Iraq Economic News and Points To Ponder Thursday AM 9-19-24

Iraqi Banks...A Classic Mentality That Prevents Keeping Pace With Global Development By Preferring The "Government" Over The "National"
 
Reports and analyses     Central Bank     US sanctions    Iraqi banks     Private banks
2024-09-17 01:44  --  Shafaq News/ Iraq is moving towards restructuring government banks, after
 
this body has become unable to provide modern banking services and has become burdened with a deep legacy of accumulated burdens, credit defaults and other problems.
 
The restructuring demands came after years of pressure and demands from the International Monetary Fund to restructure the Iraqi government banks, which hold most of the country's deposits,
 
     to develop its banking system and be able
     to enter the global banking market and
     make it more compatible with the economy.

Acquisition of government banks
 
The Prime Minister’s Advisor for Economic Affairs, Mazhar Muhammad Saleh, said in an interview with Shafaq News Agency,
 
“The structuring of the banks came in accordance with the government curriculum that outlined the features of comprehensive banking reform, as government banks dominate 88% of the banking system’s investments, and only 12% remains for the private banking system.” Of these investments,
 
therefore, the competitive foundations of the banking market are considered incomplete unless government banks are placed on the rules of market operation in terms of efficiency, administrative governance, and developing levels of compliance similar to international banking,” noting that
 
“the reform will include private banks with the same standards.”  He added,
 
"The basics of reform in private banks are viewed from the perspective of what is called financial depth, and
 
one of the most important indicators of that depth is (the ratio of cash credit granted to the total deposits in private banks),
 
but in contrast, we find that the market share is no more than 63 private banks."
 
These credit and creative operations still only account for 15%, despite the government banking system’s acquisition of 85% of the credit activity, deposits, and investment banking operations, which indicates the dominance of its assets or assets over the total assets of the banking system.”  He pointed out that
 
"the time has come to reform the banking sector, both governmental and private, in a way that achieves harmony, unity and high competitiveness in the banking market, as well as its governance and digital integration with the banking market in the world.
 
This is what the banking reform policy that the government is currently adopting is working on, in coordination with the stakeholders included." “With the reform steps and its current program in the government and private banking sectors.”

The process of studying the structure of Iraqi banks began after Prime Minister Muhammad Shiaa Al-Sudani met with a delegation from the international company Ernst & Young, where he directed, on 1/27/2023, the implementation of a plan to develop the performance of Rafidain Bank extending for eight months, through the international company.
 
Difficulty in the structuring process
 
The former director of the Central Bank of Iraq, Mahmoud Dagher, said in an interview with Shafaq News Agency,
 
“Government banks and the process of restructuring and developing them and making them consistent with modern banking work is very difficult for several reasons, including that
 
these banks have become more like a treasury for distributing salaries to state employees than they are banks for carrying out a process.” Banking".
 
He continued that other reasons are that the technical level in these banks is almost non-existent.
 
Indeed, these banks, especially Al-Rafidain and Al-Rashid Banks, had it not been for the electronic payment companies that support them, they would not have been able to complete any work.
 
Therefore, they would not have worked without these companies, in addition to the huge number of their branches and the large number of employees present.
 
This makes it difficult to change the reality of these banks.”  He pointed out,
 
 “The presence of international sanctions and the presence of decisions of courts abroad, proving the creditors of some government banks, which are not resolved, and this is the reason for imposing international isolation on them, and therefore they cannot deal internationally,” stressing that
 
“it is absurd to spend huge sums of money that do not lead to decisive results, as All the costs spent on these banks will not lead to restructuring in order to coordinate the work of government banks, especially Al-Rafidain, Al-Rashid, and some specialized public banks, in a way that parallels the work of modernization and technological development that took place in banks such as the Iraqi Trade Bank.”
 
The Rafidain and Al-Rashid government banks were subjected to international sanctions during the nineties of the last century following the invasion of Kuwait by Saddam Hussein’s regime, and
 
they are still imposed on it in international dealings with them, especially with regard to the issue of financial transfers.

Old banking system
 
Economist Bassem Jamil Antoine said in an interview with Shafaq News Agency,
 
“Government banks have for a long time been operating within an old banking system without modernization, and
 
these banks must keep pace with international banks,” adding at the same time that
 
“these banks are the safety valve.”  He added,
 
"These banks remain in need of development, eliminating administrative routine, and having employees undergo training courses to keep pace with developments that have occurred in international banks," noting that
 
"banks are not stores of cash, but rather they must provide advanced credit banking services."  He stressed that
 
"the idea of ​​restructuring banks has been proposed for twenty years, and ideas and studies were presented, but they were not adopted," stressing that
 
"the bank needs security and administrative stability and independence in work."
 
The Ministry of Finance owns six government banks: Al-Rafidain Bank, Al-Rasheed Bank, Al-Nahrain Islamic Bank, Agricultural Bank, Industrial Bank, and Iraqi Trade Bank.
 
Al-Rafidain Bank is an Iraqi government bank, founded in Baghdad in 1941, as the first Iraqi commercial bank.
 
It has 146 branches inside Iraq, and some other branches are spread outside it in Jordan, Egypt, the United Arab Emirates, Lebanon, Bahrain, and Yemen.
 
Al-Rasheed Bank is an Iraqi government bank, founded in Baghdad in 1988, as an Iraqi commercial bank, with 162 branches spread inside Iraq.   https://shafaq.com/ar/تقارير-وتحليلات/المصارف-العراقية-عقلية-كلاسيكية-تصد-مواكبة-التطور-العالمي-بتفضيل-الحكومي-على-ال-هلي 

Warnings Against Relying On The “Rentier Economy”: Use Effective Systems And Digital Infrastructure - Urgent

 Economy | Yesterday, 14:59 | Baghdad today – Baghdad  Today, Wednesday (September 18, 2024), the specialist in economic and financial affairs, Nawar Al-Saadi,

 warned of the danger of Iraq’s continuation of the rentier economy, while giving solutions to overcome the danger of this matter.  Al-Saadi told “Baghdad Today” that

 “the Iraqi economy is considered a rentier economy par excellence, as

the state depends up to 90% on oil revenues to finance its general budget,” noting that

 “this type of economy is very natural and is exposed to severe danger when oil prices decline.” In global markets,

 which prompts the government to search for additional sources of income to avoid future financial crises, and imposing taxes is considered a step within the government’s attempts to create new sources of income from non-oil sectors, and

 this is in line with the reforms proposed by the government in the recent period with the aim of diversifying the Iraqi economy.”.  He added,

 "The government's success in implementing these policies remains dependent on the ability to confront the main challenges that hinder economic reforms,

 the most important of which is the widespread corruption in many government sectors, and the bureaucracy that burdens the reform process," stressing that

 "the government needs to develop effective systems for collecting taxes from sectors." New, in addition to providing the digital infrastructure necessary to support this transformation.” Al-Saadi stated,

  “In the long term, if the government succeeds in

      overcoming these challenges and

     develops effective and sustainable strategies to collect taxes from various sectors,

 it may be able to create sustainable sources of income that help reduce excessive dependence on oil,

 which contributes to the stability of the Iraqi economy, but the matter is

“It requires strong political commitment and comprehensive institutional reforms to achieve this.”

Economist Nabil Al-Marsoumi confirmed on Wednesday (September 11, 2024) that the

fair price of oil is the one that achieves the interests of producers and consumers together.

 Al-Marsoumi said on his Facebook platform, followed by “Baghdad Today”, that

 “the fair price for oil is the one that achieves the interests of producers and consumers together, that is, the price that achieves good financial revenues for producers that enable them to return part of it to renew and increase oil production capacities.” He added:

  “It also enables consumers to obtain oil at reasonable costs that facilitate economic growth,” explaining:

 “The price can be set in the seventies as the fair price for both parties,

 but when the price falls below $70, it fulfills the interests of consumers because it enables them to obtain energy at a cost.” Cheap, thus reducing the prices of production inputs and increasing the competitiveness of their produced goods.” He continued:

  “But on the other hand, it is harmful to producing countries because it reduces their oil revenues and frustrates investment in developing oil production, and vice versa, when the price is $80 and rising, this price is harmful to economic growth in consuming countries.

 It also reduces demand for oil in the long term, even though it achieves large revenues.” For oil producing countries.

Oil prices are witnessing a noticeable decline, especially in futures contracts, which specialists believe may affect Iraq's rentier economy and thus the state and the citizen.    https://baghdadtoday.news/258110-تحذيرات-من-الاعتماد-على-الاقتصاد-الريعي-استخدموا-أنظمة-فعالة-وبُنى-تحتية-رقمية-عاجل.html   

For current and reliable Iraqi news please visit:  https://www.bondladyscorner.com/ 

Seeds of Wisdom RV and Economic Updates Thursday Morning 9-19-24

Good Morning Dinar Recaps,

Lawmaker Flags Concerns Over SEC's Crypto Approach

Congressman French Hill has raised concerns over the U.S. Securities and Exchange Commission (SEC)’s handling of digital asset regulations, criticizing Chairman Gary Gensler’s leadership for creating legal uncertainty and a politicized approach.

