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This Is Exactly How You Destroy A Banking System
Submitted by Simon Black of Sovereign Man blog,
You might not realize it, but yesterday was a very important date.
Yes, of course, it was Cinco de Mayo. But possibly more important, it’s also the deadline for banks around the world to sign up for information-sharing agreements with the IRS.
Think about it like this: imagine that the King of Saudi Arabia decreed that NO grocery store chain in the United States was allowed to sell pork products to citizens of Saudi Arabia.
Crazy, right? Arrogant? Of course.
But that’s essentially what the US government has done.
Passed back in 2010, the Foreign Account Tax Compliance Act (FATCA) makes it mandatory for banks around the world to share information about their depositors with the US government.
In other words, Congress expects for banks that aren’t even in the United States to comply with US laws… even if US laws happen to violate the banks’ own local laws!
It’s the height of arrogance. And by passing and enforcing such pitiful regulations, the US government is only shooting itself in the foot.
Right now, the US banking system is at the center of the global banking system.
When a wholesaler in Bangladesh sends money to a supplier in Ghana, that money transfers through the United States.
Both the bank in Bangladesh and the bank in Ghana would have an account in New York– they’re called ‘nostro’ accounts in banking parlance.
Having this common hierarchy makes it easier for banks to transact with each other because they both have a common intermediary. And for now, that common intermediary is the US banking system.
But the US government seems to be going OUT OF ITS WAY to destroy the advantages of this system.
In fact, if you were to advise the US government what to do if they wanted to destroy the banking system, the list would pretty much include everything that they’re already doing:
- Having inadequately capitalized banks
- Destroying the federal government balance sheet
- Destroying the central bank balance sheet
- Using credit rating agencies for political games
- Bailing out the banks at everyone else’s expense
- Passing absurd regulations and demand compliance through fear and intimidation
Uncle Sam is practically begging the rest of the world to create an alternative banking system that doesn’t depend on Wall Street or the US government.
And this alternative system is already forming.
More and more nations are starting to engage in currency swap arrangements, and banks around the world are setting up their own network of interbank accounts.
This is a major issue that is unfolding before our very eyes.
If the US banking system loses its prominence, suddenly the dollar becomes less relevant. As the dollar becomes less relevant, then US Treasuries less relevant.
And if foreigners lose interest in US Treasuries, who will buy that slice of the US government’s debt?
Simple. You.
Explore this further with me in today’s Podcast: How to destroy a banking system. Give it a listen here:
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Shrinko de pie-o
I think Simon forgot the “Retain and immunize overtly criminal management” bullet.
As rest of the world is developing to our standards they would naturally build alternative monetary systems. I guess the US gubimint wants to hasten this process. This is also going to drive many more to the black market.
BUY BITCOIN!!!
Bitcoin is a bypass of the cartel system. Those who hate it are aiding the cartel.
People like you said the same thing about the internet in the early days.
Go back to your cave CH1
Well, unless the Bitcoin users are able to bypass the cartel system's control of the internet (yes they CAN cut you off..) how do the users plan on retaining access to their 'money'?
Eerrrrr...Foney!?!
Would that be the "Shitcoin" which is down 10% in the last two weeks?
Or another "Shitcoin"?
https://bitcoinwisdom.com/markets/btce/btcusd
That's right moron. When silver goes down you should buy more and when BTC goes down you should sell out, right?
Smart virtual men will be adding to their stacks of BTC as the selling seems to be over.
As the apps develop we will be able to become our own banks.
Reggie Middleton is even coming up with a way of betting on stocks using BTC.
Math based currency is here to stay -- so get over yourselves and open your cartel minds....
The Bitcoin crowd seems to place an awful lot of faith in their ability to access their digital currency in the event of an economic collapse. Do they ever consider that, in the event of something on the scale of economic collapse, they might LOSE access to the internet? There are governments NOW that restrict access in their own countries, what leads anyone to believe that wouldn't happen on a much larger scale when governments get desparate to retain control?
How does Bitcoin help you when you have no service?
Once a significant number are using a 'black market' system, it's over. Loss of faith in the banks means people don't put their money there. So, making it easier to seize is irrelevant in the long term, because it won't be there.
And cracking down on a large black market would be a logistical nightmare. You can't go after it electronically, you have to put boots on the ground and physically visit these people, and try and take their stuff. Good luck with that, in a nation of over 300 million, many of whom are heavily armed and pissed off.
I see no "master plan" here. I only see a bunch of elites who have NO clue what they're doing, and are just reacting to stuff TODAY without any thought of tomorrow.
