We almost (might have) lost reserve currency status

[Anonymous]

Anonymous wrote:

Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
The U.S. dollar's days as a reserve currency were numbered from the moment the Biden Administration weaponized it by seizing Russia's dollar reserves (basically telling Russia "the dollars you have aren't any good anymore until we tell you they're good").

No sane country -- certainly not the powerful countries like China, India, Saudi Arabia, Brazil, etc., would ever count on U.S. dollars being a reserve currency after that move.

This doesn't mean the end, though. A country doesn't need to control the international reserve currency to be wealthy and successful. It's just going to be different from now on. Prepare accordingly.


How?


Buy gold. Buy bitcoin. Consider foreign stocks. Invest in things whose value isn't linked to the U.S. dollar.


Honest question. What does one do with a gold bar?


More common would to be gold bullion coins, issued by the U.S. Mint (e.g., 1 once Gold Eagle). You'd buy it and hold it as a store of value; you could later sell it at a coin shop or online retailer like APMEX for whatever the value is at the time, likely more than today.

The idea is that gold generally holds its value. Today, an American Eagle 1 ounce gold coin is worth about $3,000 (a little more actually). So, to buy a used 2012 Honda Civic today for about $6,000 USD, you'd need the equivalent of two 1 ounce gold coins.

If the dollar rapidly loses value to the point where that 2012 Honda Civic costs $20,000 USD, and if (and it's an "if" because nothing is guaranteed) gold held its current value, gold would be expected to be worth around $10,000 per ounce. But in theory, you could take two gold coins, sell them for $20,000 and then go buy your Civic.

That's what you do with gold -- you hold it as a store of value, and convert it to dollars when you need to spend some of that value.

Gold in and of itself is just a mineral that comes out of the ground. Better to buy a mineral like lithium that is actually used in making batteries. Or graphite. Those things can actually be turned into useful products. Gold is just a shiny thing mostly. It was valued for its shininess and "pretty". Those days could end.

Gold is valued by its rarity and the labor that is built in to it. e.g. getting it out of the ground and refining it.

Please don't tell us about actually used. Central banks around the world are stacking gold and have been for a long while. They know what is coming.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The U.S. dollar's days as a reserve currency were numbered from the moment the Biden Administration weaponized it by seizing Russia's dollar reserves (basically telling Russia "the dollars you have aren't any good anymore until we tell you they're good").

No sane country -- certainly not the powerful countries like China, India, Saudi Arabia, Brazil, etc., would ever count on U.S. dollars being a reserve currency after that move.

This doesn't mean the end, though. A country doesn't need to control the international reserve currency to be wealthy and successful. It's just going to be different from now on. Prepare accordingly.

How?

Buy gold. Buy bitcoin. Consider foreign stocks. Invest in things whose value isn't linked to the U.S. dollar.

Honest question. What does one do with a gold bar?

More common would to be gold bullion coins, issued by the U.S. Mint (e.g., 1 once Gold Eagle). You'd buy it and hold it as a store of value; you could later sell it at a coin shop or online retailer like APMEX for whatever the value is at the time, likely more than today.

The idea is that gold generally holds its value. Today, an American Eagle 1 ounce gold coin is worth about $3,000 (a little more actually). So, to buy a used 2012 Honda Civic today for about $6,000 USD, you'd need the equivalent of two 1 ounce gold coins.

If the dollar rapidly loses value to the point where that 2012 Honda Civic costs $20,000 USD, and if (and it's an "if" because nothing is guaranteed) gold held its current value, gold would be expected to be worth around $10,000 per ounce. But in theory, you could take two gold coins, sell them for $20,000 and then go buy your Civic.

That's what you do with gold -- you hold it as a store of value, and convert it to dollars when you need to spend some of that value.

Thanks for the explanation. I appreciate it. Follow up questions - Who is responsible for the valuation of gold? Could "they" just decide it's no longer worth X amount? What if the entire economic climate crashes, who is going to have the money to buy the gold and how would that benefit them?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:So, trying to understand: Trump was fine with the market crashing as long as it was a vehicle to bring rates down, by way of getting people to invest in traditionally safe bonds. (The ultimate goal likely being tax cuts.)

The working assumption was that bonds would never be anything but safe.

But in a sign of how much credibility Trump has lost, bonds were not, in fact, safe — the bond market itself was tanking. So he backed off, sort of, but now we know something important that we hadn’t: The world no longer considers the US a safe place to put any money.

