Deluded Currency Cultists Believe The Dollar Is Invincible

Tyler Durden's picture

Submitted by Brandon Smith of Alt-Market blog,

At the onset of the derivatives collapse in 2007/2008 it would have been easy to assume that most of America was receiving a valuable education in normalcy bias.

In 2006, the amount of ego on display surrounding mortgage investment was so disturbingly grotesque anyone with any true understanding of the situation felt like projectile vomiting. To watch the smug righteousness of MSNBC and FOX economic pundits as they predicted the infinite rise of American property markets despite all evidence to the contrary was truly mind blowing. When the whole system imploded, it was difficult to know whether one should laugh, or cry.

The saddest aspect of the credit crisis of 2008 was not the massive chain reaction of bankruptcies or the threat of institutional insolvency. Rather, it was the delusional assumptions of the public that the grand mortgage casino was going to go on forever. There is nothing worse than witnessing the victim of a Ponzi scheme defend the lie which has ultimately destroyed him. As much as I am for people waking up to the nature of the crisis, there comes a point when those who are going to figure it out will figure it out, and the rest are essentially hopeless.

The cultism surrounding the U.S. economy and the U.S. dollar is truly mind boggling, and by “cultism” I mean a blind faith in the fiat currency mechanism that goes beyond all logic, reason and evidence.

In recent weeks it has become more visible as global financiers play both sides of the Ukrainian conflict, luring Americans into a frenzy of false patriotism and an anti-Russo-sports-team-mentality. My personal distaste for Vladimir Putin revolves around my understanding that he is just as much a puppet of the International Monetary Fund and international banks as Barack Obama, but many Americans hate him simply because the mainstream media has designated him the next villain in the fantasy tale of U.S. foreign policy.

Open threats from Russia that they will dump U.S. treasury bond holdings and the dollar’s world reserve status if NATO interferes in the Ukraine have been met with wildly naive chest beating from dollar cultists.  I am beginning to see the talking points everywhere.

“Let them dump the dollar, Russia’s holdings are minimal!” Or, “Let them throw out Treasuries, they’ll just be shooting themselves in the foot!” are the battle cries heard across the web. I wish I could convey how insane this viewpoint is, especially in light of the fact that many alternative economic analysts, including myself, have been predicting just such a scenario for years.

Despite the childish boastings of the dollar devout, there is an extraordinarily good possibility that the life of the greenback will be snuffed out in the near term. Here are the facts…

1) Russia will not be alone in its decouple from the dollar system. China, our largest foreign creditor, and India (a supposed ally) have clearly sided with Russia on the Ukranian issue. China has stated that it will back Russia’s play in the event that sanctions are brought to bear by NATO, or if a shooting conflict erupts.


2) China has already been slowly dumping the dollar as a world reserve currency using bilateral trade agreements with numerous countries, including Russia, India, Australia, Brazil, Germany, Japan, etc. These agreements allow FOREX currency swaps and export/import purchases to be made with China without the use of the dollar. China has been preparing itself for a divorce from U.S. economic dependence for at least a decade. The idea that they would actually follow through over political tensions should NOT surprise anyone if they have been paying attention.


3) A total drop of the dollar or U.S. treasury bonds by Russia and China would send shock waves through global markets. Russia is a major energy supplier for most of Europe. China is the largest export/import nation in the world. If they refuse to accept dollars as a trade mechanism, numerous countries will fall in line to abandon the greenback as well. The fact that so many Americans refuse to acknowledge this reality is a recipe for disaster.


The only advantage the U.S. has traditionally offered in terms of international trade has been the American consumer, whose unchecked debt spending partly fueled the rise of the industrialized East, not to mention the biggest credit bubble in history. The role of America as a consumer market is collapsing today, however. The mainstream media and the Federal Reserve can blame the steady decline in retail sales on the “weather” all they want, but negative indicators in global manufacturing often take many months to register in the statistics, meaning, this destabilization began long before the days turned cold.


4) China has been shifting away from export dependency since at least 2008, calling for a larger consumer based market at home. This process of enriching the Chinese consumer has almost been completed. The lie that China “needs the U.S.” in order to survive economically needs to be thrown out like the utter propaganda it is.


5) China (and most of the world) has ended new dollar purchases for their FOREX reserves, and has no plans to make new purchases in the future.


