabic numerals into Western culture. Suddenly, this allowed the calculation of numbers that were not taught in schools and was unknown in Christian circles. Only a very small group of intellectuals had access to translations of the Arab mathematician al-Khwarizmi (780-850 AD). The techniques that Fibonacci introduced were groundbreaking to re-establish a culture that lost its identity with the fall of Rome. Fibonacci illustrated practical problems on how to calculate profit margin, money changing, barter, conversion of weights and measures, partnerships, and, last but not least, interest. He also introduced some geometry and algebra.

However, Fibonacci’s work was so earth-shattering it became the topic of discussion and caught the attention of King Frederick II of Sicily. I believe it was Fibonacci’s introduction to mathematics that also inspired Frederick II to even reintroduce gold coinage in order to trade with the outside world. At the time, that included the Arabs as well as the Byzantines. The gold dinar was the Islamic medieval gold coin first issued in 696–697AD by Caliph Abd al-Malik ibn Marwan with a weight of 4.25 grams. Frederick II made his coin about 1 gram heavier in order to project economic power.

The introduction of CBDC is highly dangerous in war; even a nuclear blast also sends out an EM pulse that will destroy electronics. If I were Russia or China, I would NOT move to any sort of digital currency and then use an EMP against the United States. The entire economy would collapse. People would not even be able to buy anything. We have idiots in power who are so greedy, looking at the power this will place in their hands, they are ignoring the risks. This could mark the collapse of Western society, sending us back to the days of Barter.

The Post-2032 era would most likely be fragmented rather than national states as we know them today. There will most likely emerge regional currencies, as we have witnessed throughout history many times. Even during the Great Depression, over 200 US cities resorted to issuing their own money.

Jul 12 2023

BoC Study: 59% of Canadians Willing to Accept CBDC


Armstrong Economics Blog/Central Banks Re-Posted Jul 12, 2023 by Martin Armstrong

The masses do not realize what CBDC really entails. It is marketed as a convenient and modern way to bank. In truth it is a tool for control, an important tool that governments need to usher in the Great Reset. A recent poll by the Bank of Canada aimed to see how willingly the public would accept a new digital currency. Surprisingly, the majority said they were willing to make the switch without hesitation.

An alarming 59% of respondents said they are willing to switch to CBDC once available. They do not realize that they won’t have a choice in the matter. Around 43% said they were “somewhat willing” to accept CBDC. Then 11% said they were “very willing” and 5% “extremely willing.” Only 25% said they would not make the switch, which again will not be optional. Only 16% admitted that they do not understand the concept.

It appears that the public does not understand the risks involved. Over half (51%) said they were confident the central bank would securely handle their transactions and data. Around 56% said they were concerned about the potential for fraud, cyber attacks (53%), personal data misuse (44%), and lack of anonymity (35%). The central bank, of course, did not ask the real question – Are you comfortable with the government controlling all of your financial transactions?

Eighteen of the G20 countries have already begun developing digital currencies. The real threat here is that CBDC will provide governments will full access to our finances. We see how easily private banks de-bank individuals. Trudeau was able to cancel accounts of protestors and their alleged supporters in an instant.

CBDC would allow government to deny people access to their finances entirely, especially since cash will not be an alternative. The WEF wants to link individual IDs to the banking system and throw in social credit scores for good measure. A WEF spokesman recently said during the Summer Davos that they would like to control what people buy and ban unapproved purchases. Then they will ensure no money goes off the grid as governments want to tax us into oblivion. Now is the time to show resistance to the idea. Once they implement these policies, there is no going back. They will give us a timeframe to convert our cash to a CBDC and then governments will have complete control over our finances.

Jun 12 2023

The True Story of Hyperinflation


Amstrong Economics Blog/Cryptocurrency Re-Posted Jun 12, 2023 by Martin Armstrong

QUESTION: Dear Mr. Armstrong,
could you please explain what happens in technical terms from a capital flow perspective, when confidence is lost and hyperinflation starts to begin?
For example Turkey. When Erdogan was elected i think you wrote that ever since the lira started dropping. So confidence in politics is key. Do you think one day we will see hyperinflation in Turkey?
And another example, is Yugoslavia: what caused the hyperinflation (in technical terms/capital flow perspective)? Are foreign investors getting rid of the dinars? Too many dinars than suddenly rushed back into Yugoslavia causing hyperinflation?
Regards,
Magdalena Š.

ANSWER: The misnomer about hyperinflation is that it is caused by printing money. It is a RESPONSE to the collapse in the confidence of the government.  If we look at the 3rd century, this is where we find the greatest number of hoards of ancient coins. What began this was the capture of Valerian I by the Persians in 260AD.

