Let me start off this article by saying It is certainly no secret that there is a major move into cryptocurrency for many reasons, however, in order for these new stores of wealth to threaten the United States dollar several things would have to happen.
In order for any currency which includes a cryptocurrency to be a real threat to the US dollar, it would need to be a potential reserve currency. What this means is this cryptocurrency would need to be widely held by central banks from all over the world as to pay off international debt obligations. It would also mean that assets such as commodities, including crude oil would need to be priced in that particular cryptocurrency and not dollar-denominated.
In order for A cryptocurrency to ever become a reserve currency, there would need to be a revolution on a global scale, a war if you will against the worlds central banks, (something I personally wish would actually happen).
World central banks power exists in their ability to force their product, debt units, also known as the Fiat currency, upon the masses, and this is not something that world central banks would take lately. Wars have been fought to support the US dollar, and bring it to a reserve status. In fact the entire Vietnam war was fought for two reasons and two reasons only, and neither of them had to do with the spread of communism.
The Vietnam war was fought to 1. Establish a Fiat monetary system, and 2. To establish the petro dollar system therefore vaulting the US dollar to World reserve status. Therefore you can rest assured that world central banks would resist any new reserve currency with and by any means necessary.
The real threats to a government with regard to the use of a cryptocurrency is the governments ability to collect taxes on transactions, and law enforcements ability to fight crime transacted in a said cryptocurrency.
As for a cryptocurrency making it to a reserve status which could actually threaten the United States dollar, I think is a long shot or impossible at best, at least during our lifetimes.
Could I be wrong on this?
Sure, I'm just giving you my best thoughts on this topic however I would love to hear from you so please feel free to comment and resteem this article.
Gregory Mannarino
I do believe it is possible in our lifetime. If we all stay focused on what we are trying to achieve here. STEEM and blockchains I really believe in my heart can change the world. With great Steem Power comes great responsibility. Right now posts are only a few dollars and for us Americans that's great but not life changing yet. STEEM is already changing lives in places like Indonesia and India where 1 USD goes long. The world depends on us. We are all on the same team here. It will be an uphill battle though for sure brother.
Totally agree @thejohalfiles! I really see this platform transforming many lives...Especially in lower income communities...Steemit can certainly be utilized for no-fee transfer remittances...& that's awesome! But, not only just from a monetary standpoint, but also from a censorship free perspective as well...There is great freedom in decentralization...And cryptocurrencies help to achieve this...The rewards aspect is just the icing on the cake:)
Haven't thought about it this way until you mentioned this. Very interesting and well worth supporting!
nice analysis
as long as the us has military bases all around the world, dollar collapse is impossible
Unless the military is used to bring in a new currency. And what makes you think the military is going to defend our currency? When did that become their job?
The military is used to protect a country's interests. They will be ordered when necessary to fight, especially to maintain the relevance of the US dollar as the reserve currency. Just imagine what would happen if the US military didn't defend the currency. US dollars outside of the US would return to the US chasing after a limited amount of goods causing hyper inflation because other nations wouldn't need that many US dollars anymore. Also, the soldiers would be highly motivated to fight because by defending the US dollar, they are defending their own finances, they would not want the value of their hard earned money to hyper inflate.
I believe the elite want a new one world currency. It would be easier for them to control. The 2018 cover of the Economist Magazine showed a phoenix rising from the ashes of burning dollars. A gold coin was around the neck. I do not see the military defending our dollar. The dollar had depreciated in value since the Federal Reserve took over our currency. It is worthless. You would be better off in silver and gold.
I agree with you on us being better off by converting our dollars into precious metals because the dollar is constantly depreciating in value over time, and one day the US dollar may be replaced because of this depreciation, with precious metals we'll be able to convert it into the new currency if need be. However, I do believe the replacement of the US dollar (in terms of the currency used in the US) will be another fiat currency, unless US citizens completely oppose it and strongly support an alternative for it. Regarding the one world currency, I'm quite skeptical of it, as elites of other countries would have trouble surrendering control of their country to the elites of the US.
Blockchains could end up saving the USD some how. - or some form of it....time will tell.
