WHISTLEBLOWERS: Biden Implicated In Dominion Voting Scam Connected To Serbia

 From National File

High-level whistleblowers exclusively tell NATIONAL FILE that Dominion Voting Systems has been a “national security threat” for years and its machines, programmed in Serbia, are known for vote-flipping like the kind that Dominion was caught engaging in during the 2020 presidential election in Michigan. According to whistleblowers, Democrat presidential candidate Joe Biden personally visited Serbia to take part in a scheme that gave Democrats control of America’s Dominion voting machines in coordination with Eric Holder’s Justice Department. The plot is also linked to the Chinese, the Clinton Foundation, and George Soros. This article will take you through the entire globalist plot, step by step.

Dana Jill Simpson and her husband Jim are election integrity and technology experts who have worked for Tides Foundation insiders (the Tides Canada Foundation shares office space in Toronto with Dominion Voting Systems’ headquarters). They are both anti-war progressives in the Bernie Sanders wing of the Democrat Party. Dana Jill Simpson has been investigating Dominion for years, and she brought her concerns about voter fraud to the FBI in 2016 — including information about Dominion — but the FBI ignored her pleas for help. Simpson said the scanners for Dominion are made by a company called Flextronics in Plano, Texas, whose CEO does business with the Chinese company Huaewei.

The Obama-Biden administration literally gave Dominion its market share through a 2010 forced divestiture.

A March 8, 2010 press release from Eric Holder’s Department of Justice entitled “Justice Department Requires Key Divestiture in Election Systems & Software/Premier Election Solutions Merger” announced that DOJ was forcing a divestiture of election technology from a top company. Dominion ended up getting that technology and thus nearly a third of the electronic voting systems market in America.

“Jim and I as an election team working for Harvard lawyer Cliff Arnebeck located all the DOJ Documents to prove how Dominion Voting owes it 30% Market share to an Obama-Biden DOJ Antitrust division sale done by Eric Holder. No party running for office should have any ties to a company but Biden while in office with Obama let Eric Holder handle this sale to their pet company Dominion . That my friends is as corrupt as it gets,” Dana Jill Simpson said.

The Science Defies Politics blog reported: “It is not clear what products or services the company has developed. It found almost no buyers, until Obama was elected in 2008. In 2009, New York ordered a few dozens of systems from it. In 2010, Obama’s DOJ (Holder – Mueller) took the EVS unit, purchased from Diebold, away from the market leader ES&S, and gave it to Dominion. This gift included the installed base of about 30% of the US electronic voting systems (EVS) market. Within two weeks, Dominion also acquired Sequoia, which was formally spun from Smartmatic, but ties between these two companies remained. Smartmatic is a UK based EVS vendor, whose software was used by Chavez to “win” the Venezuelan referendum in 2004. Smartmatic’s unit Sequoia faced troubles in the US. Those troubles quickly ended when its assets were purchased by Dominion.”

THE DOMINION VOTING TECHNOLOGY IS PROGRAMMED IN SERBIA

BIDEN IN BELGRADE

“I got a tip that Biden took a Trip on May 20th 2009 and that is when he cut a deal to help Serbian Hackers in Belgrade where he was visiting to get control of info about ES and S Machines so he and Obama would have a better chance in 2012. Well, not only did they get a better chance but Biden had Holder force ES and S in a divesture suit in the Antitrust department in the US DOJ to give over half of ES and S to Serbian programmers for Dominion Voting Systems. Such a disgusting situation,” Dana Jill Simpson said. The date for Biden’s May 2009 Serbia trip checks out.

Biden is good friends with the Serbian Crown Prince, who has prematurely congratulated Biden for supposedly getting elected president. They have visited each other at their respective houses.

Here is Biden in Belgrade in 2016

SERBIA

Dominion programmers in Serbia have been scrambling to hide their LinkedIn accounts.

Infowars reported: Screenshots show over 100 employees of the controversial voting machine company Dominion have deleted their LinkedIn profiles. On November 6th, the LinkedIn page for Dominion showed 243 employees on the site and by November 16th, only 140 remained…Why are Serbian software engineers in charge of a product being used in American elections?”

