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The Trillion Dollar Coin


Junior

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The Trillion Dollar Coin

By: Jordan Graveline

 

Does anyone have a trillion dollar coin? How about a billion dollar coin? You know what, I'll settle for a million dollar coin. The closest thing I can think of is a 1933 Double Eagle. A coin like that is expensive, but given the rarity of the coin and it's age, it's easy to see why the value has grown over the years to reach these new heights. But this post isn't about the 1933 Saint Gaudens Double Eagle. So if you came for that show, you can cease reading further. This post is about sanity, logic, and above all, honesty. So when I mention the U.S. Federal Reserve (which is not federal at all), you'll know that the words sanity, logic, and honesty have nothing to do with them. Quite the opposite in fact. So let's begin....

Well this is it! I mean, this is it again...for the 70th time in a row. The U.S. is fast approaching their debt ceiling and they have some ideas on how to fix it. No, stopping the deficit spending is not one of them. No, raising taxes won't work either (although they will do that anyway). The idea on how to fix the astronomical debt is to create a one trillion dollar coin. Looking into the legislation surrounding such an idea, the FED has determined that they can mint a single coin out of platinum and decree it's worth to be equal to one trillion dollars. I'm going to take a wild guess and say the coin itself will not contain the amount of platinum totaling one trillion dollars worth, but rather just be stamped with one trillion on the coin itself.

See full story: The "Trillion Dollar Coin" Is Illegal

Yeah, sort of like that. The idea that making this coin out of platinum, palladium, gold, silver, copper or even just steel with nickel coating makes zero sense. If one nation could mint a single coin that says one trillion on it, then they would all do it if it meant that they could pay their debts off with it. This is just an example of a situation that could lead to hyperinflation. The historians tell it better than me and I tend to ramble on a lot. But I will say this, Germany tried the same thing after WWI because they were on the hook for the damages of the war. So they tried to print their debts away using ever increasing denominations on their currency. The only difference I see, the Germans were smarter by using paper dollars because at least you could wipe your A$$ with the paper. The idea of creating a coin valued so high is absurd! It's dishonest! And it can only lead to one outcome; hyperinflation. Just like it did with Germany in the 1920s. And Hungary in the 1940s. And Yugoslavia in the 1990s. And Zimbabwe in the 2000s. And Venezuela present day. Need I go on?

All currencies around the world are at present, being printed to extinction. This is the reason why inflation is picking up and everything is increasing in price. The extra money has to go somewhere and that somewhere is in the prices of everyday things that we use. So why would a trillion dollar coin NOT cause a hyperinflation? Maybe if they only did it once. Or twice. Or three times. But we know that won't be enough to wipe away the debt. And everyone else will jump on board and do the same thing. Hyperinflation is scary, but it could be around the corner or already in the making. Time will tell.

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12 minutes ago, Junior said:

The Trillion Dollar Coin

By: Jordan Graveline

 

Does anyone have a trillion dollar coin? How about a billion dollar coin? You know what, I'll settle for a million dollar coin. The closest thing I can think of is a 1933 Double Eagle. A coin like that is expensive, but given the rarity of the coin and it's age, it's easy to see why the value has grown over the years to reach these new heights. But this post isn't about the 1933 Saint Gaudens Double Eagle. So if you came for that show, you can cease reading further. This post is about sanity, logic, and above all, honesty. So when I mention the U.S. Federal Reserve (which is not federal at all), you'll know that the words sanity, logic, and honesty have nothing to do with them. Quite the opposite in fact. So let's begin....

Well this is it! I mean, this is it again...for the 70th time in a row. The U.S. is fast approaching their debt ceiling and they have some ideas on how to fix it. No, stopping the deficit spending is not one of them. No, raising taxes won't work either (although they will do that anyway). The idea on how to fix the astronomical debt is to create a one trillion dollar coin. Looking into the legislation surrounding such an idea, the FED has determined that they can mint a single coin out of platinum and decree it's worth to be equal to one trillion dollars. I'm going to take a wild guess and say the coin itself will not contain the amount of platinum totaling one trillion dollars worth, but rather just be stamped with one trillion on the coin itself.

See full story: The "Trillion Dollar Coin" Is Illegal

Yeah, sort of like that. The idea that making this coin out of platinum, palladium, gold, silver, copper or even just steel with nickel coating makes zero sense. If one nation could mint a single coin that says one trillion on it, then they would all do it if it meant that they could pay their debts off with it. This is just an example of a situation that could lead to hyperinflation. The historians tell it better than me and I tend to ramble on a lot. But I will say this, Germany tried the same thing after WWI because they were on the hook for the damages of the war. So they tried to print their debts away using ever increasing denominations on their currency. The only difference I see, the Germans were smarter by using paper dollars because at least you could wipe your A$$ with the paper. The idea of creating a coin valued so high is absurd! It's dishonest! And it can only lead to one outcome; hyperinflation. Just like it did with Germany in the 1920s. And Hungary in the 1940s. And Yugoslavia in the 1990s. And Zimbabwe in the 2000s. And Venezuela present day. Need I go on?

All currencies around the world are at present, being printed to extinction. This is the reason why inflation is picking up and everything is increasing in price. The extra money has to go somewhere and that somewhere is in the prices of everyday things that we use. So why would a trillion dollar coin NOT cause a hyperinflation? Maybe if they only did it once. Or twice. Or three times. But we know that won't be enough to wipe away the debt. And everyone else will jump on board and do the same thing. Hyperinflation is scary, but it could be around the corner or already in the making. Time will tell.

It’s a default in all but name.

Saying you won’t pay your debt is frowned upon al lot more than saying I’ll produce $28T extra and pay every other bank / country with these new Dollars, cutting the value of the Dollar by more than 50% and then increasing prices in Dollars for their own people and imports. For example a $500 TV made in Korea will now be a $1,000 TV. A US citizen would demand higher wages form the same job since the TV he wants is now twice the price etc. 

They can only pull this stunt once every 100 years or so (I guess), otherwise other country’s wouldn’t deal with you.

My bet is they will increase the debt until other country’s will now longer take $ then print the equivalent debt in one go and neutralize the debt in one day.

Then maybe have a US $ for domestic use and a R.O.W $ for international use. 🤔 

Then they’d need to peg to Gold for 25 years to gain trust back but in the meantime every other country might do the same thing.

Have you noticed that almost every country (part from maybe 5) are all in debt? So it’s practically in all government’s interests to cancel the debt (debt jubilee) and reset to a new system, possibly one pegged to Gold, hence why all the central banks are still buying the barbarous relic that is gold. 🤷‍♂️ 

Decus et tutamen (an ornament and a safeguard)

YouTube - https://www.youtube.com/channel/UC5OjxoCIsDbMgx7MM_l4CmA

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Interestingly, Afghanistan is doing well with regards to debt, richer than Japan!

https://www.economicshelp.org/blog/774/economics/list-of-national-debt-by-country/

Decus et tutamen (an ornament and a safeguard)

YouTube - https://www.youtube.com/channel/UC5OjxoCIsDbMgx7MM_l4CmA

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