Thought this might be of interest:
"...ProxyHam, an online anonymity box that puts you a mile away from your IP address...a “hardware proxy” designed to use a radio connection to add a physical layer of obfuscation to an internet user’s location. His open-source device, which he built for $200, connects to Wi-Fi and relays a user’s Internet connection over a 900 megaherz radio connection to their faraway computer, with a range of between one and 2.5 miles depending on interference from the landscape and buildings...The first part is a box the size of a large dictionary, containing a Raspberry Pi computer connected to a Wi-Fi card and a small 900 megahertz antenna..."
http://www.wired.com/2015/07/online-anonymity-box-puts-mile-away-ip-address/
Topic: Economic Totalitarianism - page 110. (Read 345758 times)
Throughout history, there has always been someone around who will take your gold. They would have to confiscate the guns before they try for the gold, there will be resistance.
I am not asserting they will come take your gold. I have not written that. I am saying that gold you can't trade without being expropriated when you trade it, is the same as having a zero value (assuming the taxation rate is roughly 100%[1]).
My point is what will you trade it for when there is no cash?
And of those things you can trade it for, which of those won't be registered with the government (e.g. real estate, cars).
Also when unemployment reaches 50% and the governments are hiring people by the millions to be snitches and do sting operations, how will you trade while hiding from the government?
If you can't hide from the government, then how can you stop the government from expropriating it via taxation?
Another very effective way to attack goldbugs who try to exchange their gold, is to drive the economy into such a mess that crime becomes rampant, thus most trades will go down as muggings. Oh so you carry your guns to the trade, and the mob brings bigger guns to the party. An arms race back to the era of mobsters... I can be fairly certain how quickly you will tire of that type of world and throw in the towel on gold leaving it to sit in your basement forever useless. You could hold it for 20 years like those who held from $850 in 1980 down to $250 by the turn of the century, losing 1000% gains in stocks and bonds interim.
Also once the rule of law is gone, the government can do basically anything they want to. So expect bullshit such as Civil Asset Forfeiture on your gold when you trade it at a registered dealer. Meaning they seize your income from the trade declaring it money laundering or whatever and you are unable to disprove or win a fight in the kangeroo courts.
There was a former US Treasury official who was quoted by an anonymous source, "We will burn the fingers of goldbugs up to their armpits". Perhaps that might have been Robert Rubin.
[1] I don't assume the tax rate will be 100%, but I think they may force savings into nationalized accounts, meaning in effect 100% expropriation. Also note that that a 90% tax (I believe upper tax rates reached this level in the USA prior to WW2) on capital gains with 500% capital gain, is 72% effective tax on purchasing power (assuming gold's rise reflects the loss in purchasing power of the dollar which may not be the case). Also if you can't prove your tax basis, they might tax as if your tax basis is zero.
We are watching the total collapse of Democracy and the birth of a new era, Economic Totalitarianism from arrogant people who are totally clueless beyond their own greed for power and money.
New scenario:
We are moving towards a corporate state were governments are slowly/quickly/surreptitiously supplanted by conglomerates that can more definitively guarantee and defend your user-defined safety. They will be more programmed (feature rich) than dictated, more efficient than top-heavy, and more user friendly than user threatening. These corporate superpowers will usurp power from the old guard as they don't need to build armies, but only have to have the capacity to build them more efficiently, more quickly, and more technologically adaptable than their adversary. DACs and self modifying programs will overwhelm potential adversaries with their ability to create armies and to modify consumer materials at a pace that swarms (and re-purposes) advancing armies with the full might of the society (consumer base) that they control. This corporate government model will be tested by the current system with overwhelming and catastrophic results.
My thought is that this system of government will work better for us (at least humans) if they are an archipelago of corporate states that have benefits for specific consumer states that would be considered drawbacks for other consumer states. A one corporation to rule them all would be subject to one fatal flaw to destroy them all and be also subject to rage against the machine. Better to have competitors than to have malaise or the constant threat of revolution within the system.
Though the last points are humancentrix and do not take into account the trashumanist movement that should/could/must take place at some point. We won't know what motivates AI and Transhumans until they exist in a meaningful way.
