The qualities of good money:
- Homogeneity
- Cognizability
- Divisibility
- Durability
- Acceptability
- Portability
- Stability
Before there was the current fiat “debate” that claimed that “maybe” printing Federal Reserve Notes out of thin air was “no way to run an economy long term”, there was a much older debate about bimetalism.
We know that the Fiat dollar, whose backing instrument of debt is fundamentally secured not by oil but by war, is an immoral system. This is obvious to any awakened non-NPC. What most of us likely don’t know is how things had happened before that to allow our economies to such a point of fiat currency in the first place. Likely some of us know fiat has occurred in other places at specific times - the civil war greenback, the continental currency of the American Revolution, in China with the Tang dynasty
https://hardmoneyhistory.com/history-of-fiat-currency
In 1792, Secretary of the Treasury Alexander Hamilton proposed fixing the silver to gold exchange rate at 15:1, as well as establishing the mint for the public services of free coinage and currency regulation "in order not to abridge the quantity of circulating medium".[26] With its acceptance, Sec.11 of the Coinage Act of 1792 established: "That the proportional value of gold to silver in all coins which shall by law be current as money within the United States, shall be as fifteen to one, according to quantity in weight, of pure gold or pure silver;" the proportion had slipped by 1834 to sixteen to one. Silver took a further hit with the Coinage Act of 1853, when nearly all silver coin denominations were debased, effectively turning silver coinage into a fiduciary currency based on its face value rather than its weighted value. Bimetallism was effectively abandoned by the Coinage Act of 1873, but not formally outlawed as legal currency until the early 20th century. The merits of the system were the subject of debate in the late 19th century. If the market forces of supply and demand for either metal caused its bullion value to exceed its nominal currency value, it tends to disappear from circulation by hoarding or melting down.
We thusly have several key dates
- 1792 by Alexander “The First Shill” Hamilton, who seems to have not dueled Aaron Burr quickly enough
- 1834, one year after Jackson ended Treasury deposits in the Central Bank (note that there is already inflation, having slipped from 15:1 to 16:1), just prior to an instance of economic warfare with the Panic of 1837 https://en.wikipedia.org/wiki/panic_of_1837
- 1853, 7 years before the Civil War
- 1873, 2 years after the very curious year of 1871, and prior to the assassinations of Garfield and McKinley (William Harrison was also assassinated in 1841, imo)
The 1870’s started a lengthy debate between Bimetalism and the Gold Standard. Unlike fiat, the bimetallism debates are likely something that far fewer of us are familiar with.
https://en.m.wikipedia.org/wiki/Bimetallism
During the Civil War, to finance the war the U.S. switched from bimetallism to a fiat money currency. After the war, in 1873, the government passed the Fourth Coinage Act and soon resumption of specie payments began (without the free and unlimited coinage of silver, thus putting the U.S. on a mono-metallic gold standard.) Farmers, debtors, Westerners and others who felt they had benefited from wartime paper money formed the short-lived Greenback Party to press for cheap paper money backed by silver.[27] The latter element—"free silver"—came increasingly to the fore as the answer to the same interest groups' concerns, and was taken up as a central plank by the Populist movement.[28] Proponents of monetary silver, known as the silverites, referred back to the Fourth Coinage Act as "The Crime of '73", as it was judged to have inhibited inflation, and favored creditors over debtors. Some reformers, however, like Henry Demarest Lloyd, saw bimetallism as a red herring and feared that free silver was "the cowbird of the reform movement", likely to push the other eggs out of the nest.[29] Nevertheless, the Panic of 1893, a severe nationwide depression, brought the money issue strongly to the fore again. The "silverites" argued that using silver would inflate the money supply and mean more cash for everyone, which they equated with prosperity. The gold advocates claimed that silver would permanently depress the economy, but that sound money produced by a gold standard would restore prosperity.
It may be known that there is a lengthy history of World Reserve Currencies dating back to either 1400’s Portugal or 1400’s Florence, Italy, but how was control maintained over that system that there could be a “reserve currency” in a metals-based monetary trade?
- 1893, “Gilded Age”, Panic of 1893, Cleveland possibly installed between Harrison and McKinley, Chicago World Fair
- 1893, Ingersol Lockwood writes Baron Trump’s Marvellous Underground Journey
If anyone wanted some sort of denouement to this post, to this point it is more of a walking through of some aspects of the history of money that likely few of us are intimately familiar with, least of all myself. Where it is pointing to, though, is more research.
You’ve likely all seen the old late 1800’s/early 1900’s Rothschild octopus, in some form or another, but likely the one that shows the institutions that it had captured early on.