“I have one goal in this election and it is to destroy Dominion Voting,” Dana Jill Simpson said.

“Anyone who stands up for this machinery is nuts and they are misleading the public about where the equipment is made. I know I have been to the Denver office and all it does is sell foreign programmed machines to US voters like they were made in Denver when they are not . The New York Times and Washington Post are misleading the public with lies. I double dare those papers and any papers in the world or other Media to visit the Denver office and then say machines and programs are made there. It is a bald face lie. The Machines are made by Flex in China for the most part and the programming is done in Serbia and Canada and the International Corporation is Barbados. They have direct ties to Clinton Foundation in Delian Project,” Dana Jill Simpson said.

“This machinery not only stole the election from Trump but also Bernie . This bunch in Serbia and Canada of Dominion Computer Programmers hackers works with Hillary and with the UN on overthrowing Foreign Countries with the Delian Project,” Simpson said.

HERE IS THE OFFICE WHERE DOMINION MACHINES ARE PROGRAMMED IN SERBIA

CLINTON FOUNDATION

A Clinton Foundation website item states:

In 2014, Dominion Voting committed to providing emerging and post-conflict democracies with access to voting technology through its philanthropic support to the DELIAN Project, as many emerging democracies suffer from post-electoral violence due to the delay in the publishing of election results. Over the next three years, Dominion Voting will support election technology pilots with donated Automated Voting Machines (AVM), providing an improved electoral process, and therefore safer elections. As a large number of election staff are women, there will be an emphasis on training women, who will be the first to benefit from the skills transfer training and use of AVMs. It is estimated that 100 women will directly benefit from election technology skills training per pilot election.

Dominion Voting Systems shares an office floor with the George Soros-funded left-wing Tides Foundation in Toronto, NATIONAL FILE has learned. Our tipster makes clear that “Soros people” are very close with Dominion, which has partnered with a voting technology company chaired by one of left-wing billionaire George Soros’ best friends and associates. Dominion was caught flipping votes from President Donald Trump to Joe Biden in the 2020 election, and Trump has cited data to accuse Dominion of widespread vote-flipping and vote-losing in key states. Dominion is headquartered in Toronto and has a U.S. office in Denver.

The Robertson Building’s Directory of Tenants shows that Dominion Voting is listed at both Suite 200 (the suite Dominion lists publicly) and also Suite 370, which places it in neighborly range of the Tides Canada Foundation in suite 360. Tides Foundation in America, based in San Francisco, created and financially supports Tides Canada Foundation. The Tides Foundation has reportedly received more than $20 million in donations from George Soros’ groups, and Tides shares Soros’ vision for a radical left-wing makeover of Western civilization and the world. Tides has given out money to numerous left-wing groups including ACORN and Project Vote and recently created the Black Lives Matter Support Fund.

More evidence is here:

This is just one link between Dominion Voting Systems and George Soros. Access Wire reported that “Dominion entered into a 2009 contract with Smartmatic and provided Smartmatic with the PCOS machines (optical scanners) that were used in the 2010 Philippine election, the biggest automated election run by a private company.”

Smartmatic is chaired by Mark Malloch-Brown, who is good friends with George Soros and even called Soros his landlord at a five-bedroom house in Westchester County, New York. Malloch-Brown has worked with Soros on various projects including as vice chairman of the Open Society Institute and also Soros Fund Management. Mark Malloch-Brown is listed as a Global Board Member of George Soros’ Open Society Foundations. Here is Malloch-Brown photographed with his friend George Soros:

Nancy Pelosi-linked Dominion Voting Systems is under harsh condemnation from President Donald Trump and his supporters after reported vote-counting malfunctions in many of the key states.