The lawmaker highlighted his subcommittee’s legislative successes but expressed frustration with the SEC’s broad and unclear regulations, which he argued burden digital asset firms and stifle innovation.

Rep. Hill Criticizes SEC’s Approach to Digital Assets
Congressman French Hill (R-AR), chair of the House Financial Services Subcommittee on Digital Assets, Financial Technology, and Inclusion, delivered remarks Wednesday at a hearing titled “Dazed and Confused: Breaking Down the U.S. Securities and Exchange Commission (SEC)’s Politicized Approach to Digital Assets.”

The hearing scrutinized the SEC’s regulatory actions on digital assets under Chairman Gary Gensler, focusing on its enforcement methods and legal uncertainty.

In his speech, Hill acknowledged the subcommittee’s legislative achievements, including the Clarity for Payment Stablecoins Act and the Financial Innovation and Technology for the 21st Century Act (FIT21) regulatory framework. However, he expressed concern about the SEC’s actions under Gensler’s leadership, stating:

Despite this legislative progress on a bipartisan basis, we’ve been troubled by the fact that the SEC as chaired by Chairman Gensler has instead chosen to front-end the work of Congress and insert politics instead of being an independent regulator.

Hill argued that the SEC’s approach has created confusion and uncertainty, particularly through broad, unclear regulations that impose heavy burdens on digital asset firms. 

“How is this protecting the public?” he questioned, noting that this strategy leaves market participants in a “lose-lose-lose” situation.

The lawmaker criticized the SEC’s handling of digital asset custody services, stating, “Nowhere has the SEC’s prejudice against digital assets been more apparent than in the Staff Accounting Bulletin 121, which upends decades of legal precedent in the custody business and creates an impenetrable hurdle for those financial institutions seeking to provide digital asset custody services for their clients—particularly banks and bank trust departments.”

He also highlighted that the SEC’s actions have driven blockchain developers out of the U.S. and condemned the approval process for bitcoin exchange-traded products (ETFs).

“Even the SEC’s approval of exchange-traded products for bitcoin and ether earlier this year only happened because Chairman Gensler tried to overplay his hand but could no longer explain to the courts why the SEC approved bitcoin futures ETFs but not the proposed spot Bitcoin products,” Hill said, concluding:

We’re against SEC enforcement abuse and making it hard for legitimate actors who are trying to follow the rules to do a fine job and bring innovation and technology to our markets.

@ Newshounds News™

Source:  Bitcoin News

~~~~~~~~~

SEC Charges Defi Platform Rari Capital and Founders

The U.S. Securities and Exchange Commission (SEC) has announced charges against decentralized finance (defi) platform Rari Capital and its co-founders for misleading investors and operating as unregistered brokers. The settlement involves penalties, injunctions, and bars against the individuals involved, with violations stemming from unregistered securities offerings and deceptive practices.

SEC Charges Defi Platform Rari Capital Over Securities Law Violations

According to the announcement, the SEC’s investigation revealed that Rari Capital, through its Earn and Fuse pools, allowed investors to deposit crypto assets into lending pools while reportedly misleading them about the functionality and profitability of the investment products.

As stated by the SEC, the platform falsely claimed that its Earn pools autonomously rebalanced crypto assets, when in fact, manual intervention was often required.

This, along with hidden fees, resulted in substantial losses for a significant portion of investors. In addition to the deceptive practices, the securities regulator insists that Rari Capital and its co-founders, Jai Bhavnani, Jack Lipstone, and David Lucid, allegedly engaged in unregistered broker activity.

The SEC stated that the founders violated securities laws by selling interests in these pools and the Rari Governance Token (RGT) without proper registration. The complaint further alleges that the firm misrepresented the potential returns and failed to account for significant fees and risks, ultimately causing investor harm.

@ Newshounds News™

Source:  News Bitcoin   

~~~~~~~~~

Newshound's Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

News, Rumors and Opinions Thursday AM 9-19-2024

Note: All intel should be considered as "Rumors" until we receive official announcements ...and “Rates and Dates” could change anytime until we get to the banks/redemption centers.

RV Excerpts from the Restored Republic via a GCR: Update as of Thurs. 19 Sept. 2024

Compiled Thurs. 19 Sept. 2024 12:01 am EST by Judy Byington

Global Currency Reset:

Wed. 18 Sept. 2024 TNT Update: “Banks got memos yesterday Tues. 17 Sept. telling them to get ready and be there this morning because it was scheduled between now and Fri. 20 Sept. The RV announcement should be by tomorrow Thurs. 19 Sept. There is a scheduled time but no one wanted to put it out. We are now waiting for the big announcement on the Fed rate. The Market will change with the Fed announcement. They want things to settle down and then will let the RV go. The rates are out. The Banks are ready. This should be our final call.”

Judy Note: The Federal Reserve announcement was that they cut interest rates by 50bps for the first time in 4 years.

Tues. 17 Sept. 2024 Bruce: Bond Holders are getting funds into their accounts right now and will have access to those funds Thurs. or Friday. Tier4b (us, the Internet Group) will be notified at the same time as Tier 3.

~~~~~~~~~~~~~~~

Wed. 18 Sept. 2022 NESARA GESARA: The Project for the Golden Age …Carolyn Bessette-Kennedy on Telegram

Get ready for a revelation that could change everything! The NESARA GESARA Act is a key piece of legislation tied to the Great Currency Reset and Revaluation. This bold initiative aims to overhaul the global financial system, redistributing wealth and establishing a fairer world for all.

Imagine a future where debt forgiveness becomes a reality, not just for individuals but nations too. The oppressive income tax system will be eliminated, replaced by a fair, fixed tax on non-essential goods. Picture the confiscation of assets from c*****t institutions and individuals, redistributing that wealth to those who truly deserve it.

A new gold-backed monetary system is on the horizon! This isn’t just a dream; it’s a necessary shift toward financial freedom. Most importantly, NESARA GESARA mandates that a significant portion of the world’s wealth be directed toward humanitarian projects.

This is a call to action for the visionaries among us. The funds will be used to uplift the vulnerable and support community development. The time to rise up and embrace this chance to build a better world is NOW. The storm is gathering, and with it comes the promise of justice and equality! Get ready, because the Golden Age is within reach!

~~~~~~~~~~~~~~~

Wed. 18 Sept. 2024 A NEW ERA IN FINANCE …Secret Files Exposed on Telegram

Bold Steps for Those Who Are Awake The financial landscape is evolving rapidly, and for those who are “AWAKE” to the changes, the future is both exhilarating and daunting. We are on the brink of a new era, where traditional financial systems are being replaced by a revolutionary new paradigm. This article explores the key components of this emerging financial system—GESARA, QFS, GCR/RV, ISO 20022, BASEL III, Protocol QFS 20, and the Iraqi Dinar. This journey is not for the faint-hearted; it’s for those ready to take charge of their financial destiny.

Current State of Affairs: We are living in uncertain times marked by erratic weather, pandemics, and political turmoil. Amidst this chaos, a financial transformation is quietly unfolding—a transformation that promises stability and security for those who are prepared to embrace it.

Key Components of the New Financial System:

● GESARA (Global Economic Security and Reformation Act): A worldwide initiative aimed at overhauling the global financial system and ushering in an era of prosperity. GESARA seeks to eliminate debt-based currencies and replace them with asset-backed systems.

● QFS (Quantum Financial System): A digital platform leveraging blockchain technology and quantum computing to bring transparency, security, and efficiency to financial transactions, rendering traditional banking systems obsolete.

● GCR/RV (Global Currency Reset/Revaluation): This initiative involves recalibrating global currencies, aligning them with tangible assets like gold and silver to level the playing field and reduce the dominance of a few reserve currencies.

● ISO 20022: A global standard for financial messaging that streamlines communication between financial institutions, enabling faster, more accurate cross-border transactions.

● BASEL III: A set of international banking regulations requiring financial institutions to maintain higher capital reserves, enhancing stability within the global banking system and reducing financial crises.

● Protocol QFS 20: A protocol within the Quantum Financial System designed to further secure and streamline financial operations, ensuring that transactions are conducted with the utmost integrity.

● Iraqi Dinar: A currency of significant interest among investors due to its potential for revaluation, which could be part of the broader Global Currency Reset.

Seize Your Financial Future: Now is the time to take control of your financial destiny. The era of saving others is over; those who are aware of the new financial system’s opportunities have reached a higher level of financial consciousness.

If you’ve been hesitant, it’s time to act. Convert your assets into digital gold and silver-backed coins, and secure them in the QFS ledger. The digital realm provides a level of transparency and security that traditional banking cannot match.

Additionally, invest in ISO 20022 compliant assets like XLM and XRP, which are set to play crucial roles in the new financial system. Even if you feel like a latecomer, remember that revolutions always have late arrivals who can still make an impact.

GOD BLESS AMERICA!!! GOD BLESS YOU ALL!!!