- with details: https://files.catbox.moe/j0v0aa.jpeg
- with Florence: https://files.catbox.moe/jh2378.gif
- the other octopus: https://files.catbox.moe/i9sdvh.jpeg
In u/bubble_bursts ‘s thread, I posted a different version of this octopus to u/FractalizingIron who asked the age of it
Thread: https://greatawakening.win/p/19AKYS87K2/a-sobering-thought-about-us-aid-/
worldwide octopus: https://files.catbox.moe/vlqrmn.jpeg
Turns out, that image is from 1894, at which point the Rothschild’s were already well-entangled all over the world. What fascinated me and prompted this post though, was that I found the source book.
https://archive.org/details/bub_gb_6iYMAQAAIAAJ/page/n59/mode/1up
If we are looking at a resource-based future monetary system, it would likely be smart of us to read up on what was happening with the older bimetallic systems that caused their failures to lead us, not just through 6 or 7 host nations over a 600+ year span, but to the Central Bank System of 1913 and eventual collapse into the full fiat morass we find ourselves in now. It’s behind the paywall now, but the zerohedge article about London’s gold being moved to NYC’s underground vaults is likely in play. https://archive.is/J2ncG
1913 did not happen suddenly.
Great writeup. Thank you.
(Hijacking top comment ...)
I think it is also helpful to know how "money" started in the first place. It can be helpful in wrapping your head around how the system works.
We know that the Roman Empire got caught up in debasing its currency 2,000 years ago. So, this is nothing new.
Waaaay back in the day, humans bartered with each other for what they wanted.
A cobbler (shoe maker) might make an extra few pairs of shoes with his spare time -- he was vary good at it and made better shoes than anyone else, which happens when you specialize in something you are already good at and like to do.
He traded his extra shoes to someone else for 1 sheep, or a half bushel of corn, or some clothes, or whatever he wanted that someone else had.
The barter system is inefficient, though. You have to (a) find someone who has what you want, and (b) they have to want what you have or can make.
Eventually, people discovered precious metals, such as gold and silver. Because they have the properties described in OP's post, they became a central bartering item.
The cobbler could now exchange his extra shoes for gold or silver, and then exchange that gold or silver for the sheep or corn.
He also now had an incentive to make even more shoes because he could exchange all of them for gold and silver, which everybody would accept, no matter what they had. He could buy real estate or clothes or horses, really anything.
But gold and silver have one big problem: They are subject to theft.
So, the "banker" was invented. The goldsmith was someone who would take your gold and silver, put it into a secure vault, and issue paper certificates that represented the value of the gold and silver you had in the vault.
Now, you could just carry paper certificates instead of the metal, and you could easily hide some of the certificates, or even not have them issued against all of your wealth, just enough as you needed from time to time.
Great system, except it also has a flaw.
The goldsmiths figured out that most people did not want certificates against all their wealth in the vault at the same time. So, they started printing extra certificates, which were not really backed by anything at all.
If there were 10,000 oz. of gold in the vault, and the customers only wanted 3,000 oz. worth in certificates, the goldsmith could easily create an extra 100 or 1,000 for themselves to use. Nobody would know that these certificates were not really backed by any wealth, because most of the gold was still in the vault.
As long as everyone else does not figure out this scam, the goldsmiths could become wealthy by just "printing money out of thin air," that is backed by nothing of real value, as the certificates would be accpted by everyone, just like the regular ones were.
If there was ever a run on the bank, they were screwed. There would be more certificates than gold in the vault.
Eventually, kings realized the power of controlling the gold. They would issue government coins that were made of gold and silver. Because they had the "stamp of approval" by the king/government, they were considered more legitimate than a private banker's promise. After all, the king had an army.
But the kings would eventually start shaving bits off those coins. It might say "One Ounce of Gold" on the coin, but it was really 0.99 ounces of gold. The king would gain extra wealth by cheating the people, just as the bankers did.
Several centuries ago, England declared that usury was illegal, due to it being prohibited in the Bible.
But the jews living there did not follow the Bible (not even the Old Testament "Torah," which they claim to follow but really don't).
So, the jews could still charge interest.
They became many of the bankers. This is why many of them still have surnames like Goldberg and Silverstein.
They cheated and stole via this monetary system as much, if not more, than anyone else previously had done.
Rothschild made it his mission in life to become a central banker to governments. He understood that central banking could make him wealthy beyond belief.
Central banks can potentially issue money out of nothing, like the goldsmiths did. If the currency is backed by gold, it is more difficult, but still not impossible. The early goldsmiths did it.
