If you have been paying attention to my financial articles, you may have read some of my articles about the death of the petrodollar and the possibility of the dollar losing its status as the world’s reserve currency. With the way Russia and China are going around the world convincing other countries to not use the dollar to purchase oil, we could see a dramatic devaluation of the petrodollar this year (2015) or soon after.
Secrets of the debt-based monetary system
Before I talk about the petrodollar and the decrease in gas price, I want to reveal some secrets of the debt-based monetary system to help you understand why the petrodollar may not survive for that much longer. Once you know these secrets, they will help you comprehend why we need to abandon the petrodollar.
When I published my book Staradigm in 2011, I mentioned that one of the major reasons why the Western economy was a mess was due to the Federal Reserve’s (Fed) greedy action of printing fiat money. Below is an excerpt from my book about what the Fed truly is and its greedy actions.
Behind the scenes, this is how the Fed works. When the USA’s government needs money, it relies on the Fed, which is the central bank of the United States Inc. that got its power to print money through illegal means. The Fed agrees to give the USA’s government money in exchange for government bonds. Once all is said and done, the Fed prints out the amount of money requested by the USA’s government. Nowadays, the Fed rarely prints money because it can just type in a bunch of numbers into a computer. So, why is printing money out of thin air a bad thing? It is bad because the Fed is basically creating money with little value and loaning it to the USA’s government. This is no different than borrowing money from a foreign country. Money that is created out of thin air has no value. If you understand economics, you know that this will decrease the value of the current existing money supply, which can lead to inflation. Inflation is nothing more than a hidden tax on the public. The value of a country’s currency is mostly dependent on the goods and services of that country, not its injection of more money into the current money supply. With this type of money system, it is impossible to get our nation out of debt.
The reason why printing fiat money causes inflation is because the value of that money has to come from somewhere. When a central bank prints fiat money to loan it to its government, it decreases the purchasing power of the existing currency of that country. The fiat money does this by sucking some of the value from the existing currency; therefore, giving itself some value. For businesses of that country to stay competitive, they have to increase the price of their goods and services, causing inflation. If these businesses do not increase their prices, they would go bankrupt because their profit margins would shrink. This is because it would cost these businesses more money to produce goods or services due to the devaluation of their country’s currency.
Guess who has to pay for the extra cost due to the increase in price of goods and services? We the people! Most people don’t realize that the (petro)dollar isn’t really money but is a debt instrument. If you want proof of this, look at the image below.
If you look at the top of the image above, you should see the phrase “FEDERAL RESERVE NOTE.” The word “note” is another name for debt. In other words, when you use a financial instrument (e.g., credit card, check, paper money) backed by Federal Reserve notes to purchase goods and services, you aren’t exchanging real money but are exchanging debt. This also means that when the Fed prints more Federal Reserve notes into the economy, it is adding more debt into the economy.
It doesn’t take a rocket scientist to figure out that creating new debt (Federal Reserve note) to pay off old debt will eventually destroy the economy. Even a 12 year old kid can figure this out. SMH!
12-Year Old Child Reveals One of the Best Kept Secrets in the World
One important thing you should know about the Federal Reserve is that it isn’t federal and has little reserve. Instead, it is a private bank controlled by the banking Elites. To be more accurate, the Federal Reserve and pretty much all central banks throughout the world are CORPORATIONS. Most of these banking corporations are owned and controlled by the Illuminati banking families (e.g., Rockefellers, Rothschilds, DuPonts).
The Illuminati banking families are some of the biggest criminals of the world! Because of this, we shouldn’t play nice with these criminal banksters. We have been playing nice with them for over a century and look where it has gotten us. We also shouldn’t fear them. These banking families are only powerful because we keep supporting their criminal banking system and allowing them to condition us to live in a state of fear. In truth, they have no power over us because we are sovereign spiritual beings, not legal persons or corporations.
Another important thing you should know is that when the Banksters talk about quantitative easing (QE) or bank bailouts, what they are really doing is planning to steal your wealth behind your back. Quantitative easing and bank bailout are just fancy names for printing more money.
Let us turn our attention back to the image of the one dollar bill. When looking at the image, do you notice the phrase “THE UNITED STATES OF AMERICA.” Whenever you see the phrase “United States” or “United States of America” written in all caps, it is referring to a CORPORATION. For strong evidence of this, read my article titled United States Political and Court System Exposed: How the NWO Enslaves Society.
