The Other 'Ban' That Was Quietly Announced Last Week

Tyler Durden's picture

Submitted by Simon Black via SovereignMan.com,

Most of the world is in an uproar right now over the travel ban that Donald Trump hastily imposed late last week on citizens of seven predominantly Muslim countries.

But there was another ban that was quietly proposed last week, and this one has far wider implications: a ban on cash.

The European Union’s primary executive authority, known as the European Commission, issued a “Road Map” last week to initiate continent-wide legislation against cash.

There are already a number of anti-cash legislative measures that have been passed in individual European member states.

In France, for example, it’s illegal to make purchases of more than 1,000 euros in cash.

And any cash deposit or withdrawal to/from a French bank account exceeding 10,000 euros within a single month must be reported to the authorities.

Italy banned cash payments above 1,000 euros back in 2011; Spain has banned cash payments in excess of 2,500 euros.

And the European Central Bank announced last year that it would stop production of 500-euro notes, which will eventually phase them out altogether.

But apparently these disparate rules don’t go far enough.

According to the Commission, the presence of cash controls in some EU countries, coupled with the lack of cash controls in other EU countries, creates loopholes for criminals and terrorists.

So that’s why the European Commission is now working to standardize a ban on cash, or at least implement severe restrictions and reporting, across the entire EU.

The Commission’s roadmap indicates that forthcoming legislation, likely to be enacted next year.

This is happening. And it may serve as the perfect case study for the rest of the world.

A growing bandwagon of academics and policy makers in other countries, including the United States, UK, Australia, etc. has been calling for prohibitions against cash.

It’s always the same song: cash is a tool for criminals and terrorists.

Harvard economist Ken Rogoff is a leading voice in the War on Cash; his new book The Curse of Cash claims that physical currency makes the world less safe.

Rogoff further states “all that cash” is being used for “tax evasion, corruption, terrorism, the drug trade, human trafficking. . .”

Wow. Sounds pretty grim.

Apparently pulling out a $5 bill to tip your valet makes you a member of ISIS now.

Of course, this is total nonsense.

A recent Gallup poll from last year shows that a healthy 24% of Americans still use cash to make all or most of their purchases, compared to the other options like debit cards, credit cards, checks, bank transfers, PayPal, etc.

And the Federal Reserve Bank of San Francisco released a ton of data late last year showing that:

  • 52% of grocery purchases, along with personal care products, are made in cash
  • 62% of purchases up to $10 are made in cash
  • But even at much higher amounts over $100, nearly 1 in 5 purchases are still made using physical cash

This doesn’t sound life nefarious criminal activity to me.

It seems that perfectly normal, law-abiding citizens still use cash on a regular basis.

But that doesn’t seem to matter.

A bunch of university professors who have probably never been within 1,000 miles of ISIS think that a ban on cash would make us all safer from terrorists.

You probably recall the horrible Christmas attack in Berlin last month in which a Tunisian man drove a truck through a crowded pedestrian mall, killing 12 people.

Well, the attacker was found with 1,000 euros in cash.

The logic, therefore, is to ban cash.

I’m sure he was also found wearing pants. Perhaps we should ban those too.

This idea that criminals and terrorists only deal in bricks of cash is a pathetic fantasy regurgitated by the serially uninformed.

I learned this first hand, years ago, when I was an intelligence officer in the Middle East: criminals and terrorists don’t need to rely on cash.

The 9/11 attackers spent months living in the United States, and they routinely used bank accounts, credit cards, and traveler’s checks to finance themselves.

And both criminal organizations and terrorist networks have access to a multitude of funding options from legitimate businesses and charities, along with access to a highly developed internal system of credit.

A cash ban wouldn’t have prevented 9/11, nor would it have prevented the Berlin Christmas attack.

What cash controls do affect, however, are the financial options of law-abiding people.

These policymakers and academics acknowledge that banning cash would reduce consumers’ financial privacy. And that’s true.

But they’re totally missing the point. Cash isn’t about privacy.

It’s one of the only remaining options in a financial system that has gone totally crazy.

Especially in Europe, where interest rates are negative and many banks are on the verge of collapse, cash is a protective shelter in a storm of chaos.

Think about it: every time you make a deposit at your bank, that savings no longer belongs to you. It’s now the bank’s money. It’s their asset, not yours.

You become an unsecured creditor of the bank with nothing more than a claim on their balance sheet, beholden to all the stupidity and shenanigans that they have a history of perpetrating.

Banks never miss an opportunity to prove to the rest of the world that they do not deserve the trust that we place in them.

And for now, anyone who wishes to divorce themselves from these consequences can simply withdraw a portion of their savings and hold cash.

Cash means there is no middleman standing between you and your savings.

Banning it, for any reason, destroys this option and subjects every consumer to the whims of a financial system that is stacked against us.

Do you have a Plan B?

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LawsofPhysics's picture

Only one thing to know now...

When fraud is the status quo, possession is the law.

Be prepared to maintain possession at all costs.

 

Want to make something popular, make it "illegal".

NidStyles's picture

Screw the EU and it's Kikish overlords.

johngaltfla's picture

No problem. I can't risk my wife's life going to Europe and their Caliphate infested nations. We'll stick with the Caribbean for our vacations, thank you very much.

TeethVillage88s's picture

How is Dominican Republic BTW. Seems priced right for people that are on a shoe string.

