Fiat currency is dying - How will YOU manage when the paper in your wallet becomes worthless? Are you protected?
As Central Banks around the world continue to issue currency into the market and allow financial institutions to practice fractional reserve lending, the spending power of the paper in your wallet decreases.
Fiat currency always ends up finding its intrinsic value.....ZERO!
What provisions have you taken to ensure your financial future when the inevitable crash of the Dollar, Pound, Euro and all other fiat currencies occurs?
The Economy is recovering, right?
Governments throughout the world are currently trying to convince their citizens that the economy is recovering and of course the mainstream media are happy to repeat the narrative, but is it true? Frankly....No!
For some reason Government officials seem to think that lying to us is for our own good, could it be that the policies they have implemented have been so catastrophic that admitting it now would prove their ineptitude?
It's the very definition of insanity!
That's exactly what has been going on though since 2008. Call it what you like, money printing, currency creation or my favourite 'quantative easing'. Now that is Orwelian double speak at its very best.
Getting to the question that I posed at the beginning, what are you doing to ensure your economic survival when the inevitable happens and the shit really hits the fan?
I'm not an financial advisor however I have been studying this subject for many years now and while I realise there are many savvy people on Steemit who understand the dire situation we are in I'm also aware that there are still a majority that hope that at some point the bankers and politicians will get it right.
I'm sorry folks but that just ain't going to happen.
With each passing day the currency in your pocket has less and less buying power, the reason for this is inflation. But what is inflation? I'm sure many people have never even asked themselves that question, I mean it's not as if it's a sexy subject or even that interesting. However it is an important one.
Inflation is simply an increase in the money supply, that it!
The more currency the Central Banks issue the less bang you get for your buck. Add to that high street banks lending money they don't have and you have a recipe for disaster. The economic tipping point is fast approaching and the time to act is now. You don't need to be rich you just need to be smart with what you do have. When things get really bad governments are going to be going around desperate to grab anything they can from their own citizens in order to save their own arses, don't be one of the unlucky ones who weren't prepared. They'll help themselves to your savings accounts, nationalise private pension funds, impose new draconian taxes and they will print, print and print again until your savings are worthless.
What can you do?
Like I said I'm not a financial advisor so I can't tell you what to do, I can only tell you what I've done to protect myself and those I love from a life of poverty.
The most important thing to do is research. Don't trust anything you are told regarding the economy coming out of the MSM, they're just spouting the government propaganda to ensure people don't panic. Educate yourself first and foremost.
Eliminate unnecessary debt.
It's very easy to get sucked into the debt trap. Don't overextend, if you don't need something don't buy it especially if you require credit to make the purchase. Interest rates are being held down artificially and at some point the market will wrestle control back over this metric, once that happens it has a tendency to over- correct. How much would your monthly obligations go up by if base interests rates went to 5%? What about 10% or even 15%?
It's happened before and it will happen again.
They had no other debts either, if they had we would have been homeless. So please bare this in mind when considering getting loans and credit cards for luxuries you can live without. You need a roof over your head so prioritise that and ensure you can make your mortgage payments if the rates rise. Please remember that if you rent that will rise too, the property owner will want to recover their extra costs too, from you!
Diversify your assets, spread the risk.
When I first 'woke up' to the economic reality of our current situation I was overwhelmed and frankly scared. I had no idea what to do but refused to panic and decided to do whatever I could to protect what we had. I researched like crazy trying to find out what people had done during times of economic turmoil to protect their wealth and what happens when unbacked currency finds its true value. It was a pretty sobering experience to say the least.
Since then I have done 4 things.
1. Invested in Physical Precious Metals.
I have done this in 2 ways. The first is in the traditional sense as in I bought gold and silver coins and bars which I hold in my own possession. Be sure to use a reputable dealer if you choose to invest, there are many worldwide and Steemit has a big stacker community posting under the tag #steemsilvergold where you can network and find a dealer in your area.
The second way is gold in an allocated vault with a pre-pay credit card attached to the account, this allows me to spend the gold if needs be. The account tracks the gold spot price and your balance fluctuates with the it. There are a number of companies that provide this service however I use Goldmoney as I really like the people that run the company, it allows me to move my gold between different countries at the click of a mouse and go and physically remove the gold from the any vault in coin or bar form should I chose too. It's completely insured and I trust the service.
Gold and Silver are the best hedge against inflation and hyperinflation and are real money. Do your research and you'll find many instances throughout history where precious metals have provided protection to owners during economic instability. I'm well aware many people can't afford to buy gold and that's ok, silver is cheap and in my opinion is the most undervalued asset on earth, the price will be many multiples of its current price in the years to come.
2. Invested in Crytocurrencies and blockchain platforms.
Diversification is the key to wealth protection.
You don't keep all your eggs in one basket, right?
If you are new to Cryptocurrencies please make sure you understand what you are investing in and please never, ever leave your coins in an exchange. Get yourself a secure wallet app and/or device to keep them on, there are many and again there is no better place than Steemit in which to learn the ropes.
3. I've prepped.
Now I'm not talking about doomsday prepping, I don't live in an underground bunker armed to the teeth waiting for the apocolypse. I'm talking about sensible prepping to ensure our short term survival in the case of a credit event.
When I say credit event I mean a situation similar to 2008 where banks were reluctant to issue credit to each other and retailers. In this kind of event production and delivery are affected, without credit most companies can't pay for raw materials to produce the products found on the supermarket shelves. Logistic companies can't pay for fuel for trucks to deliver them and just like that the stores shelves are empty!
The 'just in time' delivery system is great in good times however the disadvantages are evident during times of turmoil. Just consider how quickly stores shelves have emptied during weather events in recent years in the US and other places.
Imagine what it would be like if there were no resupply for a few weeks, what would you do? You can't grow you're own food overnight so a sensible amount of food, medications, water, toilet roll, batteries, and anything else you couldn't do without should be your priority. Always remember to rotate your supplies to keep them in date and store them in a safe and secure place away from preying eyes and pests. I keep a roughly 3 month supply all of the things we would require if there wasn't the opportunity to buy locally. Better to have it and never need it than to have nothing and end up desperate for a meal.
4. I've educated my nearest and dearest.
It took me quite a while to achieve this as I went about it all wrong, I lectured, badgered, nagged and ranted. To no avail. Then I tried posting links to articles in emails and text, again nothing. I was getting a rep as a spammer with my friends and family. It got to the point where people didn't want engage me in conversation no doubt due to them thinking I would end up on another tirade about the economy.
What a complete waste of time!
People don't want to lectured to but they are willing to learn if you approach it in the right way. It needs to be interesting, informative and relevant to them. I finally made traction with my family and friends by getting others to do it for me. There are many great video series available online that can help get the information out to those you care about and my breakthrough came when I got my closest to watch The Hidden Secrets of Money series by the fantastic Mike Maloney. This series is genius because not only do you 'get it' you're entertained at the same time. I recommend you watch it whether you're aware or not as it really is interesting, it's surprising what you think you know but are misinformed.
Anyway my fellow Steemians that's my take on what to best do to ensure your economic future. It's what I've done to ensure mine so I'm not suggesting you do anything I haven't already done. I'm not a financial advisor and have no affiliation with any of the people or companies named in this article. I just want to get the message out to as many people as possible. The more of us that are protected the better. I have made many friends on this wonderful platform and hope that every single one of you do your research, protect yourselves and your loved ones and most important of all, don't worry. You prepare so you don't have to worry after all.