How a New BRICS Currency may Affect the Dollar
How a New BRICS Currency may Affect the Dollar
Geopolitical Analyst: 12-22-2024
As nations increasingly seek to assert their economic independence, the geopolitical landscape is evolving, with an eye on alternatives to the longstanding dominance of the U.S. dollar. Among the most notable developments in this sphere is the potential introduction of a new currency by the BRICS bloc—Brazil, Russia, India, China, and South Africa.
This article explores how this currency could affect the dollar’s status, international trade, and the broader financial system.
How a New BRICS Currency may Affect the Dollar
Geopolitical Analyst: 12-22-2024
As nations increasingly seek to assert their economic independence, the geopolitical landscape is evolving, with an eye on alternatives to the longstanding dominance of the U.S. dollar. Among the most notable developments in this sphere is the potential introduction of a new currency by the BRICS bloc—Brazil, Russia, India, China, and South Africa.
This article explores how this currency could affect the dollar’s status, international trade, and the broader financial system.
BRICS was founded as a coalition of emerging markets to foster economic cooperation and development. The common aspiration is not merely to compete with the G7 nations but to establish a more balanced global economic framework. In recent years, these nations have been forging closer ties, driven by their mutual interests of reducing reliance on Western economies, particularly the United States.
The idea of a BRICS currency has gained traction, especially as these countries navigate economic sanctions, volatile exchange rates, and the challenges posed by the fluctuating dollar. In 2023, discussions among BRICS nations intensified, with calls for a shared currency aimed at facilitating trade and investment among member states while offering a viable alternative to the dollar.
The U.S. dollar has reigned as the world’s primary reserve currency for decades, accounting for approximately 60% of global reserves. This dominance has afforded the United States substantial advantages, including lower borrowing costs and the ability to impose economic sanctions with relative ease.
A new BRICS currency could disrupt this status quo by encouraging member countries to engage in trade and investment using the new currency instead.
As countries explore alternatives to the dollar, there is potential for a reduction in dollar-denominated trade, which could undermine the currency’s global hegemony.
The emergence of a BRICS currency could induce greater volatility in currency markets. As nations shift their reserves and trading practices toward the new currency, the dollar may experience fluctuations in value.
Commodities currently priced in dollars, such as oil and gold, may find new price benchmarks, leading to further instability in their markets as well. Such volatility could impact not only the U.S. economy but also the global economy at large.
A shift towards a new BRICS currency could exacerbate existing geopolitical tensions. The U.S. has historically wielded its financial clout to influence global politics, and any threat to dollar dominance may prompt a defensive stance. The potential weaponization of the dollar by the U.S.—in the form of sanctions—could push other nations to accelerate the move toward alternatives, thereby solidifying the divide between Eastern and Western powers.
In this context, the introduction of a BRICS currency could be more than just an economic move; it could be viewed as a political statement against perceived Western hegemony.
A BRICS currency could significantly alter global trade dynamics, especially in regions where BRICS nations hold considerable sway. Countries in Asia, Africa, and Latin America may find it advantageous to trade within this new framework, thereby lessening dependency on the dollar. For smaller economies, trading in a BRICS currency could mean lower transaction costs and reduced exposure to the risks associated with dollar fluctuations.
This shift could give BRICS nations more power in setting the terms of trade, establishing new partnerships, and enhancing their influence on the global stage.
The introduction of a BRICS currency is not without challenges. Questions remain regarding its stability, backing, and the mechanisms for implementation. Moreover, member nations would need to overcome significant economic disparities and ensure that the new currency is widely accepted and trusted.
Regardless, the contemplation of a BRICS currency signals a potential seismic shift in the geopolitical landscape. As these nations band together in their quest for economic autonomy, the consequences for the U.S. dollar may be profound.
While the full implications of a new BRICS currency remain to be seen, its potential to challenge the dollar’s supremacy could reshape the global economic order. The world watches with anticipation as BRICS members deliberate their next steps, with the possibility of marking a new era in international finance.
The dollar’s future may very well depend on how effectively the U.S. can adapt to these emerging developments and address the core grievances fueling the push for an alternative currency. Ultimately, the unfolding story of the BRICS currency will be one to watch as it unfolds in the coming years.
Iraq Economic News And Points To Ponder Late Saturday Night 12-22-24
An Expert Predicts Iraq's Economic Future In 2025
Reports Saturday, December 21, 2024 (70 views) Sky Press/Baghdad On Saturday, international economist Nawar Al-Saadi revealed the financial and economic future expectations for Iraq at the beginning of the new year 2025. Al-Saadi said,
"Iraq's economic and financial future expectations at the beginning of the new year carry a mixture of optimism and caution, as they depend largely on a group of economic, political, and regional factors that directly affect the country's financial and economic stability."
An Expert Predicts Iraq's Economic Future In 2025
Reports Saturday, December 21, 2024 (70 views) Sky Press/Baghdad On Saturday, international economist Nawar Al-Saadi revealed the financial and economic future expectations for Iraq at the beginning of the new year 2025. Al-Saadi said,
"Iraq's economic and financial future expectations at the beginning of the new year carry a mixture of optimism and caution, as they depend largely on a group of economic, political, and regional factors that directly affect the country's financial and economic stability."
He added, "International estimates indicate an improvement in Iraq's economic growth rates, according to reports from the International Monetary Fund, where
it is expected that the Iraqi economy will witness growth of 1.4% during the next year, with an expected increase of up to 5.3% in 2025.
This growth reflects the recovery of the economy."
After the challenges it faced in recent years, especially after the economic contraction that reached 2.2% in 2022, economic growth will be mainly driven by stabilizing oil prices and increasing investments in non-oil sectors.” Al-Saadi pointed out,
“There are fears of a deterioration in the financial situation due to the expected deficit in the state’s general budget, as the deficit is expected to expand to 7.6% of the gross domestic product during the next year, compared to 1.3% in the current year.
This deficit is due to fluctuations in oil prices, which are the main source of government revenues.
The economic situation is further complicated by the heavy dependence on oil, as it constitutes about 90% of Iraq’s revenues.
Any decrease in its global prices may lead to severe financial pressure on the government.” He pointed out that
“other challenges relate to inflation rates, which are expected to rise slightly to reach 3.5% in 2025.
This rise reflects the effects of financial pressures and internal economic challenges, including the rise in prices of goods and services as a result of increased production and import costs.
Oil production:
Iraq is expected to continue to maintain a high level of production, with plans to enhance its production capacity to reach about 4 million barrels per day by the first quarter of 2025. However, the
success of these efforts will remain linked to stability. political and relations with OPEC, in addition to achieving long-term investments in energy infrastructure.”
Al-Saadi continued:
“At the banking sector level, the government seeks to implement structural reforms to
improve the efficiency of the banking system and
increase transparency, and
these reforms come within a larger vision to
develop the Iraqi economy and
diversify sources of income away from excessive dependence on oil.”
The specialist in international economics concluded his speech by referring to all the aforementioned data, by saying that
“Iraq may be facing hot economic and financial events with the beginning of the new year, and the
main challenge lies in the government’s ability to manage these challenges effectively through balanced financial and economic policies aimed at Promoting economic stability and diversifying the economy to achieve sustainable growth.”
https://www.skypressiq.net/2024/12/21/خبير-يتوقع-مستقبل-العراق-الاقتصادي-في-عام-2025
An Economist Urges Those In Charge Of The Industrial Project Financing Initiative To Take Measures That “Attract Investors”
Economy | Yesterday, |Baghdad today – Baghdad Economist Manar Al-Obaidi confirmed today, Saturday (December 21, 2024), that the
industrial project financing initiative is one of the main initiatives that aims to support the industrial sector in Iraq and enhance its role in achieving economic development, noting
a package of measures that must be taken to ensure that it is directed in the right way. Serves its national goals "attracting investors."
Al-Obaidi said in a post on the “Facebook” platform, followed by “ Baghdad Today ,” that
“the initiative comes as part of the efforts made to stimulate industrial activity by providing financing on easy terms, including low interest rates, flexible payment periods, and encouraging guarantees,” noting that
“These advantages make the initiative attractive to investors, as it gives them the opportunity to establish industrial projects that support the local economy and reduce dependence on imported goods.”
Trillion Iraqi dinars this year, which highlights the urgent need to activate such initiatives to reduce this economic burden,” stressing
“the necessity of setting clear controls and goals for the initiative to ensure its success.” and achieve its goals.” He continued,
"Setting measurable goals helps direct efforts effectively and ensures achieving the desired results.
The general goal of promoting industry, despite its importance, is a broad goal and not subject to precise follow-up," stressing that
"it is necessary to formulate specific goals linked to indicators." Measurable performance, so that the extent to which the initiative achieves these goals can be evaluated.” He stated,
"Unfortunately, Iraq's experience with the Small and Medium Enterprises Financing Initiative shows the importance of this point.