Valerian was the first Roman Emperor to be captured and Rome was unable to recuse him. That shook the confidence of the Roman people, but it also was a signal to the barbarian tribes in the North that if the Persians could do it, they could as well. Within 10 years, Emperor Aurelian constructed the great wall around Rome. Never before did Romans have such a defensive wall. That had a powerful army.

There was a trend toward debasing the silver coinage which began with Nero to try to fund the rebuilding of Rome after the Great Fire. But that did not undermine the confidence in the Roman Monetary System any more than our perpetual deficit spending since World War II.

However, a spark is ignited and suddenly that trend turns into what I have called a Waterfall event in the purchasing power of the currency. Such an event has taken various forms. However, the end result is the collapse in the confidence of the government and as a result, that is when you get that waterfall event.

In the case of Germany, Yugoslavia, Hungary, etc, there was a 1918 Revolution where communists seized power and the emperor of Germany lost power. In that case, they actually asked Russia to take Germany after their revolution in 1917. This was the beginning of the Weimar Republic.

Germany was saddled with reparation payments demanded by France. First, you had a communist revolution and people with capital began to flee to other places in Europe or certainly move their money out of German banks. It was this drain of wealth that forced the Weimar Republic to print money to try to make their reparation payments. Then in December 1922, they seized 10% of everyone’s assets and handed them a bond.

Here you can see that after that December 1922 confiscation, hyperinflation simply took over. It was NOT the printing of money that caused the hyperinflation it was the collapse of confidence FIRST which then compels the government to expand the money supply lacking taxation revenues etc.

I suspect the spark this time may be the Digital Currency and the proposed cancellation of paper currency. This is why people are moving to anything tangible from real estate, gold, silver, ancient coins, and even equities. With DIGITAL CURRENCY they will have capital controls and prevent you from even moving money outside of your country.

The precise day of the ECM was the announcement of the IMF Digital Currency which they intend to replace the US dollar as the reserve currency. This may be timed with the turning point in 2024. It is unlikely that they would cancel paper currencies before the 2024 election. This is all being

Jun 8 2023

Gold & the Future


Armstrong Economics Blog/Gold Re-Posted Jun 7, 2023 by Martin Armstrong

QUESTION: Mr. Armstrong, first I want to thank you for your independent analysis. In gold, all they ever say is buy – buy – buy. It seems if you ever say anything else, they ridicule you. Gold to them is a religion, not an investment.

My question is that you have always said that the fourth challenge to a high is when it breaks out. Do you expect that this year?

Thank you ever so much

WK

PS: Was that you at the Premier of Pandemic3?

ANSWER: We still have a barrier of overhead resistance at the 2160-2180 level and some at 2200. After that, the next resistance is around 2600. Keep in mind that Ukraine is the MOST untrustworthy country on the planet. Already arms provided to Ukraine have been used in the attacks inside Russia. The F16s will be used to attack Crimea. All they will do is spread their hatred and they are deliberately trying to create World War III. They will create a false flag to attack a NATO country and claim it was Russia. They have been desperately trying to capture a Russian missile so they can fire it at Poland.

Our computer shows NOTHING but war ahead, especially from 2025 onward. But for now, expect the volatility to begin to rise again from June into next January. INFLATION will NOT subside. It cannot when we are at war. Biden will spend whatever he is instructed by the Neocons.

Yes, I was at the Premier in Austin, Texas. That is me in the background.

May 23 2023

Africa’s First Test Run for a CBDC has Failed


Armstrong Economics Blog/Great Reset Re-Posted May 22, 2023 by Martin Armstrong

The transition to CBDC in Nigeria did not go as planned. The elites always seek out African nations to use as their test subjects. Nigeria attempted to slowly roll out the program dubbed eNaria built on the Hyperleger Fabric blockchain. The Central Bank of Nigeria (CBN) is solely responsible for running the nodes of this digital currency. Beginning stress tests stated this currency could execute 2,000 transactions per section.  In October 2021, the government began offering incentives to citizens who chose to CBN.

A year later, the country was still hesitant to make the switch so the central bank began implementing forceful measures. In October 2022, the CBN decided to cancel and resign the currency in a “move aimed at restoring the control of the Central Bank of Nigeria (CBN) over currency in circulation.” They stated that the original paper notes would only be legal tender until January 31, 2023, leaving the people with no alternative but to convert their cash. Nigerians were no stranger to the concept of currency cancellation as it is something the government has routinely done. The CBN openly announced that the end goal was to target a 100% cashless society replaced with eNaria. Fewer than 0.5% of Nigerians adopted the eNaria and protests erupted across the nation.

