Topic: USD will crash before BTC (Read 827 times)

I am not sure that the USA dollar will crash before Bitcoin. It is still the most desired currency in many countries. Billions trust it and buy it. I also believe that BTC will have the greatest future.

I do not think USD will going to collapse because the currency is one of the strongest currency in the whole world. I doubt that great leaders will allow this to happen in a country where he/she belong. If I were to chose which currency is stronger between bitcoin and USD then I prefer USD. As we all know that BTC is not really that helpful compared to USD when it comes to exchange. BTC is just and alternative but that is also consider important.

the money that continues to grow is due to interest, this is what causes the debt debt to be so large. So 90% is interest, then 10% is the original debt. One thing I want to ask about this debt is. To whom do they pay the debt?

After 2008 financial crisis economists started to ask questioning sustainability of USA $. Btc is still not used as storing of value like safe assets(gold,silver). $ inflation rate increases every single day and dominance by USA protects it against any alternative currency. Honestly i can't find good alternative to the strongest currency of world and count table of USA debt already passed trillions.. It looks like  World war 3 is not far away..

A USD has always been popular in the dollar even in any country you know it's really and globally. until now even if it's any currency in it still stands USD no change it goes down or its rate value rises. and when bitcoin arrives better cryptocurrency across the country, it is now well supplied profits and good benefits to all and provides a good rated value compared to the dollar and its still poppular worldwide as a bitcoin a cryptocurrency known as digital and virtual. so sometimes we can not stop thinking bad about people who are not familiar with a bitcoin, but they do not know that after all the bitcoin is one of the best currency in the world.

With the USD as the global base currency i'd ask you this one question. Which currency will take it place? Can one truly say it's BTC?

For me,usd will not just crash as easy as we expect.It has already build a strong foundation and is supported by most of the citizens.But for us in this crypto community,it would be more great and profitable if we can see bitcoin will survive along the way.I know it will bound to happen if we start promoting bitcoin now and be accepted in all countries of the world.

Everything about what they write in these articles seems to be true, and that is why we should focus all our efforts on having our own cryptocurrencies as much as possible, because this is exactly what can bring us very significant profits in the near future, , and in particular Bitcoin - this is what will be the basis of the future digital economy.

If you go for studying the past incidents then you will easily find out how easily US government went for bailing out their own currency hence USD may get recovery than anything else. I guess all government will try for that with their all available resources. Here, transparency is not at all a criteria.

Obviously most investors will rush for alternate investments and in this modern time, bitcoin will be their first choice unlike traditional investor was doing with gold. Please understand transparency and benefits of decentralization concepts are only for long term adopter but definitely not for institutional investors. They will just look into how much returns they may get and then they go for some other opportunities.

Let's see, BTC has crash but recovers, I don't know if USD will recover, so much non transparency with USD.
I hope by that time it will lead to people putting their money in crypto, so we will have a new generation of money that is more transparent and decentralized.

I am agree that stocks market is pumped by The Fed. We know when economic crisis happen in 2008, stocks market fall and The Fed make intervention in market by flooding money and its make stocks price rising and reach new high index price.
Bitcoin still good alternative compare USD because bitcoin having limited supply and i am believe the price will reach new high in near future

I have read some of your replies in different pages and I think it is for the good which you are tackling here.

One of it is when bitcoin is used like a normal money. But there is one problem there. How could it happen if people who uses bitcoin are still under the spell of USD.

"Hey can I pay you with bitcoin?"
"Yes you can. Wait, I will convert it to USD."

That is one problem which cannot be solved up until now.

Back to USD crashing. The World Bank as you say. Who really owns it? Yes USD might crash but it will stay. Next time when it falls, we will be converting bitcoin into EURO. No changes at all. I am not really a pessimistic guy but it will take long before we could use it without even converting to other fiat.

Well dude, that's likely going to be the case. Fiat has such strong foundation and goverment support that it'll take a really major happening for it to even start declining. At this point, the likelihood of btc crashing is far higher than usd.

