Why Crypto-currencies Will Inevitably Replace Fiat and Change the World

"So you think that money is the root of all evil. Have you ever asked what is the root of all money?" — Ayn Rand

Tell me if this story sounds familiar.

You live in household of 10 people, every single member of the family brings home some sort of income, except from your uncle Joe. You see, your uncle that doesn’t work, doesn’t want to look for a job, and has no interest whatsoever in generating any sort of income. Instead he spends all day telling people what to do.

So what does he do for money? He takes care of all the family’s assets, the old businesses, the inherited homestead… and he bankrupts everything, worse, he puts the entire family in a terrible dept.

After losing all assets, he suggests that he should start receiving a fraction of each family member's salary so he could manage the family’s finances on everybody's behalf, paying the bills, taking care of all kinds of small things...etc.

What’s strange about the whole thing is that no one in the family seems to wonder how come uncle Joe is the one that has to manage the family’s finances despite his proven record of bankruptcy and mis-management. But since no one seemed to wonder, it was then only a matter of time until the portion got bigger and bigger.

Later as you realize just how big of a mess he's gotten the family into, you decide to take a look at the finances, trying to find the hole that sinks the boat, so to speak.

And then you find out, and much to your surprise that your uncle Joe is giving away obscene amounts of money every month to your uncle Samuel to buy fertilizers.

At first he tells you that uncle Sam is a gardening aficionado, and he describes to you just how much Sam loves to plant the seeds of freedom in other people’s gardens. But then as you take a deeper look you realize that all that fertilizer is in fact being used to make bombs, because your uncle Sam has a weakness, he loves to bomb the living shit out of innocent people.

You're still in a state of shock, but unfortunately your surprise doesn’t end there. As you keep tracing the money you discover yet another huge spending expenditure, this one related to security cameras. You find out that uncle Joe has been installing hidden cameras all over the place, because he was spying on your big brother George.

And the list goes on and on..

But for some strange reason, no one else in the family seems to notice that uncle Joe is the least person on earth to be trusted with their money.

Anatomy Of a Scandal

Flags, symbols, and national anthems aside, the premise upon the which the national budget operates is no different than your own wallet, if you produce more than you consume then you’re going to have a surplus. And if on the other hand you spend more than you produce then you’ll eventually need to borrow. That’s the reason why countries have something called 'national dept'.

The most important question however is "where does money come from in the first place"?

Let me ask you a couple of questions:

If you wanted to get money, then where do you go?

To the bank. You borrow money from them with an interest rate of say 7%.

Now, how about the bank? Where do they get their money?

Well, they get it from the federal reserve, they on their turn borrow that same money with an interest rate of say 2%.

How about the federal reserve, where do they get their money? Well, they.. Are you sitting down? You might wanna sit down for this one.

They invent it, they make it up, just like that, they print it into existence, sprung out thin air.

Wait do I smell some Ponzi?

Talking about scams, if I say Ponzi Scheme who's the first person that comes to mind? The king of Ponzi, Bernie Madoff, right?

Not too long ago, a documentary crew went to jail to interview his ponziness Mr Madoff. Here's the first thing he said:

Why are you guys even talking to me? The U.S government is running the biggest ponzi scheme in the world!

Now that we’re acquainted with the money game, borrow a money to pay a dept on the previous dept, and as we can see beyond the Jargon, QE1,QE2, QE3… Then you’ve probably figured out by now, that it’s only a matter of time until the can runs out of road as the shit meets the fan.

So What if the best solution was actually the separation between state and money?

I know this sounds scary, but hear me out:

You default, you lose.

You don't default, you lose.

You try to pay the debt, it takes you generations to do it. It look at Germany decades to pay out their war debt for example.

Only this time, we're talking about the bigger debtor nation the world has ever seen.

Needless to say, you lose.

But let’s be practical here, at this point, it’s either Trump or Hilary so let’s not bullshit ourselves. They both promised the same thing: No default. So unless there is some Mexican Telenovela-type turn of events where John McAfee manages to win the presidential elections, invokes the fifth and abolishes the government… Then you know what’s up? You lose.

Don’t get me wrong, I’m not confusing the inevitable with the imminent, I'm not even predicting that there will be a market crash in the foreseeable future.

After all I was born in the 1980s, so you know what it means? That I’ve survived 10 different ends of the world! The Mayan Calendar, 2012, Y2K, The Jewish Shemitah, Planet X, The blood moons.. And this is just off the top of my head.

