Bitcoin to succeed Dollar as benchmark international currency – Bitcoin – News 2020

A currency worthy of the name must be a store of value. The dollar is not one. Neither does the euro, since its quantity is growing much faster than GDP. The number of euros in circulation is thus growing by 5% per year and considering that we are far from posting 5% growth, this automatically results in inflation. To put it more simply, money is worth less and less. Its purchasing power decreases and savings are robbed …

It is also great that a currency can allow anonymous payments AND without permission. This last attribute (” permissionless “In English) and one of the remarkable qualities of Bitcoin that is not talked about enough. Probably because, after all, the banks rarely forbid us to transfer our money (although …). Will this always be true for everyone? Let’s be clear, this is no longer the case and the Russians or the Iranians will not say the opposite …

In this article, we’ll talk about the extraterritoriality of the dollar, or when money becomes a weapon to blackmail nations...

The dollar, an intergalactic currency

The dollar has become the essential international currency in 1974. Four years after having crossed its peak oil and three years after having suspended (forever) the convertibility of the dollar into gold, the United States succeeded the greatest poker stroke in History: force Saudi Arabia to sell its oil in any currency other than the US dollar.

An extraordinary reversal of geopolitical situation while the end of Gold Standard and the depletion of American oil fields was about to extinguish world domination of the United States.

Since then, all the nations of the world have been obliged to procure the dollar, in one way or another, to be able to buy the black gold essential to any industrial power.

This monetary imperialism offers innumerable advantages to the United States, the most important being obviously of being able trade oil for green paper… The dollar also allows the United States to capture about half of global savings to finance its debt thanks to the recycling of petrodollars.

Eh yes! What are central banks doing with their mountains of dollars? Bingo: they reinvest them in the most liquid asset in the world – US government debt – to earn interest. It is for this reason that the United States can afford to have a chronically in deficit trade balance without the dollar collapsing. Dollars collected by oil producing countries end in fine by coming back to water the US debt and the US arms dealers. A perfect closed circuit.

Signing of an arms sales contract between Donald Trump and King Salman

Unsurprisingly, the dollar therefore represents 60% of the currency reserves of central banks around the world (80% in the not so distant past).

It’s very simple, in 2018, the European Union settled only 20% of its energy imports in euros and the remaining 80% in dollars. Even Air France buys its Airbuses (made in Europe) in dollars … Those who see the EU as a necessity to weigh against the United States on the international scene will draw their own conclusions.

LAWFARE and justice for all

Now let’s get to the heart of the matter. The other big advantage of the dollar is being able sanction countries that would not align with the “Extraterritorial law” American or, to put it more clearly, on American imperialist foreign policye.

This war by lawDo not be scarred by words – was theorized by the colonel of the American army Charles Dunlap and formalized shortly after the September 11, 2001 attacks as a alternative to military action (Lawfare).

Charles Dunlap
Charles Dunlap

The Lawfare allows to decree monetary embargoes which become de facto economic embargoes. The BNP Paribas paid the price in 2014 when she was ordered to pay $ 9 billion for facilitating dollar transactions on behalf of countries under US embargo (Iran and Cuba). To sum up, all dollar transactions must comply with US “law”, that is, consistent with the interests of the United States, or face sanctions.

And that’s not all, the American justice system no longer hesitates to attack companies from allied countries. It has become a tool for all-out economic warfare working hand in hand with the NSA spying on all contracts over $ 200 million. The company Alcatel saw, for example, the grip of American justice loosening (in a bribe case with a Costa Rican politician) only after agreeing to merge with the American company Lucent. We will learn later that this blackmail aimed at obtaining patents on optical fiber

Same thing for Alstom, this flagship of French industry, to which the Americans have twisted their arms to get their hands on the famous turbine Arabella, the centerpiece of French nuclear submarines.

Alstom's Arabelle turbines, the object of all American lust
A turbine Arabella. Sometimes size matters

To put it another way, we were castrated via mafia techniques with the full cooperation of the US justice department

“We can no longer make a nuclear submarine in France without American authorization”

Alain Juillet, former director of the DGSE

SWIFT, the linchpin

Washington is waging a constant economic war that takes multiple forms. Fines, blackmail, freezing of bank accounts and monetary embargoes. At this point, I know what you are saying to yourself: ” What prevents us from using currencies other than the dollar?