6) China executed the second largest dump of U.S. Treasury bonds in history in the past month.


7) Russia, China, and numerous other countries, including U.S. “allies”, have been calling for the end of the dollar’s world reserve status and the institution of a new global basket currency using the IMF’s Special Drawing Rights (SDR). Even Putin has suggested that the IMF take over administration of the global economy and issue the SDR as a world currency system. This flies in the face of those who argue that the IMF is somehow “American run”. The truth is, the IMF is run by global banks and no more answers to the U.S. government than the Federal Reserve answers to the U.S. government.


8) The Federal Reserve has been creating trillions of dollars in fiat just to prop up U.S. markets since 2008, and we are still seeing a considerable decline in global manufacturing, retail, personal home sales, and a general malaise in consumer demand. Without a full audit, there is no way to know exactly how much currency has been generated or how much is floating around in foreign markets. Any loss of world reserve status would send that flood of dollars back into the U.S., most likely ending in a hyperinflationary environment.


9) Another rather dubious argument I see often is the claim that the Federal Reserve and the U.S. Treasury could simply “negate” a Treasury dump by refusing to acknowledge creditor liabilities. Or, that they could simply print what they need to snap up the bonds, much like the German government tried to do during the Weimar collapse. Unfortunately, this plan did not work out so well for the Germans, nor has it worked for any other nation in history, so I’m not sure why people think the U.S. could pull it off. However, this is the kind of cultism we are surrounded by. These folks think the U.S. economy and the dollar are untouchable.


Yes, the Fed and the Treasury could hypothetically erase existing liabilities, but what dollar cultists do not seem to grasp is that the dollar’s value is not built on Treasury purchases. The dollar’s value is built on faith and reputation. If a nation refuses to pay out on its debts, this is called default. A default by the U.S. would immediately damage the reputation of bonds and dollars as a good investment. Global markets will refuse to purchase or hold any mechanism that they think will not earn them a profit. How many investors today are anxious to jump into Greek treasury bonds, for instance?


Finally, it is unwise to operate on the assumption that foreign creditors will accept dollars as payment on U.S. Treasury bonds if they believe the Federal Reserve is monetizing the debt. When Weimar imploded under the weight of currency devaluation, many foreign governments refused to accept the German mark as payment. Instead, they demanded payment in raw commodities, like coal, lumber and ore. Expect that China and other debt holders will demand payment in U.S. goods, infrastructure, or perhaps even land.


10) Most treasury holdings in foreign coffers are not long term bonds. Rather, they are short term bonds which mature in weeks or months, instead of years. Dollar proponents constantly cite the continued accumulation of treasury bonds by other governments as a sign that the dollar is still desirable as ever. Unfortunately, they have failed to look at the nature of these bond purchases. When China rolls over millions in short term bonds and replaces them with other short term bonds, this does not suggest they have much faith in America’s long term ability to service its debt. It would also make sense that if China had plans to remove itself from the dollar system, they would move into short term bonds which can be liquidated quickly.


11) China is on the fast track to becoming the largest holder of physical gold in the world. Russia has also greatly expanded its gold purchases. Whatever losses they might suffer from a dump of their Treasury bond investments; it will be more than made up in the incredible explosion in precious metals prices that would follow.


12) The most common argument against the dollar losing world reserve status has been that such a shift would be “impossible” because no other currency in the world has the adequate liquidity needed to replace the dollar in global trade. These people have apparently not been paying attention to the Chinese yuan. China has been quietly issuing trillions in yuan denominated bonds, securities and currency around the world. Current estimates calculate around $24 trillion created by the PBOC and the banks under its control.


Mainstream talking heads are calling this a “debt bubble.” However, this debt creation makes perfect sense if China’s plan is to create enough liquidity in its currency in order to offer a viable alternative to the U.S. dollar. Linking the yuan to the IMF’s basket currency would complete the picture, forming a perfect dollar replacement while dollar cheerleading-economists stand dumbstruck.


13) China's retreat away from dollar denominated investments has left a hole in the U.S. bond market.  Recently, that negative space was filled by an unexpected source; namely Belgium.  A country whose GDP represents less than 1% of total global GDP buying more U.S. bonds than China?  The whole concept sounds bizarre.  Here is the capital coming from?


