Will gold surpass the United States dollar and become the United States’ legal tender again? The American constitution dictates that they are indeed money, but ever since Nixon ended the Bretton Woods agreement, they aren’t anymore. For that reason, the American dollar still plummets in value, unlike gold & silver. Frequently folks, when taking note of the price of gold & silver, see that they are soaring. Still, that isn’t the real story. If you are aware that gold and silver prices have been climbing, what that actually symbolizes is that the true value of the US dollar has descended.
Informed elected politicians knew this fact. Only last year, the state of Utah said that it is authorized to transact in gold & silver bullion as money. Business conducted in this money are non-taxable. At present, businesses are instituting an electronic card just like a credit card in order to allow for these purchases, resulting in gold & silver a workable option to US dollars. At present, Minnesota and 11 other states are working on the same thing too. These elected government officials know that there is a possibility of a catastrophe that may end up with a breakdown of the Federal Reserve. To be certain, they are not the first people to become aware of this.
Top 10 Reasons Why the US Dollar Will Lose Its Status as the World’s Reserve Currency
1 – The Fed used quantitative easing that has started a currency war. The world will not stand for this.
2 – The United Nations envisions a world that isn’t dominated by the US as it is now suggesting a different world reserve currency.
3 – The International Monetary Fund is requesting a new world reserve currency, they labeled the Bancor.
4 – China & Japan for the first time, will trade with their own currencies, when before, they converted into US dollars first.
5 – Africa’s leading trading partner is now China and is using only in its currency over there rather than US dollars.
6 – China & Russia have already began trading solely in their own respective currencies last year.
7 – Brazil, Russia, India, China, and South Africa (the BRICS) are now planning to do the same. They will deal in their own currencies from here on out. The World Bank’s outgoing president, Zoellick, called for a BRICS bank.
8 – Iran & India currently exchange in gold for transactions involving oil.
9 – The UAE and China now transact in their own respective currencies for deals involving oil. The petrodollar system is in trouble.
10 – China has overtaken the United States as the importer of choice for oil from Saudi Arabia. This has the potential to end the petrodollar system.
The US has mostly had cheaper oil compared to the rest of the world. This is the result of the petrodollar system. If this system is finished, it would affect the US consumer. If the USD is no longer the reserve currency of the world, it will hurt the economy and cause a push back into precious metals. These events will be occurring shortly. Local businesses and state governments are preparing for this likelihood. Shouldn’t you?
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