Response to Jerry Day's video, 'Jerry's Challenge'

In the above video, Jerry Day asks a sincere question:

After the Fed, what?

He touches on various aspects of the fiat currency system and its inherent drawbacks, and mentions that while "End The Fed" is a catchy turn of phrase, we need to think beyond it, reflecting on, among other things:

• What sort of monetary system should replace it?
• Who should be responsible for creating the replacement?
• What could happen if the same (or similar) criminals who gave us the Fed are given the task of replacing it?
• If we return to a gold standard, how can that be implemented to accommodate today's need for digital transfers of funds?

The chief problem with fiat currency isn't so much what entity 'prints' it, but rather the overall supply of it. The Fed makes a half-hearted show of restricting supply, but in truth it rather likes genning up currency from nothing, loaning it to the government, and sitting back to collect the interest (nice work if you can find it). Since fiat currency is unbacked, the temptation for government is to constantly beseech the Fed to increase supply so that our elected nincompoops can fulfill all the campaign promises they made getting elected... as well as generate the bailouts that inevitably occur when banks are exempt from any significant monetary discipline. And since it takes only a click of a mouse for a central bank to generate additional monetary units, which when unmatched by real GDP growth is blatantly inflationary, over-printing the currency diminishes the purchasing power of the unit. The entire system is designed to self-destruct, it just took a little over a century for it to happen.

The fundamental traits any new monetary system must have, in my view, is that it be backed by something of intrinsic value, and that the supply be restricted and disciplined by pegging its value directly to that which backs it. The goal going forward is not to simply print more units to cover expenses, devaluing the currency in the process, but to increase the value the backing commodity so that the existing currency matches GDP and covers the monetary needs of the people.

Gold and silver, being universally desired as a store of value and impossible to destroy (misplaced or lost perhaps, but never destroyed) are more than capable of bearing the weight of the world's GDP on their immortal shoulders. The only question is at what price point. For that, we cannot look to the crooked Comex. Precious metals can, and should, be freed of the wholesale manipulation currently hamstringing them.

To respond directly to Jerry's Challenge, after the Fed, what? -- one model currently in use which might meet our criteria is the business and website founded by James Turk, http://www.goldmoney.com . One can purchase gold, have it vaulted in any of several secure international locations, and one's gold can be redeemed and converted anytime at current market rates into the currency of choice via a pre-paid debit card, which can then of course be used in everyday transactions. Converting gold and/or silver holdings into crypto would function similarly.

To start the process of returning to a gold standard, precious metals should be completely removed from speculation, made a purely physical market, revalued to catch the sum of all outstanding debts and liabilities, and the gold/silver ratio adjusted to reflect real-world scarcity. This would initially probably mean $50,000 silver and gold 10 times that. Of course, that would make China, Russia and India the richest countries on the planet, and America relatively poor indeed, since metals have been flowing west to east for many years now. So it's problematic. But for a fair, sane and decentralized monetary system, this would be one aspect of what would be required.

Arresting, trying, convicting and hanging the banksters (and the elite oligarchy that controls them) for financial crimes against humanity would also be a mighty fine addition to the plan, just sayin'.

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