We are moving towards a corporate state were governments are slowly/quickly/surreptitiously supplanted by conglomerates that can more definitively guarantee and defend your user-defined safety. They will be more programmed (feature rich) than dictated, more efficient than top-heavy, and more user friendly than user threatening. These corporate superpowers will usurp power from the old guard as they don't need to build armies, but only have to have the capacity to build them more efficiently, more quickly, and more technologically adaptable than their adversary. DACs and self modifying programs will overwhelm potential adversaries with their ability to create armies and to modify consumer materials at a pace that swarms (and re-purposes) advancing armies with the full might of the society (consumer base) that they control. This corporate government model will be tested by the current system with overwhelming and catastrophic results.
My thought is that this system of government will work better for us (at least humans) if they are an archipelago of corporate states that have benefits for specific consumer states that would be considered drawbacks for other consumer states. A one corporation to rule them all would be subject to one fatal flaw to destroy them all and be also subject to rage against the machine. Better to have competitors than to have malaise or the constant threat of revolution within the system.
Though the last points are humancentrix and do not take into account the trashumanist movement that should/could/must take place at some point. We won't know what motivates AI and Transhumans until they exist in a meaningful way.
...
TPTB
I responded in "the other thread", but so as not to cheat bitmixer, I do not want to duplicate my message here.
I applaud ANY efforts to make BTC better (or create a better successor).
* * *
Yes, I see LOTS of people paying with cards too (esp. at 7-11s). And there IS a War on Cash, no doubt. But, IMO, the War on Cash may be slowed in that cash is great for corruption... But, you and Armstrong are right, the War on Cash is the likely trend, even if it takes a while (my guess).
Re gold, I have taken careful note of your predictions, in particular 2017. Should there be a combination of 1984-style Big Brother and a sharp rise in the price of gold (say $3000) around that time, yes, OK I will sell some. And probably buy a crypto that I can figure out and that seems more .gov resistant. Balance the portfolio. If gold does not reach the $3000 or so, well tough luck. Life is an experiment.
TPTB
I responded in "the other thread", but so as not to cheat bitmixer, I do not want to duplicate my message here.
I applaud ANY efforts to make BTC better (or create a better successor).
* * *
Yes, I see LOTS of people paying with cards too (esp. at 7-11s). And there IS a War on Cash, no doubt. But, IMO, the War on Cash may be slowed in that cash is great for corruption... But, you and Armstrong are right, the War on Cash is the likely trend, even if it takes a while (my guess).
Re gold, I have taken careful note of your predictions, in particular 2017. Should there be a combination of 1984-style Big Brother and a sharp rise in the price of gold (say $3000) around that time, yes, OK I will sell some. And probably buy a crypto that I can figure out and that seems more .gov resistant. Balance the portfolio. If gold does not reach the $3000 or so, well tough luck. Life is an experiment.
OROBTC,
I have come to realize that most of the behavior in this thread can be perhaps be explained by fear. (psychology being another of my other autodidact flirtations...they say a "jack of all trades is a master of none")
For example, fear that their investment in Bitcoin can only be safe if they slay all attempts to better it (even if BTC value was safely pegged across chains, because they fear dilution of their "to the moon" expectations).
Similarly I think goldbugs are defending the indefensible because they're trying to convince themselves to ignore the justifiable FUD (fear, uncertainty, doubt) they sense is creeping up on them.
My problem with precious metals is that the only time I've ever bought and sold any from a person on the street, I got a horrendous exchange rate (roughly double the melt value). And there wasn't enough liquidity available to make viable for anything near to survival. I see lots of buyers stacking but no buyers using, thus in the future this becomes a one-sided market of sellers of hoards and no buyers using. This means you will sell your precious metals only at a dealer who can proxy them off to large liquid investor markets. You are not going to meet up with investors in the streets.
