Gold vs. the Stablecoin-CBDC Ruse

Are stablecoins just CBDC by another name?

The answer is essentially: Yes.

Below we discuss the recent passage of the Genuis Act, the USA’s first national cryptocurrency legislation and address why this matters, the risks it poses and the golden options left to us in a world rapidly yet quietly turning toward fewer freedoms and greater centralization and control.

No Surprise

VON GREYERZ was founded decades ago under the clear and simple premise that unsustainable sovereign debt levels were creating an environment of unacceptable market, banking and currency risk.

During these many years, such risks, of course, have been playing out in real time at a daily level.

Our warnings, based upon real-world banking, risk asset management and executive commercial experience, have been neither theoretical nor sensational.

Instead, they have been tragically foreseeable.

We have tracked exponentially rising and empirically undeniable global and US debt levels, tragi-comical bank failures and banking risks, derivative time bombs, weaponized currency policies leading to obvious de-dollarization trends and the deliberate debasement of paper money to monetize a global debt crisis which fully explains and underpins a rigged financial system that is rotting from within.

In short: We have years of “receipts” to support and confirm our warnings, all of which are based on a blunt understanding of math and history.

Repeating the Obvious

It’s easy just to say, as I often do, that debt matters, or even that “the bond market is everything.”

But beneath such seemingly academic declarations lies a highly complex ripple effect of currency, market and personal risks which impact the very lives and freedoms we intuitively cherish.

In other words, debt matters because debt destroys at every level—from the financial, political and geopolitical, to our very front door.

Higher Debt = Higher Centralization

One key theme which I have tracked obsessively is the direct correlation between rising sovereign debt levels and declining personal freedoms.

Without exception throughout the grand arc of history, centralization follows debt-trapped policy makers like night follows day.

We Have the Receipts & They’re Date-Stamped

Rather than repeat each detail of this thesis, let the following string cite of personal warnings confirm the same:

2020:

• A Long History of Failed “Experts”

• Foreseeing Dollar Falling and Gold (then @ $1890) Rising

2021:

• USD Debasement Same as Revolutionary France

• Mathematical Proof: Debt Destroys Nations

• The Inflation Lie

• Warning of Inevitable COMEX Collapse

• Predicting the Transitory Inflation Lie

• CBDC Is Coming

2022:

• Foreseeing Disaster in Ukraine

• Predicting Rapid De-Dollarization&Rising Gold (then @ $1800)

• The Recession Lie

• Predicting a Fed Pivot to Lower Rates

2023:

• Predicting A Coming Reset & Digital Control

• Warning that UST’s Will Spiral Downward

• Warning of Middle-Class Erosion

• More BRICS Signposts

• Predicting Major Gold Re-Pricing (then @ $2000)

2024:

• Predicting a World Moving from UTSs to Gold

• Declaring Gold’s Rise Just Beginning (then @ $2200)

• More Warnings of a Declining USD

• Unmasking the Legacy Media

• Foreseeing Further Gold Rise Under Trump (then @ $2600)

2025:

• Reminder: Constitutional Money Died Long Ago

• Predicting More Financial Repression & Controls

• Beware of Private Equity & Credit Pools

The foregoing articles and interviews support a driving thesis: Our so-called “experts” are creating a world of neo-feudalism, which long ago destroyed free market capitalism while simultaneously frog-boiling an erosion of our personal freedoms as investment risks skyrocket.

The Stupid “GENIUS Act”

The most jarring and recent example of this thesis/trend toward greater centralization now takes its form in the oh-so ironically named “GENIUS Act”.

This legislation, like so many other comical (Orwellian) contradictions—from the “Patriot Act” and “Operation Freedom” to the “Department of Homeland Security” and “Bank Secrecy (Surveillance?) Act”—is the very opposite of its title.

In form, the Genuis Act is being lauded as a breakthrough measure to bring the efficient, speedy, simple and oh-so-magical wonders of modern crypto and blockchain technology into modern law.

Hallelujah?

We are also told that the USA, thanks to critical backlash from informed citizens, will never allow a Central Bank Digital Currency, as our freedom-focused legislators are here to protect the American way.

After all, eleven US states legislated against the dangers of CBDC. They knew better, right?

But like the very title of this Act, such words, laudable phrases and anti-CBDC votes were nothing but form over substance.

Or to be even more blunt: They were lies.

A Genuis Ruse

The GENIUS Act is not here to protect you from CBDC centralization and other anti-American threats to personal liberties.

Instead, it’s here to legalize those threats while adding yet another nail in the coffin of the American illusion of freedom.

Sensational?

I wish.

Stablecoins: CBDC By Another Issuer

The stable coin direction which the GENIUS Act enshrines is, at its most basic level, just CBDC by another name.

The much-maligned characteristics of CBDC, which revealed its anti-freedom profile – namely its programmability, trackability, centralization and even siezability – have not been eradicated or outlawed.

Instead, they’ve merely put on a stablecoin mask to hide all the trappings of a CBDC soul.

Instead of central bank-controlled e-dollars, the GENIUS Act has found (slithered in) a way for corporations to pull off the same dark magic.

This shotgun marriage of corporate hegemony with the power to create and absorb US Dollars is deviously brilliant—creating private sector demand (and an artificial market) for otherwise globally unloved UST’s and USD’s while simultaneously transferring power and wealth to mega corporations (definition of fascism?) who can legally steal financial privacy and control from little citizens.

This may not be the centralized privacy theft of a CBDC, but you can be certain that these private stablecoin issuers, which are dollar-pegged and borderless, will be able to report all your freezable, trackable and sanctionable spending activities to a government agency with the touch of a button.

Let us also not forget that by layering this technology within the legalese of a smart contract, your not-so-stable-coins will be housed within your “smart” phone—making these “coins” as easy to control and censor as they are to spend.

Bessent’s Kind Words

The big boys from Tether (issuing USDT) and Circle Internet (Issuing USDC) to Walmart, Amazon and Black Rock are free to create and issue stablecoins with legal might behind them.

Tether and Circle Internet, who have the largest market cap in this new space, are backed 1:1 with the paper dollar, and currently account for $120B in paired UST purchases.

Bessent tells us this private stablecoin market (and demand) will insure and protect the hegemony of the USD, which, as we have warned for years, is less loved and trusted due to its own debt sins and fictional economy.

The passage of this stablecoin Trojan horse into law is nothing more than the legislative culmination of a slow-drip adoption of more control and centralization masquerading as greater speed, security and digital efficiency.

Back to that Pet Rock

In a smoke-and-mirror world of desperate debt levels colliding with hyped-up faith in technological and modern solutions to what is at base a timeless debt sin, we are once again forced to ask a simple, common-sense question.

Namely: Is that old, analog pet rock–used for millennium as the ultimate tool against corrupt, debt-sick leadership, debased currencies and desperate centralization—any less relevant in today’s so-called “digital” nirvana?

Ironically, never has a physical bar of gold been more relevant.

Now, more than ever, a physical asset within one’s own control is critically essential to maintaining the kind of financial freedoms our very own “system” is seeking to erode.

Physical gold and silver, held independent of an openly desperate and fractured political, banking and financial system, is the ultimate bulwark against the same.

Consensus-think is not always intelligent think, and “technological solutions” are not always solutions, they’re just “technical.”

Honesty Matters

There is much that is openly dishonest about a financial system founded upon debt and sustained via more debt.

It’s an inherently dishonest model which makes its policies equally dishonest.

Gold, held in physical form and without counter-party risk or the capacity to be printed or debased by central planners, has always been – and always will be – the most honest form of money and wealth preservation.

Period.

Courtesy of VonGreyerz.gold

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