President Trump cited data reported by OANN’s Chanel Rion to state that Dominion flipped votes from Trump to Biden or lost Trump votes in massive margins in states including Pennsylvania and Georgia, where the flipped/lost vote total is higher than Joe Biden’s supposed “leads.” Dominion raised flags when officials were forced to admit that the system flipped 6,000 votes in Michigan from Trump over to his Democrat counterpart Biden. But data shows the problem to be much worse and more widespread. NOQ Report has a deep dive into the Dominion data cited by President Trump.

Bloomberg reported that Dominion “hired … a high-powered firm that includes a longtime aide to Speaker Nancy Pelosi. … Dominion’s first-ever lobbying firm is Brownstein Farber Hyatt and Schreck. Nadeam Elshami, Pelosi’s former chief of staff, is one of the lobbyists on the account.”

Dominion Voting Systems also hired the notorious Democrat political organizing operation Act Blue.

Even Democrats harshly investigated Dominion Voting Systems for its well-documented lack of security and for using Chinese parts.

An Elizabeth Warren press release dated December 10, 2019 documents that Warren and fellow Democrat senators Amy Klobuchar and Ron Wyden investigated and exposed Dominion Voting Systems among two other election software systems owned by private equity.

“The three vendors — Election Systems & Software, Dominion Voting Systems, and Hart InterCivic — collectively distribute voting machines and software that facilitate voting for over 90% of all eligible voters in the United States. Private equity firms reportedly own or control each of these vendors, which “have long skimped on security in favor of convenience,” leaving voting systems across the country “prone to security problems,'” the press release stated, citing election security experts.

Even NBC News reported: “The source of the nation’s voting machines has become an urgent issue because of real fears that hackers, whether foreign or domestic, might tamper with the mechanics of the voting system. That has led to calls for ES&S and its competitors, Denver-based Dominion Voting Systems and Austin, Texas-based Hart Intercivic, to reveal details about their ownership and the origins of the parts, some of which come from China, that make up their machines.”

House Democrats then went after Dominion Voting Systems in a 2020 hearing, with Rep. Zoe Lofgren blowing the lid off the Chinese parts used by Dominion.

Soros-Connected Company Has Provided Voting Technology In 16 States

 From Daily Caller

Smartmatic, a U.K.-based voting technology company with deep ties to George Soros, has provided voting technology in 16 states including battleground zones like Arizona, Colorado, Florida, Michigan, Nevada, Pennsylvania and Virginia. Other jurisdictions affected are California, District of Columbia, Illinois, Louisiana, Missouri, New Jersey, Oregon, Washington and Wisconsin.

Its website includes a flow-chart that describes how the company has contributed to elections in the U.S. from 2006-2015 with “57,000 voting and counting machines deployed” and “35 million voters assisted.”

After this report’s publication, Smartmatic updated its website to remove the flow chart and declare that “Smartmatic will not be deploying its technology in any U.S. county for the upcoming 2016 U.S. Presidential elections.”

In 2005, Smartmatic bought-out California-based Sequoia Voting Systems and entered the world of U.S. elections.

According to Smartmatic’s website, “In less than one year Smartmatic tripled Sequoia’s market share” and “has offered technology and support services to the Electoral Commissions of 307 counties in 16 States.”

In 2007, Smartmatic announced the sale of Sequoia “given the difficult climate in the United States marketplace, tainted by a non-stop debate against foreign investment, especially in the election technology area.”

Among the “case studies” that Smartmatic lists on its website as examples of its work are Venezuela, where it has been facilitating elections since 2004 when it “won a bid to provide Venezuela with a reliable voting system.”

 It also lists Cook County, Illinois as another success story, when in “in 2006, Smartmatic signed what at the moment was the largest election automation contract in US history.” Cook County includes Chicago and its suburbs, a geographic zone that has historically and lately been subject to criticism for voter fraud.

The chairman of Smartmatic is Lord Mark Malloch-Brown, who sits in the British House of Lords and on the board of George Soros’s Open Society Foundations. He was formerly the vice-chairman of Soros’s Investment Funds and even the deputy secretary-general of the United Nations when he worked as chief of staff to Kofi Annan.