Since the 2008 economic crisis, the Fed has printed trillions of worthless dollars into the world’s economy. All this is doing is bringing more debt into the economy and destroying the value of the dollar. This irresponsible action has motivated many countries to unite and stop supporting the dollar.
As described at ZeroHedge.com
Two years ago, in hushed tones at first, then ever louder, the financial world began discussing that which shall never be discussed in polite company – the end of the system that according to many has framed and facilitated the US Dollar’s reserve currency status: the Petrodollar, or the world in which oil export countries would recycle the dollars they received in exchange for their oil exports, by purchasing more USD-denominated assets, boosting the financial strength of the reserve currency, leading to even higher asset prices and even more USD-denominated purchases, and so forth, in a virtuous (especially if one held US-denominated assets and printed US currency) loop.
The main thrust for this shift away from the USD, if primarily in the non-mainstream media, was that with Russia and China, as well as the rest of the BRIC nations, increasingly seeking to distance themselves from the US-led, “developed world” status quo spearheaded by the IMF, global trade would increasingly take place through bilateral arrangements which bypass the (Petro)dollar entirely. And sure enough, this has certainly been taking place, as first Russia and China, together with Iran, and ever more developing nations, have transacted among each other, bypassing the USD entirely, instead engaging in bilateral trade arrangements, leading to, among other thing, such discussions as, in today’s FT, why China’s Renminbi offshore market has gone from nothing to billions in a short space of time.
Is the decrease in gas price a sign of the death of the petrodollar?
In the last quarter of 2014, the price of gasoline in the United States dropped from roughly four dollars to under two dollars per gallon. It has been nearly seven years since the last time gas price dropped below two dollars per gallon. This significant drop of gas price tells me that something isn’t quite right.
Some financial experts believe that one of the main reasons why the cost of gas has dramatically decrease isn’t only because of lower demands, but is also due to the petrodollar losing its support from the BRICS (Brazil, Russia, India, China, South Africa), and many other nations.
Others believe that the banking Elites are purposely lowering the price of gas to punish Russia for not going along with their New World Order agenda. If this is true, I don’t think it will harm Russia’s economy that much, because Russia has already took dramatic actions to trade oil in Renminbi and Ruble. The dramatic decrease of gas price will most likely harm the United States more than Russia in the near future.
What would happen if the (petro)dollar loses its status as the world’s reserve currency?
If the dollar or petrodollar crashes, people living in countries that heavily rely on it will see a dramatic decrease in the value of their savings and investments, causing their standard of living to drop down to near third world status. The decrease of their standard of living will be because of a dramatic increase of inflation. The United States is one of the countries that will suffer the most if the petrodollar collapses.
The petrodollar is coming to an end because using oil as an energy source is destroying the Earth to the point where if we don’t stop using oil for energy, we will eventually pollute our planet beyond the critical mass point. This oil problem has motivated many inventors to create “free energy” devices to replace oil as an energy source. Free energy technology is proof that the energy crisis is a hoax. To learn about some of the “free energy” technologies that are coming out in 2015 or soon after, read this informative article.
How to protect your wealth from the collapse of the petrodollar
There are a few things you can do to protect your wealth before the petrodollar loses a lot of its value. One effective way is to invest some of your money in precious metals, such as gold and silver. Gold and silver are real money because they have a store of value over a long period of time. Unlike paper money, gold and silver can’t be created out of thin air, which makes them immune to inflation.
You may also want to convert some of your money into cryptocurrencies. For more information on cryptocurrencies, read my informative article titled Why You Should Buy and Use Bitcoin.
For other methods on how to protect your wealth from inflation and the devaluation of the petrodollar, download my free ebook Money Does Grow On Trees and read it today!
Do you want more information about the secrets of the financial system?
I’m planning to do a seminar in the Twin Cities (Minneapolis/St. Paul) of Minnesota, USA in February or March 2015 about the “forbidden” secrets of the modern financial system. In my seminar, I will expose some shocking secrets of the Western financial system and show you how to protect your wealth from the Banksters. If you live in Minnesota or near it, come join us and be part of a group that is going to help change the world into a better place.