For some time I have thought the same but what if people are so dumb they never wake up and the FED can in fact keep printing money forever? I know it does not seem likely because in theory there needs to be some limit to the amount of manipulation they can exercise, but if people do not wake up to that fact despite the huge amount of money the FED is printing then I do not know what they will need to wake up.

every country has its own currency and they can still swap back thier btc to a local currency aside from usd  .


btc ?  not all can recognized it especially if you will trade it on a farmer .



usd is already stable but it can decline a little percent and that cant be considered a crash because based on what i understand a crash is a major dump in the price  . 

Crypto volatility is due to low adoption.

When coffee, taxi, hotels, rent, groceries begin to be paid in Bitcoin it'll acquire a more stable value.

Someone at some point decided a coffee was worth a dollar. This wasn't magical, it was a natural market thing. Someone said gimme that dollar, here have your coffee. The same will happen for BTC soon.


Before 2008 several people warned that deregulation of subprime loans would lead to a crash. Clinton deregulated during his last days in office and during the Bush years this deregulation became a snowball. The rest is History.

How did they "solve" the banking heist? WE paid banks for their theft. We paid.

How did they get the economy to "grow" again? By printing money. Tens of trillions of money.

That's the new problem now, it's a ponzi scheme again. WE are paying again. Everyone's working ten times more than 30 years ago just to keep the same living standards.

10 to 20 years from now people will work 24x7 just to keep the ponzi scheme afloat. While the FED and friends continue to print money for the world's 15 richest families who control the other 7 billion people's money.


The U$ value of BTC will surely become a mess during the crash but eventually people will begin to pay for daily stuff in BTC. Hey can I pay this month's rent in BTC? Sure! Can I pay for a week of groceries using BTC? Sure! That's when BTC becomes widespread and the USD slowly fades into the past.

Anything that is rare and which can be transferred easily can be used as currency. Gold is rare. Diamonds are rare. Bitcoin is rare.

FED-printed money is not rare. The FED prints as much of it as the bankers want.

When I was New into crpto I used to get all worked up and restless each time I read this type of article and then start packing up .
I believe so many people are still like me now.
According to the article it says that use would crash before bitcoin.
The thing is I hardly believe 100% the prediction again because the volatility nature of Cryptocurrency has a way of making mess of the hard work of analysts.

right, indeed nobody knows for all that. but what is clear is that Bitcoin is welcomed with pros and cons, so there are still many who maintain a conventional system, because they do not want to be disturbed by their comfort

Anything can happen in the future, not all people know about this possibility but it's important not to trust banks alone with your money.
Crypto is here to help us, here things are transparent and when they add to the supply we will know, banks does not tell things like that to us as they simply manipulated us.

Why BTC will not crash together with USD?

Imagine USD crashes and is worth next to nothing. Why would you swap your BTC back for USD?
But, you could swap it for carrots at local farm to feed your family.
Can you imagine real BTC value if it's only thing (except Gold and Silver) that you can swap for food? It would be TREMENDOUS (in terms of purchasing power, not USD value).

(I'm not saying in this post that USD will crash or not)

Or maybe this is just one warning we all need to heed. The world economy is a big thing you know.

Only a few people will say this and nobody will believe and then one day it will all turn out to be true.

I think what you have said is for me the best solution to this issue mate. I can also see that when fiat is affected by economic crisis it will crash like hell and  we don't want that to happen as it will be having less value as crisis would go deeper. The safest thing for me is that converting our fiat money into Bitcoin  will makes any sense. We all know that there is a manipulation of prices and crypto has a volatile market with high risk but we also have to accept the fact that there is always a bounce back with high return and we fully have control over our funds.

Funny how the folks posting this kind of comment offer zero rebuttal using facts, data, charts. Nothing.

They just take a swipe and leave. "OP is crazy, so bye". I've posted PLENTY of charts, data, correlations showing how the FED money printing activities have a nearly perfect 1 correlation to stock market performance!

When the FED stops printing money, the system collapses, simple as that. Refute this fact!


USD is the world's reserve currency right now. China has USD as international reserves. Obviously it's the strongest currency out there as of now. But things will change quickly and drastically soon. World debt is a 250+ trillion dollar bomb. FED money will become worthless unless this debt is dealt with.

I've provided PLENTY of charts and data in other threads. The correlation between FED activity and stock market activity is nearly 1 to 1. The FED controls the stock markets today.