Malloch-Brown’s resume includes stints as vice-president of the UN World Bank and in British Prime Minister Gordon Brown’s cabinet.

In addition to a close relationship with Soros, Malloch-Brown has worked with consulting firms that are well-connected to Bill and Hillary Clinton. He was an international partner with the Sawyer-Miller consulting firm and was a senior adviser to FTI Consulting.

One of Sawyer-Miller’s alumni is Mandy Grunwald, who ran the firm’s communication contract for Bill Clinton’s 1992 presidential run. She was also the head of communications for Hillary Clinton’s unsuccessful 2008 presidential bid.

Jackson Dunn, who is a senior managing director with FTI Consulting, spent 15 years in Washington where he worked as an aide to President Bill Clinton and Sen. Hilllary Clinton.

Smartmatic has already encountered controversy in the ongoing presidential contest. It ran the online balloting for the Utah Republican caucus last March, when many critics said it was impossible to secure personal electronic devices that are used to register and vote.

This report has been updated to include statements by Smartmatic after publication.

Shrem: Bretton Woods 2.0 Is Knocking At The Door, And It's Not Here To Help

 Authored by Charlie Shrem via CoinTelegraph.com,

A second Bretton Woods era will be even more centralized and even further from a true democracy...

image courtesy of CoinTelegraph

Barely 100 years ago at the start of the 20th century, people were able to exchange dollars for gold at their local bank. While gold was too hard to trade between people, banking institutions held gold and gave people cash for it. This was during what was known as the gold standard. Each sovereign currency’s value was determined relative to a fixed amount of gold. However, in the decades ahead, that standard quickly changed.

Toward the end of World War II, dozens of powerful people organized a meeting to discuss a new monetary agreement designed to minimize the economic damage done by the war. This meeting was named after the location where it took place: Bretton Woods, New Hampshire, in the United States.

It was a long-term plan with several parts that spanned over decades. And the Bretton Woods delegates decided that multiple fiat currencies would now be backed by the U.S. dollar as opposed to gold itself. At first, the dollar proved to be stable enough to support the Bretton Woods agreement in 1944 — until it wasn’t in the decades ahead. During the Vietnam War, President Richard Nixon called for more money. There wasn’t any more money in circulation. So, he started printing.

In 1971, President Nixon ended the dollar’s convertibility to gold, which effectively ended the Bretton Woods agreement after nearly 30 years.

The removal of the gold standard turned each country’s fiat currency into a floating exchange rate that was no longer fixed. Money was not measured by the dollar anymore; now, each currency was measured in relation to every other currency, with prices that constantly changed, creating foreign exchange market volatility.

Bitcoin as an opposition

Today, one asset that fiat currencies are measured against is Bitcoin (BTC). As I mentioned in 2019, I think Bitcoin is the best investment when it comes to currencies in the sense of sound money.

In certain countries — such as Brazil, Argentina and Venezuela, to name a few — Bitcoin’s price is currently at an all-time high compared with their national fiat. Relatively speaking, that’d be equivalent to Bitcoin price already being around $20,000.

The problem is that Bitcoin is not ready to be a monetary system in and of itself. Most people who have Bitcoin are just holding it — they’re not selling it or using it as currency due to its potential to rapidly appreciate, despite the downside risks.

Bretton Woods 2.0

Meanwhile, the International Monetary Fund is now calling for a second Bretton Woods era to be announced in 2020. This would establish the Special Drawing Right, or SDR, as the new reserve currency as opposed to the U.S. dollar. The SDR serves as the most stable investment option for the IMF. Its value consists of the top five global fiat currencies as a protection against volatile movements in forex markets. The problem with the SDR approach is that it could make the economic situation even worse than it is today.

History has shown that when people have an inflated amount of power with regard to money, they will use it. Just look at President Nixon during the Vietnam War and the original Bretton Woods agreement in the mid-20th century. Even worse is that now, nearly all central banks are printing more money, which in turn leads to inflation as fiat currencies lose their purchasing power.