It’s not that simple because you make a transfer in euro, dollar or Kazakh tenge, your transfer will in any case pass through a nerve center located in ……. Belgium.

Pub

Indeed, all international financial transactions must go through society SWIFT (Society for Worldwide Interbank Financial Telecommunication) which is a kind of cooperative of private banks subject to the US Empire.

The SWIFT system

Only the latter is authorized to disconnect banks from any country from the SWIFT network. So even if Iran decided to trade in euros, she could not do it…

Iranian banks have been disconnected since 2012. The only aside took place during the short-lived Iranian nuclear deal that Donald Trump quickly shattered as soon as elected. The European Union has pretends to be offended by creating a sort of clearing house to barter with Iran, but it has never been used (INSTEX). It will have been enough that the United States threaten to tax large German sedans so that all of Europe goes to bed (the top automobile represents 20% of German exports).

In short, the consequence is that the Islamic Republic of Iran can no longer pay for imports or be paid for exports in any currency.

By the way, Iran categorically refuses to sell oil in dollars for a long time. Well, it also reminds me that Sadam Hussein had decided to sell its oil exclusively in euros rather than dollars two years before receiving the visit of GI Joe … The petrodollar, endless nerve of war …

United States even refuse to allow Iran to receive equipment to fight the Coronavirus epidemic. They are like that the Americans …

SWIFT is thus a mechanism of world domination forcing regime changes by throttling their economies.

Now is the time to return to our preamble: Bitcoin is a currency with the good taste of being ” permissionless “Unlike the greenback. In other words, if China bought Iranian oil in Bitcoin, the United States could do absolutely nothing. Finally “nothing” … China, the only country in the world that dares to brave the embargo on Iranian oil decreed by the Americans (by bartering), is now at war with the United States who have decided to tax 25% of imports made in China. A war exacerbated by the coronavirus since 60% of Chinese ports are still stopped.

DECENTRALIZATION

All banks, and therefore all currencies, must go through SWIFT, so that countries that threaten the petrodollar are exposed to network disconnection by Uncle Sam.

Bitcoin, much better student than the dollar for fair trade relations

The SWIFT threat has even been brandished in front of Vladimir Putin in the wake of the Crimea’s attachment to Russia. In 2015, when threats from NATO came to a head, many Russian citizens abroad found themselves unable to use their payment cards.

“Limiting Russia’s access to the global international bank payment system SWIFT would practically mean a declaration of war.”

Dimitri Medvedev, Russian Prime Minister, 2019

Moscow and Beijing have since acquired their own international payment systems operating according to the same standards as SWIFT so as not to risk seeing their savings collapse if their banking systems are quarantined (sorry). The BRICS are even planning to acquire a common cryptocurrency … Psssst, Bitcoin already exists …

Bitcoin is a currency along with a payment system. Two in one. The cryptocurrency invented by Satoshi Sakamoto is also apolitical since it does no service to any particular country, unlike the dollar, which offers exorbitant privileges in the United States.

Bitcoin is not a seigniorage currency that requires bending your back to use it. His decentralized operation makes it physically impossible to prevent a transaction from executing.

In a world where competition for raw materials will intensify, it is unlikely that a piece of paper (dollar) can keep value on the international scene. The dedollarization of the world is underway, it is said, and Bitcoin has its own strengths which make it the natural candidate for its succession. The privilege of international currency never stays in the same hands for long …

The status of international currency is not eternal

Translation: The status of international currency par excellence does not last forever…

Sooner or later Bitcoin will win over many for its obvious monetary qualities, but also for the inability to use it as an oppressive and ideological financial tool – unlike the 21st century dollar . Besides, how can we forget that Bitcoin also embodies the best way to protect itself from its own government in the event of dictatorial mass surveillance facilitated by the end of cash.

Bitcoin to succeed Dollar as benchmark international currency – Bitcoin – News 2020
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