Think about it this way - Belgium is the political center of the European Union and a haven for international financiers.  There are more corporate cronies, lobbyists, bureaucrats, and foreign dignitaries in Belgium than in all of Washington D.C.  But more importantly, Belgium struck a deal with the IMF in 2012 to begin pumping SDR denominated funds into "low income economies".  I would suggest that this funding flows both ways, and that now, the IMF is feeding capital into Belgium in order to buy U.S. Treasury Bonds.  That is to say, the IMF is going to start using smaller member countries with limited savings as proxies to purchase U.S. debt using IMF money.


The ultimate danger of the IMF (run by internationalists, not the U.S. government) pre-positioning itself as the primary buyer of U.S. debt is that when the U.S. finally defaults (and it will), the IMF is likely to become the "guardian angel" of the U.S. economy, offering aid in exchange for total administrative control of our financial system, and the institution of the SDR as a world reserve replacement for the dollar.


14) The serious prospect of regional conflict or world war over tensions between the Ukraine and Russia, Japan and China, the U.S. and Syria, the U.S. and Iran, the U.S. and North Korea, etc., could make the effort of exposing the plan to shift economic power into a one world system centralized under the IMF almost meaningless.  How many people will truly care about the financial power grab by banking elites if it drifts under the surface of catastrophic engineered wars?  They'll be too busy hating and fighting artificially created boogeymen to pay attention to the real globalist culprits.


I have been pointing out for quite a long time that globalists need a “cover event”; a disaster, an economic war or a shooting war, in order to provide a smokescreen for the collapse of the dollar. Alternative analysts have been consistently correct in predicting the trend towards the dump of the dollar. Years ago, we were laughed at for suggesting China would shift towards a consumer based economy and away from U.S. dependence. Today, it is mainstream news. We were laughed at for suggesting that nations like Russia and China would drop the dollar as a reserve currency. Today, they are already in the process of doing it. And, we were laughed at for suggesting that Russia or China would use their debt holdings as leverage against the U.S. in the event of a geopolitical conflict. Today, they are openly making threats.

I have to say, I’ve grown tired of the dollar cultists. How many times can a group of people be wrong and still argue with those who have been consistently right? The answer is that zealots never actually escape their own delusions, even when their delusions lead them and those around them to ruin. I suspect that in the face of complete dollar collapse, they will still be rationalizing the chaos and pontificating on our "lack of understanding" while the theater burns down around them.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
fijisailor's picture

For those of you who are gold investors and interested in joining the class action suit against the five major banks involved in the gold price fix and manipulation in London the following is their contact information: 

Adam Frankel, Esq.

Greenwich Legal Associates, LLC

125 Greenwich Avenue, 3rd Floor | Greenwich, CT 06830

T: 203-622-6001 | F: 888-423-5729 | M: 954-632-8320 |

DoChenRollingBearing's picture

Big + 1 for information

Well, I hope they reach the right decision!  Lawsuits being what they are, however, it looks like we have PLENTY of time to buy more gold at these low prices.  And good luck suing the banks, they can buy the judges off, and I hear that London is at least as corrupt as the USA is (and London is where they have to get their information).

As they say in Texas, you  hold your breath, you´ll die...

disabledvet's picture

i thought it was "if you catch your breath"? Or is it "eee haw!"?

Anywho...lets start with the euro first shall we?

fonestar's picture


Rock On Roger's picture

'Zealots never actually escape their own delusions'.



Skateboarder's picture

Solid article from Brandon.

Mike Snyder should take some notes on how to make lists.

DaddyO's picture

Good point on the lists!

I do enjoy articles by Brandon and thank him for bringing me to ZH.

I think even a casual observer can follow the dots laid out in this article and draw the conclusion that it is not if but when about the dollar's demise.

What many miss or refuse to acknowledge is what happens in the USSA when the music stops?

You think the protests in the Ukraine or Venezuela are noteworthy, just wait until the FSA throws a big hissy fit.

Everyone better hope the EBT system stays healthy.

Or better yet, make sure you can weather a three to four week storm while huddled up in your house.


The Dunce's picture

The dollar is king.  It's backed by American military might.  Nuff said.  Bitches.

zionhead101's picture

Smith & Synder are proof that ZH is a fool's tool ran out of ZION.

If these author's are the best that ZH can post, then ZH is fucked, hard-fucked.