Fractional reserve currency systems by design are not stable.
Not sure how this new law makes it any worse. Unless it sells information packets about using Alpacas to move PMs through the mountains?
pods
I totally agree. And how are the FEMA camps and surveillance gonna function with toilet paper as currency? Once they lose control of the dollar, it's game over. Then it's up to the American people...
Good luck
So exactly what happens to people's paychecks? Will they not be direct deposit anymore, or will they just withdraw the money after the deposit? CAnnot the FED seize what it needs, much like now, prior to your recieving it? I can see the banks collapsing, and the dollar being worthless, but as long as paychecks are being handed out in dollars and not hrivnas, the FED will pull the strings on how money is doled out, and what they keep for themselves. At the point of total collapse, black market currency will be the least of the problems.
A black market bypasses the official economy, so that money won't BE these for seizing. As to paychecks from those who ARE still working in the official economy, yeah, they are pretty much up for grabs. The FED and other powers DO have control over the official economy, but the black market is out of their hands.
Even if TPTB attempt to rein it in by messing about with the currency, the black market will simply switch to something else easily traded. PM, barter, any number of things can be used. It is the whole nature of a black market to find the work-arounds...that's why it exists in the first place.
And, the very EXISTENCE of a black market is a strong signal that your economy is on life-support, so yeah, the black market currency IS the least of anybody's worries.
And if foreigners lose interest in US Treasuries, who will buy that slice of the US government’s debt?
Simple. You.
**************
But I don't want to buy treasuries! What's that? A "Patriot Bond"? Well, since you put it that way...
We're buying them in huge amounts already via the Fed. Every time you deposit money in a bank or pay down your mortgage you buy this trash whether you want to or not.
Did anyone claim we were going to buy them VOLUNTARILY?
I lost my real money in an unfortunate boating accident.
What little legal tender they hold on my behalf is as uselful as an old Sears catalog for wiping my ass.
Shit, it much simplier than that Simon. Just build the system on nothing but FAITH and remove the RULE OF LAW.
done and done motherfuckers...
Boy, it's a good thing i didn't out my paper in an overseas bank.....
Come on bitchez, let's stock up on USTs in our MyRA's!
Once every ounce of capital appreciation has been sucked out and they are yielding .50 accross the yield curve.
Hey folks here is your fucking MyRa...you will earn .5 pecent on your money while spending 500 bucks to fill up your tank. You will thank my later.
Sincerely,
Uncle Sam
Don't worry, we can keep our banking system supreme with the help of the US Military HOO-RAHH!
If you like your banking system, you can keep yor banking system.
/snort/
<-- fuck simon black
<-- fuck the banks
This was a good post.
Cool.
They want to make sure they can confiscate all deposits. Even the ones held outside of the US.
"And by passing and enforcing such pitiful regulations, the US government is only shooting itself in the foot."
I would rather they shot themsleves in the head. Several times to be sure. Any volunteers????
First the bankers and now the government are shooting themselves. Hopefully with a nail gun.
It's all about that total spectrum dominance.
Sub-head: How broke are the criminals of the DC US?!
Crap in your mayo...hummmm
Like having Uncle Sammy partyline on your every phone call and e-mail worked so well.
Now HE looks at your bank statements, and income, and expenses.
With this foreign banking compliance law, what strategies are left for Americans who want to live outside the US? If an American cannot open a bank account outside the US, does this effectively trap all US citizens within the confines of the US?
(or else you have to be COMPLETELY detached from the US banking system and not require ANY kind of financial transaction)
Please, ever travel in south america? We all know how things really work as "laws" that cannot be enforced are not really "laws" at all.
My limited understanding is that banks outside the US were not opening accounts for Americans. I assume you are saying this is easily by passed in more third world nations?
Set up a foreign LLC or LLP for 200 bucks and every bank will gladly take your money
There you go. "Limited liability" bitchez... corporation=person
"Ummm...Hi there...eeerrrr, I mean 'Hello, old chap. We would like to open a bank account. US citizens? No, we most certainly are not..."
(Whispers) "Jeez, ya thunk they believed us? yuk yuk..."
I'm sure the next oligarch controlled system will be better than this one.
"This is the sixth time we have destroyed Zion and we have become exceedingly efficient at it. "
The Architect.
So how am I gunna launder my money now?
Well if you're a Cartel boss just set up an account at BoA or HSBC - the way to launder money for the last 2 decades.