More than 18 trillion Iraqi dinars have been allocated to this initiative,
but a large portion of the funding was directed toward projects not related to supporting the productive economy, such as construction and housing projects." He noted that
“this approach did not achieve the desired goals of the economic initiative and led to a reduction in its effectiveness.” He stated,
“To ensure that the initiative’s funding is directed towards projects that achieve national goals, key criteria must be determined to evaluate projects applying for funding, which include:
1- Reducing the import bill:
One of the main goals of any industrial project is to reduce dependence on imports.
However, it should be noted that some projects may claim to reduce the import bill, but in reality they replace the import of the finished product with the import of raw materials.
This trend does not contribute to reducing the total value of imports, but rather leads to additional losses, such as the state losing customs revenues on imported goods, as imported raw materials are exempt from customs under investment laws.
Therefore, priority should be given to projects that rely on local raw materials or that operate in the field of extractive and recycling industries, compared to manufacturing industries that depend on importing raw materials.
2- Providing job opportunities:
Modern technology has reduced the need for manpower in many industries, as production lines have become semi-automated.
Therefore, funding priority should be for projects that provide significant direct and indirect employment opportunities.
The ultimate goal of strengthening the industrial sector is to create job opportunities for youth and job seekers, and
if the initiative does not achieve this goal, its benefit will be limited.
3- Relying on energy alternatives:
Energy costs are considered one of the biggest challenges facing the local industry in Iraq, as they directly affect the competitiveness of products.
Therefore, projects that rely on alternative energy sources such as solar energy and other clean energy should be encouraged.
Although investment in these alternatives may be high initially, in the long term it can reduce production costs and improve the competitiveness of local products.
4- Encouraging exports:
Most industrial projects in Iraq focus on the large local market, but it is necessary to direct part of production towards export.
Iraq enjoys a strategic location that allows it to benefit from the large volume of trade exchange between the Gulf countries and Turkey, which exceeds 20 billion dollars annually.
Iraq can also benefit from its geographical proximity to Europe and Asia to reduce logistical costs and expand the target market base.
Projects that allocate part of their production to export should receive priority funding.
5- Localization of industries and technical knowledge:
The initiative should seek to encourage the localization of global industries within Iraq, especially in the areas of electronic devices and cars.
Attracting international companies to work inside Iraq will not only strengthen the local industry, but will contribute to the transfer of technical knowledge and encourage foreign direct investment.
Projects targeting the localization of major industries deserve top priority in funding.
6- Additional factors for evaluation
• Future expansion plans for the project.
• The extent of women’s empowerment in the project.
• Environmental impact and waste handling mechanisms.
• The location of the project and the extent of its impact on the geographical distribution of development. He stressed
Initiative implementation mechanism
"the need for financing decisions to be based on a comprehensive evaluation system that goes beyond the feasibility study submitted by investors," stressing
"the need for the evaluation to include clear and specific goals for the state, with relative weights for each goal to determine funding priorities." Al-Obaidi pointed out,
“This system ensures that funding is directed towards projects that achieve the highest added value to the national economy,” noting that the industrial project financing initiative has great potential to stimulate the industrial sector and promote economic development in Iraq.
https://baghdadtoday.news/264347-اقتصادي-يحث-القائمين-على-مبادرة-تمويل-المشاريع-الصناعية-باتخاذ-إجراءات-تجذب-المستثمرين.html
What Are The Goals Of Expanding External Transfer Channels By The Central Bank Of Iraq?
Economy 12-19-2024, |Baghdad today – Baghdad Today, Thursday (December 19, 2024), economic affairs specialist Alaa Al-Fahd revealed the goal of the Central Bank of Iraq to expand external transfer channels for local banks.
Al-Fahd said, in an interview with “Baghdad Today,” that “as part of the Central Bank’s policy and its ongoing attempts to control foreign transfers to finance trade, especially in dollars, there is a continuous effort to expand the basket of foreign currencies that are used for imports, especially
with the countries that we have.” Import transactions, the transfer is in the currencies of the countries, and there was an agreement regarding this with the Turkish side, as well as the Emirates, China, and today with Jordan and Saudi Arabia.”
He stated, "This step reduces the demand for the dollar to finance foreign trade.
Most of the demand for the dollar is to finance foreign trade, and with the expansion of the basket of currencies, the pressure in the parallel (black) market on the dollar decreases, and this reduces the exchange rate in the local market." He added,
"This step will also allow many banks to deal with many countries according to the currencies of those countries, and
this enhances a major role in developing the work of banks in terms of experience.
Its main goal is to control the dollar exchange rate and work to reduce it."
https://baghdadtoday.news/264256-ما-اهداف-توسيع-قنوات-التحويل-الخارجي-من-قبل-البنك-المركزي-العراقي؟.html
Did Non-Oil Revenues Contribute To Iraq's Budget?
Money and business Economy News – Baghdad Advisor to the Prime Minister, Mazhar Muhammad Saleh, confirmed today, Saturday, that non-oil revenues have witnessed a significant change in their contribution to budget resources, while he stated that the government program seeks to raise them to 20%.
Saleh told the official agency, followed by Al-Eqtisad News, that
“there are two paths in the rise in non-oil revenues, which have witnessed a significant change in their contribution to the federal general budget resources, as indicated by Prime Minister Muhammad Shiaa Al-Sudani,” indicating that “the
first path is an increase in the growth rate.” in the non-oil GDP to reach 6% annually, and
it represents a leap in the development of the productive activities of the non-oil sectors of the economy, headed by the
transportation sector,
digital communications technology, and
housing. Construction,
infrastructure,
agriculture, and
clear industrial transformation.” He added, "The
other path is the development taking place in the general budget resources other than the oil resource as a result of the high discipline in tax and customs collection after the introduction of digital processes and automation and the expansion of touching on neglected tax bases," pointing out that "the
progress achieved is consistent with the government program to seek to raise the share of non-oil revenues." Oil revenues over time and within the economic reform packages by making it 20% instead of less than 10%. Saleh explained,
“This issue is related to
growth in non-oil gross domestic product on the one hand, and
maximizing the budget’s resources financially from traditional revenue sources, whether
direct and indirect taxes, and
various related government revenues,
which generates a complementary relationship between financial sustainability and economic sustainability over time, which is a higher goal than Objectives of the government program.
Prime Minister Muhammad Shiaa Al-Sudani had confirmed that
“non-oil revenues reached 14 percent from 7 percent,” noting that “the
unemployment rate decreased from 16.5 to 14.4, and the
poverty rate was reduced from 23 percent to 17 percent.”
views 224 Added 12/21/2024 - https://economy-news.net/content.php?id=51117
For current and reliable Iraqi news please visit: https://www.bondladyscorner.com/
Seeds of Wisdom RV and Economic Updates Sunday Morning 12-22-24
Good Morning Dinar Recaps,
XRP LAWSUIT NEWS: EX-SEC LAWYER REVEALS RIPPLE WAS DISCUSSED WEEKLY, PREDICTS POSSIBLE DISMISSAL OF APPEAL
Ripple-SEC closed meeting sparks rumors of potential case dismissal, fueling XRP community's hope for a major rally ahead.
Former SEC lawyer predicts possible XRP case closure, as government shutdowns and RLUSD launch impact Ripple's future prospects.
Good Morning Dinar Recaps,
XRP LAWSUIT NEWS: EX-SEC LAWYER REVEALS RIPPLE WAS DISCUSSED WEEKLY, PREDICTS POSSIBLE DISMISSAL OF APPEAL
Ripple-SEC closed meeting sparks rumors of potential case dismissal, fueling XRP community's hope for a major rally ahead.
Former SEC lawyer predicts possible XRP case closure, as government shutdowns and RLUSD launch impact Ripple's future prospects.
There are rumors that Ripple and the SEC will have a closed meeting, which could lead to a significant development in the XRP case. Speculation suggests that the meeting may result in the case being closed or dropped entirely, with answers expected soon.
A user reacted to this, praising the XRP community for its unwavering perseverance. Despite being wrong many times, the community continues to stay positive and hopeful, showing up every month for updates.
Ex-SEC lawyer Marc Fagel believes the SEC will continue on its current path for now, filing the opening brief as planned. He also pointed out that the new SEC chair could take some time to be confirmed, and it’s possible that they may vote to dismiss the appeal. Though it’s an unusual step, Fagel thinks it’s a possibility if the right people are in charge.
SEC’s Shutdown, RLUSD Live and More
In other news, the SEC is preparing for a government shutdown, which could impact its operations. Government shutdowns and financial instability, like the US government’s debt issues, have added pressure on the market.
Ripple’s RLUSD launch had positive price action initially but has since been impacted by market downturns. Brad Garlinghouse, Ripple’s CEO, believes RLUSD will be big for the company’s future. With SEC’s clarity and possible case dismissal, XRP might be up for a massive rally.