We can’t have a single powerful entity with the power to print itself out of temporary trouble, especially while it would be putting us in future debt that would be impossible to manage. This is the opposite of democracy, where only a few people control big monetary decisions that affect everyone. Cryptocurrencies like Bitcoin aim to solve this dilemma, thanks to their limited supply, among other favorable qualities inherent in blockchain technology.

Blockchain tech has a solution

Blockchain has raised our standards to expect decentralization in the institutions that are meant to serve us. True decentralization is reached when the hierarchy is broken. Everything becomes transparent, and incentives are offered to push the system forward in the right direction.

Sogur, for example, is a startup tackling the ambitious challenge of creating a new monetary system based on its cryptocurrency SGR that models the SDR while leveraging blockchain and an intelligent economic design advised by world-renowned economists.

I like the idea of currency baskets that serve as a much more reliable, stable means of exchange. I don’t like that the IMF gets endless decision-making power over our global monetary system. Blockchain-based solutions are different — they have a foundation that’s governed by an assembly and, for example, can give SGR holders veto power over every decision at any given time.

Blockchain technology can combine the elements of decentralized governance into a classical corporate structure, in order to comply with international laws and Anti-Money Laundering requirements, while using a smart-contract-based bonding curve to tame inflation and volatility, which remain two of the biggest problems with traditional fiat currencies that can be solved.

The "Global Reset" Scam

 Authored by Alasdair Macleod via GoldMoney.com,

This article takes a tilt at increasing speculation about statist global resets, and why plans such as those promoted by the World Economic Forum will fail. Central bank digital currencies will simply run out of time.

Instead, the collapse of unbacked fiat currencies will end all supra-national government solutions to their policy failures. Already, there is mounting evidence of money beginning to flee bank accounts into stocks, commodities and even bitcoin. This is an early warning of a rapidly developing monetary collapse.

Moreover, nothing can now stop the collapse of fiat currencies, and with it schemes to control humanity for the convenience and ambitions of government planners. There can only be one statist solution and that is to mobilise gold reserves to back and save their currencies, which in order to succeed will have to be fully convertible into circulating gold coinage. It will also require the role of governments to be reset into a non-welfare, non-interventionist minimalist role, which can only be achieved after a complete collapse of the current fiat-financed system.

Anything less will fail.

The Deep State and The Blob fuel conspiracy theories

Increasingly, people are beginning to realise that their world is undergoing a period of rapid change, with the future of fiat money now uncertain. For most, it is too difficult to even contemplate. But growing uncertainties are driving wild speculation about what those in authority now have in store for the human race in the form of a global reset. It is a time for conspiracy theorists, aided and abetted by our politicians and central bankers who are being increasingly evasive, because events are spiralling out of their control.

Then there is America’s Deep State, or the British equivalent, the more recently christened Blob; an amorphous entity comprised of the permanent bureaucracy with its own agenda. These faceless planners have moved on from merely making ministers’ lives difficult if they deviate from the blob’s predetermined course — immortalised in “Yes Minister” and its sequel series “Yes Prime Minister”.

As we saw with Brexit, The Blob has been rigging political outcomes, even conniving in elections. Christopher Steele, an ex-MI6 officer produced a dodgy dossier on Trump to influence the American presidential election in 2016. But there is no such thing as an ex-MI6 Agent because of the Official Secrets Act, so we can only conclude that the intelligence arm of The Blob sanctioned it on a distanced basis. MI6 works with other intelligence agencies under the five-eyes agreement and is close to the CIA. Though they do not necessarily share intelligence, it is impossible to conceive of Steele’s role in influencing the outcome of a US presidential election without the CIA’s knowledge. Almost certainly, the fact that it was commissioned must have been with the CIA’s blessing.

At the time of writing, we do not know the outcome of the current presidential election, but enough doubt has been thrown on the validity of the voting process to implicate unknown parties in managing the outcome. It can never be proved, but for increasing numbers of sceptics it looks like a Deep State operation. It is therefore hardly surprising that conspiracies abound.

