Awake-In-3D: Checkmate (Part 3) – A Currency Duel to Avert a Real War

Awake-In-3D:

Checkmate (Part 3) – A Currency Duel to Avert a Real War

On July 19, 2023  By Awake-In-3D

In  RV/GCR Articles

Continued from the Checkmate Series Part 1 and Part 2

In this final article of my three-part Checkmate series, I examine the key players on the chessboard, their roles and motivations, and the significant economic consequences that the Western fiat system players will face if the new Eastern Alliances establish and launch a gold-backed currency. My conclusion is that dueling financial system currency systems is a far more acceptable and stable solution that would likely prevent a actual, real kinetic war. Leading to Our GCR.

China’s Role as the “Tactical” Game Player

As tensions escalate, China remains strategically prepared to join the financial war. China has been cautious in destabilizing the dollar to protect its export interests, but now it recognizes the threat to emerging economies, particularly those in Africa and Latin America. Embracing a gold-backed currency and a preemptive attack on the dollar would align with China’s motivations to safeguard its economic interests.

As the BRICS nations lay the groundwork for a gold-backed trade currency that challenges the dominance of the dollar, China’s strategic response becomes crucial in this unfolding global economic transformation.

 In this article, we explore how China has carefully assessed the economic consequences of the proposed gold-backed currency and its potential impact on the US dollar. Drawing from the analysis of General Qiao Liang, a high-ranking figure in China’s military intelligence, we uncover China’s motivations and strategies to preemptively counter the perceived threats against emerging economies. With China ready to mount an attack on the dollar by embracing a gold standard, the balance of power in the global financial landscape may soon experience a seismic shift.

Assessing the Threat

China has long been threatened by the US over access to markets, but with the advent of the BRICS gold-backed currency proposal, the stakes have been raised. However, China appears to have anticipated potential economic consequences and evaluated the experiences of nations like Russia during periods of sanctions. General Qiao Liang’s analysis sheds light on the US’s previous actions with respect to foreign national debts, indicating a pattern of weakening and destabilizing economies through strategic manipulation of interest rates.

A Target on Dollar-Indebted Nations

While China itself does not rely on borrowing dollars, it recognizes that the real threat lies in the impact on dollar-indebted nations that participate in trade with China. The US’s likely strategy of raising interest rates even after taming inflation could aim to bring these nations back under American control. This poses a significant challenge for emerging economies in Africa, Latin America, and other regions that have received substantial Chinese investment.

The Preemptive Attack on the Dollar

To address this potential threat, China has devised a preemptive attack on the dollar by exposing its weakness as a fiat currency. With the power to do so since the Lehman crisis, China and Russia now have the means to challenge the dollar’s status quo. As they plan a return to the gold standard for trade and their own currencies, the BRICS nations seek to counter the US’s strategy of “harvesting” assets in foreign countries.

The Role of the New Development Bank

The New Development Bank, headquartered in Shanghai, is poised to play a pivotal role in China’s response. Offering credit in yuan or the new BRICS currency at lower interest rates, the bank can help alleviate the strains imposed on BRICS members by rising US interest rates. This strategic move strengthens the BRICS’ position and enhances their ability to withstand potential sanctions.

China’s Motivation and Strategy

Understanding China’s motivations and strategies is vital to grasp the implications of this evolving economic landscape. While some may question General Qiao Liang’s analysis, it is evident that his views are ingrained in China’s government thinking. This positions China to join forces with Russia in a concerted attack on the dollar’s fiat nature and advocate for a return to a gold standard for trade, thereby challenging the existing global financial order.

As the BRICS nations lay the groundwork for a new gold-backed trade currency, China’s proactive response becomes a critical factor in the unfolding global economic transformation. By assessing potential threats and drawing insights from General Qiao Liang’s analysis, China is prepared to counter the US’s strategies aimed at emerging economies. Embracing a gold standard for trade and their currencies, China and Russia signal their readiness to challenge the dominance of the dollar and push for a more equitable and stable financial system. The stage is set for a momentous shift in the global economic landscape, with gold re-assuming its ancient role as a bedrock of value and stability in an ever-changing financial world.

Russia’s Role as the “Strategic” Game Player

The world stands at the precipice of a potential global conflict as tensions escalate between Russia, America, and their respective allies. While the focus has primarily been on military maneuvers and proxy wars, a new front is emerging – a financial war with far-reaching implications. In this article, we explore the origins of the current trade currency plans, which originated in Russia, and the role of China as events unfold. As NATO tightens its grip on Eastern Europe, Putin faces an intractable dilemma, with compromise seemingly impossible. To avert a catastrophic global conflict, Russia appears to prioritize undermining the dollar’s dominance, while China is ready to join in this strategic battle. A financial war may offer a way forward, but the consequences for the global economy remain uncertain.