They even have custom size boxes that fit perfectly thru the teller windows.
Set up an account this month and get a free, special edition "Fast and Furious" AR-15; act now as supplies are limited.
Can someone remind me if the US congress is still exempt from insider trading laws?
mmm. .... I thought so.
Will this also apply to tax havens where close to $30 trillion is stashed?
mmmmm.....I thought not.
Can't wait to see what happens to those "tax havens" should the flow of real commodities stop...
No need to worry. Banksters and politicians will be made whole. And you can take that statement to the bank!
This is why anon cryptocurrencies like Darkcoin are going to explode in value when everyone realises there is nowhere else to run. The US is trying to clamp down on foreign bank acc, but by then everyone will migrate into digital cash and then all bets are off.
http://razorsforex.blogspot.com/2014/02/darkcoin-anonymous-cryptocurrenc...
Yeah, right. As soon as people realize that their paper promises are worthless, they'll flock to buy digital promises.
Digital promise?? WTF are you talking about?
Are you really that obtuse?
At precisely the time when the broad population is shocked to learn that their paper currency is worthless (or damn close), you somehow imagine that they'll have confidence in something even less tangible? Yet another form of currency that has zero intrinsic value?
Please.
No one knows the future, but considering what has happened so far, I would say crypto has a good shot.
Well I do know two very proficient code-writers with MBAs working at a JPM to "insure they have a signifcant position in cryptocurrencies". So yes, these will take off at some point and all the usual suspects will be well positioned.
Same as it ever was...
I have no doubt that they will thrive at some point – just not at the inflection point that is under discussion.
For fuck's sake!
Calling all crypto-currency fags!
The Bitcoin/Shitcoin hash function is based on NSA crypto...
Go figure, asshats!!!
If you even knew the basic of cryptography or programming you would know that it doesn't matter who wrote it, as long as it is open source and others can see the code. Any backdoor or exploitable hole is rooted out very quickly when everything is wide open for everyone to see.
If we're talking about 10 years down the road when half the boomers are dead and the internet generation is finally a majority..
then yes.... the broad population will migrate to digital currencies. And they won't be shocked by the Feds machinations. They're fully aware.
"The Greatest Generation" is asleep. Thank god for Obama death panels. I guess even a blind squirrel finds a nut every now and then. /not sarc fuck boomers.
"...they won't be shocked by the Feds machinations. They're fully aware."
LOL! If you were canvas a broad cross-section of the "internet generation", and ask them what the Austrian School is, 73% would give you a blank stare, and 26% would babble something about the University of Vienna.
If you canvassed a broad cross-section of the "greatest generation" and asked them what the Austrian School was, 5% would start babbling about Nazis, 8% would say Freud, and the rest would give you a blank stare. The youth of today have a better understanding of Austrian economics than any previous generation. Their numbers are still low, but it's not noise level.
If you canvassed a broad section of any generation in America, they would be unable to figure out how to get out from under it. Americans are morons. Well trained morons, but morons all the same. Just like Chinese, Russians, Europeans, etc. The world is a slave culture and we are just happy to survive. It hasn't changed forever.
Oh you want to get on the net? Just a retina scan or some such and yeah, we're going to track every single packet. There will be no anonymous by the time these tyrants are finished. Apple already has half the population's fingerprints. It isn't going to be hard to get the rest with a digital patriot act because terrorists use the interwebz.
Destroy it already. I am soo ready for someone to destroy it.
Ok, I can't see anything wrong with this "plan", exactly.
Maybe if the banks get "destroyed" we can have our government back.
It would be ever so generous of whomever destroys the banks, out of charity toward us no doubt, to also then obligingly hand back our government. I can't imagine it happening any other way. All we need is the one.
In the last few weeks, Austrian banks now play like Swiss ones in requesting everything short of blood samples fromAmericans who wander in their banks....
Have Singaporean banks fallen yet?
Yes thay have; no interest in American customers.
Anothr reason for expats to save in gold and silver.
Take a look at the FT.com article on JP Morgan shutting foreign diiplomats bank accounts. Because of cost to anti money laundering laws for foreign political people. This is a big deal. This anti money landering plus now Russia sanctions is destroying our banking system as a reliable partner. There will soon be increased calls for a parallel non US banking system.
American individual bank accounts are not wanted overseas, but they will gladly take your money if it comes from a foreign LLC or LLP. You can set one up for 200 bucks online.
.
Snowden reported that the NSA's internal mantra is "Get It All."
Sounds like it's the IRS' mantra, too.