The Bank of the United States was founded in 1791. It was the US government's first central bank. It was set up by Alexander Hamilton.
Hamilton was born on St. Croix island in the Virgin Islands. At that time, it was illegal for a Christian to marry a jew. Many researchers believe that Hamilton was a jew, due to his father being a jew and his mother converting. But at that time, none of the jews living there were openly jew or jewish.
Certainly, Hamilton had friends who were jews, and had connections to the Rothschilds.
But, Congress would not renew the charter in 1811. The "charter" was a trust document. The history of trust law in England and America was that a business trust (which is what this was) usually only lasted 20 years, but could be renewed for additional 20-year periods. Congress would not renew it in 1811.
In 1812, the British declared war.
In 1816, Congress and Madison agreed to a new central bank: the Second Bank of the United States, also run by the usual suspects.
That was also for 20 years. When it was due to expire in 1836, President Jackson refused to allow it. The bankers tried to kill him.
But he prevailed, and there was no central bank from 1836 until 1913.
This was the most prosperous time in American history, and in world history.
The bankers kept pushing for it, though. They were probably behind the sinking of the Titanic in 1912, upon which prominent businessmen who were opposed to central banking had been invited to take a cruise.
It is no coincidence that the income tax (October 1913) and the Federal Reserve central bank (December 1913) laws were both passed at the same time.
The two go hand-in-hand to steal your wealth.
In 1927, the Federal Reserve converted from a trust to a corporation. The reason for this was that corporations exist perpetually, not just for 20 years. Otherwise, they would have been up for renewal, once again, in 1933 -- and every 20 years, forever.
1933 just so happens to also be the year that FDR came into office and promptly stole the gold from the American people.
Coincidence?
In 1931 (IIRC), the Federal Reserve Corporation created a subsidiary corporation called the Department of Treasury Corporation.
Whenever you hear the term "Department of Treasury" or "Treasury Department," you must ask yourself, "Is this referring to the US government's Treasury Department, or the one that is a subsidiary of the Federal Reseerve?"
Look closely at a Federal Reserve Note. First, it is a note. That means it is a negotiable instrument.
Second, it has TWO signature, which all notes must have.
One is the "Treasurer of the United States," and the other is the "Secretary of Treasury."
Although there is a federal officer called "Treasurer of the United States," the note itself is NOT a note created by the United States government. It is created by the Federal Reserve.
So, I suspect that this offical has a dual role -- works for both sides -- because one party (US) cannot legally create a note by itself. There must be two parties. There must be a borrower (United States government), and a lender (Federal Reserve, or its subsidary Treasury Department Corporation).
In 1933 (IIRC), the Treasury Department Corporation created its own subsidiary, which was called the Internal Revenue Tax and Audit Service Corporation.
That was later shortened to Internal Revenue Service, just like "Microsoft Corporation" often goes by just "Microsoft."
If you look closely at all documentation from the IRS, you will notice that it says "Department of Treasury, Internal Revenue Service."
Until recently, if you wrote the IRS a check and made it out to "Treasury Department," they sent it back and told you that you had to make the check out to "Internal Revenue Service" OR "Federal Reserve Bank."
I don't know if they still do that, or if it raised too many questions.
In 1945, post WW2, the leading world countries entered into the Bretton Woods Agreement. This made the US Dollar (i.e. Federal Reserve money) the world's reserve currency. It was still somewhat backed by gold at this time, though the price of gold was artificially fixed by government mandate.
Other countries stored their gold in the USA (just in case there's another messy war in Europe), and the USA would guard and guarantee it, by putting US Dollars into the banking systems in Europe.
By 1971, the jig was up, as the Europeans realized that someone (hmm ... who?) had stolen the gold. They demanded their gold back. They could store it at home, just fine.
But Nixon shot a middle finger at them, and the US Dollar was taken off the gold standard and replaced with the PetroDollar (we will use our military to defend your Middle East oil, as long as you use ONLY our US Dollars as the currency in which you will sell your oil).
That kept the US Dollar strong, despite no longer being backed by gold.
With the removal of gold backing, the bankers had finally made it to their wet dream: total fiat money, which they control by manipulating the money supply through expanding and contracting it.
This is their real power, not interest rates.
The Federal Reserve has never had a real audit, and they have consistiently refused such attempts.
That would be one of the biggest days in history, if Trump can audit them, and then replace them with a real world, objective standard (gold/silver, for example), and not a private system that has a monopoly on money printing.
But first, like USAID, the mask has to be taken off so the world can see who and what these ugly creatures have been all these years, decades, and centuries.
--Henry Ford
Henry Ford was based, on many issues.