@ Newshounds News™
Source: Coinpedia
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GOOGLE TO REQUIRE UK CRYPTO ADS TO REGISTER WITH FINANCIAL REGULATOR STARTING JANUARY 2025
The new policy will take effect on January 15, 2025.
Hello, World!
Google has announced a policy update requiring advertisements for digital asset exchanges and wallets in the United Kingdom to register with the Financial Conduct Authority (FCA) before being allowed to run on its platform.
The new policy will take effect on January 15, 2025, the search engine company said in a recent announcement.
Under the updated rules, advertisers offering crypto exchange services or software wallets in the UK must meet specific conditions to promote their products.
UK Crypto Firms Need to Register with FCA
Chief among these is registration with the FCA, ensuring compliance with the country’s financial regulations.
Additionally, Google will permit advertisements for hardware wallets that store cryptocurrency private keys, non-fungible tokens (NFTs), or other digital assets.
However, these hardware wallet providers must avoid offering ancillary services such as buying, selling, or trading digital assets.
While the search giant did not provide additional requirements for hardware wallet ads, it emphasized that all advertisers must adhere to local laws in their targeted regions.
“As a reminder, we expect all advertisers to comply with the local laws for any area that their ads target. This policy will apply globally to all accounts that advertise these financial products,” Google said.
The new policy underscores the growing scrutiny of crypto-related advertisements worldwide as regulators attempt to curb misleading promotions.
In the UK, the FCA recently issued a warning about the Solana-based memecoin and NFT project “Retardio.”
The regulator flagged the project for unauthorized promotions targeting UK consumers, cautioning that investors might face financial losses if the company fails.
Elsewhere, Nigeria’s Securities and Exchange Commission (SEC) has also introduced stricter advertising guidelines for crypto products.
The SEC now requires virtual asset service providers and influencers to secure agency approval before publishing promotional materials.
Google Ads Promotes Fake Crypto Websites
As reported, a sponsored Google ad posing as a link to Sony’s blockchain project, Soneium, was exposed as a cleverly disguised crypto wallet drainer.
In October, a search for “soneium” on Google led users to a phishing site designed to steal crypto assets.
The ad linked to a website with a domain name similar to Soneium’s official site, which appeared as a legitimate yet unfinished landing page for a radiology service based in the UK.
In another incident, a fraudulent cryptocurrency wallet app on Google Play reportedly stole $70,000 from users in a sophisticated scam that has been described as a world-first for targeting mobile users exclusively.
The malicious app, named WalletConnect, mimicked the reputable WalletConnect protocol but was, in fact, a sophisticated scheme to drain crypto wallets.
The deceptive app managed to deceive over 10,000 users into downloading it, according to Check Point Research (CPR), the cybersecurity firm that uncovered the scam.
The scammers behind the app were well aware of the typical challenges faced by web3 users, such as compatibility issues and the lack of widespread support for WalletConnect across different wallets.
@ Newshounds News™
Source: CryptoNews
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“Tidbits From TNT”
TNT:
Tishwash: The Parliamentary Legal Committee reveals to (Al-Mada) the date for resuming Parliament sessions.. This is the most important thing that will be passed
The Parliamentary Legal Committee set, on Saturday, the date for resuming the sessions of the House of Representatives, while revealing the most prominent laws that will be passed during the current session.
Committee member Raed Al-Maliki said in an interview with (Al-Mada), "Parliament sessions will resume on January 9, 2025, which is the first chapter of the fourth year of the current session of the Council."
TNT:
Tishwash: The Parliamentary Legal Committee reveals to (Al-Mada) the date for resuming Parliament sessions.. This is the most important thing that will be passed
The Parliamentary Legal Committee set, on Saturday, the date for resuming the sessions of the House of Representatives, while revealing the most prominent laws that will be passed during the current session.
Committee member Raed Al-Maliki said in an interview with (Al-Mada), "Parliament sessions will resume on January 9, 2025, which is the first chapter of the fourth year of the current session of the Council."
He added, "Parliament will proceed with the legislation of a number of laws, most notably amending the Drug Law, the Intelligence Service Law, the laws regulating the right to demonstrate, the Iraqi Media Network, amending the amnesty and personal status laws, and other laws."
These developments come at a time when the Iraqi parliament is witnessing repeated disputes over controversial laws, such as personal status, general amnesty, land recovery, oil and gas, which has led to the postponement of sessions or the disruption of the passage of laws on more than one occasion.
Parliament is currently seeking to avoid political tensions and ensure the passage of laws in a manner that serves the stability of legislative work.
The Speaker of the House of Representatives, Mahmoud Al-Mashhadani, confirmed after his election to the position that the controversial laws will be put to a unanimous vote, away from political bickering that may hinder the progress of legislative work. link
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Tishwash: Masrour Barzani discusses regional developments with Trump's national security nominee
The Prime Minister of the Kurdistan Regional Government, Masrour Barzani, discussed, in a phone call today, Saturday, with Congressman Michael Waltz, who was recently chosen by US President-elect Donald Trump as an advisor to the National Security Council, a number of important issues.
A statement by the regional government received by Shafaq News Agency stated that during the phone call, the two sides discussed the latest developments in Iraq, the Kurdistan Region and the region in general, and stressed the importance of strengthening bilateral relations and joint work to maintain security and stability in the region.
The Prime Minister congratulated the Congressman on his selection as an advisor to the National Security Council, praising his extensive experience in security files and issues related to the region.
The two sides also exchanged views on the results of the recent elections in the Kurdistan Region and the United States, and stressed the importance of democratic change and enhancing joint international cooperation and coordination in this context.
Part of the talks was devoted to discussing the pivotal role of the Kurdistan Region as a reliable partner in the region, as well as its commitment to shared values and goals that promote peace and security. Both sides agreed on the need to intensify joint efforts to overcome challenges and obstacles, in order to ensure the continuation of stability in the region. link
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Tishwash: Fluctuating Dinar: economic experts urge action as dollar soars in Iraq
Iraq’s dinar continues its erratic trajectory against the US dollar, with no resolution in sight despite years of governmental and central bank efforts, experts attributed the instability to weak policies and unchecked market manipulation.
Root Causes of Volatility
The dollar is surging against the dinar at Baghdad’s main currency exchanges, Al-Kifah and Al-Harithiya, surpassing 1,510 dinars per $1. On the streets, exchange shops are marking up selling prices to more than 1,520 dinars.
“The instability in dollar prices reflects the Iraqi Central Bank and government’s inadequate monetary policies, which fail to address the core of the issue,” said Mustafa Faraj, an economic expert. “Their hesitant measures have left them unable to control the dollar’s value.”
Faraj cited US sanctions on neighboring Syria and Iran as a major factor. “The lack of legitimate trade channels with these countries, combined with restrictions on dollar transfers to them, has led to dollar smuggling, driving up its price,” he told Shafaq News Agency.
“When the dollar rises, it pushes up the cost of basic goods, food, and even commercial activity. This cascade of price hikes stems from a failure to find comprehensive solutions and punish manipulators,” Faraj explained.
Emerging Pressures
New dynamics have exacerbated the crisis. Ahmed Eid, an economic researcher, linked heightened demand for dollars to the fallout from the conflict in Syria. “The shift in Syria has disrupted the interests of militia leaders and influential figures, many of whom are now stockpiling dollars to secure alternative income streams,” he said.
Eid pointed to the closure of Syria’s border with Iraq as a catalyst, forcing traders to seek new suppliers in countries like Turkiye and Egypt. “This transition requires substantial dollar liquidity, which further squeezes the market,” he said.
Currency smuggling and money laundering also continue to erode market stability. “These illicit activities persist unchecked, compounding the dollar’s rise,” Eid warned.
Future Uncertainty Amid Policy Shifts
Concerns are mounting about the impact of Iraq’s planned phase-out of its electronic transfer platform for dollar transactions. Introduced in early 2023, the platform was designed to monitor transfers more effectively. However, the Iraqi Central Bank announced in September that it would be discontinued by year-end.
“The Central Bank’s plan to shift dollar transactions exclusively to foreign banks with correspondent relationships is a blow to local banks,” said economist Ahmed Abdul Rabih. “Four dominant banks will monopolize the sector, sidelining smaller institutions and creating a bottleneck for dollar supply.”
“These banks will dictate the exchange rate, likely driving up prices. The Central Bank must advocate for local banks to establish accounts with international institutions like J.P. Morgan and Citibank,” Abdul Rabih urged.
Reassurances from the Central Bank
In response to public concerns, the Iraqi Central Bank has downplayed fears of major disruptions.
In a statement, it described the transition as part of a phased strategy to align with international standards, emphasizing that 95% of transfers had already shifted from the platform to direct banking relationships.