Read full post here:  https://dinarchronicles.com/2024/09/19/restored-republic-via-a-gcr-update-as-of-september-19-2024/

************

Courtesy of Dinar Guru:  https://www.dinarguru.com/

Samson  "Our Country's Dream... Al-Sudani Sends an Important Message to Gulf States Regarding the Path to Development" Quote "Prime Minister Mohammed Shia al-Sudani stressed that the drop in oil prices to less than $72 confirms the need to diversify..."  

Guru Fnu Lnu  I have heard these Uncle FUD folks (Fear Uncertainty Doubt) attempting to generate negativity with the perfunctory hand-wringing stating that with the price of oil now in the $70's, the Dinar is likely to be  devalued. REALLY???  They have a new 11% revenue stream they never had before due to non-oil income. They have multi-national  corporations in the wings chomping at the bit to get started with projects ranging from the "Development Road" to oceans of new  housing, infrastructure projects, tariffs, import fees, new port facilities, not to mention all the mineral wealth waiting to be  exploited. They have record foreign reserves and 150 tons of gold plus they have sold bonds of late. They will also be repatriating  all the DFI funds from the New York Central Bank if they haven't already done so...The Chicken Little routine is wearing  thin...Trust me, there will be NO dinar devaluation now or in the future. 

ECONOMIC DESTRUCTION: Fed's MASSIVE 50 Point Rate Cut, Immigration Drives Unemployment & Inflation

Lena Petrova:  9-18-2024

https://www.youtube.com/watch?v=3sON_aTFQUU

LIVE! FED. CUTS DEEP! AND SETS THE STAGE FOR A MASSIVE DOLLAR DEVALUATION CYCLE.

Greg Mannarino:  9-18-2024

https://www.youtube.com/watch?v=o60xpewhxJM

“Tidbits From TNT” Thursday Morning 9-19-2024

TNT:

Tishwash:  Central Bank: From now on, the dollar is subject to strict supervision

The Governor of the Central Bank of Iraq, Ali Al-Alaq, announced that all transfers are subject to auditing, noting that the decline in oil prices has nothing to do with the rise in the exchange rate.

Al-Alaq said in a press comment, “The Central Bank provides the dollar at the official price to all commercial and personal channels, travelers, and all types of operations that represent legitimate activities, operations, and requests.”

He explained, "Any price outside the country is a price that only indicates the presence of abnormal operations that are trying to get out of the official and legal system and the correct fundamental channels."

He stressed the importance of focusing on the amount of sales made by the Central Bank at the official price and those seeking the dollar, whether they are traders, importers, individuals or travelers. He explained that “the decline in the price of oil has nothing to do with the rise in the exchange rate.” link

Cutebwoy:  CBI Governor: We have mechanisms in place to guarantee dollar provision and are closely monitored

INA-  BAGHDAD

Ali Al-Alaq, the governor of the Central Bank of Iraq (CBI), declared on Wednesday that all financial transfers are auditable, but he also pointed out that the increase in exchange rates is unrelated to the drop in oil prices.  

"The Central Bank provides dollars at the official rate for all commercial and personal channels, travellers, and all types of operations that represent legitimate activities, operations, and requests," Al-Alaq said to the Iraqi News Agency (INA).

He emphasized the need to "focus on the amount of sale carried out by the Central Bank at the official rate and dollar seekers, whether they are traders, importers, individuals or travellers," noting that "any price outside the country is a price that only indicates abnormal operations that try to deviate from the official and legal system and the correct fundamentalist channels." 

"This is a major shift in external transfers where they were previously audited at a later stage and today all transfers are not carried out and are not implemented until after undergoing the audit process," he said, pointing out that "methods have been developed for each channel that secure the provision of dollars on the one hand and a very large amount of control to verify the safety of prior operations before their implementation."

"The decline in the price of oil has nothing to do with the rise in the exchange rate because Iraq has foreign currency reserves, which enables it to defend the exchange rate," he said

************

Tishwash:  Economist: The free mass is estimated at 70 trillion dinars and can be invested electronically

Economic expert Dr. Safwan Qusay confirmed today, Sunday, that there are about 70 trillion dinars of free money supply, pointing out the possibility of investing it through the transition to the electronic system in financial transactions.

Qusay told Al-Maalouma, “Focusing on investing in financial inclusion is accompanied by many benefits, the most prominent of which is withdrawing the free cash flow outside the banking system, which is estimated at about 70 trillion dinars, or an average of 2 million dinars for every Iraqi citizen.”

He added, "This amount could lead to an increase in liquidity in banks and increase their ability to grant through small and medium income-generating projects or by increasing the capacity for long-term strategic investment financing."

He pointed out that "Iraqi banks have the qualifications to switch to the electronic system, noting that "the transformation of the financial sector to the electronic system with credit cards will pave the way for attracting international investments and increasing confidence in the Iraqi economy."   link

************

Tishwash:  Parliamentary moves to increase state financial revenues

The Parliamentary Finance Committee revealed that it held a meeting with the Ministry of Planning to present proposals to maximize the state's non-oil revenues.

The committee's vice-chair, Ikhlas Al-Dulaimi, said in an interview with "Al-Sabah", followed by "Al-Eqtisad News", that "the committee met with the Ministry of Planning and had some proposals regarding maximizing the state's non-oil financial resources, indicating that these proposals need support from the Finance Committee, which will meet with a delegation from the Ministry of Planning to exchange views and proposals that would maximize the state's non-oil revenues."

Al-Dulaimi added that "the tax rate set by the government is very small and does not match the volume of imports, which amounts to approximately 20 trillion dinars. Therefore, this volume of imports should be accompanied by taxes commensurate with its size, but due to the old legislation that is not consistent with the state's vision and does not match the work of other bodies, the need calls for us to review and study the laws."

The MP pointed out that "the Finance Committee is adopting this issue, by submitting a comprehensive study aimed at maximizing non-oil revenues, especially taxes and customs."
It is noteworthy that the Finance Committee held a meeting the day before yesterday, Monday, which discussed the activation of non-oil revenues.

The head of the committee, Atwan Al-Atwani, stressed during the meeting the need for a representative from the committee to attend all meetings of the other parliamentary committees, to express an opinion on the joint laws, while the committee decided to conduct a field visit to the Kurdistan Region and the ports to follow up on the related control procedures.

The committee also discussed the possibility of legislating a special law on collection and taxation for all economic sectors, or including them in the economic reform law, in addition to discussing the proposal to establish a sovereign fund for the country, and forming a team to review government procedures related to revenues and estimate financial returns according to spending units. link

Mot: . As They Say!! -- Stupid Is -- Stupid Does!!!!

Mot:   .... Its Been Proven!! -- My goodness, the earth is flat 🤣

Iraq Economic News and Points To Ponder Wednesday Evening 9-18-24

Central Bank Of Iraq: Oil Price Drop Has Nothing To Do With Dollar Exchange Rate Rise

Economy  | 18/09/2024   Mawazine News – Economy  The Governor of the Central Bank of Iraq, Ali Al-Alaq, announced today, Wednesday, that all transfers are subject to auditing, while indicating that the decline in oil prices has nothing to do with the rise in exchange rates.

Al-Alaq said, according to the official agency, that "the Central Bank provides the dollar at the official price to all commercial and personal channels, travelers, and all types of operations that represent legitimate activities, operations, and requests."

He pointed out that "any price outside the country is a price that only indicates the presence of abnormal operations that attempt to deviate from the official and legal system and correct fundamental channels," stressing the need to "focus on the amount of sales carried out by the Central Bank at the official price and those requesting the dollar, whether they are merchants, importers, individuals, or travelers."

He pointed out that "methods have been put in place for each channel that ensure the provision of the dollar on the one hand, and a very large degree of oversight to verify the integrity of the prior operations before they are implemented," noting that "this is a major shift in foreign transfer operations, as they were previously audited at a later stage, and today all transfer operations are not carried out or implemented except after being subjected to the auditing process."

He explained that "the decline in the price of oil has nothing to do with the rise in the exchange rate because Iraq has foreign currency reserves that enable it to defend the exchange rate." https://www.mawazin.net/Details.aspx?jimare=255061

Oil Prices Hit $73.67 Per Barrel

Economy   |  09/18/2024  Mawazine News – Baghdad  Oil prices steadied in early trading on Wednesday after rising in the previous two sessions, as investors awaited the Federal Reserve's expected decision to cut interest rates. Price action Brent crude futures for November delivery fell 3 cents to $73.67 a barrel by 0053 GMT. U.S. crude futures for October delivery fell 11 cents, or 0.2 percent, to $71.08 a barrel.

Both benchmarks rose about $1 a barrel on Tuesday amid continued supply disruptions in the United States, the world's largest oil producer, after Hurricane Frances, and as traders bet demand could pick up after what would be the first interest rate cut by the U.S. Federal Reserve in four years.

Prices were also supported by the prospect of wider violence in the Middle East, which could cause potential disruptions to production in a key region after simultaneous explosions of Hezbollah pagers, which the group blamed on Israel. The market was also supported by expectations that the United States would buy oil to shore up its strategic reserve.   https://www.mawazin.net/Details.aspx?jimare=255039

New Mechanism For Collecting Tax Amounts Electronically

Money and business  Economy News - Follow-up  Baghdad Municipality has adopted a new mechanism for collecting collection fees via electronic payment instead of the previous traditional method of cash payment.

