Connect with us

The printing presses of the world’s leading central banks in the context of the viral economic crisis are increasing their output at a frantic pace. The Fed, the ECB, the Bank of England, the Bank of Japan, and several other leading central banks have thrown $ 5 trillion into circulation in the five months since the beginning of the year. Key rates of the main central banks of the West since 2008 have been close to zero, while the central banks of Sweden, Denmark, Japan, they are below zero.

Low key rates affected the interest rates on operations of commercial banks. Interest on bank deposits in some places is already below zero. Until recently, Russia did not feel this; we were a kind of reserve with a very high key rate of the Bank of Russia. Only recently the rate began to decline rapidly, which immediately affected the interest rates on the operations of Russian commercial banks. Experts say that taking into account inflation, real incomes on bank deposits may become negative this year.

In the West, after the global financial crisis of 2008-2009. there was a trend towards an outflow of funds from bank deposits due to zero or even negative interest rates. We have the same trend today, including because of the fear of massive bankruptcies of commercial banks, which may begin in the fall, when the credit holidays, tax holidays, a moratorium on bankruptcies, etc. expire.

World-class bankers (masters of money), that is, first of all, the main shareholders of the US Federal Reserve have been campaigning for a long time to oust cash from circulation. The goal of the campaign is to lock everyone in the realm of cashless money. If this is not done in a timely manner, there is a risk that the monetary system created by Western capitalism over the past three centuries will fall apart.

What we observe today in the world of money and banks is a manifestation of the global process. Namely: capitalism ends its existence. Not today or tomorrow, society will end up in a “brave new world”, which is sometimes called post-capitalism. Most likely, this will not be socialism or communism (as Karl Marx promised in the “Communist Party Manifesto” of 1848), but a new feudalism or a new slave system.

The era of rapid development of commodity-money relations is coming to an end. In post-capitalism, there will be no special need for money. Many brilliant and terrible dystopias have been written about this post-capitalism: “We” by Evgeny Zamyatin (1920), “Brave New World by O. Huxley (1932), “1984” by George Orwell (1948), “Fahrenheit 451″ by Ray Bradbury (1953) and others.

The “brave new world” of the future is a totalitarian society with a world government, that is, a narrow group of people who manage the “herd”. The main principle is the accounting and control of participation in the labor process and consumption. The need for money here is very conditional. Participation in the labor process can be measured by workdays, and in consumption by kilograms of food eaten. However, this is the prospect of the day after tomorrow. And the urgent tasks of the builders of the “brave new world” of today and tomorrow is to prevent people from fleeing from the banking sector, which is planned to be converted into an electronic concentration camp.

As part of the propaganda work on discrediting cash, they tried to present them as an instrument of evil, through which terrorism is financed, the drug business is carried out, bribes are paid to the government, a “gray” economy is supported, tax evasion occurs, and so on. There was a campaign in favor of non-cash money: operations are very simple, they can be carried out at a distance, the possibility of robberies, etc. is excluded.

The topic reached the top in 2020 along with the viral economic crisis. Every day in the media there were materials that one of the important channels for the spread of infection is cash. That you need to give up cash and switch to remote payment methods using non-cash money in bank accounts. At the same time, adherents of private digital money (cryptocurrencies) revived again.

However, the phobias that the media fanned about cash began to fade quickly. People began to act exactly the opposite – to transfer deposit money into cash. In Russia, over four months (spring and June 2020), the amount of cash in the hands of citizens increased by 1.9 trillion. rubles, and the total amount of cash in circulation by the beginning of July reached a record high – 11.2 trillion. rub. Interest in cash has increased dramatically in other countries as well. According to Bloomberg, the volume of cash during the pandemic grew in the USA, Canada, Italy, Spain, Germany, France, Australia, Brazil.

Money owners need to lower key rates everywhere below zero, and they cannot do this, because they will provoke a massive exodus of customers from banks to the cache, which will bring down the banking system. The most radical and extremely dangerous means remains – the abolition of cash by the decision of the monetary authorities. How to replace them? Digital money of the Central Bank.

As noted in a review by the Bank for International Settlements (BIS), last year 70% of all central banks in the world dealt with the topic of digital money. Some part of central banks was interested in the question of how to prevent private digital currencies (cryptocurrencies) from entering the world of money, believing that cryptocurrencies undermine the monopoly of central banks and commercial banks on the issue of money. Other central banks took a wait and see attitude. Still others decided that digital money should exist, but be issued exclusively by the central banks themselves (official digital money). Some Central Banks believe that their digital currencies should be issued in addition to cash, while others believe that digital currencies should completely replace cash. Of the central banks that are closest to the start of official digital cash issuance with full cash replacement,

As for the US Federal Reserve, last year the US Central Bank was opposed to any digital currencies. The chairman of the US Federal Reserve Jerome Powell and the Minister of Finance Stephen Mnuchin quite definitely spoke out on this subject. This year, the tone of their statements has suddenly changed. On May 17, Jerome Powell announced that the US could begin issuing digital currency. Some experts associate such statements with the possibility of lowering the FRS key rate to a negative value. If all the “physicists” are not locked up in the banking system, they will escape from there (go to the cash). But you can only “lock it up” if you replace the cache with a “digital dollar”.