“The transition will be completed gradually, ensuring continuity,” the bank stated, adding that partnerships with foreign banks in China, India, Turkiye, and the UAE would facilitate trade using non-dollar currencies, such as the yuan and euro.
Thirteen Iraqi banks have already begun operations under the new framework, offering pre-approved transfers and enabling global payment systems for personal and commercial needs, the statement said. These steps aim to “stabilize the currency and curb inflation, reinforcing official exchange rates as the benchmark for legitimate economic activities.”
“The official rate reflects real market dynamics,” the Central Bank stressed, warning against unofficial rates driven by “those engaging in unauthorized practices.”
The bank emphasized that it has structured external transfer operations and the fulfillment of dollar demand along proper channels, aligned with international practices, standards, and the Anti-Money Laundering and Counter-Terrorism Financing Law.
"Providing these channels for all purposes at the official dollar exchange rate makes this rate the true benchmark for economic practices, as evidenced by price stability and inflation control. Any other rate traded outside these channels is considered irregular and utilized by those engaging in non-compliant or illicit practices who avoid official channels in their dealings. These individuals bear the additional costs of purchasing at higher rates than the official price to create the illusion of a disparity between the official and unofficial rates." The statement concluded.
Despite reassurances, skepticism lingers among economic experts, who argue that without stricter enforcement and comprehensive reforms, the dinar’s fluctuations will persist. For many Iraqis, the cost of living remains tightly bound to the fate of the dollar. link
Mot: Marital Moments at Christmas!!!
Seeds of Wisdom RV and Economic Updates Saturday Afternoon 12-21-24
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NOT BRICS, THIS COUNTRY POSES BIGGEST THREAT TO THE US DOLLAR
The BRICS alliance aims to pull the US dollar down from the global reserve currency and trample its dominance. Despite multiple efforts to uproot the USD, the bloc remains unsuccessful in attempts to de-dollarize.
The greenback remains the dominant currency and a force to reckon with in the forex markets. Around 58% of the world’s reserves are in the USD, and cutting ties with the currency will prove fatal to the prospects of emerging economies.
Good Afternoon Dinar Recaps,
NOT BRICS, THIS COUNTRY POSES BIGGEST THREAT TO THE US DOLLAR
The BRICS alliance aims to pull the US dollar down from the global reserve currency and trample its dominance. Despite multiple efforts to uproot the USD, the bloc remains unsuccessful in attempts to de-dollarize.
The greenback remains the dominant currency and a force to reckon with in the forex markets. Around 58% of the world’s reserves are in the USD, and cutting ties with the currency will prove fatal to the prospects of emerging economies.
The US pressing sanctions on countries of their dislike is what led to the de-dollarization process in the first place. Countries such as Russia, Iran, and Belarus, among others, have been severely impacted by sanctions pressed by the US.
On the other hand, BRICS member China has teamed up with these nations to further the de-dollarization agenda. China is looking to capture the global economy by pushing the Chinese yuan ahead for trade and not the US dollar.
BRICS: US Biggest Threat to the Dollar
A recent Bloomberg opinion report states that the biggest threat to the dollar is not BRICS but the US itself. The report explains that Trump’s threats won’t do much as the USD’s power is mostly dependent on American reliability.
America’s larger-than-life GDP made it gain an “exorbitant privilege” to control the reserves of the world’s central banks. The development made the Federal Reserve, US officials, and politicians tolerate deficits that could have tanked the economies of any other country.
Therefore, the US poses the biggest threat to the dollar compared to BRICS or any other alliances of developing countries. “If Trump wants to maintain the dollar’s primacy, he should recognize that its value is not dependent on American power and threats, but on American reliability.
Overreach — whether through ad hoc sanctions, meddling with the Federal Reserve, unilateral tariffs or geopolitical confrontations — poses a far greater threat to the US currency than anything the BRICS countries could possibly devise,” it read.
@ Newshounds News™
Source: Watcher Guru
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HEDERA (HBAR) GAINS INSTITUTIONAL TRACTION WITH STRONG BACKING FROM TECH GIANTS AND FINANCIAL SECTORS
▪️Hedera’s key partnerships with NVIDIA and Intel aim to leverage its technology for creating “Verifiable Compute,” a hardware-based solution.
▪️Valour Digital Securities Limited (VDSL) and The Hashgraph Group (THG) have introduced the first physically-backed Hedera HBAR Exchange-Traded Product (ETP) on Euronext Amsterdam.
Hedera (HBAR) finds its standing in a majorly leading light as it associates with the traditional finance setting, the enterprise technology sectors, and artificial intelligence. This could potentially lay the groundwork for the network growth curve this year, 2025.
European Markets Register First Physically-Backed Hedera ETP
Valour Digital Securities Limited (VDSL), in partnership with The Hashgraph Group (THG), has launched the first physically-backed Hedera HBAR Exchange-Traded Product (ETP) on Euronext Amsterdam. This is a landmark step toward making HBAR accessible to institutional and retail investors through regulated financial channels.
The product is launched under the prospectus of VDSL, allowing investors to approach HBAR in a depository-regulated manner without facing exposure to direct cryptocurrency investment. Olivier Roussy Newton, CEO of DeFi Technologies, which owns Valour, further adds that “this listing expands the scope for institutional and retail investors to engage with Hedera’s dynamic, sustainable ecosystem.”
NVIDIA and Intel are going to utilize the hashgraph technology offered by Hedera to produce their chips. Along with EQTY Lab, the new “Verifiable Compute” has been born, a hardware-based solution made to meet EU regulations surrounding AI operations, per the CNF report.
This will log the decentralized cryptographic certificates verifying the computations the AI does on the said network, hence accurate and accountable. Slated for 2025 release, this will be providing impenetrable records on AI processes.
What’s Next For HBAR Price?
Santiment has ranked Hedera among the top three cryptocurrencies in terms of activity over the past month, along with Internet Computer and Chainlink. Eric Balchunas and James Seyffart of Bloomberg highlighted that Hedera may lead the list to secure U.S. ETF approval, putting it at the same level as Bitcoin and Ethereum, reported CNF.
One benefit is that the native Hedera token, HBAR, was not classified as a security. In that regard, it stands at an advantage over some others, such as XRP or Solana, in their pursuit through regulatory processes.
Although the main focus remains on combined Bitcoin and Ethereum ETFs, Canary Capital has emerged as the sole applicant for a Hedera ETF. This signals early interest in bringing HBAR into mainstream investment portfolios.
At press time, HBAR price stood at $0.2638, down 10.26% in the last 24 hours. However, the token has gained 113% over the last 30 days and 411% over the last 90 days. Hedera’s critical support level is $0.270. Moreover, it is now eyeing breaking the resistance level of $0.31.
The HBAR price chart highlights a symmetric triangle on the 4-hour timeframe. Thus, Market forecasts suggest that HBAR may target $0.37 and $0.61, with projections hinting at a potential surge to $1.00. Analysts attribute these price targets to:
• Growing institutional interest
• Prospects of ETF approval
• Collaboration with prominent tech firms
• Sustained development activity
• Hedera Receives Recognition for Tokenization Innovation
Moreover, the list of Hedera’s achievements is growing, with analysts predicting the HBAR price rally to $3 by 2025, reported CNF. The team announced on X that its Asset Tokenization Studio has been nominated for the INATBA Awards 2025 in the “Most Exciting Tokenization Solution” category.
@ Newshounds News™
Source: Crypto News Flash
~~~~~~~~~
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Source: Seeds of Wisdom Team RV Currency Facts
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Some Iraq News Posted by Clare at KTFA 12-21-2024
KTFA:
Clare: The Currency of Iraq: A Comprehensive Guide
Introduction
The Iraqi Dinar (IQD) is the official currency of Iraq, serving as a critical component of the nation's economic infrastructure. For businesses, investors, and speculators alike, understanding the dynamics of the Dinar is essential for navigating Iraq's market.
The exchange rate of the Iraqi Dinar plays a pivotal role in shaping the country's trade and investment environment, influencing everything from the cost of imports and exports to the profitability of foreign investments.
KTFA:
Clare: The Currency of Iraq: A Comprehensive Guide
Introduction
The Iraqi Dinar (IQD) is the official currency of Iraq, serving as a critical component of the nation's economic infrastructure. For businesses, investors, and speculators alike, understanding the dynamics of the Dinar is essential for navigating Iraq's market.
The exchange rate of the Iraqi Dinar plays a pivotal role in shaping the country's trade and investment environment, influencing everything from the cost of imports and exports to the profitability of foreign investments.
Meanwhile, the currency has also garnered significant interest from speculators, who are drawn to the potential-however remote-of significant shifts in its value.
The current official exchange rates for the dinar can be found at the Central Bank of Iraq (CBI) website - https://cbi.iq/.