Not really a comment. Lots to research here, to investigate, to uncover, no doubt. The more the beast is understood, the more vulnerable it becomes. There is a reason why 'secret societies' are secret.
Yeah, other than the background story, I feel like this post isn’t actually even written yet.
But there may be a lot of people here not familiar with even the background I gave.
Not sure who noted this a few days ago, but it’s the “root of all evil”, not because of greed, but because the evil must be funded.
Thanks for the excellent background lesson AE! 👏
Really interesting. The qualities of good money could be said to be similar to the quality of good people in a society.
Money like Government ; people get that which they deserve. We all need to deserve better.
The Hidden Secrets of Money Series is an essential watch.
Money across the ages is discussed... and why all currencies fail.
How an economy grows and why it doesn't - also available via PDF - easy read ages 8+ (search Yandex)
How an Economy Grows and Why it Doesn't
Thank you for this. I feel like I learned things.
This is a fantastic post!
I'm now reading the book that you linked, "Coin's Financial School." What a gem this is!
That was the real thing I got excited about for this. Those images float around all over the place, but nobody ever mentions the book they came from!
All the rest is just some thoughts and context that are hopefully helpful for looking at the book.
TaQo helped point out that the 1893 CWF is also possibly tied back to the organizers thinking Phoenicia/Babylon had been defeated!
Excellent research and sauce too This shows a lot of thought as well as history. We do well to know the history of a thing if we are to truly understand it. My compliments to the poster, as well as huge "Thank You".
From the ZH article:
Is this the modern day gold monster, as shown in AE's linked pic? Just sucking up all the gold? But instead of the UK being the stockpile, it's China...Is this the SAME ENTITY from the UK, using China as a proxy? Spidey sense's 8 ball says YES
Don’t know!! I saw that the other day too, and forgot about it in this post.
I love this poster. Always relevant background. Always good jump points for researching. I wish our future students have teachers after this manner.
Thank you for your work.
Oh wow, thanks!
Any currency only has as much value as a willing buyer and seller place on it. Silver and gold was "fixed" at 15:1 value; there's no inherently assignable value other than what is placed on it by humans. As a relatively rare tangible, it sure beats the "good faith and credit" of the federal government, which backs our fiat system.
Gold has a function in manufacturing, though when looking at other inherent values, perhaps alchemy points in the right direction. Think Q posts and Rothschild obsession with gold.
Q posts 194-197 cover it. Q#197 -
Ancient Egyptians considered gold “the skin of the gods” -- specifically the sun god Ra -- and often used it to craft objects of spiritual significance. Why is this relevant? Q
That “fixed” rate strikes me as the angle they attacked. If it’s fixed and silver falls below 1:15 gold, they can buy up silver, then later when it’s above that ratio, they can sell it for gold to profit.
In the meantime, assuming they had the largest gold supplies, they would be able to manipulate that market to control silver being above or below the ratio, and they could run that scheme between multiple countries concurrently, at different prices and ratios.
Meanwhile, most everybody else is just looking about their business of using whatever is there to buy fish at market, because unlike now there’s no online commodities market and entire segments of financial analysts. Hard to say what the people working the government knew or didn’t know about what they were fighting and how to best oppose it. They definitely knew something.
It’s also possible Hamilton didn’t actually suck. Michael Malice and Tom Woods have a great debate about him. Neither one is an economic lightweight. A good hard analysis on that would require a sharper commodities trading insight than I have, and possibly data we don’t have at all.
https://www.youtube.com/watch?v=OeE_s1Gw7X4
The silver:gold ratio "fix" was based upon the amount of time-money-effort expended to mine and process an ounce of each metal. It was around 12:1 for centuries. There were also varying estimates about how much actual gold and silver existed in the earth's crust - reachable - mine-able. The estimates ranged from 10:1 (liberal estimate) to 15:1 (conservative estimate) by and large.
Thus, unlike the old "London fix", which was entirely inorganic, artificial and man-made in order to facilitate manipulation and control, the Silver:Gold ratio of 15:1 essentially reflects REALITY.
And yes, the modern day PM gurus are all counting on a "return to reality" one day when the manipulation finally ends. As such, they recommend "buying the ratio", which is, as of today - roughly 88:1 - as a hedging strategy. For every ounce of gold you buy, you buy 88 ounces of silver. Their thinking is, while gold always "rises first", they can take advantage of those early gains until such time as silver starts catching up, after which they trade their gold for silver and ride its inevitable bounce back to the natural 15:1 ratio.