The World Economic Forum

The most prominent of these conspiracies has hit the headlines in recent weeks. Its ambition is to take the lead in resetting the world by dismantling the capitalist system in favour of a greater technocratic rule — a fourth industrial revolution no less, even planting microchips in humans to read their brains and control them. The leader is one Klaus Schwab, whose World Economic Forum runs the annual Davos bunfight.

As leader of the Davos forum, Schwab probably sees himself as the coordinator of world government. If so, at 82 years old he is probably getting impatient about the progress towards his personal vision of ultimate power. The covid chaos and the success of his climate change agenda must be encouraging him to think he is very close to a breakthrough. Alternatively, we might consider Schwab as a latter-day Charles Fourier (1772—1837), the utopian socialist philosopher, whose forgotten ideals were only marginally more narcissistic and bizarre than Schwab’s.

While the great and the not so good love the annual Davos party as a networking venue for the politics industry, when it comes to transferring real power to Schwab, it’s a no-no. The only time a politician transfers power is when he is deposed by his or her electorate, colleagues, or the military. And history is littered with utopians, like Schwab, grasping for power over their fellow men. In addition to Charles Fourier, we can include Georg Hegel (1770—1831) and Auguste Comte (1798—1857), as well, of course, as Karl Marx. As thinkers or philosophers, they were all influential in their day and some of their ideas persist in the naïve.

So, while increasing numbers of well-informed people are beginning to sense the end of the current world order, to assume that this will hasten the WEF’s grab for world domination by influencing events is a mistake. All our deep states, blobs and their branches, particularly central banks, will want to hold onto and enhance their executive power with the political class increasingly cast as cover. The planners at national level are not going to submit to Mr Schwab’s plans for world domination. Instead, international relations involve mutual cooperation to secure purely domestic objectives, something President Trump was in the process of destroying. From the Deep State’s point of view, perhaps that’s why he had to be deposed in favour of Biden, who is a long-serving compliant figure.

Central bank digital currencies (CBDCs)

There can be little doubt that central banks wish to increase their control over money and how it is used, cutting out the obstacle of commercial banks who produce most of the money in circulation through the expansion of bank credit. From a statist point of view, commercial banking is a dinosaur, an outdated remnant of free markets, perpetuating needless systemic risk and superseded by technology. Branch networks will disappear with cash, changing relationships between banks and the general public for ever.

By introducing direct central bank accounts for members of the public and every business, commercial banks become superfluous and can be allowed to die. And if one goes bust before commercial banking has ended, the facility to transfer all its loans and deposits onto a central bank’s books will then exist. The removal of systemic risk by the abolition of commercial banks is one of several likely long-term objectives of CBDCs. Commercial banks can be left with the role of investment banking activities in capital markets.

We can imagine the development of CBDCs going even further than just replacing cash. Stimulation by dropping money into personal accounts can be used to target increased spending by consumers, or even groups of consumers, sorted by wealth, location or other factors. Some consumers can be favoured relative to others, so in a swing state, for example, an incumbent administration might buy votes. While this would be strongly denied, as we have seen with unfettered fiat currency the state creeps incrementally towards unstated objectives, using every tool at its disposal. The election of Deep State-approved politicians then becomes possible.

Eventually, funding of all capital projects will come under the direct control of the central bank. And savings deposits, always seen to be a brake on consumption, can be banished. Capital can be made available for government schemes and favoured businesses on the say so of the central bank.

A future government statement might be issued on the following lines:

“Your Government is pleased to announce that the National Audit Office has approved a number of infrastructure projects targeted at improving communications between administrative centres. This investment over ten years will secure an estimated 500,000 jobs. The cost over the life of the project is XXX billion monetary units. The Central Bank has confirmed it will make funding for these projects available, both to your Government and approved private sector contractors.”

