3 Minute Gold News – Nov. 1, 2024 GOLD, BRICS, BIS, Blockchain

THE BIS

BRICS

GOLD

mBRIDGE

BRICS, being Brazil, Russia, India, China, South Africa (and now others joining), just finished their big summit to discuss, hang out, and make announcements.

The biggest shock to the economic world is that BRICS, using technology developed by the BIS, is using that tech to create a new financial system that bypasses the BIS and the current US dollar world trade system.

The US used its power as the world reserve currency and biggest economy to get Russia kicked out of the global financial system, SWIFT, then used sanctions to force Russia out of the Ukraine.

Meanwhile, China is using its power as the world manufacturing giant to cut off supplies to force their way.

So, now the US is moving manufacturing back home and into friendly neighbour nations, while China and others are moving finance to deals with their friendly neighbour nations.

The BIS is freaking out over being accused of creating the very thing that is used to overthrow the current system that they, the BIS, rules over.

Which they did, but it would have happened anyway.

Bureaucracy cannot do vision. It couldn’t foresee this.

So, the BIS big cheese, Agustin Carstens, did an interview right away, the next day, yesterday, to put out the fire.

He said that although their Pilot Project, mBridge, is a success and works to decentralize global finance and settle cross-border trade without using the US dollar, it’s not their fault that BRICS is using it to build their own decentralized system and avoid sanctions.

The BIS does not move fast. Until now.

Just last week, Cecilia Skingsley, head of the BIS Innovation Hub that works on the pilots to develop new finance technology, and who looks like a really fun person, did a speech to the US Federal Reserve.

They thought she was going to announce some new tech, but instead they made it clear that the BIS creates pilots to develop and test technology, but it’s up to each nation to choose whether or not to use it within their own regulations and laws. Interesting timing, eh.

Back to Carstens.

Carstens quickly says the technology of mBridge isn’t developed enough to ACTUALLY USE IT, he says that’s years away (it’s not), and it’s not their fault that BRICS is using it to bypass the centralized system and sanctions.

So, Carstens announces super-fast-out-of-the-blue that they’re now dropping mBridge off their list of pilot projects. It graduated! But he makes clear it’s just a pilot and doesn’t actually work, and it’s not their fault the BRICS can use it to bypass sanctions.

Oh my.

BRICS has openly declared they want to support the centralized UN and BIS and all its rules.

They don’t want the UN or BIS to be mad at them.

So they’re stating outright they wish to be a group inside the UN closed system. This keeps the UN from shutting it down.

They don’t want to overthrow the system, they say, no no, they want a level playing field. The very thing that no one who has the higher ground wants.

India wants to have US investment and tech collaboration so they are very firm that BRICS remains a group that wants to develop for the good of all, and NOT to overthrow the US.

China wants rule, but will settle for the removal of the US as the monopoly power for trade and finance. For now, anyways.

BLOCKCHAIN & DIGITAL

Blockchain and decentralized finance and trade is here and developing.

BRICS did not announce a separate BRICS currency backed by gold as many predicted.

Each nation will trade with their own currency in digital form, by trading into a central token and then out in seconds to the currency of the seller.

New tech can do that. Instant settlement.

But they won’t have a BRICS currency, for now anyways. That’s because the most powerful of the BRICS nations, China, would have the final say. Why would India or Russia want to give up sovereignty to China?

This is what the EU is trying with all the European nations, “Hey, give up your financial sovereignty and we’ll rule over you for the greater good of all.”

Trust us, bro.

By the way, the head of the EU, Christine Lagarde, just said in a speech that they acknowledge the world is moving away from globalizing, and that the EU is vulnerable. That they must use new technology to revive the EU, but that that will create a greater divide between haves and have nots.

They’re in a pickle of their own fermenting.

Maybe BRICS will negotiate a BRICS currency with blockchain technology, keeping privacy and sovereignty, but that’s a ways off.

For now, they’ve created a payments system using blockchain, that is outside the SWIFT system and outside the US dollar, but inside the global UN geopolitical system.

It’s for clearance and settlements of securities transactions, and a digital ledger of what one nation owes to the other.

As Jim Rickards said in an interview yesterday, October 31, “Russia and others were kicked out of the SWIFT club. If you kick someone out of the club they’re going to start their own club. That’s what BRICS has done.”

Countries all trade goods and services and pay each other with their own currencies, but in the end there’s a balance that’s owed for whoever sold more.

The central bank system settles in gold.

But with the blockchain mBridge based system, the trade goes into the bridge currency, a token, and then in seconds trades out, across the border, to whatever currency you want.

No need to hold US dollars or the other nation’s currency anymore.

That day is done.

It’s all done but for the regulations and the crying. All those US dollars will come back to the US, no longer needed to sit in bank accounts for trading in and out of oil, and all those dollars will cause inflation. Unless there’s a negotiation or some kind of restructuring.

That’s the reset we’ve been talking about.

There are ways to avoid a global meltdown and make a new golden age.

DECENTRALIZED FINANCE

This is the pilot project mBridge.

mBridge is centralized as an overall system, with decentralized entites doing what the central bank system wants as the final on-rails trade to settle.

We’ll see.

They say all nations just need regulations to match with the central token, perhaps a BIS token at whatever value that covers all world trade and debt, so there’s enough liquidity for everyone to trade here and there and out in space, but then there’s no need for nations to line up regulations separately with each nation.

You just need a technology that trades AND SETTLES the tokens immediately.

That exists now.

At the same time, BRICS set up a new commodities exchange so they settle out in physical gold.

Comes back to gold.

Which just reached its all time high.

Gold goes up in price when trust in governments and the system goes down.

We’re there.

Elaine~

links:

Carstens interview

Lagarde’s speech

Skingsley’s speech