Bitcoin or any crypto not controlled by the deep sate will never become the worlds reserve currency however that does not mean they are not a severe threat to the US dollar. Most likely we will see a fedcoin issued by the US and other countries are looking into their own centralized electronic blockchain based private currencies or perhaps we will see beastmarkcoin as a world currency (hehe) whereby govts track ,monitor,tax and confiscate everyones money at will,but even with that there will exist the underground cryptocurrencies that can never be stopped and as more billions pour into crypto that is less in dollars that the banksters can profit from so crypto as a hedge against toilet paper money and as a currency in and of itself is a huge threat to the dollar. Why buy airline tickets with dollars when I can use bitcoin? Why do we need dollars very often when more and more hundreds of thousands of stores accept crypto and you can be paid in crypto? Can you see how the dollar is getting squeezed here? I welcome the day.
Dreamer
This is interesting. Im just learning about it.
Me to
Awesome Platform!
Check out another view of the precious metals complex moving forward.
Dont forget to upvote :)!
https://steemit.com/silver/@sjovmaiin/gold-silver-and-the-correlation-to-oil-and-the-us-dollar
New to STEEM, good post.
I think cryptocurrency could be a reserve currency in the way gold currently is. Gold does not officially back our currency, but every central bank holds some for several good reasons. It is a store of wealth, it is rare, and it doesn't decay. Bitcoin fits that perfectly.
The only possibility that it will not work as an unofficial reserve currency like gold, is that there is really nothing stopping competitors from creating a better bitcoin. The market will eventually be flooded with all kinds of coins. And which one to hold to ensure the value stays steady? This is the advantage that gold holds, no new element is going to pop up and replace it. All of physics stands against something like that happening.
A lot of people are trying to say bitcoin will replace gold or gold is the only way to preserve your wealth...why not have both and diversify. Decide what your ratio will be and go by that. I like both and have put money into both. No need to go all in to one or the other. Anyway, my 2 cents.
yea but i'm seriously thinking about selling my stagnant gold for a better performer that is subject to much less manipulation.
VERY TRUE stevenw4455! I got both & SILVER (the real one ---> physical!) you will never know exactly the future that's the reason you MUST diversify in real money (not fiat based currency assets)
Silver all the way
Cryptocurrency will trump any gold back government issued currency. Would anyone trust any government that claims they will back their currency with actual gold if they don't allow people to redeem their paper for the physical metal? The problem with gold and silver are that their markets are heavily manipulated. People won't ever trust this kind of market. Gold and silver will survive as stores of value outside of the system only to dodge taxes. Goldmoney will increase in popularity, but people will be sick that the value of their gold remains heavily manipulated to the downside and will be left wondering: when will this increase relative to the amount of paper actually printed? Because of this, they will pour into cryptos when the next crisis happens. Crypto will survive with tiers: premium coins for people that got in very early, mid grade coins, and low tier coins for very late market entrants.
It's hard for me to imagine not having something tangible in my pocket for currency. Yes, the idea of a digital currency is "more convenient" but only with tech. and let's not forget electricity. Seems like in today's world there is an abundance of both. It wasn't long ago when there was neither. I remember 5 to 10 years ago seeing a commercial on the idiot box of a man in a trench coat who looked somewhat suspect entering a grocery store. He traversed the isles putting random items inside the coat and in his pockets all the while being spotted by baffled onlookers. When he was finished loading up he headed for the door bypassing the checkout but momentarily stopping at the door before crossing the "out" thresh hold. He stopped where the automatic door was, looked up at the camera, smiled and then walked out setting off no alarms for what we all assumed would be theft. All we heard was a ding. Apparently this commercial was geared toward the chip system whether in card form or an actual body chip I don't know. This was introducing back then the idea of a cashless society by use of a chip, I assume, within the realm of digital currency. I remember seeing this add a few more times through a period of about six months and then POOF it was gone and I've never seen it since. I'm not against digital currencies and am exploring them more and more but I do like the idea of a "real item" in hand so to speak. Thanks Mr. Mannarino and as we say now... "Steem on"! Thoughts?
I love the idea of having things in my hand that her physical as well I don't like the idea of digital currency's nor do I like the idea of Fiat currency's I like the idea of real money in my hand like gold and silver.