Director of the Adhamiya Municipality Department, Musab Al-Obaidi, said in an interview with "Al-Sabah", followed by "Al-Eqtisad News", that the municipality has converted the collection system from the paper system by the authorized person (field collector) to the electronic payment method, to ensure the implementation of government instructions in this regard and reduce routine and save time and effort for the employee and citizen alike.

He explained that the municipality has given the citizen the choice of paying the amount via (MasterCard) or charging him 5 percent of the value of the amount if he pays it in cash at the department's headquarters to encourage electronic payment.

He added that the categories that pay fees to the state know the amounts owed in advance through the established criteria. For example, fees for commercial stores are estimated at 10 percent annually of the value of the lease contract, in addition to other known fees such as waste removal fees, professional fees and advertising.

Al-Obaidi attributed the adoption of this mechanism to several reasons, most notably contributing to enhancing banking culture and how to deal electronically with card payments, in addition to getting rid of torn currencies and additional amounts deducted from citizens through efforts and estimates.

Citizens had previously demanded through "Al-Sabah" to cancel the role of the field collector and rely on electronic payment to avoid the estimates and efforts that some employees fall into, which negatively affect them by adding amounts to the established wages, thus burdening them. 114 views 09/18/2024 - https://economy-news.net/content.php?id=47722

US Ambassador: Iraq Is Capable Of Creating An Economic Model To Be Emulated

Politics | 02:23 - 18/09/2024   Mawazine News – Baghdad  US Ambassador Alina Romansky confirmed on Wednesday that Iraq is capable of creating an exemplary economic model, while pointing to cooperation with Iraqi organizations to improve water access for more than 100,000 people.

Romansky said, according to the official agency, at the conference launching the National Strategy for Environmental Protection and Improvement in Iraq: "This is a pivotal and important stage that will support Iraq's efforts in building the country and the changes taking place today and for future Iraqi generations," noting that "this will be a vision for Iraq's requirements and confronting the environmental challenges that Iraq has faced from population growth and natural resources that have restricted development in Iraq."

She added that "drought continues to harm the agricultural sector and affects the security and safety of the country, and that this strategy is an opportunity for us to work together and unite to take action," indicating that "in the past two decades, the United States has done its work to support Iraq, enhance security and safety, and promote prosperity for all Iraqis."

“This year, the United States and its partners have invested more than $2,000,000 to support vulnerable communities in Iraq facing the challenges of climate change in partnership with the World Food Programme and UNICEF,” she said, noting that “through these initiatives, we are trying to improve access to clean water, protect farmers’ lives, and build more climate-resilient communities.”

Romansky explained that “our programs and partnerships are producing positive outcomes, and collaboration with local Iraqi organizations and multilateral organizations is improving access to water for more than 100,000 people through investing more than 1,000,000 cubic meters of water.

Another initiative has helped more than 200,000 farmers produce thousands of tons of food and produce food using less electricity and more water,” noting that “we will continue to support Iraq’s development and Iraq’s sustainable goals for adapting to climate change.”

Romanski stated that "in cooperation with the Iraqi ministries, we participated with (UNDP), and worked together with the Iraqi government on this strategy to improve environmental protection. This includes coordination with various government agencies to effectively develop Iraq's sustainable goals, and includes launching a strategy to help Iraq improve the balance and protect the environment, as well as an environmental protection and climate investment strategy."

She pointed out that "one of our goals is to have a roadmap for a green economy that is confirmed by adequate access for women, youth, and vulnerable communities facing challenges and climate change. The national strategy for protecting and improving the environment will become a guide for the United States and other donors to support the Iraqi government, and will enhance the response and solutions to be effective, including investment in the green economy and support for modern agricultural methods, and contribute to having a more diversified economy with the support of this strategy."

She expressed her thanks to "the Ministry of Environment, the Ministry of Environment team, the US Agency, and the United Security Development Team for their assistance in launching and activating this strategy," stressing that "the role played by international supporters from donors and local experts in including this strategy with effective participation will enable Iraq to create a better economy and will be a model to be emulated."

She explained that "the United States continues to strengthen bilateral relations and we will continue to support Iraq as we work together to enhance Iraqi sovereignty, security, safety and economic opportunities for all, and that this strategy will allow us to work together," praising "the work and this strategy, and now the real work has begun as we implement this plan to have a positive impact on the entire country."   https://www.mawazin.net/Details.aspx?jimare=255075

The Dollar Stabilizes Against the Iraqi Dinar at 151 Thousand

Economy  | 09/18/2024  Mawazine News – Economy  Mawazine News publishes today, Wednesday, the exchange rates of the dollar against the Iraqi dinar in local markets.   The prices are as follows:

Selling 151,000 Iraqi dinars for every 100 dollars  --   Buying 149,000 Iraqi dinars for every 100 dollars.

https://www.mawazin.net/Details.aspx?jimare=255058

Central Bank Sales Exceeded $255 Million

Wednesday 18 September 2024 14:01 | Economic Number of readings: 69 Baghdad / NINA / The Central Bank of Iraq announced, today, Wednesday, the total sales of foreign currency through the electronic window.

The window recorded the total amounts of transfers abroad (remittances, credits) of $ 246,939,107, while the total cash sales amounted to $ 8,750,000, and the total sales amounted to $ 255,689,107.

The selling price for transfers and cash was assigned at 1310 dinars per dollar, while the bond credits and international settlements for the electronic card were at 1305 dinars. / End 11

https://ninanews.com/Website/News/Details?key=1155654

For current and reliable Iraqi news please visit:  https://www.bondladyscorner.com/ 

Seeds of Wisdom RV and Economic Updates Wednesday Evening 9-18-24

Good Evening Dinar Recaps,

THE FED OPTS FOR JUMBO 0.5% RATE CUT — WHAT IT MEANS FOR CRYPTO

The Federal Reserve cut interest rates by 0.5%. Market participants are divided on whether the larger-than-ordinary cut is good news.

It’s finally happening: US interest rates are coming down.

Federal Reserve Chair Jerome Powell announced on Wednesday that the nation’s central bank will cut interest rates by 0.5%, bringing them to a range between 4.75% and 5%.

“The U.S. economy is in good shape. It is growing at a solid pace. Inflation is coming down,” Powell said.

Bitcoin rose half a percentage point to $60,500, while other major crypto assets like Ethereum and Solana stayed steady.

High interest rates make it more expensive for people to borrow money, and incentivises investors to buy risk-free Treasury bonds to earn yield.

When rates come down, however, taking loans becomes easier, which dynamises the economy, and investors are nudged to buy riskier assets like stocks and crypto.

The Fed began its course of interest rate increases in March 2022 to combat raging inflation. At the time, rates were 0%. By July 2023, they had been hiked to between 5.25% to 5.50%, marking the fastest and largest rate hike cycle in US history.

0.25% or 0.5%?
The lead-up to the rate cut announcement was somewhat uncommon because this time traders didn’t know what to expect: an ordinary 25 basis point cut, or a larger 50 bps cut. A basis point equals one-hundredth of a percentage point.

The market had priced the odds of a 0.5% cut at 61%, FedWatch data showed, while a 0.25% cut was given a 39% chance of occurring.

Even investment banks were divided on the issue, with Goldman Sachs and Morgan Stanley predicting a 0.25% cut, and JPMorgan, 0.50%.

Logically, you’d expect a bigger rate cut to be positive for investors, since it makes liquidity available faster. But calls for a 0.5% rate cut emerged alongside concerns that the US economy might be entering a recession.

“The 50 [basis point] cut might send a wrong message to markets and the economy. It might send a message of urgency and, you know, that could be a self-fulfilling prophecy,” George Lagarias, chief economist at consulting firm Forvis Mazars, told CNBC.

But recession fears have been overblown, Quinn Thompson, founder of crypto hedge fund Lekker Capital, told DL News. And investors worried about the market selling off are putting too much emphasis on precedent.

“People are simply looking at the two or three historical examples where the Fed started with 50 bps cuts and saying: ‘Oh, every time they cut 50 bps first, the market goes to shit,’” Thompson said.