The debts show how the current system is flawed. Debt discussion is not related to cryptocurrency adoption. My point is that we're living a ponzi scheme where debt is generated day and night and that this will eventually lead to the demise of the US Dollar.

When people finally notice the fact that the FED prints money whenever they feel like it and that everyone else works 9 to 5 for decades just to feed 15 bankers, that's when the system collapses.

Its Difficult not too agree with you!! but the financial world is just a puzzle always going to have its down time, just dont be cut on the wrong side

The sad thing about economics is that the system is built upon making more and more debt to get bigger and bigger because of the inflation. Your 100 dollars will be able to buy 100x things today whereas in 10 years your 100 dollars will be capable of buying only 50x things instead of 100x, which means you need your 100 dollars to be 200 dollars in order to keep your 100x buying power steady and for that to happen you need to make more money and in order to make more money you need to get bigger and in order to get bigger you need to make a debt and pay that debt with the extra income you make.

This circle and cycle is infinite and everyone gets into this cycle and it is impossible to get away from it unless you somehow move to some farm and make your own things and live off the grid. Hence we are not going to see any improvements anytime soon unless system changes.

So what’s your main point? Are you trying to say if the wild should switch to cryptocurrency those debts wouldn’t be there to be paid? Lol. It’s quite funny how some of you think. Even if the whole world decides to make use of cryptocurrency, nothing changes at all, things will still continue the way it is normally and you will even pay more tax, and countries will still continue to be in debt, it changes nothing.

bitcoin will then be evaluated in euro, and if the euro banksters are gambling and fail to keep trust with the european population, then euro disappear next. it all becomes then about the attention hack and the index authority. which index will people take serious.

Totally agree with this statement

The topic starter obviously doesn't know a thing about modern finance but still makes very bold claims about an imminent dollar collapse, without providing any valid reasons. People have been making such claims for literally decades by now but the dollar is still well and kicking. Whoever is going to challenge that fact may want to first look at the USDX index which shows the strength of the US dollar against a basket of major fiat currencies

Seriously doubt this statement.  In fact, I'd go as far as to say this topic is an attempt at FUD as there is absolutely zero indication that the USD will crash anytime soon.
If anything, we will see the price of BTC continue to take a mass hit before the US dollar dwindles in value.
I just posted a thread about this- I suggest you check it out for your own self awareness!

Safe assets are unlikely going to crash soon. There are expectations by famous economists about craz inflation rates but increasing debt level doesn't mean devauled greenback. Btc is totally another level and no need to compare with  national currency.

I am not jjjfff but I imagine as long as dollar becomes more and more devalued the price of bitcoin suppose to go up.
If american markets and the american dollar drops constantly that means the limited bitcoin should be going up just like gold. Look at the price of gold for example in the previous 100 years, the more inflation destroys the economy of a country the higher gold prices becomes, 2008 being a great example of it.

As soon as government allowed a 800 billion bail out, gold prices skyrocketed. Which means if bitcoin manages to be a comoddity like gold than inflation works for us. Debt and consequences could only cripple the american economy and that means money will become less valuable. Think of a world where water is 100 dollars and a burger costs 800 dollars, in a world like that bitcoin won't be 4 thousand dollars, it will be much much more.

I've mentioned this before on other threads : the only thing missing for BTC to become a worldwide currency is widespread adoption.

As soon as everyday things can be paid by BTC, Bitcoin will explode. I don't mean a specialized coffee shop or a trendy airport shop that accepts Bitcoin as a novelty, I mean everyday stuff like food, utilities, taxi and so on.

The transition from the fake ponzi economy we're living in to a transparent system like Bitcoin will be gradual. The dollar won't disappear just like that.

More and more people will see the light. The ponzi scheme we're all living in. 7 billion people living under the control of 15 banking families who get to print money while the rest of the world works 15 hour days. This will collapse and then people will place their savings into gold and Bitcoin IMO.

And then during the collapse people will start to ask each other hey can I pay you that debt in Bitcoin? Can I pay this month's rent in Bitcoin? Can I pay for this food in Bitcoin?

That's when the definitive change will begin IMO.

I have a question to you jjjfff. Don't get me wrong I wholeheartedly agree with you about the debt and the consequence on the US dollar, however my question is: how do you imagine that Bitcoin will not collapse if the US dollar does?