In recent months, many Wall Street banks have published research on the digital dollar. The essence of most of them boils down to the fact that delaying death is like, the Federal Reserve needs to introduce the digital dollar as soon as possible. Otherwise, the American economy will fall apart and the dollar will lose the status of the world currency. They say that the once unshakable position of the American currency is undermined by the bitcoin cryptocurrency (its market capitalization is now about $ 170 billion).

The owners of the money also made Lipa cryptocurrency developed by Facebook and launched in November 2019. Lipa is not just a private digital currency, it is a very powerful payment system that can function on a global scale and do without the intermediation of SWIFT, Fedwire, CHIPS and other payment systems controlled by the US government and the Federal Reserve. But China can also bypass America by introducing the digital yuan, which will throw the dollar off the pedestal of the world currency and take its place.

Sino Global Capital CEO Matthew Graham says, “SWIFT, CHIPS, Fedwire are outdated. They are expensive, they are slow. It is now 2020, but it still takes three days to complete transactions. In addition, transactions are more expensive than they should be. All of these technologies, which underlie much of the US dollar-based global economy, are showing their age. So this is a great opportunity for China. ” Matthew Graham delicately kept silent about the fact that private digital currency projects deprive the US of the ability to control and block unwanted transactions from Washington’s point of view.

In promoting the digital dollar, American senators have become very active. In late June, the US Senate Banking Committee held a hearing to discuss the need for a digital dollar. Democratic senators have already prepared a bill introducing an official digital currency and are calling for a digital dollar law to be introduced on January 1, 2021.

And in June of this year, a report of the Federal Reserve Bank of Philadelphia, Central Bank Digital Currency: Central Banking for All? (Central Bank Digital Currency: Central Bank for Everyone?). The answer to the question contained in the title of the report: yes! The Central Bank is for everyone!

Until now, between central banks and individuals were intermediaries represented by commercial banks. The model of the official digital currency provides that the relationship between the Central Bank and the “physicists” will be direct, the latter will have deposit accounts on demand with the Central Bank. Commercial banks will be the fifth wheel in the cart. They will disappear.

The banking world is faced with a choice between bad and very bad: either the banking system will collapse as a result of the flight of individuals from commercial banks, or commercial banks will die as a result of monetary reform – the transition from cash to digital. If America chooses the path of monetary reform, it will be confiscatory. The main victims of the transition from cash to digital will be those who have the most accumulated paper products from the US Federal Reserve’s printing press.

Comments

Underworld

Havana Syndrome again? CIA officers are mowed down by a mysterious disease

A CIA officer in Moscow experienced symptoms of the so-called “Havana syndrome” in 2017. This became known to The New York Times with reference to sources in diplomatic circles.

CIA officer Mark Polimepulos, who helped lead covert operations in Russia and Europe, complained about the manifestation of mysterious symptoms. According to the newspaper, in December 2017, he felt severe dizziness, which later developed into a prolonged migraine, forcing him to retire. At that time, Polymerpoulos was 48 years old.

It is noted that such a case was not the only one. Similar symptoms were experienced by the staff of the American ambassadors in Cuba and China in 2016-2018. However, the exact number of cases and the place where this happened is not named. It is alleged that the US diplomats have tried to influence in a similar way around the world.

At the same time, the US State Department was unable to establish an unambiguous reason that caused the “Havana syndrome.” Among other things, it was assumed that the diplomats may have been exposed to an unidentified sound effect.

In 2017, it was reported that, beginning in late 2016, American diplomatic officials and their relatives in Cuba began to complain of symptoms such as hearing loss, nausea, headaches and balance disorder. 

The Associated Press received audio footage of the attack and described the harassing sounds as “the high-pitched sound of crickets combined with fingernails scratching on a board.” Then the American government suggested that Russia or China could be the culprit.

Many victims are still undergoing rehabilitation. Specialists from the University of Pennsylvania performed magnetic resonance imaging and revealed visible changes in the structure of the brain in the diplomatic missions.

Differences were found in 23 men and 17 women who complained of health problems while on diplomatic duties in Havana. Scientists have yet to figure out what causes the unusual symptoms.

Continue Reading

Underworld

How Russia and the United States nearly started a nuclear war in 1995

The Norwegian meteorological rocket incident remains the only time in history that the Russian president has activated his nuclear briefcase.