This would be a planners’ heaven. Furthermore, CBDC money can be withheld or frozen for anyone suspected of crimes and tax evasion, starving them into confessions of guilt. The justification is always that it is in the national interest to ensure that financial and tax crimes are eliminated — something commercial banks have singularly failed to do. Overseas payments can be routed through other CBDCs, giving the central banking network control over world trade. Just imagine foreign trade being conducted through a grander version of the Eurozone’s TARGET2 settlement system!

Worried yet? In the advanced economies Covid-19 has nearly eliminated cash, which doubtless is intended to be replaced entirely by CBDCs. The end of cash and bank deposits will allow the central bank to cap the amount of cash anyone can hold, and also ensure that everyone is paid a “living wage”. Already flagged, another intention is to eliminate the burden of interest rates and by controlling where money supply is expanded, manage the economy.

It is commonly assumed that those in charge of us know what they are doing — they don’t. They have become trapped at a socialist endpoint and are doubling down in their efforts towards greater socialism. But their dreams of future control are mere escapism. Individuals will lose yet more personal freedom, but ultimately the state cannot conquer human nature and the will of individuals to do what they want. The Soviets attempted it and failed, despite killing and starving many millions.

Central to the collapse of any state-directed reset will be the loss of faith in fiat currencies, and particularly that of the world’s reserve currency, the US dollar. This remains the case irrespective of whether circulating currency is in cash, bank deposits, or CBDCs. Indeed, the collapse could be hastened by CBDCs, because the intention is to increase the pace of injection of new money into the economy if it is required (it always is), and to impose deeper negative interest rates, which cannot be easily achieved under the current monetary system.

If these statist intentions are allowed to prevail, along with other agendas such as the elimination of cheap and effective fossil-based energy, the outlook for humanity is exceedingly grim. Like communism, the global reset into which the western world is drifting will destroy society. Those who believe in liberal values in the original sense of the term — not the modern socialist connotation — will find themselves welcoming the destruction of the current system before it is evolved any further.

The course of a currency collapse

The end of fiat currencies is likely to come sooner than later, from the consequences of today’s massive money-printing, particularly of dollars. Already, US government spending is financed substantially more by currency debasement than taxes, a condition that will almost certainly continue to deteriorate rapidly in the coming months. Furthermore, the global banking system, which is extremely thinly capitalised, faces a tsunami of bad debts which can only lead to a systemic failure — most likely in the Eurozone initially, but threatening all other jurisdictions through counterparty risks. It is coming to a head and is likely to happen soon, possibly triggered by the second covid wave.

Long before the two or three years required for any CBDC to be operational, the world’s reserve fiat currency, the US dollar, is already hyper-inflating. There are signs the markets are beginning to understand this. Bitcoin’s price has risen sharply, sending signals to everyone that the differential between its ultimately fixed quantity and the accelerating rates of fiat currency debasement is feeding dramatically into the price.

Despite the economic slump, equity markets are being driven to new highs as non-financial customers deem stocks to be preferable to bank deposits. It has not helped that the Fed reduced deposit rates to zero last March, well below everyone’s time preference. The Fed has also promised infinite QE in order to fund the fiscal deficit. Therefore, it is not surprising that individuals and corporations are shifting out of cash balances into financial and other assets, with the notable exception of fixed-interest bonds. Rising commodity and raw material prices are also telling us that dollars are been sold in those markets.

This is the point being missed in all commentaries: the mounting evidence that markets, being forward-looking, are beginning to abandon the dollar. And once it goes beyond a certain point, nothing will reverse a rapid loss of purchasing power to the point of worthlessness. To avoid this outcome central banks led by the Fed must immediately abandon inflationary financing of budget deficits.

That is not going to happen. In addition to the current hyperinflation must be added the inflationary cover for the costs and consequences of rescuing a failing global banking system. The costs are immediate, in that governments will take on their books everyone’s bad debts. The consequences are that through their central banks they will have no political alternative other than to counter the economic slump through yet more money printing.

US Treasury bond yields are already beginning to rise, perhaps reflecting this developing outcome as Figure 1 shows.

