Western Vile Empire May be Defeated Without a Single Shot Fired

Perhaps long forgotten by most, The Nixon Shock of August 15th 1971 - a "temporary" (Read: permanent) suspension of the US Treasury 'gold window' [1] - unilaterally based the world monetary system on a "fiat" (by decree} paper or virtual currency float system, with an effective demonetization of gold. (Silver had been demonetized in the United States from 1964 and indeed much earlier, in regard to the 15:1 ratio to gold, by the Crime of 1873).

The true reason why Nixon demonetized gold "temporarily" is seldom discussed and hardly documented, but in fact related to a US balance of payments problem, in part related to the US fiasco and tragedy in Vietnam. The US Vietnam war began immediately in 1964 after the assassination of John F Kennedy, and by 1970 the US had a balance of payments problem exacerbated by the war, with its currency still linked to gold (at the sovereign level).

Until 1974, it was unlawful for US citizens to own gold bullion or gold coins, except in small quantities in the form of jewelry. After 1971 the US federal government / US Treasury faced a legal quandary where gold had been demonetized and effectively commoditized, but ownership by citizens had been prohibited since presidential Executive Order 6102 of 1933. For several years (and overshadowed by Watergate) the powers-that-be fretted about what might happen if citizens were allowed to own gold again.

It is ironic that in 1974 our rulers were most worried about citizens owning gold, instead of fretting about the floating virtual currency debt system that the US mandated (in conjunction with the International Monetary Fund), with the dollar US at the center of the floating currency hub. Finally, in 1975 our rulers decided that gold could be held by US citizens, where the Federal Reserve/Treasury would peg gold at $42.22 per ounce valuation in perpetuity, and that the US Treasury would not sell or trade US gold reserves. [2]

Some countries - such as Switzerland - did operate a partial gold backing for their currency, but the International Monetary Fund declared that any gold-backing of sovereign state currencies is prohibited; thus Switzerland abandoned its partial gold backing of Swiss currency by the year 2000. Since then all major foreign exchange has been based on by-decree currencies, which have the backing that their government will satisfy debts in that currency but no other. Essentially fiat "paper" currency is based only on trust, and there is no intrinsic value to paper currency, because trust does not represent intrinsic value.

Arguably the floating currency world monetary system has ambled along somewhat satisfactorily since August 15th 1971 on that basis, so long as the global monetary hegemon (ie the United States) played the system somewhat fairly without fully weaponizing the currency. Likewise, support for the fiat "by decree" monetary system is essential to the paper money propaganda apparatus and machine from the US Treasury Exchange Stabilization Fund at the very top, to the lowly echelon of the talking heads at CNBC. From Warren Mosler of the Modern Monetary nonsense Theory crowd, to Scott Bessent and the Bitcoin Bros, who refuse to admit that bitcoin is simply a derivative of fiat currency [3] and not an alternative to it.

But especially since 2014, the United States has leveraged punishing sanctions and monetary reprisals versus nations that do not conform to US policy and intent. In brief, trust in the United States as a good faith manager of the global monetary system has been largely lost - the very trust that is required to keep the fiat system of the currency hegemon afloat.

Since 2014 politically motivated tariffs, perpetual US dollar debasement, punishing sanctions, and gaming of foreign exchange with attacks on currencies (and suppression of precious metals by -- what should be -- an illegal CME/London Bullion Market Association "fix" ) versus nations not sufficiently adulatory and subservient to Wall Street banks, has impacted trust overall in the US monetary hegemon.

For many years those nations not sufficiently adulatory of Wall Street banking and the US monetary hegemonic have attempted to disengage from the US currency-dominated system. They've done so by founding alternate payment methods; trading in their own currencies when possible; founding alternate trade organizations; and disposing of US debt instruments.

While the foregoing has had some effect dethroning King Dollar (which along with the Euro dominates world trade) the real Achilles heel of western perfidy and monetary duplicity, is that which maintains intrinsic value. As the US Treasury / federal governmental policy continues to debase the US paper currency with ongoing quantitative easing and gaming of the monetary system, slowly it  dawns in the collective west that gold, silver, and the precious metals are the only true store of value -- just as gold and silver have been stores of value for well in excess of two thousand years.

Gradually, the definition that money must have some intrinsic value other than the trust placed in it, is being historically asserted. That money must have intrinsic value proves that the Nixon governmental decree of a fiat system will one day be rendered temporary, just as Nixon said.

Meanwhile, continuing Nixon's monetary hoax, the Trump regime plans to reduce US federal fund rates (interest rates) to zero over his term. The Trump regime -- and those who follow -- will continue to debase the US currency forever more. Rather than enriching the US American people with a strong currency, the US War Department and "peace president" will expedite the failure of Nixon's fiat experiment. Indeed, the west provokes war, destruction, and instability driven by that last pillar of support for US power: US militarist intervention to maintain the US dollar monetary hegemonic and  its exorbitant privilege.

Elites rely on their ability to hide from the people that real gold/silver is the antidote to a terminally corrupt western system, based only on fiat war and exploitation. Our western War Department rulers are as valueless as the money changers of the Temple, invoking the tanakh Old Testament edict that only might makes right.. Western elites have promoted and perpetuated the fiat money myth for nearly one hundred years. The only antidote to that fiat federal monetary myth is the reality needed to eradicate the myth, being a real money system revolution. A personal means of doing so is to hedge versus US dollar fakery with real value, being gold/silver in the physical sense (not ETF's, not futures).

Beside being a hedge versus continuing debasement of all fiat currencies, holding gold and silver is one way to personally assert that the trust placed in fiat decree currency is misplaced. Of course the powers behind the western monetary system know that, and they do not want you to. But the fiat monetary system has always proved imaginary when trust in the empire wanes, as it always has, and always will, regarding every empire that has failed throughout time. And only when the western monetary system is a at least marginalized, will the Warfare State of the west finally be marginalized too, and thankfully relegated to the dustbin of history.

[1] US Treasury Sovereign physical gold exchange for foreign national currencies

[2] The US Treasury does in fact trade gold via the Federal Reserve in Exchange Stabilization Fund covert operations and the gold carry trade, as this author has written about many times before.

[3] Bitcoin derives value only via fiat currency conversion and has no intrinsic value.

Further reading: How the Federal Reserve Truly Operates
Link: https://novusconfidential.wordpress.com/federal-reserve-out-sourcing-the-monetary-system-to-the-money-trust-oligarchs-since-1913/

Steve Brown