FATCA is now irrelevant. Every country that counts, both onshore and offshore has signed the OECD agreement for automatic exchange of information. In fact Switzerland did so today. Of course once countries caved in to FACTA, it was only a matter of time they entered with similar agreements with everybody else, that's what the OECD agreement is all about. Thanks one more time US, you screwed the whole world again.
The best part is how "sanctions" against Russia are stopping the IGA process, which is something that Russia was never going to agree to in the first place. That's right, the punishment for Russia is to be treated the same as most of the rest of the world. And for the fools who signed up, they are left with options of "kick out all 'us person' accounts" or "pay hilarious amounts of money to ensure compliance".
To make it even more fun. Russia is on record stating that being hit with basically what amounts to flat out theft via FATCA would be interpreted as an act of war triggering military actions.
Good job idiots.
Exactly. plenty of other customers for all those Russian commodities willing to pay in rubles.
Please destroy the banking system. Please, please, please. Oh shucks, he's just teasing.
Constitutional silver and gold don't need no stinking banks. Perfectly legal. 3711/4 grains of silver is all you really need to know for the US. Unconstitutional laws are null and void.
The sooner we get accustomed to not having a "banking system" the better.
NSA, IRS one in the same for all purposes.
The Obama Admin is doing everything it can to destroy the banking system which will ultimately knock America down a notch. Is this really surprising to anyone? Every action of this administration speaks loudly that the goal is America's destruction.
destroy it until the power to issue the public currency, and I don't especially care if it is fiat so long as frac reserve lending is made less absurd than it is now {and, fucking calm yourself libertard gold bugs - sure I could also go for something backed by gold and silver, like, you know, it was supposed to be} is returned to the American people.
I know you know, because you're here, but the fact a cartel of private, probably mostly foreign banks, creates our currency out of thin air and loans it to us at interest, and we work 1/3 of the year to pay it back... I mean that shit is amazing, that trick.... but more amazing is the fact 95% of the American people don't know and/or care... probably not fully grasping the implications - the sheer colon-tearing ass rape of it all.
"And if foreigners lose interest in US Treasuries, who will buy that slice of the US government’s debt?
Simple. Belgium"
There...fixed it fer ya, Simon ;O)
If you are not one of us, you are nothing.
Looking at the piggy bank and hammer, I'm wondering if anyone would be willing to pay to buy a Lloyd Blankfein or Jamie Dimon caricature piggybank? Think of the joys of smashing it with a hammer.
Sign ups? You mean like healthcare.gov sign ups
"Foreign Account Tax Compliance Act (FATCA)"
The acronym is missing a T. FATCAT
The T is silent.
"And if foreigners lose interest in US Treasuries, who will buy that slice of the US government’s debt?
Simple. You."
Poland confiscated pension funds.
'Hubris'
The characteristic of excessive confidence or arrogance, which leads a person to believe that he or she may do no wrong. The overwhelming pride caused by hubris is often considered a flaw in character. While these hubris feelings are often justified, they often cause irrational and harmful behavior.
Investopedia explains 'Hubris'
Hubris may be developed after a person encounters a period of success. Corporate executives and traders overcome by hubris may become a liability for their firms. A manager might start making business decisions without fully thinking through the consequences, or a trader may begin taking on excessive risk. In many cases, people overcome by hubris will bring about their own downfall.
http://www.investopedia.com/terms/h/hubris.asp
I think this sounds about right.
Friday, July 8th, 2011
"New World Currency will be presented to an incredulous world
The New One World Currency, which will be presented to an incredulous community, is designed to control you. Then once that happens they will try to deprive you of food. Unless My children accept this reality now they will be defenceless when they are under the control of a New World Order, led by masonic forces. Prepare now, My children, because although The Warning will convert millions, including those loyal to the One World Order, it will not be enough to stop these evil slaves of Satan and the antichrist. Without control of your money, you will find it hard to defend your right to property, food and health, the three things which they will be in charge of, if you do not start shouting your opposition now. Stop your leaders in their tracks. Don’t let them bully you. If enough of you are alert to this evil, monstrous plan, then you can warn others.
Plan your food supplies now
Plan your food supplies now. Grow and buy seeds that will keep you alive. Buy silver coins or gold, so that you can buy what is necessary. Most importantly find locations where, as a group, you can meet to offer the Holy Sacrifice of the Mass. For in time, your churches will be burned to the ground."
http://www.thewarningsecondcoming.com/eternal-father-will-prevent-new-wo...