The Genesis of the New Trade Currency Plan

The idea of a new trade currency with a gold-backed system originated in Russia, marking a shift in focus away from China. Until recently, China hesitated to destabilize the currencies of Western nations due to her significant export interests. However, escalating tensions over Taiwan, coupled with America’s plans to raise interest rates and bankrupt BRICS members, have led to a dramatic deterioration in Sino-US relations. The specter of direct conflict between Russia and America over Ukraine and China’s potential entanglement in a Taiwan conflict makes it imperative to avert World War 3.

NATO’s Determination and Russia’s Response

NATO, under the influence of the US, is determined to defeat Russia, remove Putin from power, and gain control of Russia’s vast natural resources. Proxy wars, such as the one in Ukraine, have so far failed to achieve NATO’s goals. As the theater of operational strategy shifts to Poland and the Baltics, the build-up of military personnel and missiles in the region becomes evident. Putin is unlikely to accept compromise, as it would require withdrawing missiles and American bases from Eastern and Central Europe, a non-negotiable condition for Russia’s security.

A Conundrum for the Biden Administration and America

For President Biden, backing down in Eastern Europe would carry severe political consequences, especially after the Afghanistan withdrawal. The influence of neo-conservatives in American policy-making adds further pressure to defeat Putin, expand US influence, and isolate China. Russia’s peace terms are unacceptable to America, leaving both sides at a standstill with potential dire consequences.

Undermining the Dollar’s Dominance

Given the impasse, Russia’s priority seems to be undermining the dollar’s dominance, presenting an economic front to counter America’s aggression. Attacking the dollar financially could weaken the alliance’s military capabilities and create divisions among its members. Additionally, a Russian attack on currencies’ credibility would benefit Russia’s financial position, which is already facing pressure.

The Uncertain Outcome

Engaging in a financial war offers a relatively discreet option, avoiding an official declaration of victory or the need for post-war reconciliation. While it remains unclear whether undermining the dollar would avert a nuclear conflict, it is evident that the world teeters dangerously close to the brink. The consequences for the global economy are uncertain, and the potential for price inflation and financial instability looms large.

As geopolitical tensions reach boiling point, the prospect of a financial war emerges as an alternative to direct conflict. Originating in Russia and embraced by China, this unconventional approach aims to undermine the dollar’s dominance and challenge America’s aggression indirectly. A delicate balance hangs in the air, and the global economy faces an uncertain future. Averting World War 3 requires careful navigation, with the financial landscape becoming an uncharted battleground in the struggle for power and control. The coming days will reveal whether a financial war can offer a reprieve or if the world inches ever closer to catastrophe.

Golden Stability: A New Currency System to Prevent Further Physical Conflict Escalation

Amidst escalating global tensions, the proposal for a new gold-backed trade currency gains momentum. Originating in Russia and designed to facilitate cross-border trade settlement, this currency aims to provide a stable, institutionally acceptable alternative to fiat currencies. With the groundwork laid by Sergei Glazyev, the currency could soon become a reality, pending approval in August. Let’s examine the key elements of this new currency and its potential impact on participating nations, focusing on long-term practicality and the preservation of economic stability. As the stage is set for a financial transformation, the focus shifts to gold as the foundation for a new era of secure and credible trade finance.

Building a Politically Acceptable, Inclusive and Peaceful Solution

The proposed trade currency is strategically designed to garner support from all involved nations and alliances serving as a practical solution for realizing the ambitions of the Russian-Chinese axis. By facilitating an Asian industrial revolution encompassing Africa and Latin America, free from external interference, the new, gold-backed currency aligns with the aspirations of all participating countries.

A Path to Non-Inflationary Economic Growth

The new trade currency aims to provide a foundation for trade finance and cross-border settlements based on sound money principles. By tying credit growth to economic activity and gold, the currency seeks to avoid inflationary consequences and maintain purchasing power. Gold’s role as a substitute will impart pricing certainty to trade and investment, leading to stable, low-interest rates and fostering economic development in emerging economies.

Potential for Greater Currency Stability

Participating nations may place greater emphasis on their own currencies’ stability, seeking a safe haven from the consequences of the dollar’s fiat nature. As the new currency gains acceptance, Russia may consider returning the ruble to its own gold standard, with China potentially following suit with the renminbi.