@ Newshounds News™

Source:  DL News

~~~~~~~~~

FEDERAL RESERVE MEETING MAJOR HIGHLIGHTS AND KEY POINTS

Federal Reserve cuts federal funds rate by 50 basis points to 4.75%-5.00%, aiming to balance inflation and economic stability. he added.  

• ️Fed cuts federal funds rate by 50 basis points to 4.75-5.00%, first reduction in four years.

• ▪️Powell cites solid economic growth and nearing 2% inflation target as key reasons for rate cut.

• ▪️Future projections suggest Fed rates could drop to 2.9% by 2026, amid cautious investor reactions.

The Federal Reserve lowered the target range for the federal funds rate by 50 basis points on Wednesday. This action brings the rate to a new range of 4.75% to 5.00%, which is the first decline in four years.

The decision is in line with the Fed’s policy of ensuring that inflation is kept in check without jeopardising the stability of the economy.

Federal Reserve’s Justification for Rate Cut

The Federal Reserve announced the rate cut citing recent economic figures that pointed to growth at a steady pace, but with some moderation. Although job creation has slowed down and the unemployment rate has risen marginally, inflation is slowly moving towards the Fed’s target of 2%.

@ Newshounds News™

Read more:  CoinGape   

~~~~~~~~~

DONALD TRUMP MAKES HIS FIRST BITCOIN PURCHASE ON A BURGER AT PUBKEY BAR IN NEW YORK CITY

@ Newshounds News™

Read Here:   The Block

 ~~~~~~~~~

BRICS announced a new payment system that excludes the U.S. Dollar  |  Youtube

@ Newshounds News™

Source: Seeds of Wisdom Team Currency Facts  

~~~~~~~~~

Newshound's Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

Some “BRICS News” Wednesday 9-18-2024

BRICS Deal with Egypt and dismiss US and France's offers: What's next?

Fastepo:  9-18-2024

In recent years, Egypt has shifted its foreign policy and economic alliances away from its traditional Western focus, particularly on the U.S. and Europe, in favor of deeper engagement with Eastern powers, notably China and Russia, as well as key Middle Eastern nations.

This pivot reflects Cairo's pragmatic response to evolving global dynamics, as it seeks to diversify its economic and geopolitical ties amid shifting international power structures.

 Egypt’s partnership with China has flourished, primarily driven by shared economic and strategic interests. As a crucial participant in China's Belt and Road Initiative (BRI), Egypt plays a pivotal role in facilitating global trade through the Suez Canal, a critical artery in China’s maritime network.

Chinese investments in Egypt have surged, particularly in infrastructure, manufacturing, and energy sectors. The Suez Economic and Trade Cooperation Zone, which hosts numerous Chinese enterprises, exemplifies Beijing's commitment to strengthening Egypt’s industrial base.

China has now become the largest investor in Egypt's Suez Canal Economic Zone, with a notable presence in the construction of Egypt’s new administrative capital, a megaproject symbolizing Cairo’s ambitions for modern development. China’s approach—centered on non-interference and purely economic cooperation—contrasts with the U.S.’s historically military-driven engagement.

This has made Beijing an attractive alternative partner for Egypt. In 2022, bilateral trade between China and Egypt reached approximately $13 billion, and large-scale Chinese-funded infrastructure projects have helped create jobs and bolster Egypt's manufacturing capacity.

This growing relationship signals a broader reorientation in Cairo’s external relations, aimed at reducing its reliance on Western aid, often conditioned on political reforms and human rights concerns.

https://www.youtube.com/watch?v=tWY9QBtuuLw

From FARMS to FINANCE: BRICS Crushes U.S. Economic CONTROL

Think BRICS:  9-18-2024

The BRICS nations are shaking up the global economic order, challenging U.S. dominance in trade, agriculture, and finance. This video explores how BRICS economic dominance is reshaping the world by disrupting reliance on the U.S. dollar and shifting global trade dynamics.

With a growing agricultural trade deficit, the U.S. is losing its long-held position as the world’s breadbasket, while BRICS countries like China and Brazil are stepping into the spotlight.

 From China’s shocking cancellation of massive wheat orders to the rise of a BRICS alternative payment system, the video explains how these moves are impacting U.S. farmers and global food markets.

The multipolar world BRICS envisions, with local currency trade, is steadily materializing, reducing dependency on Western financial systems like SWIFT.

Countries are increasingly settling trade in renminbi and other local currencies, furthering de-dollarization. As the U.S. agricultural exports decline and BRICS nations solidify their financial infrastructure, this shift could lead to a future where the China global reserve currency plays a central role, destabilizing traditional power structures.

The video also discusses how these changes are causing a disruption in the agriculture market, posing a threat to global food security.

00:00 - Introduction: BRICS nations leading global economic transformation

 00:38 - BRICS redefining trade and finance through local currencies

01:14 - U.S. agricultural dominance challenged by BRICS nations

02:32 - China's wheat cancellations impact global markets

03:47 - U.S. crop price decline and BRICS trade shifts

04:22 - BRICS countries trading outside the U.S. dollar

 04:56 - BRICS economies surpass G7 in GDP at purchasing power parity

 05:40 - BRICS' financial infrastructure and development bank expansion

06:14 - BRICS' alternative international payment system

06:49 - U.S. response to BRICS and potential tariffs

 07:26 - China's nuanced strategy and rise of a multi-currency system

 08:07 - Regionalization of the global economy and challenges for the West

 08:43 - BRICS fostering a multipolar world and influencing agriculture

09:21 - BRICS economic growth and global South's increasing influence

10:03 - Conclusion: BRICS reshaping global economic and trade systems

https://www.youtube.com/watch?v=WGGOftjuGTY

Wednesday Evening Chat With MarkZ 9-18-2024

Wednesday Evening Chat With MarkZ

MarkZ  Update- Some highlights by PDK-Not verbatim

MarkZ Disclaimer: Please consider everything on this call as my opinion. People who take notes do not catch everything and its best to watch the video so that you get everything in context.  Be sure to consult a professional for any financial decisions

Member: RV there yet…lol

Member: Good Evening everyone….there was tons of chatter on all of the boards today!

​​Member: lots of talk today about Nesara... wonder what's happening?

Member: We need less talk and more action….imo

MZ:  We are watching it all come together…the question is when?  Is it now or 4 days from now…is it a week?

​​Member: TNT is saying that it starts tomorrow….$.30 cents on Bolivar.” $3.41 on Dinar…..47 cents on dong, and $1.08 on Rupiah

Member: Mark, please …please give us some hope??? This has dragged on and on…

MZ: I fully expected to have good bond reports this evening. Most are still silent.

MZ: “Fed and Powell unleash chaos across markets with a “Not a crisis at all” rate cut of 50 basis points”  The general consensus leading into today was a 25 point cut….The market did not like it…but gold loved it and shot up to $2600 …The government and the fed chose themselves over the people.

MZ: I like this article from Iraq…They are saying they have a lot of foreign currency and ways to defend their exchange rate.  Why is this important? They are telling us Iraq is ready

MZ: What have we gotten this week? We have movement in the HCL….salaries are suddenly being agreed on….which imo- they could not agree on without knowing the new rates…..we have them telling us the money laundering issue with Iran are taken care of….and the comment about 10 days ago from Sudani that they plan on lifting the value of the dinar during his term….which is in the next couple of months..

MZ: So buckle up and try not to lose faith

Member: It sounds like they are ready, we are ready, so let's go, baby!!

MZ: I have a number of group leaders and bankers who swear we are getting it in the next 4-5 days. I sure hope they are right.

Member: Any news on CMKX or farmers pay outs?

MZ: No- nothing new. We saw what appeared to be test payments on those initial Pigford farm claims …and some original farm claims who said they got sizable deposits

Member: Sure makes me think that we may have shotgun start after all…..

Member: Just wish somebody would do something somewhere.

Member: I believe we will see it before end of October. listening to Kim Clement

Member: Thanks to all for your encouragement…it will hit suddenly and ll this waiting will be worth it.

Member: See all of you tomorrow morning….hoping for big RV news by then

Mod: Join us for Whiskey and Wisdom tonight at 8 pm est…..

THE CONTENT IN THIS PODCAST IS FOR GENERAL & EDUCATIONAL PURPOSES ONLY&NOT INTENDED TO PROVIDE ANY PROFESSIONAL, FINANCIAL OR LEGAL ADVICE. PLEASE CONSIDER EVERYTHING DISCUSSED IN MARKZ’S OPINION ONLY

FOLLOW MARKZ : TWITTER . https://twitter.com/originalmarkz?s=21. TRUTH SOCIAL . https://truthsocial.com/@theoriginalm...

Mod:  MarkZ "Back To Basics" Pre-Recorded Call" for Newbies 10-19-2022 ) https://www.youtube.com/watch?v=37oILmAlptM

MARKZ DAILY LINKS: https://theoriginalmarkz.com/home/

Note from PDK: Please listen to the replay for all the details and entire stream….I do not transcribe political opinions, medical opinions or many guests on this stream……just RV/currency related topics.

THANK YOU ALL FOR JOINING. HAVE A BLESSED NIGHT! SEE YOU ALL IN THE MORNING FOR COFFEE @ 10:00 AM EST ~ UNLESS BREAKING NEWS HAPPENS!