Do I have this right?

Pretty much. Bond markets decided they don’t trust U.S. debt anymore. The next day Congress cleared the way to add $6 trillion more to the deficit. Interest rates are going to be astronomical.

https://www.cato.org/blog/senate-plan-trap-house-lawmakers-shouldnt-fall-it

So much for “fiscal conservatives”

One of the theories embraced by the self-aggrandizing maga intellectuals like tanvi ratna, was that trump’s tariffs would help reduce our debt, revitalize manufacturing and lower rates. The tariffs would shock the stock market, causing investors to pour money into bonds, lowering the yields and allowing the fed to cut interest rates. Doge would cut a sizeable chunk, paving the way for tax cuts. Industry would blossom under tariffs.

The wheels fell off this model from the jump. Doge is realizing they can’t cut as much as they thought, interest rates will rise, inflation will rise, and stockholders trust Greek treasury bonds than U.S. bonds. Pretty bad.

Didn’t think that one thru did they? Shock and awe never ends well.

[Anonymous]

Anonymous wrote:If markets are questioning the US reserve currency it is already gone.

+1

[Anonymous]

Anonymous wrote:

Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
The U.S. dollar's days as a reserve currency were numbered from the moment the Biden Administration weaponized it by seizing Russia's dollar reserves (basically telling Russia "the dollars you have aren't any good anymore until we tell you they're good").

No sane country -- certainly not the powerful countries like China, India, Saudi Arabia, Brazil, etc., would ever count on U.S. dollars being a reserve currency after that move.

This doesn't mean the end, though. A country doesn't need to control the international reserve currency to be wealthy and successful. It's just going to be different from now on. Prepare accordingly.


How?


Buy gold. Buy bitcoin. Consider foreign stocks. Invest in things whose value isn't linked to the U.S. dollar.


Honest question. What does one do with a gold bar?


More common would to be gold bullion coins, issued by the U.S. Mint (e.g., 1 once Gold Eagle). You'd buy it and hold it as a store of value; you could later sell it at a coin shop or online retailer like APMEX for whatever the value is at the time, likely more than today.

The idea is that gold generally holds its value. Today, an American Eagle 1 ounce gold coin is worth about $3,000 (a little more actually). So, to buy a used 2012 Honda Civic today for about $6,000 USD, you'd need the equivalent of two 1 ounce gold coins.

If the dollar rapidly loses value to the point where that 2012 Honda Civic costs $20,000 USD, and if (and it's an "if" because nothing is guaranteed) gold held its current value, gold would be expected to be worth around $10,000 per ounce. But in theory, you could take two gold coins, sell them for $20,000 and then go buy your Civic.

That's what you do with gold -- you hold it as a store of value, and convert it to dollars when you need to spend some of that value.

Gold in and of itself is just a mineral that comes out of the ground. Better to buy a mineral like lithium that is actually used in making batteries. Or graphite. Those things can actually be turned into useful products. Gold is just a shiny thing mostly. It was valued for its shininess and "pretty". Those days could end.

I can take gold to the smallest villages in isolated countries and sell it.
That’s is called valuable tangible asset.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The U.S. dollar's days as a reserve currency were numbered from the moment the Biden Administration weaponized it by seizing Russia's dollar reserves (basically telling Russia "the dollars you have aren't any good anymore until we tell you they're good").

No sane country -- certainly not the powerful countries like China, India, Saudi Arabia, Brazil, etc., would ever count on U.S. dollars being a reserve currency after that move.

This doesn't mean the end, though. A country doesn't need to control the international reserve currency to be wealthy and successful. It's just going to be different from now on. Prepare accordingly.

How?

Buy gold. Buy bitcoin. Consider foreign stocks. Invest in things whose value isn't linked to the U.S. dollar.

Honest question. What does one do with a gold bar?

More common would to be gold bullion coins, issued by the U.S. Mint (e.g., 1 once Gold Eagle). You'd buy it and hold it as a store of value; you could later sell it at a coin shop or online retailer like APMEX for whatever the value is at the time, likely more than today.

The idea is that gold generally holds its value. Today, an American Eagle 1 ounce gold coin is worth about $3,000 (a little more actually). So, to buy a used 2012 Honda Civic today for about $6,000 USD, you'd need the equivalent of two 1 ounce gold coins.