Having it in your hand is wonderful. It is not trackable, taxable or verifiable. It is yours. You are only taxed once on a pair of blue jeans when we buy them. Then why are we taxed over and over and over on our homes, our money and everything else. Physical is good as is prepper provisions. People are the greatest investment.
I think I agree with that for the most part . However what do you mean by people are the best investments ?
In a doomsday situation you can have food, water, metals, guns etc. but having a community of folks you can trust, barter with and help each other is priceless. The time you spend in establishing relationships with others is invaluable. The payoff will be worth the time spent.
I couldn't have said it better! Bravo!
Same here. I have as I've gotten older and started a family of my own I've realized the importance of being diversified. I for to many years was stubborn and had all my eggs in one basket so to speak. I remember watching the last market meltdown. I think it ended up at 6400 or 6600 on the DOW. I started watching kramer on the idiot box everyday and tried my best back then to figure out the market listening to him. Time went on, I had ample time to invest, and I learned a ton from that period in my life but I never invested. Looking back not long ago I realized what missed out on. No worries though, to live is to learn. The same pattern repeats time and time again. I won't miss that boat again.
I agree but I could also see a day when you don't care about having physical, just have on your cell phone will be fine.
Sounds like youre open to it so just keep resurching and you will get much more comfortable with it. Its the opposite of the beast system, imo.
true, I own physical gold & silver been stacking not long ago but I started to buy crypo currencies last month not much (actually I'm living in Mexico & there isn't many option for now) some ethers... I recall 1997 first & 2001 after the crisis when I was dubious about buying amazon or ebay and finally didn't buy them... I think this is a new chance... and opportunities like this are scarce in life. God bless =)
I believe an awakening is coming especially with the 25 year old age group. Most people haven't figured out what is wrong yet but many eventually will. The masses will start paying attention to things and turn off dancing with the stars out of necessity. It could happen faster than many think. Stay tuned.
Thanks Gregory for the Steemit recommendation! I had not heard of it before you mentioned it. I follow you everyday!!
The dollar we remain propped up until they decide to decouple it from oil. In order for that to happen there would need to be something incredible to happen that would break up the US relationship with the Saudi kingdom... I just don't see that happening any time soon.
I followed you over here after I found you on tubeboobs, thank you for your referral. Could these digital currencies every become such a threat that the Internet could by hijacked, turned off or so controlled that they become worthless? Are we not to believe that there is no back door whereby someone could make a real mess of things and destroy confidence ? Thanks for all you do and I do hope this platform pays off for you in a big way.
If they shut down the internet its war. full blown war.
Ripple in my opinion is central banking 2.0.....whoever has control over the network has the power. No-one sensible will touch a banker launched crypto unless it is proven to have been built upon the same ethos (of freedom) as many of those that already exist....in which case, good on them (very unlikely.)
A new reserve could certainly arise, and quickly....the debt in the FIAT system collapses and for a time there will be no single reserve (quite disruptive for global trade I should imagine.) Then people will begin to settle upon what they trust as a reserve....it is unlikely to be whatever is offered by the bankers. Crypto could very easily become a reserve....though I don't think it will be Bitcoin. Necessity will speed things along though I would add the game has changed.....the world may settle on a multi-reserve world. If all the reserves are equally marvelous, then why not?
I like what you have said here, it is the truth and what we need to see more of, most importantly we need to get rid of the central banks. Using steemit is the first step as well as not supporting any of the centralized social media with the one exception of recruitment. I also block every advertisement I see when using the centralized social media.
Very strong points to keep from this article when to consider If a cryptocurrency can become a reserve currency. I wish it happens sooner than later (but without government central banks control).
I just don't see how you can keep anything decentralized if a government wants to centralize it. They will spend a lot of tax payer money and use their power to seize control of it. I see it as a way to make money now, but to be wary and actively manage it.
I agree @stevenw4455.
ether is the currency/fuel of Ethereum blockchain platform. many new apps/technologies are being built on Ethereum platform and there are so much potential out there. I am just not sure about the Bitcoin. it has some features of currency but not all. that was my thought.
have a look at Nexus Earth guys. It is so far the best crypto out there for several reasons. Mainly because it is truly decentralised and it is betting against bitcoin, which as we all know is another experiment from central banks to keep us under control....it's sad but it's true, cryptos are just another way to keep people enslaved :( :(
What is the future of Bitcoin and Ether?
