3 Minute Gold News
getting safely from here to there – while the world swings hard – gold
So, the central bank system is needed less and less as tech develops, so the BIS wants to increase their position as the lender of last resort.
But, they realize that if the commercial banks know they will be bailed out, those very banks will put more capital at risk to make more profit.
So, in that case the central bank would have to be used again and again to bail out even more private banks.
The taxpayers will see what is happening and won’t want a central banking system anymore – a system where the nation’s (taxpayers’) money is managed by a non-sovereign entity that has its own survival and profit as its priority.
Taxpayers will see they are the insurance policy for private businesses that didn’t cover themselves, and who looted their own companies knowing they will be rescued.
The BIS needs the banks for this game, so their idea is to control the banks so they’ll behave. For the good of all, of course.
In a speech today, the head of the BIS, Carsten’s, desire is for BASEL III (bank supervising) to be put into effect right away. Now, now, now.
Banks will have to hold more cash in case all their depositors want to flee at once or some other catastrophe occurs.
But Basel III isn’t scheduled to be in full effect until 2028. And banks aren’t keen. Lots of time for big banks to risk, and lose, for depositors to withdraw funds en masse, and then the bank not able to get enough liquidity to cover their needs. Then the central bank would need to take even more money from the nations’ citizens to give to the private banks to keep the central bank system working.
Commercial banks aren’t agreeing to just hold enough cash to cover every storm – in effect a 1-to-1 full 100% coverage. And the BIS needs the commercial banks to agree to play ball in order for the whole two-level system of private bank loans and public central banks settlement to keep going.
So the BIS is saying they need to regulate everything and see everything in order for the whole system to not be surprised by a crisis. But each part wants to make as much profit as possible at the same time.
The new BIS rules for banks holding cryptocurrencies says the private banks only have to give aggregate info – not who owns what. We’ll see how that plays out.
This is the real reason the central bankers need to have control of supply in the form of central bank digital currencies.
These digital currencies are controllable from the center – they can program the retail CBDCs to stay put and not flee. Each citizen’s CBDC can be held hostage for the good of their system.
It is not rational to believe private companies will agree to give proprietary data to their competitors. The BIS and central bank system believing that they have the trust of the globe and everyone wants a kumbaya circle around the world is not rational.
Ruled and run by a dollar and a gun.
The world is spun by some media fun.
But the Ponzi game in Caesar’s name is virtually done.
There’s a new race.
- lyrics from the song “Bitcoin Barbarians”
The current system of debt, living on a loan, and paying it back while borrowing more, needs to continually grow in order to survive – in order for them to survive.
Remember, there was life before central banking.
The world was decentralized with many centers. The centers communicated and engaged at margins with their people and assets to trade value with others.
In medieval times there were many centers with no margin. The entire system of global trade and finance was not controlled by one entity.
Private capital is rising and will rule the next cycle as it did then. We see rising private walled gardens and private security.
What team are you on will be out in the open as the real race. :)
As cycles exist in all closed systems, so there exists a cycle of centralized control and de-centralized control. It never stands still.
Policy can dampen or exacerbate the business/social/tech cycles but cannot stop them.
The lament of central banking at this time is that the world they were pushing to become completely global has hit its full swing of the pendulum, and is now almost at the standstill point before it swings hard in the opposite direction.
The speeches of many, many central bankers now talk of how the world is de-globalizing. They know.
Their hard push to raise interest rates fast and high to stop the bleeding was their last stand. They announced they saved themselves due to the trust in their name.
Nah, it was the power they had left over in legacy. The favours. Ruled and run by a dollar and a gun.
The amount of force that pushed towards global control will be the same amount of force that will swing back towards protecting and building national sovereignty, individual control and national culture.
This will bring up polarizing views and leaders – the gut zeitgeist is no longer towards combining to all be the same (at the expense of many).
Human nature brought up the greed that arises within power. This brings the ability to take more than their “fair share” because they can get away with it.
At first a few do this and the system can absorb it.
It’s covered up as a favour to keep the balance.
But without a strong stop and a hard drop the looting is quietly given an okay.
Pockets are lined with bribes, and so many favours are owed that soon there isn’t enough left to keep it all going.
We’re there now.
The last part standing will be the center. In this case the US.
But once a global collapse begins and then the US goes into crisis, that is when the combined force of the opposing force will become the new power.
From public control back to private control. And the world power will shift again.
As it shifted from Venice to Amsterdam to London to New York.
The margins suffer and collapse first as they as called on to transfer energy to the center in order to try to save the entity.
In regards to people, humans, this would include a call for the young to be forced to serve as defence.
Individual and national expression and expansion/contraction swing. Everything swings.
What moves slowest and has no counterparty risk?
I’ll stop here.
Elaine~
ref:
https://www.bis.org/speeches/sp240719b.htm
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Thank you to Jim Rickards for including me in his bestselling book The New Case for Gold.