Unfortunately I still think Bitcoin is much more fragile than a fiat currency such as USD. This would be insanely good news for some of us here if Bitcoin remained strong in such scenario, but I cannot see happening.

Curious to hear your thoughts.

Its true that dollar is like a ponzi scheme and the goverments could keep making money as much as they want to, in order to make a stable economy (atleast thats what they said)  but i do think dollar is still strong and it would take a lot time for it to crash, cause so many people still depends on dollar and still use it for transactions.

This stock market is not very good for trading because they have a platform that is not open and has a game price there is very high so you should be careful when you want to trade there, while for USD when it collapsed, the price of Bitcoin will also collapse because some people who buys bitcoin using usd will sell bitcoin and save its assets in USD.

Please consider what this diagram shows

Who is going to repay them,who give those debts to all those countries,so who all are we are working under.Most developed countries also having debts and underdeveloped countries too.SO one day the FED bubble will burst and at that time the cryptos might replace it.

Yeah, it will never become zero balance because government will continue to borrow money for some reason and it will doubled the debt, until the next generation. They can print more money and yet the Debt rate is very high. I'm wondering if there's any country that has no debt at all? Maybe none and soon the world financial crisis will happen again. I'm slowly realizing how bad our banking system are, and yet our government still encouraging everyone to use bank, maybe so they can have more money for their own interest and make their business grow while the savers are still poor.

 I think it is normal for countries to have a large debt. We should not overdo this. Currently developed countries such as China and the US are in debt to some countries. But that seems to be their development fee. No one can claim that debt because the US and China have helped many other countries grow. That is the opportunity cost. Do not be too important it.

When the US dollar implodes, the rest of the fiat currencies will follow, so people will basically be forced to add value to Bitcoin similarly to how people add value to Gold. I'm certain that people will not even think a second about getting rid of their Bitcoins, because that's the only thing they have allowing them to transact conveniently without having to revert to Gold that's not allowing you to transact conveniently.

Even if people do not believe in Bitcoin, just for the sake of preparing for the worst case scenario, it makes sense to hold at least a chunk of it. It's better to own Bitcoin without needing to use it as worst case scenario money, than to not have it and late figure out that you need it.

I owe U$ 2500 to my credit card.

Credit card owes U$ 1.5 million to bank.

Bank owes U$ 50 billion to other bank.

Add all this debt up, for all people in the world, for every nation, for every company, for every bank and you get world debt.

Right now this number is over U$ 250 trillion.

Which means even if the USA became 10x larger and USA did nothing but pay debt and not a single other thing, then this debt is impossible to be paid.

How did this debt become a thing?

You guessed it : the banking system lent this money in various ways.

But if the banks lent the money, surely that money exists, right? Right?

Well, no.

Banks are free to lend money that does not exist. Sounds weird, right? But that's how fractional reserve works.

This is how our financial system works: The FED prints magic money for banks who take this money and magically multiply it by lending more than they have.

What happens if everyone had to return this magical nonexistent money to the origins in full? The system would collapse.

That's what's happening. Nobody will ever pay this debt. It's a ponzi scheme.

Yes it is always happen for some time but never ending period will be the answer for this and the when tha value and the reasons for this will be same while it is become normal we can definitely attract and accept that if you do that then it will clear.

I never understood the sentence "world debt", who does world owe money to? Mars? What does world debt comes down to? Does that mean some countries owe money to other countries, if that is the case does that mean there are countries in the world who combined owed 250 trillion dollars ?

Those countries must be insanely rich right now considering they are owed 250 trillion dollars but whenever I check worlds finance data I do not see any country that much ahead of everyone else, most of the time everyone owes money to each other and there are very few countries that are owed money and certainly not 250 trillion dollars. It just feels like world is printing money more than it can collect and creates a financial instability which creates a broken system that makes everyone owe something to each other until someone can't pay.

it seems that it is still not right because usd and bitcoin have a higher demand and have influence is usd, if usd collapses then surely the price of bitcoin will also collapse because many traders will secure their assets by selling bitcoin and withdrawing assets from the place exchange.