Crypto is a new paradigm all together. Fighting the old system, may not be necessary, if the majority of the world eventually turn to crypto. It will be the largest "black market" in the world and eventually make the old one look jurassic and obsolete !!! At least the banksters and the state will have to really pull out the guns to force the slaves to use their debt based ponzi scheme
Will an independent crypto become a reserve currency in the next 100 years? My answer is I don't think so. But will a central bank put their currency on a blockchain? Yea I could see that, here is a story about the royal chinese mint
https://medium.com/@andrewkeys_88339/ethereum-growing-exponentially-in-china-31f1d24c8ee9
Could one of these central bank backed crypto's be a reserve currency? If they choose to, definitely.
Big fan here Greg, just started my account after watching the video you posted.
Glad to see you here!
thanks!
YW
Thanks for the informative post.
Congratulations @marketreport!
Your post was mentioned in my hit parade in the following category:
Cryptocurrency is a wonderful alternative to the dollar as Greg states. It also offers an digital alternative to silver and gold. However what happens when they turn off the internet? How will we get to those digital currencies then? Also is this a quiet step to move us to a one world currency? I will definitely have some crypto on hand but feel the need to diversify. Thanks Greg. You Rock!
Two Presidents said the exact same thing Eisenhower final speech on the military industrial complex and Thomas Jefferson about private central banks.
"If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around them will deprive the people of all property until their children wake up homeless on the continent their Fathers conquered.... I believe that banking institutions are more dangerous to our liberties than standing armies.... The issuing power should be taken from the banks and restored to the people, to whom it properly belongs."
Thank Gregory, signed up becasue of you. FIRST comment.... have a blessed day.
I´m happy to see you on Steemit too =) Following you on YT for a while already
Glad to be here. Thank you!
Great Video Greg!
Just signed in. Thank you
I have just one thing to say! "Become your own central bank!!!!" This quote was taken from the man himself G.M.
I think crypto currencies will be a temporary fix while fiat currencies eventually will be replaced with gold and silver.
They need something digital. Gold and silver are not trackable and not part of their master plan.
I agree. Only a gold back crypto could pull off reserve status.
there are actually gold backed cryptos right now but they are not really better than just holding gold in a normal vaulting system.
Totally agree.
Thanks for introducing me to Steem Greg, I'll support you here!
I just followed everyon on this chain. We should all do the same and capitalize on this unique opportunity.
Greg, you and I and a lot of folks know the fiat USD at some point will crash!!
Great post greg. I really appreciate all the work you do on the the market.....keep up the good work
Although it sounds good in theory, I feel like cryptocurrency will only detract attention and value from real money, physical gold and silver. Unfortunately, we are seeing people put life savings on Bitcoin. Why didn't they do that for gold or silver? They believe it is manipulated but fail to realize if they vote with their pockets, ultimately the people will break the banks monopoly on precious metals. By, not supporting real money, it helps to keep the bankers in control.
Yo, Gregory Mannarino, I got an offer you can't refuse. Stack silver, ditch dollars.
I can see the Central intelligence agency using crypto currency in the narcotics trade. Keeping activities off the books. I feel that is why governments are not going after crypto currency.
Greg, I have enjoyed your YouTube videos and I'm glad to see you on Steemit. I agree with your article and would even go so far as to say that if cryptocurrencies ever start to become a real threat to the dollar, the government will do something to suppress the price like it has done with precious metals.
I think we dont have to threaten united states dollar because cryptocurrencies is dependent to it. If US dollar loses value, all cryptocurrencies will go down together with it. What makes crypto beautiful is due to the value of USD, without the dollar value every coin is just as is.
If this is true then I'm not very bullish on crypto currency's because I am one of those people believe that the United States dollar will eventually go away .
This is just my opinion and none of it is proven. I just thought about it since currently the value of US dollars makes crypto beautiful. If no US dollar how can we identify the price of bitcoin and all other crypto currencies?