CHINA&RUSSIA don't want to be reserve currency, but they don't want the USA to be their policeman.

All is being orchestrated to bring out the IMF-SDR, and someday CHELSEA will be queen bitch of that currency.

All is well planned by AIPAC, and Smith&Synder are just keeping the circle-jerkers occupied in the interim.

Only one pertintent question should be ask about 'said authors', how many sq-ft is their tel-aviv condo?

DaddyO's picture

Piss Off!

And take your warped world view with you.


Leto II's picture

Zionhead101 is the lovechild of a MillionDollarBonus/Francis.Sawyer/Fonestar bathsalts orgy...

I need Another Beer's picture

Democrats / Obama voters / leftists etc....

BringOnTheAsteroid's picture

I down voted you for responding to Fonestar. When are people going to grow the fuck up and ignore him. He can't survive without each and everyone of your constant attention. Stop responding and he will lose interest.

Harbanger's picture

I love bitcoin, but it's slightly ahead of it's time.  So for now I just play it for what people think it's worth.  After the reset, the next generation of reserve currency will be based on limited quantities and physical backing.

agent default's picture

There is definitely a desire from pretty much everyone for a currency that cannot be toyed with by central banks and retains privacy, which is now non existent inside the banking sector, but the recent developments have demonstrated the Bitcoin, or any Bitcoin derivative is not it.  The technology behind Bitcoin, has been shown to be deeply flawed.  This applies both to the blockchain vulnerabilities and the exchanges.  So yes there is a lot of room for cryptocurrencies, but Bitcoin is not it.

Harbanger's picture

It's all about confidence in the value of any currency you hold, no doubt about it.  The technology behind crypto-currrencies I believe will be used along with any particular Nations backing of this new currency.  Something of inherent value has to be redeemable in exchange for this new fiat for it to serve as a reserve currency.

JustUsChickensHere's picture

Exchanges can/do have difficulties - they interface with the National Fiat currency world.... but pray tell .. what is 'deeply flawed' in the core Bitcoin blockchain technology?

Exchanges != Bitcoin

Online Wallets != Bitcoin

each of those areas ADDs counter party risk to using bitcoin ... and that is a bad choice to make. Same argument applies to choosing GLD rather than Gold ... GLD adds counter party risk when there is no need to do so.

joego1's picture

I agree, I think Reggie Middletons system has a lot of merit but you can't introduce a promising breed of fish into a polluted lake and expect it to thrive. These new ideas need a fresh start to survive. I think that we are headed for a time where the internet and even cell phone service may become undependable due to governments throttling it and infrastructure failures. It's time to keep it simple. What is the LCD. The world is regrouping now, I hope they don't blow us up in the process.

y3maxx's picture

The US Dollar is in fact, dead. Hence the War to demolish PM's & Bitcoin. But all other foreign currencies are even more dead and useless too. Maybe except for the Cdn pun intended.

fonzannoon's picture

The dollar has plenty of value right now. Plenty. Brandon may ultimately be right but as of right now the dollar cultists have a lot more to back up their delusions than the imminent death of the dollar cultists. That may change tomorrow but that's how it is right now.

We need Ham-Bone to give us that run down of treasury buying by foreigners to bring some reality to the conversation.

DaddyO's picture

Don't you think the knee jerk reaction is to run to the dollar everytime some world ruler has a gas pain.

This is recency bias in the nth degree. Let some major player come along and really upset the apple cart and then see what happens to the dollar cultists.

When Putin slid into Crimea, didn't the dollar get bought?

What has happened since?

Tyler has been posting much chart porn using Putin as the demark, right?

I think given the suppression in the PM's and the herd running to the dollar everytime a world ruler farts that Brandon will be proven right.

Probably sooner rather than later.


fonzannoon's picture

An attorney from Greenwich CT is leading the class action suit against the 5 major banks....thanks but I will pass. Seems more likely Mr. Frankel is in charge of collecting a list of PM holders for those 5 banks.

HyBrasilian's picture

The low hanging fruit of 40 tons airlifted out of Ukraine wasn't enough...


now they have to lure grandma's tea set out of the cupboard...

Harbanger's picture

No law suit neeeded, the lawyers will most likely be broke along with everyone else and the legal system will change before you ever collect.  Keep the faith and keep stacking bitches.

kchrisc's picture

Sue 'em?! Now that's funny. In what non-bankster owned and un-NSA compromised court would that be?!
Judge: "Since I want to live another year and I don't want my predilection for looking at photos of naked cripples coming out in public, I find for the banksters. Now plaintiffs, pay all the lawyers."