Youtube:     https://www.youtube.com/watch?v=LALMD-Qy_nM

Seeds of Wisdom RV and Economic Updates Wednesday Afternoon 9-18-24

Good Afternoon Dinar Recaps,

Report on Powell's decision regarding the FED rate cut will be in the 10pm Newsletter.  ~  The Newshounds

~~~~~~~~~

WHAT IS THE U.S. DOLLAR’S ROLE IN STABLECOIN ECOSYSTEMS?

Stablecoins have seen explosive growth in the last four years, increasing from a $17.6 billion market capitalization to $170.6 billion. The number of holders has also skyrocketed from 3.78 million to 119.72 million. However, this growth brings critical questions. How safe is it to hold stablecoins?

How secure are the assets backing stablecoins? Could stablecoins pose a threat to traditional banking systems, and how might governments react to such competition?

▪️What is money?
▪️The trust model
▪️What is fiat money?
▪️Why are the majority of stablecoins pegged to USD?
▪️How do stablecoins maintain their peg?
▪️The future of stablecoins and government action

These are essential questions, yet they are often ignored. The TerraUSD (UST) collapse serves as a prime example, where only a small group of investors and analysts predicted its downfall before it finally happened. Many users simply trusted the system without questioning the true stability of the underlying assets. And, unfortunately, because of that blind trust, they lost a lot of money. Understanding the risks requires first exploring the broader concept of what money represents.

What is money?
Money = value. When a person buys a chocolate bar, they exchange money for that value. The merchant can then use the money to obtain the value they need in return.

Money hasn’t always existed in the form of paper bills or digital currencies. In ancient times, people used cattle, leather, mollusks, wheat, and salt as mediums of exchange. 

Eventually, societies shifted to gold as a more standardized form of value. But imagine going to the store and buying a chocolate bar for the price of 0.0353 ounces (1 gram) of gold. This would require scales, cutting tools, and is simply not convenient.

So, the government created a model that worked this way: The government takes your gold in exchange it gives you money depending on the exchange rate. It was the Gold Standard, which happened first in England in 1816. In time, the government changed the model now they were printing money without anything backing it, which is where we are now.

The trust model
The evolution from tangible value to paper money introduced a key factor: trust. Initially, people trusted the inherent value of a commodity like gold. Today, trust has shifted from something (gold) to someone (the government or central authority). Trust forms the basis of modern currency systems.

Without trust, exchange would be impossible. For instance, no one would sell a house for a bag of rocks because rocks hold no universal trust or value.

Modern money, whether paper or digital, holds value only because of collective trust in the government or the central institution behind it. Without this trust, money would revert to being worthless pieces of cotton and linen.

What is fiat money?
The term “fiat” refers to a decree or order issued by someone in authority. When it comes to fiat money, its value stems not from any intrinsic property or commodity backing but from the government’s declaration that it holds value. In simple terms, money has value because the government says so.

Cons of fiat money
Fiat money has several critical weaknesses. It is centralized, meaning that trust is placed in the actions and integrity of banks and governments.

JPMorgan Chase data breach (2014): The data of 83 million accounts was compromised.
Wells Fargo s16): Ovcandal (20er 2 million fraudulent savings and checking accounts were created without clients’ consent.
India’s demonetization (2016): Overnight, the government declared that 86% of the country’s currency circulation, 500 and 1000 rupee bills, was no longer valid.

Another problem with fiat money is excessive printing, which leads to inflation.
Germany (Weimar Republic, 1923): Prices doubled every two days during hyperinflation.
Brazil’s inflation (1985-1994): Prices increased by a staggering 184.9 billion percent during a decade-long crisis.
Venezuela (2015-2022): The cumulative inflation rate from 2016 to April 2019 reached 53.8 million percent.

So, several problems plague traditional money systems. First, paper currency can become worthless overnight due to governmental decisions. Second, the stability of money varies widely between countries. Inflation affects all currencies, but some experience it more severely, leading to rapid devaluation and loss of purchasing power.

But digital fiat money introduces its own set of issues. Banks operate on a fractional reserve system, meaning they hold only a portion of customer deposits in reserve. Laws and regulations, such as the Basel Accords and national banking laws, permit banks to lend out the majority of deposited funds. This practice transforms money into mere numbers on a ledger, essentially IOUs, without full backing.

The fractional reserve system also brings the risk of a bank run, where a large number of customers withdraw their funds at once due to fears about the bank’s solvency. Since banks do not hold all deposits in reserve, they often cannot meet the sudden demand for cash, which leads to panic and potential bank failure.

Stablecoins operate on a different level from traditional fiat money but are not entirely immune to these issues either. Unlike fiat currencies, stablecoins like USDT, USDC, and DAI aim to maintain a stable value by being pegged to a fiat currency, usually the U.S. dollar.

Why are the majority of stablecoins pegged to USD?
Before understanding how stablecoins differ from traditional fiat money, we need to explore why the U.S. dollar holds such a dominant position. Why not the Swiss Franc or the Japanese Yen?

Many would respond that the dollar is simply used everywhere, but the real question is why it became the world’s dominant currency in the first place.

The U.S. dollar’s dominance is due to its “exorbitant privilege.” As long as the dollar remains the world’s reserve currency, the United States avoids balance of payment crises.

Through mechanisms like the Petrodollar system and the forced purchase of the U.S. Treasuries by foreign central banks, the U.S. could borrow cheaply and spend without immediate consequence.

The system allows the U.S. to print dollars and use them to buy real goods and services globally, exporting the inflation created to other countries.

This is one reason developing nations often suffer from higher inflation—they absorb the inflationary effects of American monetary policy. In essence, the U.S. has a unique advantage in the global economy, trading printed money for tangible goods without immediately facing inflationary pressures domestically.

The Federal Reserve lowers interest rates or engages in quantitative easing to inject new dollars into the economy. Such actions increase the total supply of dollars circulating globally. U.S. governments, corporations, and banks benefit from the system by accessing cheaper credit, which leads to the creation of more dollars as loans are issued. Newly minted dollars are used to import goods from abroad, further pushing dollars into foreign economies.

Once foreign countries accumulate dollars, they face a critical choice. They can allow their own currency to appreciate against the dollar, but doing so would harm their export competitiveness. Alternatively, they can print more of their own currency to maintain its value relative to the dollar.

However, this approach often leads to domestic inflation, creating a cycle in which foreign central banks must balance the value of their currency against the effects of inflation.

The U.S. benefits enormously from the global arrangement. When foreign countries accumulate dollars, they frequently invest them in U.S. Treasuries, which effectively lend money to government at low interest rates.

The process helps the U.S. finance its deficit spending on war, infrastructure, and social programs. The U.S. can sustain such expenditures because foreign nations continue to buy its debt, driven by their need to hold dollars for trade and financial stability.

This is why the vast majority of stablecoins are pegged to the U.S. dollar, and almost the entire stablecoin market revolves around it as the anchor.

In just four years, the monthly transfer volume of stablecoins has increased from $202 billion to $3.6 trillion.

To put that into perspective, when compared with traditional finance, the U.S. dollar forex trade in 2022 reached $2,739 trillion, according to the Progressive Policy Institute. By 2024, it is reasonable to estimate that trade will grow to $3 trillion, translating to approximately $250 trillion traded per month. So, stablecoins already represent nearly 1.5% of the dollar trade.

How do stablecoins maintain their peg?
The vast majority of stablecoin market volume and capitalization is concentrated in three primary coins: USDT, USDC, and DAI. Each of these stablecoins employs different mechanisms to maintain their peg to the U.S. dollar.

USDT
Tether keeps its peg to the U.S. dollar through a system of reserve assets and strict issuance protocols. For every USDT token in circulation, an equal amount of value exists in reserve, typically held in cash, cash equivalents, and U.S. Treasuries. The reserves ensure that each USDT can be exchanged for one USD.

When demand for USDT grows, Tether issues additional tokens, matching them with the necessary reserve assets. In contrast, when users exchange USDT for USD, the tokens are destroyed to keep the supply in line with the reserves.

The peg always deviates slightly due to liquidity imbalances or shifts in supply and demand on exchanges.

For instance, during periods of heightened market activity or stress, a sudden surge in demand for USDT could cause the price to rise above $1, as traders may pay a premium for quick access to a stable asset. Conversely, a rapid sell-off of USDT can lead to a brief dip below $1, as the supply temporarily exceeds demand.

Only entities that are verified and have an account with Tether can directly exchange USDT for USD. Typically, these entities are institutional clients, large traders, or exchanges. On the other hand, retail investors or smaller traders cannot redeem USDT directly from Tether. Instead, they usually convert USDT to USD on cryptocurrency exchanges.

However, controversy has surrounded Tether for years, and negative sentiment remains strong. One of the primary concerns revolves around the transparency of Tether’s reserves.

Critics have questioned whether Tether has always maintained a full 1:1 backing for USDT tokens. In 2021, Tether settled with the New York Attorney General’s office after an investigation found that Tether had misrepresented the extent of its reserves in the past.

Another point of criticism is the lack of full audits by top-tier accounting firms. While Tether has started providing transparency reports on a quarterly basis, many are skeptical due to the absence of comprehensive audits by major global accounting firms.

Despite the controversies and skepticism, Tether remains extremely profitable due to its widespread use.  In the first half of 2024 alone, Tether reported a profit of $5.2 billion.

When demand for USDT grows, Tether issues additional tokens, matching them with the necessary reserve assets. In contrast, when users exchange USDT for USD, the tokens are destroyed to keep the supply in line with the reserves.

The peg always deviates slightly due to liquidity imbalances or shifts in supply and demand on exchanges.

For instance, during periods of heightened market activity or stress, a sudden surge in demand for USDT could cause the price to rise above $1, as traders may pay a premium for quick access to a stable asset. Conversely, a rapid sell-off of USDT can lead to a brief dip below $1, as the supply temporarily exceeds demand.

Only entities that are verified and have an account with Tether can directly exchange USDT for USD. Typically, these entities are institutional clients, large traders, or exchanges. On the other hand, retail investors or smaller traders cannot redeem USDT directly from Tether. Instead, they usually convert USDT to USD on cryptocurrency exchanges.

However, controversy has surrounded Tether for years, and negative sentiment remains strong. One of the primary concerns revolves around the transparency of Tether’s reserves. Critics have questioned whether Tether has always maintained a full 1:1 backing for USDT tokens.

In 2021, Tether settled with the New York Attorney General’s office after an investigation found that Tether had misrepresented the extent of its reserves in the past.

Another point of criticism is the lack of full audits by top-tier accounting firms. While Tether has started providing transparency reports on a quarterly basis, many are skeptical due to the absence of comprehensive audits by major global accounting firms.

Despite the controversies and skepticism, Tether remains extremely profitable due to its widespread use.  In the first half of 2024 alone, Tether reported a profit of $5.2 billion.

USDC
USDC operates in much the same way as USDT. However, the key difference lies in USDC’s emphasis on regulatory compliance and transparency. USDC Coin conducts monthly audits through top-tier accounting firms to verify its reserves to ensure users that each USDC token is backed 1:1 by real assets.

 The audit process provides a higher level of confidence compared to Tether’s quarterly attestations, as it aligns more closely with regulatory standards in traditional finance.

Despite their differences in transparency and regulatory alignment, both USDT and USDC share one major characteristic: centralization. The issuers can freeze or block tokens in specific accounts in compliance with legal orders.

Both stablecoins have a history of blocking addresses when required by law enforcement or government authorities, which adds a layer of control that conflicts with the decentralized ethos of crypto.

DAI
But unlike USDT and USDC, DAI is a decentralized, overcollateralized stablecoin. DAI is not issued by a centralized entity but is instead generated by users who lock up cryptocurrency (such as Ethereum) as collateral. The system requires that the value of the collateral exceed the value of the DAI generated.

So even if the collateral’s value fluctuates, DAI remains adequately backed. If the value of the collateral drops too much, it is automatically liquidated to maintain the peg. One of the major advantages of DAI is that it cannot freeze, block, or blacklist specific addresses.

The future of stablecoins and government action
At present, stablecoins already represent around 1.5% of the global U.S. dollar trade, but the real tipping point will come when that figure reaches a much higher level — somewhere between 5% and 15%.

Once stablecoins capture that much of the market, governments will likely need to work in tandem with the issuers, creating a regulated environment that merges traditional finance with the growing crypto ecosystem. Governments could either embrace stablecoins as a way to enhance the global dominance of the U.S. dollar or respond with strict regulatory oversight.

While some may suggest that governments might try to make stablecoins illegal, that scenario seems unlikely. Stablecoins, especially those pegged to the U.S. dollar, further cement the global power of the U.S. currency, aligning with national interests rather than working against them.

By maintaining the status of the USD in global transactions through stablecoins, governments are likely to see their value in reinforcing the American dollar’s position worldwide.

But the rise of stablecoins also raises questions about security and reliability. Holding traditional paper money presents its own risks, including inflation and devaluation. Digital money in banks is also vulnerable, as seen with events like bank runs or systemic failures. And stablecoins carry big risks as well.

The collapse of TerraUSD, despite its entirely different structure from assets like USDT, USDC, and DAI; the situation with Silicon Valley Bank and USDC’s brief de-pegging in 2023, along with long-standing controversies surrounding USDT’s transparency, has shown that stablecoins are far from immune to market shocks and liquidity issues. While they offer some advantages, they are not entirely reliable for long-term wealth storage.

So, what should one hold? Following the TerraUSD collapse, it became clear that holding too much in any one stablecoin can be risky. A more balanced approach might involve holding assets that appreciate in value, such as stocks, bonds, BTC, ETH, SOL, or real estate while maintaining a small portion of cash or stablecoins for liquidity purposes.

Ideally, this reserve should be enough to cover between 3 to 24 months of expenses, depending on one’s risk tolerance, and it could be kept in a high-yield savings account or through well-established decentralized finance platforms.

@ Newshounds News™

Source:  Crypto News