But if time come that crypto currencies will turn to be the current fiat currency network, then bitcoin will then be the US dollar which makes all crypto dependent to it. But until then, it not good to hurt US dollar.
Well the US dollar is in for a world of hurt long-term .
I'm a little new at the hole cryptocurrency movement but do i think it will ever replace the doller no maybe smaller countries might try it but it still has to be backed by something i would think. As far as the US using to replace the doller what power would they have using it or power over other countries. The US would definitely have to have there own so they can control its value in that case they would destroy its value in the long run like everything else. Gold and silver at the end.
Thanks Greg!!!
You are welcome ; )
When are they going to make this illegal? I cant see Gov'ts of the world allowing this to happen.
Hey Gregory, like milk to a baby, for any cryptcurr. to transition continually to mainstream, it would seem that liquidity, ease of use, recognition and acceptance of value are key.
TY. for your continued exposure to these burgeoning transaction platforms.
Hi Gregory, I set up my steemit account. Thank you great idea! Kc
Hi! Glad you are here. I truly believe Steemit is the place to be.
Hi Gregory, I made this the other day and posted on steemit on one of your articles. Not sure if you saw, if so I thought you would have at least given it an upvote. I stated that if you liked it you could use it as you please. Just a way to say thank you for your time and knowledge. What do you think about providing Steemit community design collateral in exchange for Steemit currency?
I did not see this until now, it is awesome!
Try it out and let me know if I need to resize it. The image is set up for desk top youtube banner. Let me know, it is my pleasure to give back.
Hi Greg,
I have been following you for years and as a result I have much physical silver in my possession. I have been investing in the cryptos for three years now and I'm gratified that one by one (Bix Weir, Andy Hoffman, and now you) the big guys in the PM space are seeing the value in cryptos. PM and cryptos are not in competition with each other but together have the potential to take down the criminal bankers!
You are very wise.
yes they are crypto is a total threat...first they got the young generation hook on debit cards instead of cash....these kids will walk off a cliff if told to do so yelling bahh bahhh all the way down!
Thanks Gregory M. For informing me about this site. So far STEEMIT.COM seems like a great site Im so glad u told me to about it. Thanks again I followed u over here from YouTube so I really hope this site works out so we can tell YouTube to stick their site where tge SUN DONT SHINE for all evil they do by PROMOTING THEIR GLOBALIST NWO AGENDA, ESPECIALLY THE WAY THEY FORCED IT UPON US NO MATTER HIW MUCH HARM IT CAUSES. WE NEED TO COME TOGETHER AN FIND AWAY TO PUT THEM DOWN AN KEEP THEM THEIR UNTIL THEY GET TO SUFFER FROM ALL THEIR DECISIONS AN THE RAMIFICATIONS FROM THEM. I hope everyone will support Greg.M for all the selfless work an KNOWLEDGE he has given to all of us For FREE.
Great Work Greg, Ive been following your work for a few years now. Time for me to join the Steemit community so hear I am!!
Cryptocurrency is a new step for me. I believe however that the future will be huge. Just become your own central banker and by silver every month.
Great thoughts, Greg. What we are witnessing now with the ascent of cryptocurrencies is a burgeoning center of economic gravity that in time will grow inexorably stronger. We have actually experienced numerous movements like this throughout history. Take Gutenberg's invention of the movable-type printing press as an example. This invention led to the democratization of political and religious thought in Europe and gave birth to social and political orders that we are still experiencing. It led to the overthrow of the hegemony of the Catholic Church and gave birth to the reformation. I believe decentralized cryptocurrencies will also eventually exercise this same power of dislocation and "reformation." However, I agree that the current establishment will die slowly.
God bless you Greg.
Thanks Gregory for the Steemit recommendation. Very informative post
I think that central banks are going to so badly debase fiat currencies in comparison to crypto-currency that governments are going to be forced to either return to some kind of metal backing to give their garbage worth, or do away with the central bank model all together and begin to issue debt free government currency. We win if we can keep this up! Crypto-currency is going to force the hand of government. Especially in light of the fact that probably within 1 year, we will have nearly instant transactions with LTC and probably BTC down the line. Paired together they won't be stopped.