The Importance of the Exchange Rate for Trade and Investment
The exchange rate of the Iraqi Dinar is a key determinant of the country's economic competitiveness on the global stage. A stable and predictable exchange rate is vital for businesses engaged in international trade, as it impacts the cost of importing goods and services and the profitability of exporting to foreign markets. For foreign investors, the exchange rate is a crucial factor in determining the potential returns on investments in Iraq.
Fluctuations in the Dinar's value can significantly affect the cost of doing business, as well as the repatriation of profits. As such, understanding the factors that influence the Dinar's exchange rate-such as oil prices, political stability, and central bank policies-is essential for making informed business and investment decisions in Iraq.
Interest from Speculators
In recent years, the Iraqi Dinar has attracted attention from a specific group of financial actors: currency speculators. These individuals and entities buy and hold large amounts of Dinar in the hope that its value will appreciate dramatically, allowing them to sell it at a significant profit.
This speculative interest is often fuelled by rumours and theories about an imminent revaluation of the Dinar, despite the lack of credible evidence supporting such a scenario. Speculators are drawn to the high-risk, high-reward nature of currency trading, but it is important to note that such activities are highly speculative and carry substantial risks. LINK
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Donald Trump and the "Great Iraqi Dinar Revaluation"
21st December 2024 in Iraq Banking & Finance News
By a Guest Blogger. Any opinions expressed are those of the author(s), and do not necessarily reflect the views of Iraq Business News.
Anecdotal evidence, including inquiries to Iraq Business News, seems to suggest that supporters of US President-elect Donald Trump are more likely to believe that the Iraqi currency, the Dinar (IQD), will increase in value by an unprecedented multiple, some saying by as much as 1,000-fold!
The correlation between being a Trump voter and believing in a significant revaluation of the Iraqi dinar (often called the "dinar RV" theory) is not rigorously studied, but there are social and cultural dynamics that might help explain the connection between the two groups.
The Dinar revaluation theory emerged after the 2003 Iraq War: The basic premise is that the Iraqi Dinar, which traded at around 3 IQD per USD before the 1991 Gulf War but crashed to roughly 1,310 IQD per USD, would suddenly revalue back to its previous rate or even higher. Believers often hold large quantities of physical Dinar notes, sometimes investing tens of thousands of dollars.
The theory's spread among Trump supporters was facilitated by several factors:
The "Global Reset" Narrative:
Many believers connected the Dinar revaluation to a broader theory about Trump leading a massive reorganization of the global financial system
This often tied into QAnon-adjacent beliefs about Trump secretly fighting a "deep state" that was suppressing the Dinar's true value
Some proponents claimed Trump and his team were directly involved in orchestrating a coming revaluation
Social Media Dynamics:
The theory spread rapidly through Facebook groups, YouTube channels, and forums that also shared pro-Trump content
Many of these platforms used similar language about "mainstream media suppression" of both Trump and the "truth" about the Dinar
Currency speculators and scammers actively targeted these communities, recognizing their receptiveness to anti-establishment financial narratives
Political Context:
The theory appealed to a desire for both financial windfall and validation of political beliefs
Some promoters claimed Trump's Middle East policies, particularly regarding Iraq and Saudi Arabia, would trigger the revaluation
The belief often aligned with broader skepticism of traditional financial institutions and expertise
Psychological Factors:
The combination of potential financial reward and political validation created a powerful motivational force
Believers often interpreted skepticism from financial experts as further evidence of a cover-up
The complexity of international currency markets made it easier for promoters to make plausible-sounding but false claims
Investment in the theory often strengthened social bonds within these communities, making it harder to abandon the belief
Despite years of failed predictions, the theory continues to circulate; some believers have modified the timeline but maintain their basic conviction. The persistence of this belief system despite contrary evidence and expert warnings illustrates how financial conspiracy theories can become deeply intertwined with political identity and resistant to contrary evidence. Both Trump supporters and proponents of the dinar revaluation theory often demonstrate a tendency toward belief in conspiracy theories or "hidden truths" that challenge mainstream narratives.
For more information on the Iraqi dinar, check out IBN's Dinar Page here: https://www.iraq-businessnews.com/the-dinar-page/?swcfpc=1 LINK
Clare: Italian Defense Minister arrives in Baghdad
12/21/2024
Italian Defense Minister Guido Crosetto arrived in the capital, Baghdad, on Saturday, on an official visit to Iraq.
The Minister of Defense, Thabet Mohammed Al-Abbasi, received his Italian counterpart and the country's ambassador to Iraq, Nicolo Fontana, and the accompanying delegation at the ministry's headquarters in Baghdad.
An official reception ceremony was held for the guest, during which the national anthems of the Italian and Iraqi republics were played, according to a statement issued by the Iraqi Ministry of Defense.
During the meeting that brought together the two sides, he stressed Italy's efforts and its great role through the Italian experts and trainers present within the NATO mission and their support for Iraq through the training and development courses held for the Ministry of Defense cadres inside and outside Iraq.
During an expanded meeting attended by a number of senior leaders and officers in the ministry, the two parties discussed ways to develop future relations between Iraq and the Italian Republic, in addition to the two countries’ efforts to open avenues of joint cooperation in the future. LINK
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Clare: Renewing the Iraqi-Japanese partnership with $11 billion in loans for vital projects and development policy
12/21/2024
The United Nations Development Program and the Japan International Cooperation Agency (JICA) office in Iraq renewed their long-standing partnership to promote social and economic development in Iraq through funding from the Government of Japan and JICA.
This partnership, which has spanned more than fifteen years of cooperation with the Government of Iraq, reflects the strong commitment of the United Nations Development Programme and the Government of Japan/JICA to meet Iraq's need for basic services and an efficient, stable and reliable economic infrastructure, according to a JICA report seen by Shafaq News Agency.
He added that this partnership has contributed significantly to human and economic growth in Iraq, in line with Iraq's national development plans and programmes that focus on economic diversification, infrastructure modernisation and improving social services.
In support of reconstruction and development, Iraq has received 36 ODA loans from the Japanese government and the Japan International Cooperation Agency, totaling about US$11 billion. These loans include 34 loans for vital sector projects and two development policy loans.
This development assistance aims to support Iraq in achieving its sustainable development goals, with a focus on improving living conditions nationwide and restoring infrastructure to promote inclusive growth.
“JICA remains committed to addressing development challenges with the Government of Iraq through this impactful partnership with UNDP. This partnership provides comprehensive support to Iraqi officials to achieve international standards in project management, combining technical expertise, capacity development and development finance. All of this aims to improve livelihoods and promote sustainable development in the country,” said Hiroshi Suzuki, Chief Representative of JICA in Iraq. Under this renewed partnership agreement, and in line with the Iraq National Development Plan 2024-2028, UNDP continues to provide critical support to the Government of Iraq to facilitate the smooth implementation of key socio-economic projects financed by JICA ODA loans. This support includes coordination at senior level, fiduciary supervision, progress monitoring, technical assistance, knowledge sharing and capacity development. Furthermore, by enhancing transparency, accountability and adherence to international standards, the partnership ensures the successful implementation of these vital projects.
“This renewed partnership between UNDP and JICA highlights our shared commitment to supporting Iraq’s development goals, with a focus on infrastructure development, sustainable economic growth and human capital. Together, we aim to facilitate the successful implementation of vital projects that will not only rebuild Iraq’s infrastructure, but also enhance long-term socio-economic resilience and improve the lives of Iraqis across the country,” said UNDP Resident Representative in Iraq, Auke Lootsma.
This unique and renewed partnership underscores the benefits of effective trilateral cooperation in promoting prosperity, driving sustainable growth, and improving service delivery and infrastructure for a stable and prosperous Iraq. It also highlights the strong ownership by the Government of Iraq and serves as a model for impactful and sustainable partnerships that can contribute to long-term development in Iraq. LINK
“Tidbits From TNT” Saturday 12-21-2024
TNT:
Tishwash: The region .. great efforts to attract investment companies
The Kurdistan Region Investment Board seeks to increase the number of local and foreign investors to work in the provinces and cities of the region, by providing full facilities to motivate and encourage them to increase the volume of investment.
Private sector growth
The head of the Kurdistan Region Investment Board, Mohammed Shukri, said in an interview with “Sabah”: The board, through its eight directorates spread across the provinces and independent administrations in the region, is seriously and diligently seeking to provide full facilities to investors and increase the volume of investments and the number of local, Arab and foreign investors and increase the work of projects by the private sector in the region, indicating that the regional government has invested more than 68 billion dollars, of which Erbil’s share amounted to more than 61 percent.
TNT:
Tishwash: The region .. great efforts to attract investment companies
The Kurdistan Region Investment Board seeks to increase the number of local and foreign investors to work in the provinces and cities of the region, by providing full facilities to motivate and encourage them to increase the volume of investment.
