In a world where it seems the only way to have future social and health security is through financial security, we keep getting almost hourly reports under the guise of news on the state of this or that stocks and shares of this or that corporation and how such business things will impact on your retirement superannuation. As if the only thing keeping the proverbial wolf from our door is the familiar gratuity of the world’s financial houses bequeathing largesse upon our heads…Oh, thank ya, thank ya, thank ya!
But then I suddenly remember this little bit of financial investment wisdom :
“ (FORTUNE Magazine) – JOE KENNEDY, a famous rich guy in his day, exited the stock market in timely fashion after a shoeshine boy gave him some stock tips. He figured that when the shoeshine boys have tips, the market is too popular for its own good, a theory also advanced by Bernard Baruch, another vested interest who described the scene before the big Crash:
“Taxi drivers told you what to buy. The shoeshine boy could give you a summary of the day’s financial news as he worked with rag and polish. An old beggar who regularly patrolled the street in front of my office now gave me tips and, I suppose, spent the money I and others gave him in the market. My cook had a brokerage account and followed the ticker closely. Her paper profits were quickly blown away in the gale of 1929.”
Yessss..the great depression..that ol’ thing..Broke the bottom’s of so many people and drove the world headlong into a world war…and then there’s this cheerful old ditty:
“Wars, bankruptcies, diseases and famine…good growing climate for the Morgan Bank”..
Now we got those venerable institutions ; the banks, rearing their ugly criminal heads, full to the gills of total and absolute corruption…just like we always knew they were…so nothing new there. But what is new in the world of financial whizz-kiddery, is..wait for it!: “Cryptocurrency”…and for some strange, obscure reason, I cannot for the life of me get the idea out of my tiny brain that there is some sort of convenient connection between this current Banking Royal Commission and the sudden rise of cryptocurrency…I can’t explain it, but there it is..
Perhaps it is the ever shrinking world of the availability of the old fashioned “easy gold” to mine..so many nations now a bit pinniky about those mega mining corporations screwing them over and ruining their environments in the process?..perhaps it is the notion of the attraction of “clean mining” of block-chain minting of a new currency..or perhaps it is the “once in a lifetime opportunity” for the free-market speculators to gain control of currency trading and money laundering between super-rich peer-to-peer trading and by-passing those sovereign federal treasury fiat currency reserves that ask all those pesky questions…like : “Where did this money come from?”…or the old chestnut : “How long’s THIS been going on!?”….add to that little by-pass, the opportunity to scalp so many small investor speculators like our above sucker shoe-shine boy wanting to “get in early and make a killing on the market” and you got one, big, ripe, plump, and juicy-ready to pick peach just waiting to be consumed.
Eden..with its one paltry apple tree as a tawdry temptation can but gaze upon it and weep!
All it’s going to take for this potpourri of financial chicanery, superannuation tom-foolery, banking irregularity to go bum-up is for one sovereign nation to declare that cryptocurrency is recognised by its federal reserve…Oh!..wait!..:
“New Sovereign Cryptocurrency will be Legal Tender in the Marshall Islands…” https://bitcoinmagazine.com/articles/new-sovereign-cryptocurrency-will-be-legal-tender-marshall-islands/
Oh dear!…and since this article was published, I read there are other federal reserves considering the option. What this COULD mean, is that if the big player federal reserves DO NOT swiftly gain control of the “mining” and exchange rate of this new player, then that single stabiliser of civil order in these days..ie; sovereign fiat currencies, could be manipulated and devalued by an out of control peer-to-peer free-market in cryptocurrencies that can be held in the hands of those super-rich oligarchies or corporations and the rest of us will have to go begging with out of date, out of value currency and coins.
But this manipulation of a nation’s politics by the introduction of a new,“value-added” currency is nothing new. In both China with the Han Dynasty and the contemporaneous Roman Empire, monetary systems sometimes clashed and had to be competed with for local favour. :
“ This position is normally envisioned as the ruler’s control over the circulation of an existing stock of money rather than as policy-making regarding the manufacturing of money per se. For instance, in order to establish desired price levels, the ruler was meant to manipulate the money supply and hence prices by hoarding or spending cash rather than by issuing or demonetizing coin.
It has been argued that at least early on, merchants manufactured coins, employing regional weight standards. However, circumstantial evidence suggests that by about 300 BCE, Qin and Qi had established state control over coin production. The situation in the other states remains obscure, although high levels of uniformity within each polity may speak in favor of significant government involvement throughout the region.In textual sources covering the pre-imperial period, cash is rarely mentioned in elite contexts, and no state salaries in cash are recorded.
This interpretation is supported by the fact that for much of the first 80 years of the Han Dynasty, private individuals were permitted to make coins, and that the state only gradually entered this market (see below). Under these circumstances, given both the likely involvement or perhaps even predominance of private coin manufacturers, and the initial political fragmentation of the region later encompassed by the Qin and Han empires, a wide variety of currencies and denominations must have been in circulation during the Warring States period, and coins would not always – indeed not normally – meet target nominal weight standards. . . . “ (The monetary systems of the Han and Roman Empires..: https://www.princeton.edu/~pswpc/pdfs/scheidel/020803.pdf )
Getting away from the intricacies of financial shenanigans, we, the common folk are now too dependent on that class of speculator whose only loyalty to national and indeed sovereign wealth is via such a speculative market of stocks, shares, money exchange etc..and if we as a people cannot get control and in charge of the distribution and rate of exchange of our own currency, then we will end up very poor indeed, if not perilously bankrupt.
“ Digital currencies can improve lives by replacing slow, expensive transactions. Unlike government-backed fiat currencies, like the U.S. dollar, digital currencies often have specific purposes. For example, Ripple offers a mostly-centralized digital currency payment platform that completes transactions in minutes, and at lower cost than traditional international payment products, such as SWIFT. The TRON currency’s peer-to-peer payment system aims to remove mobile app stores as intermediaries between content developers and consumers, extending savings to both. Other cryptocurrency technologies aim to streamline medical billing services, substitute traditional retail debit purchases, and potentially replace the need for banking and fiat currency.”
Which is why I am seeming unable to disconnect all these demoralising and destabilising revelations about the established banking sector..could this be a stratagem to restore confidence and faith in banking by introducing cryptocurrency under the guise of a “secure, stable” digi-currency?
Be afraid…be VERY afraid!