If the dollar rapidly loses value to the point where that 2012 Honda Civic costs $20,000 USD, and if (and it's an "if" because nothing is guaranteed) gold held its current value, gold would be expected to be worth around $10,000 per ounce. But in theory, you could take two gold coins, sell them for $20,000 and then go buy your Civic.

That's what you do with gold -- you hold it as a store of value, and convert it to dollars when you need to spend some of that value.

Thanks for the explanation. I appreciate it. Follow up questions - Who is responsible for the valuation of gold? Could "they" just decide it's no longer worth X amount? What if the entire economic climate crashes, who is going to have the money to buy the gold and how would that benefit them?

Who is they?

You're talking every country and person in the world.

The benefit is when currencies and markets crash severely, you use gold and silver to transition into more stable forms of payment. Been that way for hundreds of years.

By the time everyone is willing to buy it, it's late in the game. Probably won't be able to find it.

As an example, those evil oligarchs in Russia transition into it and out of the ruble in the late 80s before things in their country collapsed.

[Anonymous]

Anonymous wrote:

Anonymous wrote:The U.S. dollar's days as a reserve currency were numbered from the moment the Biden Administration weaponized it by seizing Russia's dollar reserves (basically telling Russia "the dollars you have aren't any good anymore until we tell you they're good").

No sane country -- certainly not the powerful countries like China, India, Saudi Arabia, Brazil, etc., would ever count on U.S. dollars being a reserve currency after that move.

This doesn't mean the end, though. A country doesn't need to control the international reserve currency to be wealthy and successful. It's just going to be different from now on. Prepare accordingly.

How do we prepare? Move to a BRICS country??

Ha! BRICS is a joke. They can’t even agree with each other let alone become a center of global influence.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:So, trying to understand: Trump was fine with the market crashing as long as it was a vehicle to bring rates down, by way of getting people to invest in traditionally safe bonds. (The ultimate goal likely being tax cuts.)

The working assumption was that bonds would never be anything but safe.

But in a sign of how much credibility Trump has lost, bonds were not, in fact, safe — the bond market itself was tanking. So he backed off, sort of, but now we know something important that we hadn’t: The world no longer considers the US a safe place to put any money.

Do I have this right?

Pretty much. Bond markets decided they don’t trust U.S. debt anymore. The next day Congress cleared the way to add $6 trillion more to the deficit. Interest rates are going to be astronomical.

https://www.cato.org/blog/senate-plan-trap-house-lawmakers-shouldnt-fall-it

So much for “fiscal conservatives”

One of the theories embraced by the self-aggrandizing maga intellectuals like tanvi ratna, was that trump’s tariffs would help reduce our debt, revitalize manufacturing and lower rates. The tariffs would shock the stock market, causing investors to pour money into bonds, lowering the yields and allowing the fed to cut interest rates. Doge would cut a sizeable chunk, paving the way for tax cuts. Industry would blossom under tariffs.

The wheels fell off this model from the jump. Doge is realizing they can’t cut as much as they thought, interest rates will rise, inflation will rise, and stockholders trust Greek treasury bonds than U.S. bonds. Pretty bad.

+1. The MAGA “intellectuals” are galactically stupid. There is no way tanking the dollar works out well for the United States. Interest rates are going to soar, along with inflation and unemployment. Quite the trifecta.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:So, trying to understand: Trump was fine with the market crashing as long as it was a vehicle to bring rates down, by way of getting people to invest in traditionally safe bonds. (The ultimate goal likely being tax cuts.)

The working assumption was that bonds would never be anything but safe.

But in a sign of how much credibility Trump has lost, bonds were not, in fact, safe — the bond market itself was tanking. So he backed off, sort of, but now we know something important that we hadn’t: The world no longer considers the US a safe place to put any money.

Do I have this right?

Pretty much. Bond markets decided they don’t trust U.S. debt anymore. The next day Congress cleared the way to add $6 trillion more to the deficit. Interest rates are going to be astronomical.

https://www.cato.org/blog/senate-plan-trap-house-lawmakers-shouldnt-fall-it

So much for “fiscal conservatives”

One of the theories embraced by the self-aggrandizing maga intellectuals like tanvi ratna, was that trump’s tariffs would help reduce our debt, revitalize manufacturing and lower rates. The tariffs would shock the stock market, causing investors to pour money into bonds, lowering the yields and allowing the fed to cut interest rates. Doge would cut a sizeable chunk, paving the way for tax cuts. Industry would blossom under tariffs.