They rely on debt being the controlling mechanism over people, because if you own the Banks money, they effectively own your ass and they can control your assets. The wealthy elite make their money off the backs of a debt ridden middle class and the poor people that cannot pay the debt, will just be forced out of the financial system.

They need debt to control you. 

Do you guys remember this staggering picture?



Or I'll just post the URL link here > https://www.visualcapitalist.com/worlds-money-markets-one-visualization-2017/

Global debt is insane.

Let's just face the reality dude. Every nation has their own debt so it is no surprise. The economy of a country will not prospher if they don't as for credit to other country.

That's right.

Debt in a fractional reserve system is the same as printing money.

Create debt, the money to back it up does not even exist, the debt is never paid.

Most people refuse to accept the fact that our economy is one big banking ponzi scheme.


Only the average citizens still haven't noticed the immense fraud we're all living in. Bankers and other financial experts all know what's up and are preparing for another worldwide crash.

Increasing volatility in world markets is a strong indicator of the problem.

Bankers themselves know that at some point they'll have to sell their equities. With every hiccup they start selling like mad and cause flash crashes. Nobody knows when the big one will come, but it's only a matter of time.


China is also printing money like mad. The only way they can compete with the West is to play by the same rules. If BoJ,ECB and FED can print debt at will then why can't China? When the debt bomb goes off, China will be in the same boat.


That's right.

It's a ponzi scheme. They need more and more young people working their asses off 10x more than in the 1980's to keep the system afloat.

The system requires exponential growth. Growth upon growth, year over year. When this exponential growth stops prepare for the biggest crash in history.

The world is sitting on U$ 250 trillion debt. It's impossible to pay.

They'll either start a major war or find some other way to avoid this debt. Bankers never lose, we do. They'll do something nasty soon.

The financial system is a ponzi scheme.

The world debt is going to be paid only if new wealth is going to be created. Right now this option is limited. I can't think how we can find new ways of creating wealth (maybe go to another planet and start a business with lower costs(?) I really don't know). What I know is that Bitcoin will never crash, but I can't say the same for USD and fiat currencies. Bankers will create another currency even if USD will crash that is going to cover the already debt that is created and again... the vicious cycle continues.

There are some crazy things happening right now in the world. Frankly, the relations between the US and China are getting really bad. Trump is now moving a big part of the manufacturing in Cambodia and Vietnam.
Unrelated to this topic, but please read this about China > https://www.standardmedia.co.ke/article/2001306837/auditor-kenya-risks-losing-port-to-china some concerning stuff going on. Don't know how the world will look if China "takes over" but for sure it could get even uglier than with the US.

This is indeed really true nowadays, USA has somehow shows some initiative by developing and becoming industrialized nowadays as it has been implemented a lot improvements for the betterment of the country. I have seen major increase of fiat currency equivalency meaning the US dollars has gotten stronger lately and it was being felt by most of the countries around the world. The value of US dollars was rapidly growing as it made or possibly one of the factors that contribute inflation rate to other countries as well. But, the stronger US dollar is not really that huge factor of the influence of inflation rate. Well just say 5% factor influence inflation rate of that certain country against US dollar equivalency.

News on economic crash downs are looming out in faster pace in recent rimes, I read in another article about developing countries like India also may face such crashes. Indian reserve bank former president himself had predicted about bankruptcy of Indian economy if they are not regulating themselves. India kind of developing countries are having all enough resources to cope up any economy slowdown and as far as I have concerned India not heavily impacted by the recession in 2008.

Coming back to the topic, USA is having all their enough reserves and a recently I came to know about their gold reserve which is more than sum of world top five economically stronger countries. I do not think US economic will crash down if anything that will be happen then that might be worst scenario than what we had in 2008 (I hope no one could forget collapses of major giants like AIG and USA government's plans of mammoth $700 billion bail out to restore their economy in 2008).

The whole system was created on debt and designed to allow for infinite debt (print more and more money).
There is more debt than there was ever money so paying off the debt is impossible.

Watch this...

The biggest scam in the history of mankind.
https://www.youtube.com/watch?v=iFDe5kUUyT0

USD could collapse, but worse will be the EURO. The value of the EUR has varied really a lot over the year. It was introduced at the rate of 1.16 USD (more or less) in 1999, it fell to 0.86 dollar two years later, then almost doubled in the span of 8 years. And of course it then collapsed again.

