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50 sats \ 4 replies \ @siggy47 9 Jul 2023
If this happens, watch the price of gold plummet. Everyone who loves the idea of a BlackRock bitcoin ETF can sit back and watch the power of "paper" commodity price control.
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0 sats \ 3 replies \ @Undisciplined 9 Jul 2023
What's the case for this tanking the gold price? That's quite a contrarian take.
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151 sats \ 2 replies \ @siggy47 9 Jul 2023
Yes it is. A gold backed currency challenging the US dollar could destroy the value of the dollar, the US bond market, and a big chunk of the western world economy. That cannot be allowed to happen. US banks have all the incentive to prevent that from happening. Therefore, the price of gold will be manipulated through the "paper" options and futures markets. US and British banks have been manipulating the gold price for years. In other words, gold will be shorted. If gold had been permitted to appreciate naturally through all the printing of the past 50 years, it sure as hell wouldn't be 2k/ounce.
Maybe I'm just a conspiracy theorist. I will be happy to be proven wrong
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0 sats \ 1 reply \ @Undisciplined 9 Jul 2023
I wouldn't be surprised to see something like that attempted. I know it's been done before, although it's not clear to me how successful those efforts have been. I think you're right about America seeing this as an existential threat to dollar hegemony, but I doubt these kinds of manipulations would do much to affect the somewhat closed system of BRICS settlement payments.
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21 sats \ 0 replies \ @siggy47 9 Jul 2023
Oh, I agree. It won't affect BRICS settlements. It will just limit the currencies forex rate versus USD.
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41 sats \ 1 reply \ @TomK 9 Jul 2023
It seems that a big passion for nostalgia drives them forward (or backwards) towards gold (or may it be distrust)?? No one seems to have time to study history these days.
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10 sats \ 0 replies \ @Undisciplined 9 Jul 2023
I think there just wasn't anything else they could all agree upon and they really want to stick it to the dollar. I imagine each party is also expecting to be the ones out cheating the others.
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100 sats \ 0 replies \ @crrdlx 9 Jul 2023
So, my chipmunk-brain understanding of this is:
- Even communist countries who follow horrible economic policies understand scarcity such that you cannot print or legislate money indiscriminately forever.
- Those countries will then use the USA's indiscriminate printing/legislating of money as an economic weapon against the US dollar and American hegemony.
I don't like it, but it's rational.
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0 sats \ 0 replies \ @TheBTCManual 10 Jul 2023
Just looks like they're just looking for a place to park excess capital, since US treasuries aren't that safe haven asset anymore and its not like any other EU nation can take up the role, none of the BRICS countries have a bond market or stock market worth funnelling all that excess into and Bitcoin is still too small for that sort of thing too
How it will work is anyones guess but bold move lets see what happens
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0 sats \ 0 replies \ @f6287b82CC84bcbd 10 Jul 2023
Fabricated/staged war with Taiwan or fabricated Ukraine/Russia false flag stuff happens.
Can't threaten the US hegemony
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0 sats \ 0 replies \ @Jorj_X_McKie 10 Jul 2023
Maybe BRICS should only allow purchases of this new currency in hard commodities vs fiat shitcoins?
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0 sats \ 0 replies \ @designsats 9 Jul 2023
Yea sure. Show me the vault
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0 sats \ 0 replies \ @brxyz 9 Jul 2023
Queue all the Portuguese jokes about Brazilians wanting their gold back...
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0 sats \ 0 replies \ @jgbtc 9 Jul 2023
Sure. I can audit the total supply right? Right?
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