The totalitarianism is going to take control over all these market makers because there will not be any black market in cash to escape from government regulation, because paper cash will be (is being already) eliminated. If you argue that Bitcoin will be that cash, then just buy Bitcoin instead because who would then meet up in the street to trade a good with higher utility and safety for one that risks life and limb every time it is traded? if you argue that Bitcoin could go to zero, I can argue that gold can too because the greatest common denominator between illiquidity and expropriation is the same as zero value.
I think initially there will be a significant rise in precious metals off this coming final low (< $1050, probably $850 or less) because there will be a panic as the sovereign debt contagion dominoes and $200+ trillion of global wealth will finally abandon bonds as safe haven and run into the dollar, us stocks, gold, and Bitcoin rather indiscriminately. But after the USA tops out in 2017 (due to rising dollar choking off exports and the ingress of those safe haven funds peaking), then we will descend into a totalitarian hell worse than anything in the last 309 years. At that point, it will become clear that gold and paper cash are dead.
Those who think paper cash isn't close to being eliminated in third world countries, I can tell you that I am increasingly surprised how many people pay here in the Philippines with a card (frustrating as hell to go the grocery because it slows the queue considerably). Also what is likely is during the coming contagion, TPTB will turn up the dial on the pressure on cash by refusing to supply sufficient cash thus those with cards will become like kings envied by the rest of the population. Filipinos can emulate and adopt new things incredibly fast. I remember there was a Shell gas station commercial with a Ferrari and the phrase "hey Joe wan Joe". Within days and for months hence, I was called from the distance incessantly where ever I went in the hinterlands with "Hey Joe wan Joe". If you are talking about getting commerce done, filipinos will use the most efficient means available with lightning speed of adoption. They are simply that resourceful and flexible when their basic daily needs are threatened.
So you want to sell out of your diversification into gold in 2017. By that time, you should have the clarity you need on cryptocurrency. I am nearly certain they will be the safe haven for the astute by that time. But we have some seriously intense work that has to be accomplished between now and then. The outcome is far from certain from the current vantage point.
I would just caution you to average down into gold. Don't rush your purchases. The bottom for private assets around October perhaps.
I have come to realize that most of the behavior in this thread can be perhaps be explained by fear. (psychology being another of my other autodidact flirtations...they say a "jack of all trades is a master of none")
For example, fear that their investment in Bitcoin can only be safe if they slay all attempts to better it (even if BTC value was safely pegged across chains, because they fear dilution of their "to the moon" expectations).
Similarly I think goldbugs are defending the indefensible because they're trying to convince themselves to ignore the justifiable FUD (fear, uncertainty, doubt) they sense is creeping up on them.
My problem with precious metals is that the only time I've ever bought and sold any from a person on the street, I got a horrendous exchange rate (roughly double the melt value). And there wasn't enough liquidity available to make viable for anything near to survival. I see lots of buyers stacking but no buyers using, thus in the future this becomes a one-sided market of sellers of hoards and no buyers using. This means you will sell your precious metals only at a dealer who can proxy them off to large liquid investor markets. You are not going to meet up with investors in the streets.
The totalitarianism is going to take control over all these market makers because there will not be any black market in cash to escape from government regulation, because paper cash will be (is being already) eliminated. If you argue that Bitcoin will be that cash, then just buy Bitcoin instead because who would then meet up in the street to trade a good with higher utility and safety for one that risks life and limb every time it is traded? if you argue that Bitcoin could go to zero, I can argue that gold can too because the greatest common denominator between illiquidity and expropriation is the same as zero value.
I think initially there will be a significant rise in precious metals off this coming final low (< $1050, probably $850 or less) because there will be a panic as the sovereign debt contagion dominoes and $200+ trillion of global wealth will finally abandon bonds as safe haven and run into the dollar, us stocks, gold, and Bitcoin rather indiscriminately. But after the USA tops out in 2017 (due to rising dollar choking off exports and the ingress of those safe haven funds peaking), then we will descend into a totalitarian hell worse than anything in the last 309 years. At that point, it will become clear that gold and paper cash are dead.