On January 25, 1995, Doomsday could have come in the world: the Russian Federation was preparing to launch a nuclear strike on the United States. How did it come about that the states that left the confrontation of the Cold War in the past and had just normalized relations with each other found themselves on the verge of mutual destruction?

The beginning of the war?

The cause of the crisis was an ordinary Norwegian meteorological rocket. Its launch from the small island of Anneia at 7 am local time (10 am Moscow time) towards Spitsbergen caused a stir in Russia. 

Black Brant XII.

Black Brant XII. Legion Media / ZUMA Press

Equipped with scientific equipment to study the aurora borealis, the Black Brant XII was similar in size to the nuclear-powered American Trident D-5 ballistic missile, intended for launch from submarines. In addition, it flew along a trajectory along which, as the Russian Defense Ministry believed, American missiles would fly in the event of a nuclear war. 

In December 1994, Norway informed 28 states, including Russia, about the planned launch, but did not give a specific date, limiting itself to specifying the period: from January 15 to February 10 of the next year. Due to bureaucratic delays, this information did not reach the Russian Missile Warning System, which sounded the alarm.

Decisive minutes

An emergency meeting with the country’s top political and military leadership was convened in the Kremlin. Defense Minister Pavel Grachev, Chief of the General Staff Mikhail Kolesnikov and President of the Russian Federation (as Supreme Commander-in-Chief) Boris Yeltsin had three strategic missile forces control terminals activated – the so-called nuclear suitcases.

Vladimir Sayapin / TASS

The military believed the lone missile could have been fired to create an electromagnetic pulse that knocked out Russian radars and communications systems. Following it, a massive blow could be expected.

For several tense minutes, as leaders watched it flight, it was decided whether Russia would launch a nuclear strike against the United States. 

“Little is known today about what Yeltsin said at the time, given that it could have been some of the most dangerous moments in the entire history of the nuclear era,” The Washington Post journalist, David Hoffman wrote three years after the incident : “They make it clear that the Cold War nuclear readiness system continues to operate, and how catastrophic its consequences could be, despite the fact that the feud between the great powers is already over.”   

The situation was discharged only when it became clear that the rocket had gone towards Spitsbergen (not far from which it fell into the ocean). The nuclear cases have been deactivated. Russian President Boris Yeltsin (center) and Russian Defense Minister Pavel Grachev (right).

Russian President Boris Yeltsin (center) and Russian Defense Minister Pavel Grachev (right). Igor Mikhalev / Sputnik

The incident with bringing Russia’s Strategic Nuclear Forces to combat readiness, soon became the property of the world community. When, four years later, the Norwegians were about to repeat their launch of Black Brant XII and reported this to the Russian Foreign Ministry, the US additionally warned all key Russian military departments about it through their channels. As a result, this time there were no unpleasant surprises. 

Source: rbth.com

Continue Reading

Underworld

Germany conducted exercises in case of nuclear war

Bundeswehr / Birthe Brechters

The Bundeswehr with partners in the North Atlantic Alliance ( NATO) trained in operations in a nuclear war.

The German army, together with Italian, Belgian and Dutch colleagues, conducted exercises in the event of a conflict with the use of nuclear weapons.

The location of the exercise “Steadfest Noon” was chosen airbase “Nörfenich”, where the tactical squadron of the Luftwaffe 31 “Boelcke” is located. Together with the Luftwaffe of the Bundeswehr, the air forces of other NATO countries, in particular, Italy, the Netherlands and Belgium, took part in the exercises.

According to a report by Bild, the exercise scenario involved training procedures for safely removing nuclear weapons from storage, delivering ammunition and installing them on aircraft. The training flights took place without nuclear weapons, and in parallel with the aviation exercises at the Büchel airbase, where the tactical squadron of the Luftwaffe 51 Immelman is located, the Resilient Guard air defense systems were trained to protect the airfield from air attacks.

The training sites for the Luftwaffe of the Bundeswehr were not chosen by chance, since the Nörfenich airbase is a reserve storage site for the B61, a hydrogen bomb that forms the basis of nuclear weapons of the US strategic nuclear forces. 

Some of this ammunition is stationed at NATO bases in Europe. The exact number of hydrogen bombs that are stored at European sites and which ones are not reported. In Europe, the B61 is carried by Panavia Tornado fighter-bombers (pictured) and General Dynamics F-16 Fighting Falcon fighters.

Recall that the B61 thermonuclear bomb is the main weapon of the US strategic nuclear forces, although it entered service in 1968. Since 2012, a new guided version of the B61-12 has been under development, which will replace all B61 and B83 bombs that have been in service since 1983. It can be used both on strategic bombers and tactical aircraft. About two billion dollars were spent on the development of the 12th modification of the aerial bomb.

Continue Reading
Advertisement

DO NOT MISS

Trending