By December 2, 2022, the Central Bank of Nigeria issued a letter to all banking institutes implementing a strict ban on physical cash. The central bank set a cash withdrawal limit of ₦100,000 ($225) per week for individuals and ₦500,000 ($1,123) for businesses. Citizens wishing to take out larger sums were subject to a processing fee between 5% and 10%. ATMs were limited to ₦20,000 ($45) per day, and only ₦200 ($0.45) notes or lower denominations were available in the machines.

Bloomberg reported that 90% of the country previously used cash for transactions. They did not want to convert to CBDC but were provided with no alternative. Demonetizing the currency reduced available cash from 3.2 trillion narias to 1 trillion narias. This led to the central bank creating over 10 billion eNarias. The people are continually protesting these measures as their society which was largely dependent on cash interactions has been destabilized.

This is how it all begins. They are using Nigeria and other countries as test subjects before rolling out these programs in the West. It is hard for Americans to fathom currency cancelation, as it has never occurred here. Yet, the Federal Reserve has made it clear that they are looking into this option. Per usual, they market it as a “convenience” for the people. In truth, it is a way to ensure money stays on the grid under the thumb of government. They will not allow one cent to go untaxed, and as the program expands, they can remove individuals and organizations from participating in society entirely.

May 21 2023

Interview: Martin Armstrong on Why the CBDC Will Fail and a Great Depression is About to Begin


Armstrong Economics Blog/Armstrong in the Media Posted May 20, 2023 by Martin Armstrong

Rumble link Martin Armstrong on Why the CBDC Will Fail and a Great Depression is About to Begin

May 8 2023

CBDC – The Real Target


Armstrong Economics Blog/Central Banks Re-Posted May 8, 2023 by Martin Armstrong

A lot of people somehow think that the move to Digital Currency is a completely new monetary system, It is targeted to eliminate cash transactions so everything is taxable and nothing can be hidden from our overlords. If we look at commerce in the United States during 2022, 82% of all transactions were digital – Debit cards (20 percent), credit cards (30 percent), and digital wallets 32 percent. That was e-commerce.

They are hunting down what they believe is 30% of all commerce and cash and lick their lips at the thought of having their hand in your pocket. Make no mistake about it. They know major upheaval threatens their power. Like Trudeau seizing accounts of anyone who donated to the Truckers, that is the agenda. Control all transactions and turn off anyone who they see as a threat.

May 8 2023

The Insanity of Bitcoin & CBDC


Armstrong Economics Blog/Cryptocurrency Re-Posted May 8, 2023 by Martin Armstrong

QUESTION: Just about every Bitcoin advocate says you are wrong and Bitcoin cannot be stopped. Yet, it seems they are dreaming. Here in Europe, we are already restrained by the maximum cash transaction is €1000. Do you maintain that cryptocurrency will be outlawed or seized?

HT

ANSWER: Yes. Here is  Lagarde on digital currency. She states this object is “control” everything you do. Europe is a Marxist Paradise. Everyone is an economic slave and whatever they earn belongs to the state – not them. The state will decide how much you are allowed to keep. I really do not understand these Bitcoin people. They put out all of these theories as if Bitcoin is the savior. These people are out to control EVERYTHING. Do you really think they will allow any cryptocurrency to survive?

I don’t think these people read the memo. Government is broke. They will default on all their debts. And the new monetary system they are planning is total control. LaGarde says they are “considered” no controls on 300-400 euros. “CONSIDERING” means as it stands now, there is 100% proposed control – period! They will be able to restrict what you are allowed to spend money on or even donate if donations will even be allowed.

These people would NEVER be hedge fund managers. The first question you must ask yourself is: What if I am wrong?

They have made up their mind, refuse to consider any other scenario, and in the process, they will have a very rude awakening. We are entering a period of COMPLETE TOTALITARIANISM as we move toward 2032. Governments are losing control in this Private Wave and they then fight back to survive like a cornered animal that will fight to the death.

That is the agenda! What do they not understand? They will impose capital controls. They always do. That will mean that they will have no intention of allowing people to buy and sell cryptocurrencies. They will most likely do that as well when it comes to gold.

The entire purpose of the CBDC is to impose COMPLETE capital controls. So how will you buy and sell anything that they deem to be a threat to their totalitarian world? That is what is coming. All the fools who voted for Biden and will again deserve the world these people are creating. They intend to make RESISTANCE IS FUTILE. In the process, the right to vote will vanish.

Trump won in 2016 and John Kerry called it “populism” not Democracy. They WILL terminate our right to vote in the years ahead because it will no longer be defined as democracy – but populism, which is any movement against the establishment.

Schwab is telling you that Democracy will be terminated. Pay attention. Listen carefully to the report by the FT and how the election of Trump scared the hell out of career politicians. They will never allow Trump to win in 2024. They will assassinate him if there is no other way. The propaganda was that the 2020 vote was real- that was a joke. The Deep State was not going to let Trump win and they control the vote counts.