Private sector growth
The head of the Kurdistan Region Investment Board, Mohammed Shukri, said in an interview with “Sabah”: The board, through its eight directorates spread across the provinces and independent administrations in the region, is seriously and diligently seeking to provide full facilities to investors and increase the volume of investments and the number of local, Arab and foreign investors and increase the work of projects by the private sector in the region, indicating that the regional government has invested more than 68 billion dollars, of which Erbil’s share amounted to more than 61 percent.
Statistics and figures
Shukri added that since the establishment of the Investment Board in the region, more than 1,400 investment licenses have been granted, some of which were cancelled due to shortcomings in the work of their investors, while work continued with more than 1,250 investment licenses, noting that during the past five years, approximately 430 new investment licenses have been issued.
He pointed out that significant progress and qualitative steps have been made in the comprehensive investment process in establishing a strong economic infrastructure despite the crises and obstacles that have plagued the country and the region in general, stressing that intensive efforts are continuing to encourage investors according to the needs of the regions and the importance of the projects. Encouraging
investors
Shukri stated that the regional government seeks to facilitate the procedures for attracting investors, as eight branches of the authority have been opened in the governorates and independent administrations of the region and have full powers to grant investment licenses to investors, considering it a basic and primary step to provide facilities according to the city, region, geographical location and sector that needs investment and work in it.
Government privileges
The head of the Kurdistan Investment Board pointed out that the regional government has given great privileges to investors, including a 10-year tax exemption through the investment law, to which additional years are added if the investor is a foreigner or a partner of a local investor, as well as providing privileges and facilities to the less developed areas in the region according to the decision of the regional council of ministers, noting that the challenges facing investors, including local ones, are great, and we consider them a wealth for the region, as they have contributed with the support of the government to many large and pioneering projects, overcoming obstacles and impediments, and moving forward in various sectors, including agriculture, industry, tourism, trade, housing, services, education, health, and others.
The qualifications of the region,
and he pointed out that the Kurdistan Region encourages and provides facilities to investors more than other countries in the region through a package of privileges and incentives included in the Investment Law No. 4 of 2006 in the region, in addition to other facilities provided by the Supreme Investment Council, including the favorable conditions that the Kurdistan Region enjoys for foreign investors, such as political stability, cultural pluralism, democracy and security, stressing that these conditions make the Kurdistan Region more attractive to investors among many countries in the region. link
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Tishwash: Fluctuating Dinar: economic experts urge action as dollar soars in Iraq
Iraq’s dinar continues its erratic trajectory against the US dollar, with no resolution in sight despite years of governmental and central bank efforts, experts attributed the instability to weak policies and unchecked market manipulation.
Root Causes of Volatility
The dollar is surging against the dinar at Baghdad’s main currency exchanges, Al-Kifah and Al-Harithiya, surpassing 1,510 dinars per $1. On the streets, exchange shops are marking up selling prices to more than 1,520 dinars.
“The instability in dollar prices reflects the Iraqi Central Bank and government’s inadequate monetary policies, which fail to address the core of the issue,” said Mustafa Faraj, an economic expert. “Their hesitant measures have left them unable to control the dollar’s value.”
Faraj cited US sanctions on neighboring Syria and Iran as a major factor. “The lack of legitimate trade channels with these countries, combined with restrictions on dollar transfers to them, has led to dollar smuggling, driving up its price,” he told Shafaq News Agency.
“When the dollar rises, it pushes up the cost of basic goods, food, and even commercial activity. This cascade of price hikes stems from a failure to find comprehensive solutions and punish manipulators,” Faraj explained.
Emerging Pressures
New dynamics have exacerbated the crisis. Ahmed Eid, an economic researcher, linked heightened demand for dollars to the fallout from the conflict in Syria. “The shift in Syria has disrupted the interests of militia leaders and influential figures, many of whom are now stockpiling dollars to secure alternative income streams,” he said.
Eid pointed to the closure of Syria’s border with Iraq as a catalyst, forcing traders to seek new suppliers in countries like Turkiye and Egypt. “This transition requires substantial dollar liquidity, which further squeezes the market,” he said.
Currency smuggling and money laundering also continue to erode market stability. “These illicit activities persist unchecked, compounding the dollar’s rise,” Eid warned.
Future Uncertainty Amid Policy Shifts
Concerns are mounting about the impact of Iraq’s planned phase-out of its electronic transfer platform for dollar transactions. Introduced in early 2023, the platform was designed to monitor transfers more effectively. However, the Iraqi Central Bank announced in September that it would be discontinued by year-end.
“The Central Bank’s plan to shift dollar transactions exclusively to foreign banks with correspondent relationships is a blow to local banks,” said economist Ahmed Abdul Rabih. “Four dominant banks will monopolize the sector, sidelining smaller institutions and creating a bottleneck for dollar supply.”
“These banks will dictate the exchange rate, likely driving up prices. The Central Bank must advocate for local banks to establish accounts with international institutions like J.P. Morgan and Citibank,” Abdul Rabih urged.
Reassurances from the Central Bank
In response to public concerns, the Iraqi Central Bank has downplayed fears of major disruptions.
In a statement, it described the transition as part of a phased strategy to align with international standards, emphasizing that 95% of transfers had already shifted from the platform to direct banking relationships.
“The transition will be completed gradually, ensuring continuity,” the bank stated, adding that partnerships with foreign banks in China, India, Turkiye, and the UAE would facilitate trade using non-dollar currencies, such as the yuan and euro.
Thirteen Iraqi banks have already begun operations under the new framework, offering pre-approved transfers and enabling global payment systems for personal and commercial needs, the statement said. These steps aim to “stabilize the currency and curb inflation, reinforcing official exchange rates as the benchmark for legitimate economic activities.”
“The official rate reflects real market dynamics,” the Central Bank stressed, warning against unofficial rates driven by “those engaging in unauthorized practices.”
The bank emphasized that it has structured external transfer operations and the fulfillment of dollar demand along proper channels, aligned with international practices, standards, and the Anti-Money Laundering and Counter-Terrorism Financing Law.
"Providing these channels for all purposes at the official dollar exchange rate makes this rate the true benchmark for economic practices, as evidenced by price stability and inflation control. Any other rate traded outside these channels is considered irregular and utilized by those engaging in non-compliant or illicit practices who avoid official channels in their dealings. These individuals bear the additional costs of purchasing at higher rates than the official price to create the illusion of a disparity between the official and unofficial rates." The statement concluded.
Despite reassurances, skepticism lingers among economic experts, who argue that without stricter enforcement and comprehensive reforms, the dinar’s fluctuations will persist. For many Iraqis, the cost of living remains tightly bound to the fate of the dollar. link
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Tishwash: Three senior US officials arrive in Damascus to meet with leaders of the new administration in Syria
The US State Department announced today, Friday, that US diplomats have arrived in Syria to meet with the new Syrian administration, in the first official US diplomatic mission sent to Damascus since the beginning of the revolution that erupted in 2011.
The United States had closed its embassy in Syria in 2012, and withdrew all its diplomatic staff, against the backdrop of the events that the country witnessed at that time.
According to the US State Department spokesman, the US diplomats will meet with representatives of "Hay'at Tahrir al-Sham" and civil society to discuss "their vision for the future of their country and how the United States can support them."
He pointed out that the delegation includes Assistant Secretary of State for Near Eastern Affairs Barbara Leaf, and a diplomat specializing in the Arab world, Daniel Rubinstein, who is now responsible for communicating with Syria.
Roger Carstens, who is responsible for collecting evidence regarding missing Americans in Syria, such as journalist Austin Tice, who was kidnapped in August 2012, will also be present.
The visit comes at a time when Western governments are gradually opening channels of communication with Hay'at Tahrir al-Sham and its official Ahmed al-Sharaa, and discussing the possibility of removing the organization from the list of terrorist organizations.
Before the United States, France, Germany, the United Kingdom and the United Nations sent envoys to establish relations with the transitional authorities, whose first phase of governance is being watched with caution.
Earlier, US Secretary of State Anthony Blinken stated that Washington is following the positive statements issued by Hayat Tahrir al-Sham and wants to see concrete steps as well.
He said in a statement to the American Bloomberg News that removing the name of the organization from the "terrorist list" could be put on the agenda, based on the constructive steps it will take during the transitional process in Syria.
He added: "We heard positive statements from the leader of the organization, Mr. Abu Muhammad al-Julani, but what everyone is focusing on is the reality on the ground, and whether they are working to build an inclusive Syria." link
Mot.. Time to Bring them Out It Is!!!
Mot: .. I'll Tell Ya - Its Getting Tough Out there!!!!
Seeds of Wisdom RV and Economic Updates Saturday Morning 12-21-24
Good Morning Dinar Recaps,
SEC APPROVES FIRST-EVER BITCOIN & ETHEREUM COMBO ETFS
▪️These new ETFs are unique because they combine Bitcoin and Ethereum, offering investors diversified exposure to the two largest cryptos.