The up-arrow at the bottom-right of the chart shows that the downward momentum for the bond yield has reversed, forming a golden cross; that is to say the yield is above its two commonly followed moving averages which in turn are forming a cross with the 55-day moving average rising above the 200-day moving average, a strong indicator of a major turning point and of higher bond yields to come. The upward turn of bond yields is to be viewed in the context of the dollar’s trade weighted index, which is shown in Figure 2.

Currently standing at 92.40, if the dollar’s TWI breaks below 91.75 (the low on 1 September) it is likely to head significantly lower. With foreign holdings of dollars and dollar denominated financial securities totalling almost $27 trillion, the chances are that dumping of the dollar on the foreign exchanges will increase rapidly. That being the case, the Fed will not only be funding the unprecedentedly high (for peacetime) budget deficit but will have to absorb foreign sales of US Treasuries and dollars in order to keep the cost of government funding suppressed.

Evidence is mounting that it cannot be done. And with the end of the suppression of interest rates comes the collapse of accumulated malinvestments, of government finances, and of the currency itself.

First the ashes, then, hopefully the phoenix

Elected in 1929, Hoover was the first US President who thought he could improve on the capitalist system of markets reforming themselves, and the results were a disaster. He was thrown out of office and replaced with another interventionist, Roosevelt, and the supremacy of the US Government over markets reforming themselves became established. The situation today is the logical destination of the fallacy that governments can run the economy.

It will end with the collapse and replacement of today’s unbacked fiat currencies — the ashes and then the phoenix. There is every indication that the time when all is rendered into ashes is rapidly approaching. People with fiat, earning fiat, relying on fiat will be impoverished. A currency collapse with no foreign currency to escape into is a cataclysmic event, the like of which we haven’t seen before, not even in Roman times. If it doesn’t buy you food and warmth a million bucks is worthless.

Governments will also have no means of collecting taxes, other than in their worthless currencies. They will be unable to pay their administrators, who cannot even afford to attend their offices. Their pensions and everybody else’s will be worthless. There will be no incentive for anyone in government without money. And without money there is no political power.

There can only be one solution, and that is a reset with gold. The slide in currencies can be stopped by making them exchangeable into gold. The reason for a gold-backed reset is not so much to stop a fiat currency from further collapse but to use it to ensure the widest distribution of the national gold reserves through a reformed gold-backed currency. The US Treasury claims it still has over 8,000 tonnes of gold, which assuming the Deep State hasn’t raided it, can ensure that a new dollar, convertible by everyone into gold, can circulate as money.

The same is true for other currencies, to greater or lesser degrees depending on their national gold reserves. But to be credible, gold coins must also circulate freely alongside readily convertible paper and digital substitutes. The banking system must also be reformed to do away with bank credit expansion, which creates deposits unbacked by gold. By then most of them may be in public ownership or protection, so a reform to abolish bank credit expansion should not be too difficult.

The mobilisation of central bank gold is the best outcome by far. It returns the choice of money to the people who use it for the intermediation between their production and consumption. But very few in government, their Deep States or The Blobs, have the intellectual capacity to understand what needs to be done. Their advisors are inflationists to a man or woman. Furthermore, the US’s Deep State is obsessed with the threat from China and Russia, which between them control international bullion markets (London and Comex are just paper), and have substantial declared and undeclared reserves. Legitimising gold will transfer enormous monetary and geopolitical power from America to the Asian hegemons, which is likely to be strongly resisted.

Furthermore, it will require governments to backtrack on the socialising process, whereby by providing welfare and regulating everything their budgets got out of hand. They must aim to reduce the full burden of their activities on the economy to under 20%.

Following a currency collapse, any central bank that thinks it can use a CBDC to manage market outcomes will undermine its own credibility. Other than issuers of gold-backed notes, they will have no role. In order for the necessary reforms to stick, flights of fancy such as the statist ambitions of planners and of the Klaus Schwabs of this world must be abandoned, along with all the false sciences adopted by statists. But on the positive side, a collapse of fiat currencies is required to sweep away the current failing system, and sooner or later that is what we are going to get.