Beam Me Up Scotty's picture

"But they’re totally missing the point. Cash isn’t about privacy"

It certainly IS about privacy.  As a law abiding citizen, what I do with my money, is MY business, not ANYONE else's.  Freedom and Liberty don't come without privacy.  If you don't have privacy, you don't have freedom or liberty.  Just the prying eyes of Big Brother.  Thank God Hillary didn't get elected, or it would have been Big Sister.

KingFiat's picture

Indeed.

Where I live there recently was a law proposal that the banks should be told every item everybody purchased with a card issued by the bank. Fortunately it was not passed.

Here most major banks are part of what we call finansial supermarkets that includes insurance companies, and our laws allow the free flow of information in these corporations. Just think about how it would be if both your bank and your insurance company knows about every single item you ever purchased.

 

TransientAPO's picture

He says:
"Cash means there is no middleman standing between you and your savings."

LMAO

Walter_Sobchak's picture

Saving in lead, steel and brass is always the best option.

johngaltfla's picture

Stay in the resorts. Only take the cigar plantation tours unless you know the roads well enough to drive there youself. Awesome golf courses for reasonable fees also. There are a lot of Haitian gangs along the border so exercise caution if you decide to explore on your own, the locals at the good resorts can help you. Food is good to excellent depending on where you state, drink bottled water, enjoy the rum and sun.

Great place and its only going to get better.

InjectTheVenom's picture

where are we today ?

>>>>  1984   

>>>>  2017

old naughty's picture

question is: where are we tomorrow?

Is there one, for humanity?

Suleyman's picture

The totalitarian state has some problems coming up:

1) Watching everyone is costly. A policeman per non-police citizen? Eats in on the profits of the state.

2) The state has a geographical reach, but it is not penetrating all business. Some business can go on undisturbed, it costs too much to tax it.

3) As in business, bureacracy is costly and inefficient.

4) If regulation becomes too heavy, value creation will suffer, and the state implodes.

And the totalitarian, global state is probably not feasable:

5) The nation states, each being sovereign, acts like free people in the market. In the free market, a cartel is not possible, internal and external assaults on the cartel becomes more profitable and therefore more problematic for the cartel, the stronger it is. Globally, inflated,  unified business tax level, for instance, is not possible. It is too profitable for an outsider country to compete on lower taxes, and it is too profitable for the insider countries to cheat with exceptions.

All in all: With the internet (the second coming of the printing press) and bitcoin (the second coming of gold), things look bright. I hope I survive the intermediate mess, with my family.

 

 

 

balolalo's picture

TYLERS, what the fuck?

WHAT IS TRUMPs POLICY ON CASH????

kind of important wouldn't you say.........why can't you ask the simple question?

if he doesn't protect cash, what would you do?  

 

johngaltfla's picture

FYI, 90% of Americans will switch voluntarily to a digital currency system in the years to come. Trump is perfect for making this conversoin if the economy takes off under his watch. More about that here:

The ATM of Today is the Phone Booth of Tomorrow
CheapBastard's picture

i was hoping the article would talk baout a ban on criminal illegals from re-entering the country to commit more murders and rape.

 

i guess not.

wildbad's picture

thanks for this excellent article.

time to take this to the masses.

we like cash, we hate €urocrats

OfAllElaboratePlans's picture

"Screw the EU and it's Kikish overlords"

 

If cash gets banned in the US, then Trumps kikish advisors can be thrown into that heap. Stay tuned.

c0nan's picture

Stop using the banks. Start using bitcoin.

Truther's picture

Get your worthless $$ out of the shithole banks.

Denomination of $20 bills and smaller.

 

Fuck the TBTJ banksters.

Tom Servo's picture

Cash will never be banned, because most of the illegal drug trade is transacted in USD.

 

Also how could shitbags like Obama send Iran billions of dollars in cash?

 

VZ58's picture

Cash will only be banned for the general population. Governments can do as they please...

roddy6667's picture

An exception will be made for the wealthy.

JuliaS's picture

CIA deals in dope. Governments trade weapons for favours. They are insulated. Cash is for the small folk.

Bunghole's picture

2.5 gram silver dimes or 6.25 gram silver quarters

Trolly McTrollface's picture

The EU is toast. I know a few people who cashed in their Euros years ago. This is exactly what they were worried about. Breakup is almost inevitable now. Not gonna be pretty.

pine_marten's picture

Hey, you are eating the King's rabbit.

KingFiat's picture

Hey, don't you eat my rabbit.

koan's picture

Economist are a danger to the World, get rid of all of them.

Mustafa Kemal's picture

Bankers, Lawyers, Harvard, Jews

We have a new jingle

toady's picture

Lawyers, guns & money.... wouldn't be where I am today without'em...

TheABaum's picture

The astrologers to tyrants everywhere. 

wisebastard's picture

this is how they will control all the sheepeople.......ahaha

Thought Processor's picture

 

Banning cash, what reason could that possibly be for?

 

Oh yeah, you can't track cash.  And how can you control something you can't track?

 

Right, now I get it.

 

 

Maxter's picture

Also, banks will be able to charge you interest on your saving since you can't take your money out

GoinFawr's picture

Free Steve Mnuchin!!!

wisebastard's picture

what happens if they make the US a cashless society and all those people in debt are forced into financial slavery........

dark fiber's picture

Trump is may not necessarily be our friend on this.  He is very quiet on the issue.

jabs69's picture

The tax-hungry governments absolutely hate cash and all that it keeps them from getting their hands on.

TalkToLind's picture

Now this shit is worth protesting against. Where are those snowflakes when you need them?

theright555J's picture

They have no cash.  Would be more likely to protest a ban on Apple Pay.