The Largest Ponzi Scheme Ever - Make Way For Bitcoin

While bitcoin has been called a Ponzi scheme, most recently by the CEO of JPMorgan, the real Ponzi scheme is actually the mother of all Ponzi schemes. It involves central banks around the world who dance to the U.S. Federal Reserve's commands.

Federal Reserve Chairwoman Janet Yellen supposedly remains clueless about why inflation remains persistently low, under their 2% target. Meanwhile, since last December, the U.S. dollar has been in its steepest downward trajectory since 2010, and is so far showing the weakest performance since 1985:

In addition, money velocity is at all-time lows:

Money velocity is the rate at which cash is moving to our economy. It has been on a steep downtrend since 2008. So despite all the money being created since 2008 whether at home or abroad via global central banks, money velocity remains on a sharp downtrend. As long as this continues, the rate at which money moves into the economy will not spur an economic recovery.

This money creation has spawned the largest QE sovereign debt bubble ever, both in size and scope. The U.S. stock market is a direct beneficiary of this as it continues to push on a string into new highs as it has many times over the past few years. This artificial environment created by the Federal Reserve and global central banks by keeping interest rates at record low levels "will not end well," according to former Fed chair Alan Greenspan. More recently, renowned investor Jim Rogers Jim Rogers in a recent interview warned another bear market is coming, and that it will be “horrendous, the worst.” It’s the level of debt across global economies that will be to blame.

Yellen can perpetuate the lie of a recovering economy because the Fed simply continues to artificially inflate the stock market which is then used as evidence. This has been ongoing now for several years.

As a consequence, central banks are now the majority shareholders in major stocks. The money they have created is used to buy bonds and now stocks directly. The central banks also loan the money to the big banks who loan to the corporations who, in turn, buy back stock instead of investing in their businesses. It's the largest "legal" Ponzi scheme ever.

But when the collapse comes as a result of this monstrous debt bubble, it will usher in a new form of fiat currency. Bitcoin seems the most likely contender at which point, its value would be in the tens of trillions in today's dollars.*

*Tomorrow's dollars may be worth far less.

(͡:B ͜ʖ ͡:B)

Image credits:
https://seekingalpha.com/article/4105576-worst-year-dollar-since-1986
https://www.financialsense.com/contributors/brady-willett/2013-rebuild-me-crisis-one-dollar-at-time
https://marketingassets.cloudsna.com/prod/common/TRW/NextPageLink/20170508105754.html

About Dr. Chris Kacher

Dr. Chris Kacher has appeared on major television, radio, and print programs and is the bestselling author of "How We Made 18,000% in the Stock Market". He founded Creative Trading Ltd, a company aimed at helping others invest in cryptocurrencies. He is currently launching a pro bono cryptocurrency platform and has been an investor in various cryptocurrencies starting in 2013 including STEEMIT when it was founded in 2016. He is the co-founder of http://www.virtueofselfishinvesting.com and has co-authored several books in investments as well as over 100 scientific journal articles in the nuclear sciences. He helped to discover element 110 on the Periodic Table of Elements as well as confirm the discovery of element 106 which his team named Seaborgium after his UC Berkeley Ph.D. thesis advisor Professor Glenn Seaborg. His music has also charted on the iTunes music charts twice.
http://en.wikipedia.org/wiki/Chris_Kacher