Is Fed-coin the beginning of the end for the U.S. economy?

Print Article

The federal government is considering trying to eliminate the entire American cash currency system. This is to alleviate the federal government’s problem of too much debt and obligations on the books. Within a year they may start to phase out paper as money and slip in a new digital money called Fed-Coin which is patterned after Bit-Coin. It is a disaster in the making. Read about it here:

The U.S. government and the Federal Reserve (the Fed) now have over $150 trillion in liabilities in debt, Social Security, and health-care obligations. They only pay interest on the debt. The U.S. bond market, Treasury notes, and stock market are all over-inflated bubbles. Government financial obligations are slowly killing our country. If the American economy overheats, there is the danger of the stock market having a “Melt-Up” which means paper money chases stock investments. We could see 30,000 to 40,000 Dow Jones numbers. Then after there is no more money to buy super-heated stocks, the system collapses on itself, and then the run on the banks begins. So the federal authorities have no way to control these different coming financial disasters. They hope that “Fed-Coin” digital money will solve their coming problem.

Of course, Congress has massively overspent, and the Treasury Department has overprinted so much paper money with no backing, that they no longer have the monetary policy tools to correct and control the economy. Without major financial changes, the U.S. government debt is going to take America down and the world with it.

In 1913 Congress got the bright idea to create the Federal Reserve. The printing of bogus paper money started and has not stopped since. Then in 1971 President Nixon took the U.S. off the gold standard where paper money previously had to be backed by 1.5 grains of gold per dollar in order to be printed. Now it has to be backed by nothing. Since the creation of the Fed, and the removal of U.S. currency from the gold standard, the American dollar has lost 94 percent of it buying power.

The American dollar used to be the world currency, but 40 nations are now trading with each other directly in their own agreed on currencies. China is trying to make its yuan the world currency. The U.S. has an advantage over other world nations because they have to use our dollar to do international business, which then cuts their currency value. So we see the world nations trying to get away from the U.S. dollar and the problems it creates for them.

Any U.S. financial disaster could have people start pulling their money out of banks. There is just one problem with that. The Fed only has $200 billion in currency on hand at any one time. If most people pulled their money out of banks and other institutions, the banks would have to be closed because the Fed simply doesn’t have the cash money to cover those assets that are on paper accounts in the banks.

So how does the Fed get this Fed-Coin system working first in the U.S. economy and then the world? They will most likely run parallel cash and digital money systems for a year or two, but would really like to convert over in six months because of the impending coming financial crises. The Federal Reserve will sell their new digital money idea to the unsuspecting American public by stating that almost everything financially today is done electronically; that this will be a more secure, and convenient system. The Fed could also just plunk $1,000 into everyone’s Fed-coin checking account as an incentive to change currency systems. Fed-coin Is a new way to “print” electronic money and cause inflation on steroids.

The dangers of digital money is that all privacy is gone forever. With digital money, they can track every penny you spend and on what and where. They can also control your buying and selling. They can keep you from buying guns and ammo and prescription drugs and you name it by just putting the right prohibition codes on your New Fed-coin bank account, which just could be your Social Security number. And how about new negative interest? If you want a savings account, it will be a Fed-Coin Savings Account. You normally want to make interest on a savings account. Instead, you will pay the feds 1 percent for the privilege of having your money in their new digital savings system.

This Fed-coin system is a real inflation maker. It is a money out-of-control financial system disaster. When inflation starts, the $10 trillion that U.S. corporations have over in foreign countries will start being exchanged out of those U.S. dollars for gold and silver. Other countries who bought U.S. dollars as a financial stabilizer for their country will also bail on U.S. dollars causing even more inflation. Today we see large banks buying gold by the tons because they see the handwriting on the wall.

So how do you protect yourself? Financial genius Doug Casey has been right on the money for every financial crisis that has hit other countries and the U.S. He suggests four actions:

1). LIQUIDATE every asset you don’t need. Turn everything you can into cash and don’t put it into banks, stocks or bonds, but buy gold and silver with some of the cash. Don’t buy gold or silver stock certificates. Buy the real stuff and hold it personally. Get out of debt completely, and downsize before your house is worth less than you owe.

2) CREATE: financial assets through financial knowledge and income. Get barter items for trade before money collapses in value. Food and “TP” are good barter items as is ammo and other life necessities. Paper money will still have value in a black market scenario. A one ounce silver coin worth $20 today, could be worth $200 in a melt-down economy.

3). CONSOLIDATE: Look where you need to be financially during this crisis. Don’t be in the wrong position financially or asset-wise. Get slim and lean material-wise. Keep cash, silver, gold, emergency food and water on hand. This crises will make the Great Depression look like a picnic.

4). Speculate. Stay out of the stock market unless you can ride it up in the “Melt Up” period. You could ride it in the meltdown if you buy stocks “short.” If you don’t have this knowledge, don’t invest in stocks. It would be better to just save cash, but not in banks. Get barter items now in order to sell during the crises.

No one knows precisely when this crisis will hit. Perhaps the federal authorities can delay it a little longer. Maybe not. Most noted economists state that when the federal debt hits $25 trillion, the wheels will come off of the U.S. financial wagon. Don’t be on it at that time!

Wills is a resident of Lakeside.

Print Article

Read More Letters to the Editor

Long-time outfitter: It’s time for everyone to get behind legislation

March 18, 2018 at 5:00 am | Daily Inter Lake I’ve devoted my life to sharing our beloved Bob Marshall Wilderness country with folks from all over the world. For over 50 years I’ve made my living introducing this beautiful natural treasure wit...


Read More

Yes, economy is growing, but it isn’t just because of the ‘GOP tax scam’

March 18, 2018 at 5:00 am | Daily Inter Lake Like many so-called conservatives, Mr. Marcus Esmay of Columbia Falls (“Sen. Tester in need of intervention?” Daily Inter Lake op ed, Jan. 31) apparently clings to misinformation when it comes to t...


Read More

Sen. Tester sitting on his haunches

March 18, 2018 at 5:00 am | Daily Inter Lake I was so uplifted by President Trump’s State of the Union speech, and feeling like the America I was raised in is coming back again. It was such a positive speech. Then I witnessed the childish beh...


Read More

HD7 candidate introduces himself

March 18, 2018 at 5:00 am | Daily Inter Lake I filed in January as a candidate for House District 7 in Kalispell. Our system of government depends upon citizens willing to serve; I could no longer ask others to serve without being willing to ...


Read More

Contact Us

(406) 755-7000
727 East Idaho
Kalispell, MT 59901

©2018 Daily Inter Lake Terms of Use Privacy Policy