The wheels fell off this model from the jump. Doge is realizing they can’t cut as much as they thought, interest rates will rise, inflation will rise, and stockholders trust Greek treasury bonds than U.S. bonds. Pretty bad.

+1. The MAGA “intellectuals” are galactically stupid. There is no way tanking the dollar works out well for the United States. Interest rates are going to soar, along with inflation and unemployment. Quite the trifecta.

But blockchain will save us.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
The U.S. dollar's days as a reserve currency were numbered from the moment the Biden Administration weaponized it by seizing Russia's dollar reserves (basically telling Russia "the dollars you have aren't any good anymore until we tell you they're good").

No sane country -- certainly not the powerful countries like China, India, Saudi Arabia, Brazil, etc., would ever count on U.S. dollars being a reserve currency after that move.

This doesn't mean the end, though. A country doesn't need to control the international reserve currency to be wealthy and successful. It's just going to be different from now on. Prepare accordingly.


How?


Buy gold. Buy bitcoin. Consider foreign stocks. Invest in things whose value isn't linked to the U.S. dollar.


Honest question. What does one do with a gold bar?


More common would to be gold bullion coins, issued by the U.S. Mint (e.g., 1 once Gold Eagle). You'd buy it and hold it as a store of value; you could later sell it at a coin shop or online retailer like APMEX for whatever the value is at the time, likely more than today.

The idea is that gold generally holds its value. Today, an American Eagle 1 ounce gold coin is worth about $3,000 (a little more actually). So, to buy a used 2012 Honda Civic today for about $6,000 USD, you'd need the equivalent of two 1 ounce gold coins.

If the dollar rapidly loses value to the point where that 2012 Honda Civic costs $20,000 USD, and if (and it's an "if" because nothing is guaranteed) gold held its current value, gold would be expected to be worth around $10,000 per ounce. But in theory, you could take two gold coins, sell them for $20,000 and then go buy your Civic.

That's what you do with gold -- you hold it as a store of value, and convert it to dollars when you need to spend some of that value.

Gold in and of itself is just a mineral that comes out of the ground. Better to buy a mineral like lithium that is actually used in making batteries. Or graphite. Those things can actually be turned into useful products. Gold is just a shiny thing mostly. It was valued for its shininess and "pretty". Those days could end.

I can take gold to the smallest villages in isolated countries and sell it.
That’s is called valuable tangible asset.

You are going to be killed the moment smallest villages in isolated countries get a whiff of you lugging gold coins around when you go there.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
The U.S. dollar's days as a reserve currency were numbered from the moment the Biden Administration weaponized it by seizing Russia's dollar reserves (basically telling Russia "the dollars you have aren't any good anymore until we tell you they're good").

No sane country -- certainly not the powerful countries like China, India, Saudi Arabia, Brazil, etc., would ever count on U.S. dollars being a reserve currency after that move.

This doesn't mean the end, though. A country doesn't need to control the international reserve currency to be wealthy and successful. It's just going to be different from now on. Prepare accordingly.


How?


Buy gold. Buy bitcoin. Consider foreign stocks. Invest in things whose value isn't linked to the U.S. dollar.


Honest question. What does one do with a gold bar?


More common would to be gold bullion coins, issued by the U.S. Mint (e.g., 1 once Gold Eagle). You'd buy it and hold it as a store of value; you could later sell it at a coin shop or online retailer like APMEX for whatever the value is at the time, likely more than today.

The idea is that gold generally holds its value. Today, an American Eagle 1 ounce gold coin is worth about $3,000 (a little more actually). So, to buy a used 2012 Honda Civic today for about $6,000 USD, you'd need the equivalent of two 1 ounce gold coins.

If the dollar rapidly loses value to the point where that 2012 Honda Civic costs $20,000 USD, and if (and it's an "if" because nothing is guaranteed) gold held its current value, gold would be expected to be worth around $10,000 per ounce. But in theory, you could take two gold coins, sell them for $20,000 and then go buy your Civic.

That's what you do with gold -- you hold it as a store of value, and convert it to dollars when you need to spend some of that value.

Gold in and of itself is just a mineral that comes out of the ground. Better to buy a mineral like lithium that is actually used in making batteries. Or graphite. Those things can actually be turned into useful products. Gold is just a shiny thing mostly. It was valued for its shininess and "pretty". Those days could end.

I can take gold to the smallest villages in isolated countries and sell it.
That’s is called valuable tangible asset.