An Inherent Currency Resilience

Designed with a 40% gold backing, the new currency adheres to the principles set by Sir Isaac Newton, providing a metallic monetary standard. As confidence in the scheme grows, participating central banks may retain minimal gold reserves, swapping the balance for the new currency. This approach would bolster their balance sheet equity and add to the currency’s credibility.

The proposal for a new gold-backed trade currency heralds a potential financial transformation in cross-border trade and settlement. Designed to be politically acceptable and practical for participating nations, the currency promises a path to non-inflationary economic growth and greater currency stability. By placing gold at the heart of the financial system, this currency seeks to safeguard against the pitfalls of fiat currencies and usher in a new era of financial stability. As August approaches, the world awaits the outcome of this groundbreaking proposal and its potential to redefine global finance.

The Consequences for Western Fiat Currencies and Their Debt System

The historical relationship between money and gold has been undeniable, with gold serving as the anchor of value for centuries. However, the detachment of credit from gold in recent times has had profound consequences for the global financial system. Let’s examine the implications of reintroducing gold into currency systems, particularly in the context of a new BRICS gold-backed currency. As the Asian superpowers seek stability and independence from fiat currencies, a seismic shift in the global economic landscape is imminent. Yet what will be the potential effects on major currencies, economies, interest rates, as gold returns to its rightful place in the financial world?

The Historical Gold-Dollar Divergence

In the post-Bretton Woods era, fiat currencies have steadily lost value relative to gold, exemplified by the dollar’s 98% depreciation. The erosion of purchasing power has surpassed the 2% annual target set by official policies, underscoring the importance of gold as a stable medium of exchange. The potential introduction of a new gold-backed BRICS currency could accelerate the devaluation of fiat currencies, triggering a race for tangible assets and further undermining their credibility.

The Underappreciated Role of Gold in Financial Markets

Throughout history, gold’s role as money has been poorly understood in financial markets, leading to misguided assumptions about its true value. Despite being treated as a trading counter, gold’s return as the anchor for credit values among Asian hegemons will force a reassessment of its significance. The move towards a gold-backed currency will bring stability to export values and create a conducive environment for low-interest rates, benefiting the economies of participating nations.

Significant Implications for Western Fiat Currencies

The introduction of a BRICS gold-backed currency will have far-reaching consequences for western fiat currencies, including the dollar, euro, and pound.

  • The Dollar’s Predicament: The reliance on inward foreign investment has enabled the US to fund continuous trade deficits and government debt. However, a shift to a gold-backed currency could lead to central banks exchanging their dollar reserves for the new currency, triggering devaluation and foreign liquidation of Treasuries. Rising bond yields and funding costs for the government are inevitable, posing significant funding hurdles.

  • Eurozone Turmoil: A gold-backed BRICS currency may drive Germany towards sound money regimes, exacerbating economic and political divisions within the eurozone. The euro’s credibility, already strained, will face further challenges, leading to potential recapitalization needs for the ECB and national central banks.

  • The UK’s Dilemma: The UK, burdened with a debt trap similar to the US, also suffers from increasing taxes and limited gold reserves. As the international financial center, London will be at the epicenter of the fiat currency crisis, complicating any efforts to escape the fiat currency trap.

The Call for a Return to “Classical” Economics

The emergence of a gold-backed currency and its implications will expose the inadequacy of Keynesian (constant fiat currency creation out of thin air) macroeconomics, which has shaped policies during the fiat currency era. Western governments must embrace classical economic theories and adapt swiftly to the changing economic landscape. The combination of credit crunch from the bank credit cycle and deteriorating fiat currency purchasing power will lead to rising interest rates, challenging the traditional control exerted by central banks.

Wrap Up

The return of gold as a cornerstone of the global financial system signifies a momentous shift in the balance of economic power. The introduction of a BRICS gold-backed currency and potential adoption by Russia and China could lead to a cascading effect on fiat currencies worldwide. As investors seek tangible assets and foreign exchanges witness a weakening of major fiat currencies, The United States, Europe and other Western governments will be forced to reassess their debt-based economic and monetary policies.

This transition will require a departure from Keynesian economics and a return to classical, sound money principles, laying the groundwork for a resilient, fair and stable global financial economic landscape.

 This would be Our GCR.

Ai3D Website: Ai3D.blog
Ai3D on Telegram: GCR_RealTimeNews
Ai3D on Twitter: @Real_AwakeIn3D

https://ai3d.blog/checkmate-part-3-a-currency-duel-to-avert-a-real-war/

Previous
Previous

Wednesday Night KTFA CC "THEY ARE WAITING ON THEMSELVES" 7-19-2023

Next
Next

Wednesday Evening Chat With MarkZ 7-19-2023