▪️By simplifying the investment process and reducing the perceived risks, these ETFs aim to make crypto investing more accessible.
▪️The SEC's approval of these ETFs signifies a significant step forward for the crypto industry.
Good Morning Dinar Recaps,
SEC APPROVES FIRST-EVER BITCOIN & ETHEREUM COMBO ETFS
▪️These new ETFs are unique because they combine Bitcoin and Ethereum, offering investors diversified exposure to the two largest cryptos.
▪️By simplifying the investment process and reducing the perceived risks, these ETFs aim to make crypto investing more accessible.
▪️The SEC's approval of these ETFs signifies a significant step forward for the crypto industry.
The U.S. Securities and Exchange Commission (SEC) has just made a groundbreaking move in the crypto world. It has approved two new exchange-traded funds (ETFs)—the Hashdex Nasdaq Crypto Index US ETF and the Franklin Crypto Index ETF—and they are unlike anything we’ve seen before.
These ETFs combine the power of both Bitcoin and Ethereum into a single investment, making it easier for everyday investors to tap into the world of digital currencies.
But what makes these ETFs so special, and why is the SEC’s approval a big deal? Let’s understand.
What Makes These ETFs Different?
While crypto ETFs are already on the market, these two stand out. Instead of focusing just on Bitcoin or Ethereum, they mix both. The share of each cryptocurrency is based on its market value, giving investors a balanced exposure to both.
Why is this important? Putting all your money into one cryptocurrency can feel risky, especially with how volatile the market can be. By holding both Bitcoin and Ethereum, these ETFs help spread out the risk and let investors take advantage of the strengths of each cryptocurrency.
A Simpler Way to Get Into Crypto
For many, buying Bitcoin or Ethereum directly can be intimidating. These ETFs make it easier by taking away the need to manage wallets or store digital assets on your own. This makes crypto investments more accessible, particularly for people who are new to the space or don’t want the hassle of managing their own assets.
A Major Milestone for Crypto Regulation
The SEC’s approval of these ETFs is a big moment, not only for the crypto industry but for regulators too. It shows that the SEC is taking the market more seriously and is open to more crypto-based financial products.
So, why were these ETFs approved? A key reason is the strong connection between Bitcoin and Ethereum futures and their spot prices. This link helps keep prices stable and reduces the chances of market manipulation, which is important for investors looking for safer options.
Setting Strict Standards for Investors
Both funds have agreements with the Chicago Mercantile Exchange (CME) to closely track trading activity, ensuring everything stays above board. The SEC’s approval shows that these ETFs meet high standards for security and transparency, giving investors more confidence.
What’s Next for Crypto ETFs?
The approval of these ETFs could open the door to even more creative investment options in the future. By combining Bitcoin and Ethereum, these ETFs offer a streamlined way to enter the crypto market. They take away the complexities of buying, storing, and managing digital assets, making it easier for people to get involved.
Looking ahead, there’s a possibility that other cryptocurrencies could be added to similar ETFs, expanding the market even further. But for now, these Bitcoin-Ethereum combos are a significant step forward.
If you’ve been waiting for an easier way to get into crypto without all the complications, these ETFs might be exactly what you’ve been looking for.
FAQs
How do the new crypto ETFs differ from others?
These ETFs blend Bitcoin and Ethereum, offering balanced exposure to both, reducing risk compared to investing in a single cryptocurrency.
Are these crypto ETFs safe for new investors?
Yes, these ETFs are designed to be safer by tracking Bitcoin and Ethereum futures, offering simpler, less risky exposure to crypto investments.
@ Newshounds News™
Source: CoinPedia
~~~~~~~~~
GERMANY FINALLY PASSES LEGISLATION NEEDED FOR FULL CRYPTO MICAR IMPLEMENTATION
A month ago we wrote that the collapse of the German government coalition was creating problems with implementing the EU’s cryptocurrency regulation MiCA, because it had failed to pass legislation.
However, on Wednesday the German parliament (Bundestag) finally passed the bill, the Digitalization of Financial Markets Act (Finanzmarktdigitalisierungsgesetz of FinmadiG). Apparently, it was added to the agenda at short notice. Parliament responded to industry requests to ensure the legislation was in place before MiCAR comes fully into force on December 30.
FinmadiG isn’t only about crypto and MiCAR as it also impacts other EU laws such as DORA and the Transfer of Funds Regulation. However, for MiCAR it introduced the Supervision of Crypto Markets Act (KMAG), the piece of legislation that supplants Germany’s old crypto rules with MiCAR.
Technically MiCAR is a regulation, so it does not require local laws. However, legislation was required to designate BaFin as the regulator. Without that, BaFin could not award licenses. That would have allowed EU firms with crypto licenses from other countries to operate in Germany, but German firms would not have been able to operate in the EU.
Additionally, MiCAR has grandfathering clauses allowing firms with existing licenses to continue to operate for up to 18 months, with each jurisdiction deciding on the transition period. The new German legislation specifies a year.
Different EU MiCAR transition periods
However, this week the European regulator ESMA noted that the varying transition periods mean crypto asset service providers (CASPs) need to get new authorizations under MiCAR sooner rather than later.
For example, if a German CASP doesn’t have a new license by July 2025, they cannot operate in EU countries that have imposed a six month transition period. That includes Latvia, Hungary, Netherlands, Poland, Slovenia and Finland. Lithuania’s transition is five months, and four jurisdictions had not specified the timing when ESMA published its note.
We believe ESMA may have been responding to a letter from the Electronic Money Association (EMA) and three EU crypto trade bodies. They highlighted that the latest regulatory technical standards for licensing were only endorsed by the European Commission at the end of October. That doesn’t give national authorities much time to adopt them or for CASPs to apply.
@ Newshounds News™
Source: Ledger Insights
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Argentina Vs. USA – A Prescription For Curation
Argentina Vs. USA – A Prescription For Curation
The Final Wake-Up Call By Peter B Meyer December 20, 2024
The Wrong Medicine
The doctors were called, the patient was very sick, but not life-threatening. They unanimously diagnosed too much debt as the cause of the illness and described restructuring instead of reviving his bloodstream economy.
Then came Father Peron, who didn’t believe the doctors. So he called in his own team of specialists, and their diagnosis was that only a strong blood infusion of fiat money would be the best remedy for a quick recovery and revival of this patient.
Argentina Vs. USA – A Prescription For Curation
The Final Wake-Up Call By Peter B Meyer December 20, 2024
The Wrong Medicine
The doctors were called, the patient was very sick, but not life-threatening. They unanimously diagnosed too much debt as the cause of the illness and described restructuring instead of reviving his bloodstream economy.
Then came Father Peron, who didn’t believe the doctors. So he called in his own team of specialists, and their diagnosis was that only a strong blood infusion of fiat money would be the best remedy for a quick recovery and revival of this patient.
These specialists, against the opinion of a minority of well-trained, logical doctors, caused the wrong medicine to be prescribed and administered to the patient, named Peso.
The infusion of taxpayers’ money poured trillions of pesos into the system of the already haemorrhaging patient, guaranteeing its salvation and avoiding the collapse of its payment system, which would otherwise have caused a depression, as was seriously considered.
Argentina Was Once One Of The Richest Countries In The World.
Back in time, as the 1800s drew to a close and the world moved into the 20th century full of innovation and optimism, there was perhaps nowhere on the planet, apart from the United States, more admired and envied than Argentina.
Indeed, like America in the late 1800s and early 1900s, Argentina was teeming with immigrants from all over the world seeking a better life in this land of opportunity.
Argentina was already a rich country. And it was getting richer so fast that its economic growth even outstripped that of the United States.
By 1900, Argentina’s economy was bigger than the rest of Latin America put together, and about the size of all of Western Europe put together. There seemed to be nowhere to go but up.
It was also rich in natural resources, from fresh water to some of the world’s most fertile soil and vast oil and gas reserves. Argentina should have been unstoppable. It still is;
Argentina has one of the largest shale reserves in the world and has quadrupled its production in the last five years.
You’d have to work really, really hard to screw up that kind of wealth potential. And they did!
Stupid Centralization
For much of the 20th century, Argentina slipped into severe economic decline and remained so for decades, largely due to corrupt, excessive, outrageously irresponsible government spending and idiotic central planning.
Hyperinflation set in, the banking system collapsed and the economy was mired in a prolonged depression.
First budget surplus since the golden years of the early 1900s
When the new chainsaw-wielding president, Javier Milei, took power last year, he promised to change everything. And so far, the results are hard to argue with.
This year, Milei announced that Argentina had just run a budget surplus – its FIRST surplus since the golden years of the early 1900s.
That’s no accident. Milei has abolished entire government departments, fired ministers and drastically reduced the size and scope of government.