You are going to be killed the moment smallest villages in isolated countries get a whiff of you lugging gold coins around when you go there.

PP will then just pay with bitcoin before that happens. easy peasy.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
The U.S. dollar's days as a reserve currency were numbered from the moment the Biden Administration weaponized it by seizing Russia's dollar reserves (basically telling Russia "the dollars you have aren't any good anymore until we tell you they're good").

No sane country -- certainly not the powerful countries like China, India, Saudi Arabia, Brazil, etc., would ever count on U.S. dollars being a reserve currency after that move.

This doesn't mean the end, though. A country doesn't need to control the international reserve currency to be wealthy and successful. It's just going to be different from now on. Prepare accordingly.


How?


Buy gold. Buy bitcoin. Consider foreign stocks. Invest in things whose value isn't linked to the U.S. dollar.


Honest question. What does one do with a gold bar?


More common would to be gold bullion coins, issued by the U.S. Mint (e.g., 1 once Gold Eagle). You'd buy it and hold it as a store of value; you could later sell it at a coin shop or online retailer like APMEX for whatever the value is at the time, likely more than today.

The idea is that gold generally holds its value. Today, an American Eagle 1 ounce gold coin is worth about $3,000 (a little more actually). So, to buy a used 2012 Honda Civic today for about $6,000 USD, you'd need the equivalent of two 1 ounce gold coins.

If the dollar rapidly loses value to the point where that 2012 Honda Civic costs $20,000 USD, and if (and it's an "if" because nothing is guaranteed) gold held its current value, gold would be expected to be worth around $10,000 per ounce. But in theory, you could take two gold coins, sell them for $20,000 and then go buy your Civic.

That's what you do with gold -- you hold it as a store of value, and convert it to dollars when you need to spend some of that value.

Gold in and of itself is just a mineral that comes out of the ground. Better to buy a mineral like lithium that is actually used in making batteries. Or graphite. Those things can actually be turned into useful products. Gold is just a shiny thing mostly. It was valued for its shininess and "pretty". Those days could end.

I can take gold to the smallest villages in isolated countries and sell it.
That’s is called valuable tangible asset.

You are going to be killed the moment smallest villages in isolated countries get a whiff of you lugging gold coins around when you go there.

Villagers have honor codes.
Give me gold coins here is your camel.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The U.S. dollar's days as a reserve currency were numbered from the moment the Biden Administration weaponized it by seizing Russia's dollar reserves (basically telling Russia "the dollars you have aren't any good anymore until we tell you they're good").

No sane country -- certainly not the powerful countries like China, India, Saudi Arabia, Brazil, etc., would ever count on U.S. dollars being a reserve currency after that move.

This doesn't mean the end, though. A country doesn't need to control the international reserve currency to be wealthy and successful. It's just going to be different from now on. Prepare accordingly.

How?

Buy gold. Buy bitcoin. Consider foreign stocks. Invest in things whose value isn't linked to the U.S. dollar.

Honest question. What does one do with a gold bar?

More common would to be gold bullion coins, issued by the U.S. Mint (e.g., 1 once Gold Eagle). You'd buy it and hold it as a store of value; you could later sell it at a coin shop or online retailer like APMEX for whatever the value is at the time, likely more than today.

The idea is that gold generally holds its value. Today, an American Eagle 1 ounce gold coin is worth about $3,000 (a little more actually). So, to buy a used 2012 Honda Civic today for about $6,000 USD, you'd need the equivalent of two 1 ounce gold coins.

If the dollar rapidly loses value to the point where that 2012 Honda Civic costs $20,000 USD, and if (and it's an "if" because nothing is guaranteed) gold held its current value, gold would be expected to be worth around $10,000 per ounce. But in theory, you could take two gold coins, sell them for $20,000 and then go buy your Civic.

That's what you do with gold -- you hold it as a store of value, and convert it to dollars when you need to spend some of that value.

Thanks for the explanation. I appreciate it. Follow up questions - Who is responsible for the valuation of gold? Could "they" just decide it's no longer worth X amount? What if the entire economic climate crashes, who is going to have the money to buy the gold and how would that benefit them?

In theory, no one is “responsible” for the valuation of gold, or more accurately, the valuation of gold is just a reflection of the worldwide demand for it. There is a finite supply of gold in the world and every advanced civilization in human history has recognized that gold is a rare, beautiful, durable (doesn’t corrode or degrade) and to some degree “useful” element and have settled on gold as a valuable thing. Nobody decided this; no government decreed that gold was valuable—it was the collective decision of millions of individuals acting in their own self-interest.