Thanks for the chuckle though.

You know what they say about lawyers: When you see one you know that there's something's dead nearby."

fijisailor's picture

Go to their web page under case settlements.  The same "NSA compromised court" that awarded them $215 million against Merck and $519 million from Citibank.

Seeking Aphids's picture

Thanks F. How about people who have held gold mine stocks for the last 3-4 years and who have seen their value go down by over 50%? Can we get in on this?  

Rafferty's picture

If I were taking a class action suite against the banksters I wouldn't put it in the hands of someone called Adam Frankel.  Just sayin'

Rafferty's picture

If I were taking a class action suite against the banksters I wouldn't put it in the hands of someone called Adam Frankel.  Just sayin'

Yoki's picture

Well since 1913 the dollar is invincible. It has its weak times, but overall it is a perfect monetary instrument.


hahah, to all those who think silver and gold are going up... unless you can stop the manipulation:

   "If you like your gold you can keep your gold"


Dick Buttkiss's picture

So the "dollar" — i.e., the FRN, which is no longer constitutionally backed by gold and silver — is the "perfect monetary instrument" because it's manipulated? And said manipulation can go on ad infinitum?

If you like your delusion, you can keep your delusion.

Until reality catches up with it.

TheReplacement's picture

How much bread did a dollar buy in 1913?  How about now?  Do the math and you will see how close to zero it is.

HardlyZero's picture

Ultimate power results in ultimate corruption.

Fish rots from the head down.

Get physical.

A Lunatic's picture

The dollar is already dead. All of this bullshit speculation is over the remaining 1.5 cents of its original value......

centerline's picture

Remember though, value is relative.  It's all going down for sure - but it's the timing of events that gets us run over along the way.  Focusing purely on the "death of the dollar" is a huge mistake.  Usually means someone is selling something.

Kirk2NCC1701's picture

I'd argue that the Dollar is the Great Undead currency that just refuses to die, and goes around like a diseased Zombie, attacking and infecting other currencies -- who then also become Zombies.

"One Zombie to rule them all", seems the goal.

Carl Popper's picture

Although clearly the Fed had a hand in helping create the conditions leading up to 2008 (as well as FNMA and crooked banks) they have played the downside well.

I would have gone for a different route, let the bondholders have the banks, let those that held bad debt eat shit and die, etc.

However they have played their chosen route well. With China growth being over and a huge deflation boost about to arrive in terms of commodities and a devalued RMB, they have even more wiggle room to expand QE or prolong it. The exit may get messy but we arent even close yet. If we dont get fiscal policy in order then we are still fucked long term.

But for now we are still muddling thru with little chance of downward pressure on bond prices. Most of us have jobs and are making it.

The cleanest dirty shirt is still the cleanest dirty shirt.......and.


infinity8's picture

Thanks, Carl. I think I'll have another.

TheReplacement's picture

The thing is, China controls the starting gun.  They can start the avalanche when they are ready.  They have already reached a certain level of parity in regards to being a reserve currency - they trade a lot in their own currency.  They can manipulate in order to buy time.  When China is ready they will trigger the race to reset.  We will be the last to know and the most likely result is that we will lose.

The tank is nearly empty for the dollar.  Even fake global warming is almost killing it.

Seasmoke's picture

I'm done trying to wake people doesn't work.....I think I get more pissed off at them than I do the moneychangers !!!!!! 

infinity8's picture

I got into a fairly heavy argument with a relative last weekend. Like, I just can't usually get that mad anymore -- gettin' old. But it was depressing. I started down the conversational road trying to be helpful (and initially asked for my opinion) and everything went very south w/me being "crazy" and "exaggerating". The most recent bad outcome of not saying what I'm supposed to. Good luck, fukkerz!

Radical Marijuana's picture

Yeah, Seasmoke, almost me too!

There is no doubt that our money system is a state religion, as is clear from the fact that fiat money, made out of nothing, as debts, by private banks, is based on nothing but faith in the system, since it is otherwise not backed by anything material, such as some amount of gold or silver, nor anything else. Of course, such faith-based money was also indirectly backed up by force, by government demanding payment of taxes in the form of that fiat money, as well as laws which deemed that fiat faith-based money to be legal tender.