All that being said, the PM gurus have effectively been wrong about the invetiable balancing of the ratio, in terms of timing of course. This, thanks to a seemingly endless "bag of tricks" the manipulators can deploy to uphold the PERCEPTION that their fedbux and artificial "negotiable instruments" remain dominant. The September 2019 new "overnight repo facility" being the most recent egregious example...
Lots of good stuff on this board about silver.
https://greatawakening.win/search?params=Silver&community=GreatAwakening
I’ve missed a lot of that, going to have to go back and check some of those. In particular, I wrote one on how the spot price gets calculated that you may enjoy.
https://greatawakening.win/p/17txRDGRRC/how-is-the-silver-spot-price-cal/
Agreed. It's all pretty simple. A "dollar" is defined in the 1792 "Currency Act" as 370-ish grains of silver. If everybody realized this, it would be game over for the manipulators. And this is basically the whole deception -> Perception. You can throw ratios, historical standards, technical analysis and logical reasoning out the window. None of it really matters if the masses perceive FedBux as "dollars' or "money".
BTW - the attribute that differentiates "currency" from "money" is that the latter is a "store of value"...which you did demonstrate in your examples.
Thanks for the informative post!
Once people saw into the currency exchange system they had to rely on options and margins ha. But now there's so much visibility they can't even get away with that (GME)
Edit - oh and derivatives, futures
Wen moon?
Yes, gold has some industrial use, but it is primarily a monetary metal.
OTOH, silver has some monetary value, but today it is primarily used for industry -- especially technology.
Some people think silver will outvalue gold. I'm agnostic and have both.
Very interesting. I believe a lot of our Constitution and laws are biblically based. This verse fits for currency, I believe: Proverbs 20:10: Divers weights, and divers measures, both of them are alike abomination to the LORD. (KJV) The ESV version calls them "unequal weights and measures". To me that means that a "floating" currency value is an abomination.
I love that verse, given how important monetary corruption is toward corrupting everything. There are also verses denouncing giving and receiving bribes that we woefully outsource that moral authority to mere statute and corporate training. No frens, that’s a biblical law.
My take is that if the money is coined, it should be of an equal measure, and across time as best as possible, or clearly demarcated if not, or if trade was resource based, then having a scale that weighed accurately to the middle would be the way to go.
Scales don’t do anything about these people who look to profit by doing nothing but trading spreads, though. I’m not sure if anything is said about that.
Remarkable post.
Good stuff. Tagging to read later. 👍
Interestingly, this coincides with a global debasement of precious metals, fueled by Britain's hunt for silver and the Opium Wars as just one newer iteration of the Colonial structure:
This is a consequence of debt financing cause by war (1812, Napoleonic wars, debt restructuring of the Congress of Vienna 1815)
One of the craziest thoughts I ever had here was realizing, while I was typing the post, that the Boston Tea Party might have been some people in the know dumping East India Company heroin overboard instead of tea. Definitely gives a lot better motivations for such an action.
Also raises the question of, if that’s what happened, why they wouldn’t have noted that for posterity as a warning. Maybe they just couldn’t get that word out, or maybe it was more useful somewhere else for a negotiation? It’s always been an information war, after all…
Haven’t looked into Vienna at all, but I did get a nice book on Napoleon that I’m looking forward to having time to read… The Age of Napoleon by Will Durant (1965)
Unrelated: I got DDG to return a search link to ga.win last night! Not too long ago, if I’d searched on “Coin’s Financial School” site:GreatAwakening.win it would have returned no results. Direct hit attempts still turn up negative, but there’s apparently some way to get around the filter (now)!
Yeah .... however. tea was part of the whole scam. England -> India -> China
https://youtu.be/bCS68iQ1blM
Of course, during the last phase, Americans wanted piece of the action. Fortunes were made. 55 days at Peking is a nice reminder of how the US was drawn into it.
Another one: The Peoples Republic of Vladiwostock based on an exact copy past of the US Constitution, supported by US troops.
Although it has nothing to do with the topic at hand directly, it shows how one thing morphed into another ...
Or morphined into another.
Womp. Will try to check 55 out!
Sorry, I don’t follow. How is that relevant?
As far as anonymity, I waffle on that these days. We’ll see what’s coming. I like the Bitcoin ability to go either way.
I get it, and not saying you’re wrong, just that I waffle a bit more on it these days than in days past.
It might not be horrible if we have a non-anonymous system that we use for certain things - perhaps all GOVERNMENT transactions - and an anonymous system for others, but how much anonymity we actually have these days is already far, far lower than what we think, if not effectively 0.
You will still not catch me advocating for a mandatory, singular, fully transparent financial system.