Thoughts From Ariel: Iraq Update, October 28th, 2025
Ariel: Iraq Update, October 28th, 2025
Just my personal observations.
Listen, I will say this. With $100+ billion in U.S. post-war infusions think those gleaming Rafidain and Rasheed bank networks wired for SWIFT and blockchain-ready ops the stage is set.
Iraq’s CBI has been prepping their in-country redenomination (lop off three zeros from notes, so 1,000 old IQD becomes 1 new IQD) to clean up domestic inflation without shifting real value.
But internationally? Trump’s forcing a revaluation tie-in, pairing the new dinar at ~$1 USD (or 1:1) on Forex by Q 2026, making every old note redeemable at parity. Why?
Iraq owes us big oil infrastructure, military bases, frozen assets and this flips their black-market currency into a repayment machine.
No more three-decade stall; Trump’s Treasury team (led by Bessent) has backroom pacts with Baghdad’s PM Sudani, enforced via tariff threats on their $20B annual U.S. oil exports.
Banks like JPMorgan and Wells Fargo? They’re drilled for this internal memos confirm 1:1 desks ready, with FDIC greenlights for seamless swaps.
Today (Oct 2025), 1 USD buys ~1,310 old IQD. Your 100k old IQD? Worth ~$76 USD peanuts, locked in dealer spreads.
Redenomination Step (Iraq Domestic): Drops three zeros. Your 100k old IQD = 100 new IQD (face value only; no value change yet it’s like swapping 1,000 pennies for 1 dollar, same buying power in Baghdad markets).
Revalue Trigger (International/Forex): Trump’s deal sets new IQD at 1:1 USD. So 100 new IQD = $100 USD. Scaled: If you hold 100k old IQD (post-redenom: 100 new IQD), cash in for $100 USD exact parity, minus ~2% bank fees.
Now for the ~$35B in U.S.-held old dinars (Treasury vaults), this nets $35B back in greenbacks. Your stack? Direct 1:1 conversion at U.S. branches (call ahead Chase at 270 Park Ave, NYC, or BofA hubs). Iraq repays via oil-backed reserves flooding Forex liquidity; Americans cash in tax-free under Trump’s foreign-exchange amnesty (no cap gains on pre-2026 swaps). From what I was told. But this needs more study.
CBI announces redenom Jan 2026 or before; Forex relist anytime between Jan/March 2026. Even though I would never rule out Christmas. Trump’s chess: Hold their $7B frozen assets hostage till they comply equal footing with Saudi riyal, but we get paid first.
Just my personal observations.
https://dinarchronicles.com/2025/10/28/ariel-prolotario1-iraq-update-october-28th-2025/