The average percentage of international reserves denominated in EUR is 22%. Central bankers and international institutions still prefer the US dollar despite all the critics we can make about the US economy.

By the way, France's debt is huge too. And in Japan it is pretty big as well. All this is a huge bubble. In most rich countries, people live comfortably thanks to invisible money. 

I agree that USD will collapse at one point because no currency can last forever but it will be a long time until this happens,

right, usd is the basis for international transactions, so that if it crashes, it will lead to a global crisis. but to switch to BTTC for international transactions, I think it still takes a lot of time, because there are still many countries that are not familiar with crypto

I dont think USD will crash in near time. Its true that USD printed without any backup like gold but USD still needed for global transaction. I think Bitcoin time will come if economic crisis happen

Someone said fractional reserve did no longer exist, to which I replied that that was ludicrous. FDIC, FSB, FED, FRS, IRS, FBI, NFL, MLB whoever is in charge of it I don't know.

About The Pharmacist's mention of taxes as if that guaranteed some intrinsic value to money: I didn't reply earlier, on purpose, because that doesn't really make any sense.

A simple example may illustrate this better.

Disney sells tokens you can spend within Disney parks. Like the FED issues Treasury notes you can spend within USA.

Disney charges fees for certain activities. USA charges taxes for certain activities.

Just like Disney tokens do not have any intrinsic value other than Disney backing it, even though you can pay fees with those tokens, the same happens to the Treasury notes we happen to call US Dollars.

There's nothing intrinsic about the dollar. We can pay taxes using it because it's the tokens the taxman himself issued via his magical money department we call FED.

The moment average folks understand this is the moment they'll start to understand the fact that the FED simply prints these Treasury notes by issuing one simple database command.

US Dollars are simply a line in a secure database. Today there exist 1 bazillion, tomorrow magically there exist a bazillion plus one trillion. That's how the FED works. They magically create money out of thin air.

Average folks seem reluctant to grasp this simple fact.

They think oh man, the US power is so immense, USA can't use a magical currency issued by a sacred entity that puffs money out of thin air!

Well, that's exactly what it is.

There are over U$ 250 trillion in DEBT in the world today. Nobody's gona pay this debt.

Either they'll start big wars or come up with some other excuse to "solve" this 250 trillion U$ debt bomb. Nobody except The People pay the bill for this absurd system.

Did you read yourself the part by the link you posted?


Maybe, because it is not on its own here and your taxes will be spent on whores, yachts and drugs?

BTC is deflationary guys. USD and other currencies are being printed like air especially american dollars by the US govt. Just taking this factor into account we should bet on BTC and cryptocurrencies, let alone the breakthrough technologies we get. As I speak more about cryptos I realise that this opportunity is a no brainer. Personally I'm putting all my savings into BTC and alts I believe in. I don't let any fiat stand in my wallet because that is simply wasted moolah. 

You were unable to make a single point against anything I said in the past threads where we met.

You called your "smart friends" to rebuke stuff I said.

I respect the fact that you're not really informed about real world markets, but you should hold off on trying to diss me instead of the points I make.

Let's focus on things I said rather than on me? Hold your ad-hominem please. I did not call you off on any of the dumb arguments you made (trust me, they're plenty).

LOL WUT!

Here are the fractional reserve regulations for banks in the USA: https://en.wikipedia.org/wiki/Reserve_requirement#United_States

That's an interesting take.  But damn, if money isn't worth anything on its own, why do I have to pay so much in taxes?

I get the impression OP is a little bit off the deep end as far as his hatred of the Fed, but there's a place for people like him in the world.  If we didn't have people speaking out against the government, we'd be in trouble.  But I've challenged him in one of his other threads and invited others to the discussion, but it's gone nowhere. 

So OP, I'll just say that I respect your middle finger being thrust out at the Fed, but I'll remain skeptical about some of the facts you use to support your argument.

Every fiat currency on Earth has collapsed at some point.  The USD will not last too much longer and gold/bitcoin will be taking its place as the reserve currency.

Once we see oil nations refuse to accept USD for their oil reserves it will start a collapse like we have never seen before.