In other words, the free market determines the value of gold—the basic economic principle of supply and demand. When people want it (demand) and those wants match up against a limited supply of gold on Earth, the value of gold goes up. If for some reason more people want to sell their gold, and demand is low, the value will go down. No one knows where the price of gold will go in the next one year or ten years, but gold has a 5,000 year track record as a store of value in human civilization.

Contrast gold with the U.S. dollar (and the Euro, and the Pound, and every other currency in use right now) which are all “fiat” currencies that can be printed in unlimited quantities forever. That’s why the dollar is always losing value over time — the government just keeps printing more of it every time it wants to spend more than it collects in taxes.

Bitcoin is an attempt to create a “digital gold” that some believe will become the digital age’s version of gold. That remains to be seen but that’s the idea — a digital asset with a finite supply that can’t be printed into existence and therefore, as demand rises against the fixed supply of bitcoin, the value will go up.

Gold has a long track record of success as a store of value; bitcoin has many properties that could make it the store of value for the digital age. I hold both gold and bitcoin for these reasons.

[Anonymous]

Anonymous wrote:

Anonymous wrote:So, trying to understand: Trump was fine with the market crashing as long as it was a vehicle to bring rates down, by way of getting people to invest in traditionally safe bonds. (The ultimate goal likely being tax cuts.)

The working assumption was that bonds would never be anything but safe.

But in a sign of how much credibility Trump has lost, bonds were not, in fact, safe — the bond market itself was tanking. So he backed off, sort of, but now we know something important that we hadn’t: The world no longer considers the US a safe place to put any money.

Do I have this right?

Pretty much. Bond markets decided they don’t trust U.S. debt anymore. The next day Congress cleared the way to add $6 trillion more to the deficit. Interest rates are going to be astronomical.

https://www.cato.org/blog/senate-plan-trap-house-lawmakers-shouldnt-fall-it

So much for “fiscal conservatives”

The Republican party has not been fiscally conservative in over 40 years. I don't know why people still associate them with that.

[Anonymous]

Anonymous wrote:

Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
The U.S. dollar's days as a reserve currency were numbered from the moment the Biden Administration weaponized it by seizing Russia's dollar reserves (basically telling Russia "the dollars you have aren't any good anymore until we tell you they're good".

No sane country -- certainly not the powerful countries like China, India, Saudi Arabia, Brazil, etc., would ever count on U.S. dollars being a reserve currency after that move.

This doesn't mean the end, though. A country doesn't need to control the international reserve currency to be wealthy and successful. It's just going to be different from now on. Prepare accordingly.


How?


Buy gold. Buy bitcoin. Consider foreign stocks. Invest in things whose value isn't linked to the U.S. dollar.


Honest question. What does one do with a gold bar?


More common would to be gold bullion coins, issued by the U.S. Mint (e.g., 1 once Gold Eagle). You'd buy it and hold it as a store of value; you could later sell it at a coin shop or online retailer like APMEX for whatever the value is at the time, likely more than today.

The idea is that gold generally holds its value. Today, an American Eagle 1 ounce gold coin is worth about $3,000 (a little more actually). So, to buy a used 2012 Honda Civic today for about $6,000 USD, you'd need the equivalent of two 1 ounce gold coins.

If the dollar rapidly loses value to the point where that 2012 Honda Civic costs $20,000 USD, and if (and it's an "if" because nothing is guaranteed) gold held its current value, gold would be expected to be worth around $10,000 per ounce. But in theory, you could take two gold coins, sell them for $20,000 and then go buy your Civic.

That's what you do with gold -- you hold it as a store of value, and convert it to dollars when you need to spend some of that value.

Gold in and of itself is just a mineral that comes out of the ground. Better to buy a mineral like lithium that is actually used in making batteries. Or graphite. Those things can actually be turned into useful products. Gold is just a shiny thing mostly. It was valued for its shininess and "pretty". Those days could end.

I was going to reply and ask how to buy lithium. Instead, I thought I’d just ask if lithium is the new gold. Then I decided to do a quick search “Is lithium the new gold?” The answer is yes. A resounding yes. I’ve never read or researched it despite being aware of its value. Nearly every article’s title —> [i]is lithium the new gold/white gold?”