In his announcement, Milei didn’t hold back, calling his predecessors “fiscal degenerates” for ballooning the national debt and running massive deficits. These deficits, of course, were largely financed by the Argentine central bank, which printed all the money and created inflation.
Milei said that just last year his predecessor printed enough money to equal about 13% of Argentina’s GDP. Well, if printing 13% of GDP qualifies as fiscal degeneracy, then the Federal Reserve in the United States is guilty of the same thing, but TWICE.
The first time was in 2009, during the global financial crisis. Under then chairman Ben Bernanke, the Federal Reserve created trillions of dollars of new money, about 15% of GDP, to bail out the big Wall Street banks.
The second time was during the pandemic in 2020 and 2021, when the Fed printed around 14% of GDP.
This reckless money printing has not only caused historic inflation in the US, but has also created enormous problems for the Federal Reserve itself. The Fed is now wildly and hopelessly insolvent.
And this isn’t some wild conspiracy theory; it’s a fact straight from its own financial statements.
Here’s how it happened
Going back to 2008, and especially during the 2020-2021 pandemic, the Fed created trillions of dollars and then used that money to buy government bonds. At the same time, it cut interest rates to zero. The net result was that the Fed now holds trillions of dollars of bonds at the lowest yields in history.
But then, in 2022, they suddenly reversed course and rapidly raised interest rates from 0% to more than 5%.
Well, if there’s one thing you need to understand about bonds, it’s that higher interest rates cause bond prices to fall. So when the Fed raised rates, it also caused the value of its bond portfolio to plummet. And “plummet” is a rather polite way of putting it.
As it stands today, the Fed faces net unrealised losses of $818.4 billion on all the bonds it bought during the pandemic, far more than the mere $44 billion it has in equity.
According to its own financial statements, the Federal Reserve is literally insolvent.
In fact, at nearly $1 trillion, the Fed is the most insolvent bank in the history of the world.
Talk about fiscal degeneration
Now the Fed has only a few options:
One, ignore the problem. Continue to pretend that the insolvency of the world’s largest and most systemically important central bank is no big deal.
Two, Ask For A Bailout: Go To The Treasury, Hat In Hand.
The problem is that the Treasury doesn’t have any money; in fact, the US government is already overspending by $2 trillion a year and has to borrow most of that money from the Fed.
So a bailout would require the Fed to print money, lend it to the Treasury, and then the Treasury would lend it back to the Fed. Talk about bizarre.
The Third Way Is To Lower Interest Rates
Lower rates mean that the value of the Fed’s bond portfolio will rise, reducing the Fed’s near-trillion-dollar insolvency. But lowering rates would only invite more inflation.
Inflation is already creeping back. Just last week, the latest report showed an increase in the inflation rate, with signs that it will continue to rise. Yet the Fed has all but promised to cut rates again next week.
What’s clear is that the Fed is abdicating its responsibility to rein in inflation and maintain a sound currency. Instead, it’s inflating its way out of insolvency. The result?
Every single person who uses US dollars will end up bailing out the Federal Reserve through higher inflation.
And that is why real assets like gold and silver are an excellent inflation hedge, which makes so much sense, especially with so many high quality real asset producers selling at ridiculously low valuations.
All this contrasts with Argentina, where Javier Gerardo Milei has scored a major victory for his country, which has already emerged from a recession brought on by public spending cuts and is now growing at a dramatic 3.9%.
The country’s stock market is up 174% this year. Monthly inflation has fallen from 25% to less than 3%.
First El Salvador, now Argentina: where courageous right-wing leaders do what progressive elites say ‘cannot be done’, where each immediately and dramatically improves their country’s economic finances.
Think about it and draw your own conclusions!
Javier Gerardo Milei (born 22 October 1970) is an Argentine economist and politician. President of Argentina since 2023.
https://en.wikipedia.org/wiki/Javier_Milei
https://finalwakeupcall.info/en/2024/12/20/argentina-vs-usa-a-prescription-for-curation/
MilitiaMan & Crew-Iraq Dinar News-Revenues-Fiber Optics-Global Partnerships-Investment Opportunity-Exchange Rates
MilitiaMan & Crew-Iraq Dinar News-Revenues-Fiber Optics-Global Partnerships-Investment Opportunity-Exchange Rates
12-20-2024
The Crew: Samson, PompeyPeter, Petra, Daytrader, Sunkissed, GIGI and Militia Man
Be sure to listen to full video for all the news……..
MilitiaMan & Crew-Iraq Dinar News-Revenues-Fiber Optics-Global Partnerships-Investment Opportunity-Exchange Rates
12-20-2024
The Crew: Samson, PompeyPeter, Petra, Daytrader, Sunkissed, GIGI and Militia Man
Be sure to listen to full video for all the news……..
The Fed’s 2% Inflation Target is Dead, are we Headed for a 1929 Collapse?
The Fed’s 2% Inflation Target is Dead, are we Headed for a 1929 Collapse?
Wealthion: 12-19-2024
In a pivotal announcement that has rattled economic expectations, the Federal Reserve has implemented a rate cut, signaling a significant shift in monetary policy.
Following this decision, noted economist E.J. Antoni, PhD, asserts that the Fed’s longstanding 2% inflation target has become an illusion.
In a recent discussion with Wealthion’s Andrew Brill, Antoni presented a sobering analysis of what this means for the economy, investment strategies, and the financial prospects of average Americans.
The Fed’s 2% Inflation Target is Dead, are we Headed for a 1929 Collapse?
Wealthion: 12-19-2024
In a pivotal announcement that has rattled economic expectations, the Federal Reserve has implemented a rate cut, signaling a significant shift in monetary policy.
Following this decision, noted economist E.J. Antoni, PhD, asserts that the Fed’s longstanding 2% inflation target has become an illusion.
In a recent discussion with Wealthion’s Andrew Brill, Antoni presented a sobering analysis of what this means for the economy, investment strategies, and the financial prospects of average Americans.
Despite the Federal Reserve’s projections for a moderation in inflation, the reality is starkly different. According to Antoni, inflation remains stubbornly high and appears to be on an upward trajectory. He describes the inflationary pressures as “sticky,” suggesting that various factors, including supply chain disruptions, labor market constraints, and high consumer demand, are undermining the Fed’s efforts to stabilize prices.
This persistent inflation challenges the optimistic forecasts that have characterized recent Fed communications.
Antoni elaborates on how the latest round of rate cuts affects various sectors of the economy. For small businesses, lower interest rates may seem beneficial in theory; however, the reality is that such measures can lead to increased borrowing costs over time and create uncertainty in the financial landscape.
Access to capital remains a critical issue for small businesses navigating a volatile economic climate, and this Fed action could exacerbate existing difficulties.
The housing market also faces significant repercussions from these rate cuts. As mortgage rates fluctuate, potential homebuyers remain hesitant, stalling what was already a struggling sector. The combination of reduced rates and persistent inflation has resulted in a stagnant market, making homeownership increasingly elusive for many Americans.
For those who already own homes, rising inflation can lead to the erosion of purchasing power and increased living costs, further straining household budgets.
Antoni points to a worrying trend regarding the United States dollar, which has lost approximately 20% of its value due to reckless government spending and misguided monetary policies. This depreciation undermines Americans’ purchasing power and signals potential long-term consequences for economic stability. As the dollar weakens, it raises concerns about the viability of the U.S. economy, particularly in global markets where currency strength plays a crucial role.
Looking ahead, Antoni warns that America could face dire economic consequences reminiscent of the early 20th century.
He outlines two potential scenarios that could unfold: a brief but sharp depression akin to the downturn of 1920 or a more prolonged collapse similar to the Great Depression in 1929. Each possibility carries substantial implications for investment strategies and the overall economic health of the nation.
The current economic environment, characterized by inflation, reduced consumer confidence, and uncertainty in monetary policy, poses significant risks. For investors, understanding the macroeconomic landscape becomes vital in navigating potential downturns and identifying opportunities amidst chaos. Strategic adjustments to portfolios may be necessary as individuals seek to shield themselves from incoming economic shocks.
The discussion with Antoni brings to light the hidden costs of the Federal Reserve’s monetary policies and government overspending. While rate cuts may serve as a tool to stimulate the economy, the broader effects often lead to inflationary spirals, eroding wealth and savings for ordinary Americans.
Indeed, the consequences of monetary decisions extend beyond economic indicators, impacting daily lives in tangible ways.
In conclusion, E.J. Antoni’s insights underscore the complexity of the current economic climate, particularly post-rate cut. The challenges of inflation, the vulnerabilities of small businesses, the faltering housing market, and a depreciating dollar reveal the precarious balance that the Federal Reserve is attempting to maintain.
As individuals and investors brace for what lies ahead, awareness and strategic foresight will be essential in navigating this turbulent economic landscape.