So I’m not ringing any red bells here, asking you to run for your bug out bag, pack your your super male vitality and your Batman multi-tool and go rough it in the woods.

All I’m saying that cause and effect often tend share the same bed. So sooner or later the math will catch up to the ponzi scheme.

And that’s the beauty of Black Swan effects, that they open the doors to voluntary human interactions.

Gold Is Not the Only Exit Strategy

Whether we’re talking about the great depression in America or the hyperinflation in the Wiemar republic’s, people still bartered with each other and back then their only escape route was Gold and precious metals.

Imagine if they had crypto-currencies and smart-phones back then. You think there would be a demand in the market?

They won't hide it under the mattress for one. After all, it’s kinda hard to imagine goon squads knocking door to door confiscating all internet devices, or even shutting down the internet.

Because if there is any cause that will unify this generation and move even the most apathetic individual to riot, it’s separating them from their internet, their games, their Instagram, their YouTube, their Netflix… Do that and you'll get a a revolution before the sun sets down.

These types of events, although dramatic they are constant in history, and when they occur, people inevitably resort to barter as a consequence, in order to escape the government that upon the onset of hyperinflation trying to take the entire population hostage, destroying generations worth of wealth and the future of their children in the process.

Only this time if it happens, people will have the option to opt out ready at their fingertips, literally, at their fingertips.

Here’s the bad part however, whenever you have hyperinflation you tend to have extreme violence and excessive use of force in order to maintain the population hostage, just ask your grandparents about Gold confiscation and you'll know what I’m talking about.

Force is All They Know

“There’s a lot of ways of dividing people in two classes, but let me give you the one that’s relevant now: There’s two ways you can deal with your fellow human beings, one, there are people who believe you should deal with people voluntarily, without using violence without using force, that’s one type. The other type is a person that believes that you should deal with people, or you have to deal with people coercively, by force. Now, guess which type is inevitable attracted to government? It’s the worst criminal type of personalities.”* — Doug Casey

Yes, force is all they know, and if you don’t believe me ask yourself this: They keep attacking millions of people, spending trillions of Dollars to generate a the biggest dept the world has ever seen. In which universe does that a sound like a good idea?

I tell you what it sounds like, it's sounds like a predator caught in trap without even realizing it, thus falling prey to its own escalated instincts.

The funny part is that they keep trying to solve problems with the same thinking that created it in the first place.

For instance, take Paul Krugman for example, he has the government’s back at every turn, sees nothing wrong with monetary policies, Keynesian economics and all that jazz.

Do you remember his solution to the recession of 2008?

Before getting to that, I like to remind you of a quote from a gentleman called Albert Einstein: "the definition of insanity is repeating the same thing again and again while expecting a different result."

“If we discovered that space aliens were planning to attack, and we needed a massive build-up to counter the space alien threat, and inflation and budget deficits took secondary place to that, this slump would be over in 18 months,” – Paul Krugman

So not only they can't stop manufacturing enemies around the world, but now they’re looking for new imaginary enemies from outer space.

As you can see they're extremely coherent on this subject, which now that I think about it, should worry us because politicians are never coherent.

All jokes aside, you can never solve a problem with the same thinking that created it, so by the time they'll figure it out, if they ever figure it out, it will be already too late.

So they will do what they always do, they’ll try to spread scary myths about why we need them to control the money supply in the first place, and that if the government’s monopoly were to vanish then the service it provides will vanish too…

But we all know that was never true anyways, most advances in human history occurred as consequence of breaking away from those monopolies, and just as what happen then, the same will happen now. There has been more advances in the 20th century, than in the history of mankind, and this is just the beginning.

And by the time they realize that, their control on the money supply will be vanishing as their financial system would already be obsolete.

Their only option would be to shut down the whole internet, but as we know, that will never happen.

Then all they would have left is empty words, the exact same thing they started with in the first place, no experience, no skills, no scruples... And just like your uncle Joe, the family abandons him.

The blinders now are fading, and the curtains are finally removed with everybody left wondering, “how could we ever fall for that!” That’s what psychologists refer to as: The Dance of the Sociopath.

The Dark History Of State Monopoly.

They say that the greatest trick the devil pulled is convincing the world he didn’t exist. These guys are convincing the world they’re the only thing that can exist.

Believe it or not, they beat the devil at his own game.