~~~~~~~~~

The Fed Meeting Isn’t the Only Rate Decision to Watch. Why Japan Could Matter More.

The unwinding of the yen carry trade that was blamed for August’s short-lived market turbulence might not be finished yet. That makes the Bank of Japan, not the Federal Reserve, the most important central bank meeting this week.

@ Newshounds News™

Read Here: Telegraph

~~~~~~~~~

Switzerland’s SIX Reveales Plans to Launch Cryptocurrency Trading Platform in Europe

Read Here:  CoinSpeaker  

~~~~~~~~~

Newshound's Currency Facts Youtube and Rumble

Newshound's Podcast Link

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Subscribe to Newsletter

Thank you Dinar Recaps

Bruce’s Big Call Dinar Intel Tuesday Night 9-17-24

Bruce’s Big Call Dinar Intel Tuesday Night 9-17-24  

Transcribed By WiserNow Emailed To Recaps

Welcome everybody to the big call tonight. It is Tuesday, September 17TH and you're listening to the big call. Thanks everybody for tuning in listening to us tonight, being part of what we're all experiencing, what we're all going to go through. And I'm excited about tonight and what my segment is going to be about, and also very excited about to bring to us, and what Bob will bring –

Well. Thank you very much, Bob, anything else that we should know about before we switch to the Intel portion? No, that's it, Bruce. It's seven minutes after 10. Thank you. Thanks a lot. Thanks.

I’m going to go right into theme that was mentioned by Sue,  the Med Bed – I don’t usually bring much up pretty much about it but  there is a couple of things that happened, I think you guys should know about -  it is that one of  the leaders if you will -  in charge of the Med Bed -  for us have changed for us  - in the amount of time  we get – that we regress – go back to –

It was a set to go back 30 years. And the discussion was held and on Saturday, and they said, Well, why don't we do it this? Why do we have to do this way? WhyI can't go further back. And the idea was, if you're 80 years old, but you're 80, you could go back to the age of 30. So that's 50 yr age regression  or equivalent, you to go 80 more to go back 50 years.

That's pretty nice to go from 80 to age 30 and biological age is terrific. I think that is a major deal  right there -  and the other part of that - - Is the youngest age that you can go back to, say your my age, or Sue’s age or Bob's age, you can go back to the age of 28. And that's what I thought it was going to be originally but it changed a couple of times, and now that's, that's the age that I'll go back to. And I’m looking forward to that -  that was prime time -  terms of tennis and everything else -  just a head up, that's what the deal is .

I was told if you're a Zim holder, you get a little better, preferential treatment on this, you can go back in five days or so. After the exchange happens  - if you are a zim holder you ought to be able to get in the med bed  - I’m going to say 5-6 days -  from the people that are in charge – so I love that – that’s great -

Some people dire need, and fortunately, I qualify for that – and so  I will get in a little sooner, but it's all  good - something we should be able to take advantage of – and enjoy -  finish up.

I don’t know if many people know this but there's no Charge to go into the med bed - it's free, designed to be free. And I think that's wonderful  -

It is going to change the way Hospitals operate – to a large extent and some hospitals will remain, but they will become more like healing centers. Which has more to do with nutrition – and healing than it does hospital?

It is going to be interesting as we watch that happen and see what kind of resistance there is  and so on -  we have plenty of these things  around the country and around the world, but we have the greatest number of those  here in this country.

So I’m excited about that. I'm probably more excited about that than the money from the RV. That's in my personal situation -   

Let's go into what we heard just the last say or so about bond holders – Bond holders were supposed to be on a shot gun start with bond holders - They are getting funds put into their accounts - They can't already see them and some can, and some can't in their accounts when they try to go online  and put their codes in -  but they are supposed to have access to those funds  in the next few days,

I've been told, Thursday or Friday -  so that's  coming up pretty quickly – next Tuesday - . So in two to three days should have access to those accounts.

 Now, in keeping with the idea of a shotgun start fwhere everyone goes together tier 4 – that’s what we are in - . tier 4B tier four is what we refer to as the Admirals group - Which there are 21 or 22 already. So those guys should get their notifications the same time as we get ours, as I say. And here's  where we stand on that.

Intel does not need to be long – You guys just want to know “when” – I do too -

So here's what we got, the redemption center people that are in charge  getting out emails to the redemption center leaders throughout the country are told to put out those emails at six oclock tonight and would take approximately  45 mins or so  / hour max to get those emails out to redemption center leaders, or operatives  that is great - linked. And then short and sweet -  we have been told by numerous sources – that have redemption center in our  contacts  in several states – that we should be receiving our notifications – that ‘s our toll free number / 800 number – high noon tomorrow -  which is Wednesday, and so that's what we're expecting.