Those who think paper cash isn't close to being eliminated in third world countries, I can tell you that I am increasingly surprised how many people pay here in the Philippines with a card (frustrating as hell to go the grocery because it slows the queue considerably). Also what is likely is during the coming contagion, TPTB will turn up the dial on the pressure on cash by refusing to supply sufficient cash thus those with cards will become like kings envied by the rest of the population. Filipinos can emulate and adopt new things incredibly fast. I remember there was a Shell gas station commercial with a Ferrari and the phrase "hey Joe wan Joe". Within days and for months hence, I was called from the distance incessantly where ever I went in the hinterlands with "Hey Joe wan Joe". If you are talking about getting commerce done, filipinos will use the most efficient means available with lightning speed of adoption. They are simply that resourceful and flexible when their basic daily needs are threatened.
So you want to sell out of your diversification into gold in 2017. By that time, you should have the clarity you need on cryptocurrency. I am nearly certain they will be the safe haven for the astute by that time. But we have some seriously intense work that has to be accomplished between now and then. The outcome is far from certain from the current vantage point.
I would just caution you to average down into gold. Don't rush your purchases. The bottom for private assets around October perhaps.
Justus and rocks, I am going to address your two recent posts...but in a whitepaper.
Rocks you brush off centralization due to spamming the mining network without even considering it deeply. I've developed a model of centralization which is more scientific.
Users may have other requirements including but not limited to:
Thus you can see your piecemeal model isn't going to work. You need a more general model of decentralization.
+1. Justus, I've been reading some of your work and I really like your push to clearly and precisely define the cryptocurrency terms we're using. Here's what I had jotted down yesterday, which sort of jives with the two points you made above:
Bitcoin is decentralized if no entity exists with the ability to costlessly double-spend or bar valid transactions from the blockchain.
Thoughts?
You are describing one of the effects of decentralization, but not decentralization itself.
Rocks you brush off centralization due to spamming the mining network without even considering it deeply. I've developed a model of centralization which is more scientific.
From the perspective of a Bitcoin user, every possible thing that can go wrong with Bitcoin can be categorized into one of two failure modes:
- A payment you belive to be valid, isn't (double spend)
- You are unable to perform a payment that you want to perform (denial of service)
Users may have other requirements including but not limited to:
- Anonymity of identity, linkability, traceability, and or value transferred.
- Expediency of transfer.
- Protection of store-of-value, which can include decentralized control over debasement, inability to do malfeasance which causes a run on the coins, etc.
- Protection of fungibility.
Thus you can see your piecemeal model isn't going to work. You need a more general model of decentralization.
+1. Justus, I've been reading some of your work and I really like your push to clearly and precisely define the cryptocurrency terms we're using. Here's what I had jotted down yesterday, which sort of jives with the two points you made above:
Bitcoin is decentralized if no entity exists with the ability to costlessly double-spend or bar valid transactions from the blockchain.
Thoughts?
You are describing one of the effects of decentralization, but not decentralization itself.
Spain was an early adopter of bitcoin. Surprising since TPTB have also
used Spain as a form of legal icebreaker. Spain's "gag law" comes into
effect today. You may be aware that allegedly, the TTP _requires_
nation states to enact a law along these lines. Hence no need to look to
democratically elected bodies as the source for this, it was agreed
secretly.
Hush now, the Red King is sleeping ...
used Spain as a form of legal icebreaker. Spain's "gag law" comes into
effect today. You may be aware that allegedly, the TTP _requires_
nation states to enact a law along these lines. Hence no need to look to
democratically elected bodies as the source for this, it was agreed
secretly.
Hush now, the Red King is sleeping ...
And TPTB played hardballbusting in Greece:
http://www.armstrongeconomics.com/archives/34234
http://www.armstrongeconomics.com/archives/34228
The world really needs what I am working on. I'm accelerating my efforts.
Spain was an early adopter of bitcoin. Surprising since TPTB have also
used Spain as a form of legal icebreaker. Spain's "gag law" comes into
effect today. You may be aware that allegedly, the TTP _requires_
nation states to enact a law along these lines. Hence no need to look to
democratically elected bodies as the source for this, it was agreed
secretly.