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Nothing on this site is intended as individual investment advice. We’re all watching which way the wind is blowing.
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Gold has hit historic highs because trust in government is at historic lows.
Precious metals prices usually rest in the summer. Not so at the moment.
If you’re interested in purchasing physical bullion as a portion of your investable income please let me know and I can direct you to a few people in the industry I’ve known for years and trust to give you a hand.
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Communication Theory….
As the alphabet took the magic of words and divided them into tiny repeatable units, strung along in written symbols that did not look like the sound, then reformed into words and meaning in the quiet of one’s own mind, so currency separates commodities and items of value into concise repeatable units.
The currency is packaged and shipped, identical, and is value as exchange for meaning of value to the receiver.
The oral societies are not led by the alphabet; they are led by the voice and ear. So each item is different, unique, and exchange is bartered over for each unit. These countries will not easily move to digital wallets and identical purchases. The unbanked are sometimes unbanked by choice.
Those in power talk about taking care of the ‘unbanked’. But the care is misplaced. A new bank account will earn the banker fees, and the expansion of the currency supply is not a desire of the central banking system, it is its lifeblood.
If the unbanked have a devise with a digital wallet then they can be tracked as data and aggregated for easier control. A retail CBDC in the unbanked hands can be programmed by the central authority to be used to the benefit of the center.
To keep their central bank system going they must have ever expanding borrowing and debt.
Their system has failed because it has to fail.
Sooner or later you run out of people to lend to, so they need to add the unbanked, and they’ve created a ‘green’ issue to make new reasons to create more debt.
The business cycle cannot be stopped; it rises and falls as every closed system does. They know this, and so those in power are rushing to cement control with new technology before the first out of the gate with new products beat them to market share. The rush is to try to regulate to keep the status quo.
But it’s impossible.
AI is the new race.
Humans want to control the data inputed believing their own control will keep them in control. No one has any idea what complex financial instruments will be created by generative AI. Controlled by itself. For whose benefit?
My biggest concerns at the moment come from Understanding Media, written by Marshall McLuhan. He writes of Nobel prize winning author Alias Canneti’s book, Crowds and Power, talking about the psychic effects of the Germany hyperinflation after the First World War.
The depreciation of the citizen went along with that of the German Mark.
There was a loss of face and of worth, in which the personal and the monetary units became confused.
When everything is mechanical, it includes thoughts, money and humans.
I hope that confusion doesn’t return.
Elaine~
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Thank you to Mike Maloney for including me in Episode 1 of his bestselling series Hidden Secrets of Money.
Coins and Crowns
words and music Elaine Diane Taylor
SOCAN/ASCAP
from the album Coins and Crowns
Coins and Crowns is featured in Episode 1 of Mike Maloney’s bestselling series Hidden Secrets of Money.
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Not Much of a Holiday (Bank Holidays and Media Persuasion)
words and music Elaine Diane Taylor
Single available on iTunes
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A Terrible Breeze (War and Social Media)
The news comes down
A little bluebird sings
Words of war
Fire and furious things
Of testing might
‘Til no patience knows
If keeping still
Still keeps you safe at home
It’s a terrible breeze
They speak of today
Of threats that used to live a world away
We all know wind
Can blow both ways
And a terrible breeze can blow it all away
A worldwide net
Sees our village grow
Until we all forget
What each one used to know
How a blind bird’s wings
Can reach the shore
And turn the wheel of peace and war
Village fools sinking down, down, down
Debt and gold wound in numbered shrouds
Deal of a life it’s bread and clowns
Can we afford another go around?
The news comes down.
It’s a terrible breeze. The news comes down.
words and music Elaine Diane Taylor
Single available on iTunes
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Preparing for the Fall is a live boutique album available for digital download — featuring Wag the Dog, Black Swan Dive, American Pie and Gods of the Copybook Headings. Also available on iTunes, Google Music, Amazon Music and major digital distributors.
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The Gods of the Copybook Headings
words by Rudyard Kipling and music by Elaine Diane Taylor
from the album Preparing for the Fall.
The copybooks of the early 1900s gave us all the wisdom we need. The sayings that were copied are the truths, the gods of our world. All the empires who followed the gods of the marketplace have fallen, and there’s terror and slaughter when the gods of the copybook headings return. The lyrics are by Rudyard Kipling. One of my gurus.
Another Week on Wall Street
words and music Elaine Diane Taylor
from the album Coins and Crowns.
“A little grease (Greece) is floating out to sea, and little pigs (Portugal, Italy, Greece and Spain) are bobbing up and down, they’ll send a storm and we’ll see, when the tide goes out who’s naked on the beach“. The world is changing as we know it.
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Nothing on this site is intended as individual investment advice. We’re all watching which way the wind is blowing.
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Elaine Diane Taylor 