Every Fiat currency throughout history has ended up totally failing and being worth absolutely zero. The Fiat currencies in today’s world will end up in exactly the same position eventually, and we need to prepare for this. This reality is not far away.
The first Fiat currency was created in the 11th century by a bank in the Szechuan province of China. It was initially exchanged for metal coins and had some form of value. However, eventually inflation picked up pace and eroded the value away. This pattern has been repeated throughout history and has resulted in the rise and fall of empires. Mike Maloney presents a great series on YouTube called the hidden secrets of money, which goes into depth on inflation causing the fall of the Greek and Roman empires. Unfortunately we don’t seem to have learned from our mistakes and the same patterns are being repeated today by the central banks of almost every single country on the planet.
The stock markets around the world are in a Bear Market and dropping points fast. The S&P 500 had their worst December since the great recession which is a huge indicator that another recession is around the corner. The rate of inflation is so high and we are all feeling the cost, with goods prices so expensive. The wage increases can’t keep up with it. The future of the worlds economy is not looking bright and a lot of investors are very worried. We should all be worried.
What can we do about it?
We can protect ourselves from the impending disaster that is just around the corner. Buying gold and silver is the only way you can protect your wealth.
Governments think that they can control the markets by raising/lowering rates and printing more money (quantitative easing), but these just delay and even worsen the situation. It increases inflation and leads to a larger gap between the rich and poor. Governments need to let the free market reign, stop bailing out banks and have a monetary system that has true value – such as a currency backed by gold.