Hush now, the Red King is sleeping ...
used Spain as a form of legal icebreaker. Spain's "gag law" comes into
effect today. You may be aware that allegedly, the TTP _requires_
nation states to enact a law along these lines. Hence no need to look to
democratically elected bodies as the source for this, it was agreed
secretly.
Hush now, the Red King is sleeping ...
...
I think the time will arrive soon to go dark. Go dark (or "Go Galt") in America? Yes, I am afraid so, at least for a while. When you cannot even critique a judge's decision on something, that is violation of our First Amendment.
Violating our Constitution is something that has been seen here rather a lot just in the past few days:
-- SCOTUS on Obamacare
-- SCOTUS on gay marriage (note: it's wording I object to, let gays have civil unions and the .gov bennies, but don't make conservative churches be forced to marry those outside of their own moral rules, same with bakeries, etc.).
-- Obamatrade deals (why so secret guys?)
-- And now this (thx, trollercoaster).
* * *
Batten down the hatchez, bitchez.
Making no income means no Income Tax.
EDIT: HB, TPTB!
I think the time will arrive soon to go dark. Go dark (or "Go Galt") in America? Yes, I am afraid so, at least for a while. When you cannot even critique a judge's decision on something, that is violation of our First Amendment.
Violating our Constitution is something that has been seen here rather a lot just in the past few days:
-- SCOTUS on Obamacare
-- SCOTUS on gay marriage (note: it's wording I object to, let gays have civil unions and the .gov bennies, but don't make conservative churches be forced to marry those outside of their own moral rules, same with bakeries, etc.).
-- Obamatrade deals (why so secret guys?)
-- And now this (thx, trollercoaster).
* * *
Batten down the hatchez, bitchez.
Making no income means no Income Tax.
EDIT: HB, TPTB!
*shudders* I have seen quiet a few stories which involve her launching objects at people.
The sexual promiscuity doesn't surprise me either, the Clintons are buddies with Jeffrey Epstein.
The sexual promiscuity doesn't surprise me either, the Clintons are buddies with Jeffrey Epstein.
I don't like to think too much about Hillary, she actually makes me physically ill
Did you read Armstrong's blog post last year about she threw an astray at a white house security guard when he walked in on her naked in the same bed with another woman. Google can probably help you find that.
Hillary is a Hitler for sure. See her "little village" comments.
I don't like to think too much about Hillary, she actually makes me physically ill, she's the perfect candidate to drive the final nail into the wests coffin, no one is more fit for the job.
...
trollercoaster
Mmm, yes, "public servants" are notorious worldwide for being lazy, going on strike, long vacations, easy work.
"Champagne Socialists", very good.
But, any of them with any power will bitterly cling to it, and tax us / boss us around (Armstrong).
47% of Americans will vote for Hillary, no matter what scandal, etc. 47% is her starting point. Think about that. She will not be a friend of Bitcoin...
trollercoaster
Mmm, yes, "public servants" are notorious worldwide for being lazy, going on strike, long vacations, easy work.
"Champagne Socialists", very good.
But, any of them with any power will bitterly cling to it, and tax us / boss us around (Armstrong).
47% of Americans will vote for Hillary, no matter what scandal, etc. 47% is her starting point. Think about that. She will not be a friend of Bitcoin...
public "servants" (who like to think of themselves as royalty) have been on strike this week demanding higher pay and benefits.
I have noticed an increase of aggression among my friends, who I like to call champagne socialists, I think they can sense their little reality bubble is about to pop.
Armstrongs site also appears to be under attack.
I have noticed an increase of aggression among my friends, who I like to call champagne socialists, I think they can sense their little reality bubble is about to pop.
Armstrongs site also appears to be under attack.
...
Just saw that myself earlier today, TPTB. Yet MOAR Economic Totalitarianism...
Each new week confirms what Armstrong and you have been saying. There will be no place to hide, at least conventional places. No (or few, and any such would have other issues/problems) other places will offer protection from the Hungry Collective...
* * *
Kind-of related is today's SCOTUS decision re Obamacare. Last year BC-BS raised our medical insurance rates 16%. I am expecting 25% next time, and it will be against the law to not have insurance.