No, fiat banks don't need deposits to create money. Why should I ever explain it again? This question has been beaten to death already, and still it gets raised now and then. When a fiat bank gives out a loan, its balance gets increased as money is essentially created out of thin air. Why would it need deposits for that? If you don't believe me, read this explanation from the Bank of England itself. I have it in my bookmarks as I am used to constantly hearing that nonsense about FRB from the textbooks

I don't know what you mean by scriptural money

No, fiat banks don't need deposits to create money. Why should I ever explain it again? This question has been beaten to death already, and still it get raised. When a fiat bank gives out a loan, its balance gets increased as money is essentially created out of thin air. Why would it need deposits for that? If you don't believe me, read this explanation from the Bank of England itself. I have it in my bookmarks as I am used to constantly hearing that nonsense about FRB

I don't know what you mean by scriptural money

@deisik

The fractional reserve is still here, the money is still created depending on deposits. That's why the Third Basel Accord comes to avoid the problem with a liquidity crisis. Banks have solvability problems for sure.
Do you call the scriptural money non-existent money or existent?

In simple terms, you don't know how fiat system works these days

There is no fractional reserve banking today, with fiat money not backed up by anything it loses any meaning. It always amuses me why people continue to repeat the same shit over and over again? It has been explained many times that there are no "10 million nonexistent dollars" as these dollars (credit money) are as "existent" as any other dollars out there. If it is a fraud, then the whole fiat system is a fraud

Regarding the US debt specifically, it is not debt, even though you are made to believe it is. If anything, it is a tax that Uncle Sam has levied on the rest of the world and made everyone think that he actually owes something. Don't fall for the show you see on the TV. And strictly speaking, it is nowhere close to being 10x the economy of the US. Where did you get that number, really?

Debt is 10 times larger than the US economy.

The US cannot pay the debt. Simple as that.

It's like a credit card bill that will never get paid. Simply rolls over from month to month. Who pays the bill? We do.

You cannot remove money from the equation because of fractional reserve banking. The system is not honest. What you talk about would be true if the system were honest, but it's not.

Money is essential because a bank with 1 million dollars in reserves is free to loan 10 million nonexistent dollars. It's a fraud, simple as that.

I think along the same lines mostly

People easily forget that money is only an intermediary which is not worth anything on its own, without the "underlying". And being only that, we can remove it from the equation completely and when we do so, we come to understand that it is the economies that matter and their strength, not money or debt representing them. In other words, if fiat monies are going to die, the American dollar will be the last to kick the bucket due to sheer size of the US economy

This is also happening in other country. Yeah you have say much about the cryptocurrency system as a scam. People knownl this also but why still many do invest? This is considered already as gambling. The high risk is there and everyone agreed to it and does know that the system can end. For now people are still determined to earn in cryptocurrency. So they keep.on investing even if it means as scam.

I think there will be a time for that to happe, but I think Trump is doing his best in order for it not to happen. But I also want Bitcoin to soar and make it more valuable than USD.

If the whole world is indebted to one another then new money does not need to keep coming in. As long as no country is in a powerful enough position to stop the constant rolling over of debt then it can continue with little consequence. The strong world economies that are funded by this debt will stop the success of any non-debt funded economies by whatever means they can, be that through tariffs or through war.

Read this very carefully https://www.marketwatch.com/story/stock-market-investors-its-time-to-hear-the-ugly-truth-2019-01-05

For years critics of U.S. central-bank policy have been dismissed as Negative Nellies, but the ugly truth is staring us in the face: Stock-market advances remain a game of artificial liquidity and central-bank jawboning, not organic growth. And now the jig is up.


It's a ponzi scheme, stupid!

They can't keep printing money forever. The markets are pumped by the FED.

World debt sits at U$ 250 trillion (!!!) right now:

https://www.cnbc.com/2018/07/11/global-debt-hits-a-new-record-at-247-trillion.html

https://www.bloomberg.com/graphics/2018-lehman-debt/?srnd=premium

Nobody is going to pay this debt, EVER. It's never going to get paid. They will roll over, print more money, throw this to the next generation (it's a ponzi, new people need to keep coming in).

By the time our grandsons read this they will be working most their lives just to pay the FED balance sheet.