You guys remember – there was sort of a possible assassination attempt on Pres Trump last Saturday, and that delayed us one day, and they're dealing with and  that put us getting  notified  today

Okay, we can live with it, thank God they caught the guy trying to use weapon to assassinate Pres Trump  So keep himm in your prayers -  I think you will find  that  will be important in our future

So here’s where we are - on this, on this to – we always  talk about  where are we on Social Security increases? Still by the end of September -  Where are we on the  R & R – restitution and reclamation  6  - Also supposed to be this month  and I believe for us going for exchanges and redemption of zim  - we will have it already in our quantum account

When we go in for  our exchanges and redemption of zim – those totals we have from the currencies and zim -  when we  get our quantum account  opened up - we should have our R & R already in there, and then make sure you write down what it is  - they wont itemize it -  you’ll  just have it  - as Bob says – in a pile, so we have a total to write down, and you'll know that was your R & R, and then your currencies are so much from your dinar – and dong -  zim -  all of those on top of that, into your quantum account  - then you will  move with  quantum cards, from  to your primary Wells account  - or maybe you will want to call it your master account -

 okay, so that, and if we get notified when we expect tomorrow on the 18th, we will use that opening email from Wells Fargo servers to set appointment. And we are initiating that if we get the number per day where it comes in your appointment and how do they go change tomorrow?

So now I want to say we are with RNR debt forgiveness if you know, don't forget. Now you have mortgages, the credit card balances being zeroed out. That is all supposed to happen this month, by the end of September, and piece of everything.

So, by the way,  anything in the last few days that takes us off of this timeline, and so I'm going to believe to  be the absolute timeline for us.

Bruce’s Big Call Dinar Intel Tuesday Night 9-17-24  REPLAY LINK  Intel Begins 1:02:20

https://www.freeconferencecallhd.com/wall/recorded_audio?audioRecordingUrl=https%3A%2F%2Frs0002.freeconferencecall.com%2Fstorage%2FsgetHD%2FHsCgW%2FH56t

Bruce’s Big Call Dinar Intel Thursday Night 8-29-24   REPLAY LINK   Intel Begins   1:13:30

https://www.freeconferencecallhd.com/wall/recorded_audio?audioRecordingUrl=https%3A%2F%2Frs0002.freeconferencecall.com%2Fstorage%2FsgetHD%2FHsCgW%2FH5uP

Bruce’s Big Call Dinar Intel Tuesday Night 9-10--24  REPLAY LINK  Intel Begins 1:07:27

https://www.freeconferencecallhd.com/wall/recorded_audio?audioRecordingUrl=https%3A%2F%2Frs0002.freeconferencecall.com%2Fstorage%2FsgetHD%2FHsCgW%2FH5TN

Technical difficulties with  Bruce's Recorded Call Transcription -  Please clink on the link below and listen to all or partial recording - Bruce's intel segment begins at approximately the 1:02:02 time frame  - thank you

Bruce’s Big Call Dinar Intel Thursday Night 8-29-24   REPLAY LINK   Intel Begins   1:02:02

https://www.freeconferencecallhd.com/wall/recorded_audio?audioRecordingUrl=https%3A%2F%2Frs0002.freeconferencecall.com%2Fstorage%2FsgetHD%2FHsCgW%2FH5SS

Bruce’s Big Call Dinar Intel Tuesday Night 9-3--24  REPLAY LINK  Intel Begins 1:04:04

https://www.freeconferencecallhd.com/wall/recorded_audio?audioRecordingUrl=https%3A%2F%2Frs0002.freeconferencecall.com%2Fstorage%2FsgetHD%2FHsCgW%2FH5Uy

Bruce’s Big Call Dinar Intel Thursday Night 8-29-24   REPLAY LINK   Intel Begins   1:10:50

https://www.freeconferencecallhd.com/wall/recorded_audio?audioRecordingUrl=https%3A%2F%2Frs0002.freeconferencecall.com%2Fstorage%2FsgetHD%2FHsCgW%2FH5jv

Bruce’s Big Call Dinar Intel Tuesday Night 8-27-24  REPLAY LINK  Intel Begins 1:19:19

https://www.freeconferencecallhd.com/wall/recorded_audio?audioRecordingUrl=https%3A%2F%2Frs0002.freeconferencecall.com%2Fstorage%2FsgetHD%2FHsCgW%2FH5Dy

Bruce’s Big Call Dinar Intel Thursday Night 8-22-24   REPLAY LINK   Intel Begins   1:32:32

https://www.freeconferencecallhd.com/wall/recorded_audio?audioRecordingUrl=https%3A%2F%2Frs0002.freeconferencecall.com%2Fstorage%2FsgetHD%2FHsCgW%2FHhEg

More News, Rumors and Opinions Wednesday Afternoon 9-18-2024

KTFA:

Clare:  Launch of the Iraqi-Azerbaijani Businessmen Forum in Baku

9/18/2024

The Azerbaijani capital, Baku, witnessed the launch of the Iraqi-Azerbaijani Businessmen Forum on Tuesday, in the presence of the Iraqi Minister of Trade, Athir Al-Ghariri, and the Azerbaijani Minister of Economy, Mikail Jabbarov.

In a speech he delivered at the forum, Al-Ghariri referred to the depth of historical relations between Iraq and Azerbaijan, and the importance of strengthening them by establishing real partnerships between businessmen from the two countries, which would contribute to enhancing economic growth, according to the Russia Today Arabic website.

Al-Ghariri called on Azerbaijani companies and investors to enter the Iraqi market and explore available investment opportunities, stressing the need to increase the export of Iraqi products to Azerbaijan.

He stressed the importance of cooperation in the field of localizing the gold industry in Iraq, where they discussed ways to benefit from Azerbaijani expertise to support and develop this vital sector in a way that serves the Iraqi economy.

For his part, Azerbaijani Minister of Economy Mikail Jabbarov stressed his country's keenness to develop trade and investment relations with Iraq.

The forum was attended by a large number of Iraqi and Azerbaijani traders and businessmen.  LINK

****************

Clare:  Is the decline in oil prices related to the rise in exchange rates? An "important" clarification from Al-Alaq

9/18/2024  Baghdad

The Governor of the Central Bank of Iraq, Ali Al-Alaq, announced today, Wednesday, that all transfers are subject to auditing processes, while he indicated that the decline in oil prices has nothing to do with the rise in the exchange rate.

Al-Alaq told the official agency, which was followed by "Al-Eqtisad News", that "the Central Bank provides the dollar at the official price to all commercial and personal channels, travelers, and all types of operations that represent legitimate activities, operations, and requests." 

He pointed out that "any price outside the country is a price that only indicates the existence of abnormal operations that attempt to deviate from the official and legal system and the correct fundamental channels," stressing the need to "focus on the amount of sales carried out by the Central Bank at the official price and those seeking the dollar, whether they are traders, importers, individuals or travelers."

He pointed out that "methods have been put in place for each channel to secure the provision of dollars on the one hand, and a very large degree of oversight to verify the integrity of the pre-operations before they are implemented," noting that "this is a major shift in foreign transfer operations, as they were previously audited at a later stage, and today all transfer operations are not carried out or implemented except after they are subject to the auditing process."

He explained that "the decline in the price of oil has nothing to do with the rise in the exchange rate because Iraq has foreign currency reserves that enable it to defend the exchange rate."  LINK

**************

Courtesy of Dinar Guru:  https://www.dinarguru.com/

Frank26   [Iraq boots-on-the-ground report]   FIREFLY:
Saleh on television saying we will have more digital banks in Iraq than the entire surrounding region of the Middle East.  They're saying the new banking reform will eliminate the black market.  FRANK:  BOOM!  There it is.  There it is.  There it is.

Militia Man The digital transformation is here and it's only going to grow and grow and grow in totality...When they're going from a cash economy to a digitized cashless economy, is going to have what?  Article VIII compliant currency on an international global Forex market.  That's what we should expect at any time...

LIONS! TODAY WE ROLL! CRITICAL UPDATES: REAL ESTATE, STOCKS, GOLD, SILVER, CRYPTO, MORE.

Greg Mannarino:  18-2024

https://www.youtube.com/watch?v=qf3KyjWmW2Y

Fed’s Biggest Rate Cut in Years; Here’s Why it Will Wreck the Economy

Daniela Cambone:  9-18-2024

"There's a possibility that we may need a currency alternative to the dollar, because the central banking system is trying to make it collapse," says Todd Bubba Horwitz, founder and CEO of Bubba Trading.

 In an interview with Daniela Cambone, he criticizes the Fed for its irresponsible actions of printing money to stimulate the economy.

 "If you recognize the definition of a Ponzi scheme, you create new money to satisfy old debt, which is what we've done." He also comments that people are spending more than they make, making the case for the precarious situation with consumer debt hitting record highs.

 Horwitz maintains his bullish outlook on gold and silver, predicting the precious metals to go higher this year.

https://www.youtube.com/watch?v=JRvWGT9VnVs