It was a tax before it was a tax. Or is it the other way around? Either way, it means more of the US Middle Class will be getting screwed again.
Just saw that myself earlier today, TPTB. Yet MOAR Economic Totalitarianism...
Each new week confirms what Armstrong and you have been saying. There will be no place to hide, at least conventional places. No (or few, and any such would have other issues/problems) other places will offer protection from the Hungry Collective...
* * *
Kind-of related is today's SCOTUS decision re Obamacare. Last year BC-BS raised our medical insurance rates 16%. I am expecting 25% next time, and it will be against the law to not have insurance.
It was a tax before it was a tax. Or is it the other way around? Either way, it means more of the US Middle Class will be getting screwed again.
And those who argued that USG and its derivative tentacles OECD have no power to enforce in far flung jurisdictions...and notice it happens precisely on the day that Armstrong had been predicting (since 1985) for the Sovereign Debt Big Bang (2015.75 = October 1, 2015)...
http://armstrongeconomics.com/archives/33889
Cayman Islands to Begin Reporting Everyone on October 1, 2015
The Cayman Islands’ Department of International Tax Compliance (DITC) has notified Cayman financial institutions of its intention to move forward with implementing the OECD’s Common Reporting Standard (CRS), with the introduction of local regulations by the Economic Confidence Model turning point – October 1, 2015. This of course will end banking in the Cayman Islands and will impact many hedge funds as well.
Like Switzerland, the Cayman Islands has surrendered its sovereignty to the tyranny of global taxation. The West is imploding all for taxation because those in power will NEVER reform; all they will ever do is raise taxes to line their own pockets while destroying the world economy.
The Cayman Islands is among 50 “early adopters” of the CRS that will begin the automatic exchange of tax information starting in 2017. Eleven other countries will start tax information exchange in 2018.
Under the CRS, as of September 2017, tax authorities in over 50 jurisdictions — in addition to the U.S. and U.K. — will be entitled to information on accounts that individuals or entities hold in a Reportable Jurisdiction, under the tax laws of that jurisdiction.
A Reportable Jurisdiction is one that has a multilateral or bilateral Competent Authority Agreement with other jurisdictions to provide information under the CRS and is on the OECD’s list of such jurisdictions.
http://armstrongeconomics.com/archives/33889
Cayman Islands to Begin Reporting Everyone on October 1, 2015
The Cayman Islands’ Department of International Tax Compliance (DITC) has notified Cayman financial institutions of its intention to move forward with implementing the OECD’s Common Reporting Standard (CRS), with the introduction of local regulations by the Economic Confidence Model turning point – October 1, 2015. This of course will end banking in the Cayman Islands and will impact many hedge funds as well.
Like Switzerland, the Cayman Islands has surrendered its sovereignty to the tyranny of global taxation. The West is imploding all for taxation because those in power will NEVER reform; all they will ever do is raise taxes to line their own pockets while destroying the world economy.
The Cayman Islands is among 50 “early adopters” of the CRS that will begin the automatic exchange of tax information starting in 2017. Eleven other countries will start tax information exchange in 2018.
Under the CRS, as of September 2017, tax authorities in over 50 jurisdictions — in addition to the U.S. and U.K. — will be entitled to information on accounts that individuals or entities hold in a Reportable Jurisdiction, under the tax laws of that jurisdiction.
A Reportable Jurisdiction is one that has a multilateral or bilateral Competent Authority Agreement with other jurisdictions to provide information under the CRS and is on the OECD’s list of such jurisdictions.
My goals are much wider in scope and I don't want to get bogged down in politics over which coin will win.
I am just stating that competition will bring out the best.
And I am saying that the anonymous coin and chain that has a wide distribution paradigm is not only more likely to win, but also more likely to be resilient (but I don't mean giving coins away that users dump for fiat).
I am just stating that competition will bring out the best.
And I am saying that the anonymous coin and chain that has a wide distribution paradigm is not only more likely to win, but also more likely to be resilient (but I don't mean giving coins away that users dump for fiat).
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