Since the government backed up the value of such "money" made out of nothing as debts, the full faith in the government was behind that faith-based money, which meant that the total power of the police and military was actually behind that faith-based money, and that has been going on and on and on throughout the lives of several generations of human beings that grew up and died within that kind of state religion.

Money was measurement backed by murder, with the real value of that faith-based money actually based on the ability of the government to murder to back that up. Hence, the real source of the monetary system being able to operate as the state religion was the power of the government. Furthermore, when one looks deeper, the effective control over the government that legalized that faith-based money system was another microcosm of murder. It is the nature of the history of those facts which is at the root of why people do not understand the monetary system, and why they do not want to understand it.

Anyway, Seasmoke, I would agree I too am almost done trying to wake people up ... What I have remaining are irrational hopes for some series of political miracles that trying to wake people up will start working, despite that all of the past experiments along those lines have proven that that is about 99% impossible, because it doesn't work to try to wake up people to understand the monetary system, since they do not want to wake up.

I have a particular track record of political experiments and related court cases, which I am continuing to work on at the present time (through Canadian Electoral District Associations), which continues to PROVE that the monetary and taxation systems actually operate on the basis of lies, backed by threats of violence, which results in 99% of the people continuing to never participate in any material way in the political processes that control their lives, as well as not being the least interested in learning anything about how the monetary and taxation systems really work, despite that continuing to be ignorant, and doing nothing, constantly costs them money, because they continue to lose control over their own money, as they continue to not participate to control the monetary and taxation systems, which nevertheless are still controlling their lives, as well as are set up to continue to control the lives of their children and their children's children too!

Therefore, I can confirm your observation, Seasmoke, that trying to wake people up ABOUT 99% DOES NOT WORK! Meanwhile, 99% of the people act like Zombie Sheeple, that continue to be getting fleeced to exhaustion, and set up to be slaughtered by the 1%, and especially a tiny fraction of that 1%. Given that about 99% ARE ZOMBIE SHEEPLE, it is not hard to sympathize with you, Seasmoke, when you write "that I get more pissed off at them than I do the moneychangers!"

As usual, while I agreed with everything in this article by Brandon Smith, I think that he grossly understates how bad things really are, and also that nothing he has ever written that I have read is even in the ball park of what it would take to fix problems that are trillions of times worse than he seems to recognize. Moreover, I continue to regard Brandon Smith as being one of the Black Sheeple, or reactionary revolutionaries, when it comes to proposing "solutions" to the problems which he more or less correctly analyzes, on the superficial level that he analyzes them upon. Personally, I also get almost as annoyed by the reactionary revolutionaries as I do by the moneychangers.

Human beings have managed to create a globalized system of electronic frauds, backed by atomic bombs, which virtually none of them understand, nor want to understand. The whole of the industrial revolution has been delivering powers which are trillions of times greater to be used by what are still mostly stupid little monkeys, who use those powers in ways which are primarily operated with attitudes of evil deliberate ignorance, through fundamentally fraudulent financial accounting systems, that the overwhelming vast majority of people take for granted, like fish take the water for granted.

vulcanraven's picture

Normalcy Bias is a helluva drug

Bonapartist's picture

FRNs for oil- the rest is bullshit.

Carl Popper's picture

All hail the petrodollar

At least all USA citizens who understand the implications of its demise.

If it werent for the petrodollar, petrobonds, and us shipping arms to the petrokings as "interest payments" on the petrobonds, life might get a bit tough and complicated for the US of A

zionhead101's picture

If it say's  "Brandon Smith", its going to be 100% bullshit.


If your not going to mention 100 Million dead 100 years to date to make the USD "KING" then your ignoring 1,000 KG AIPAC-GORILLA in your anus.

In the coming years BILLION will die to keep the USD 'king'.

You will never see AIPAC talking-points discuss that, because they are the one who made the USD the 'reserve currency'.

Carl Popper's picture

1000 kg AIPAC gorilla up your anus?

That's gotta hurt!

frenzic's picture

yet millions continue to live life as if nothing happened

El Vaquero's picture

I always get the "But there is nothing to replace the dollar!" line.  Would somebody mind telling me where there is a rule that states that there must be a global reserve currency?