Tag Archives: BITCOIN

GO FOR THE GOLD

82 Comments

Although some human beings believe we are living in a vacuum, we are not ; attacks are coming from all sides. North Korea, Iran, Russia, Venezuela, Syria to name a few. And then there is the weather, whether you like it or not expect the volatility to continue. Certain things can’t be explained by simple logic. Take for example BITCOIN heading to outer space at warp speed, perhaps being propelled by the hot air coming out of Washington.

The last time we looked, a couple of seconds ago, BITCOIN was flying higher than an Elon Musk SpaceX rocket.  At 4750.92 US Dollars we fear for those who hold it. Gravitational effects based on Issac Newton’s law of physics will eventually win out. But there is more to the story for those who don’t want to go mining; for example you can gamble with BITCOINS by buying the cryptocurrency alter ego GBTC. Many crptohumans have done just that.

For those who piled in on Thursday at the peak, suddenly were awakened by the sound of a vacuum going puf. And when this happens it can be devastating to life and dreams. Life to those who jump from the stratosphere and dreams to those who had their balloon deflated.

Bitcoin Investment Trust (GBTC)

 800.00-205.00 (-20.40%)
At close: September 1 3:57PM EDT
That brings us to GOLD. There is one thing about something physical, you can touch it, hold it, smell it. This also goes for humans too. Like BITCOIN, sexbots will never take the place of a loving woman and BITCOIN will never take the place of GOLD. The past predictions by the pundits have been wrong again. GOLD is on the rise, nothing compared to the parabolic rise of the BITCOIN, a phenomenem rivaling the great TULIP crazed mania of Holland five centuries ago.
The United States debt bomb, 20 trillion heading for 20 googles now that the Federal Reserve is ramping up the presses faster than Superman leaping buildings in a single bound. Why would they continue to print fiat money? Well, they have a problem; inflation is not rising faster than they wish. Wages are stagnant and the FEDS are in a tizzy why wage growth is not following the academic script. Some unknown force is with us, but what? Bring in Dr. Henry Lee for the forensics.

During the past six months one talking head after another has tried to talk down gold. But to the skeptics like us, we know that the United States dollar is not worth the paper it is printed on.  The likes of Goldman-Sachs (with a name like Goldman, why would they be bearish on Gold – very confusing to us) forecast a $1000 ounce of gold, others saw an implosion to $500, not so fast says the market. When Goldman speaks people listen or do they?  Lately gold has mounted a furious rally, rising above $1300.

To the naysayers out there, look what is happening in the world; in one word it is defined as TURMOIL. Globally people have lost confidence in their leaders. The way we look at, the world is on edge waiting for the next suicide bomber.  Could it be the BOYman in North Korea who can’t keep a missile in his pants who unzips one or two in a massive display of egomania?

The higher gold goes the worse it will be for the status quo. Remember, the Central Banks were set up by politicians to print money, ostensibly to feed their minions, this became the loop for reelection; it continues today. Once the printing stops, the true revolution begins, the free-loaders will no longer be in control, but the men/women of conscience and integrity will once again rule. Work will be rewarded not the other way around. Bankers be damned.

See below for the previous reprint from an October 2014 blog.

October 2014 Blog Post:

WHAT THE GOLD BRICKS WON’T TELL YOU

Posted on  by 

Through out history gold has been the medium of exchange; the store of value. Paper money displaced gold early in the 17th century; first used in Massachusetts then by the states during the Civil War. The banking industry’s genesis was initiated early on by warehouses which issued a receipt – thus a warehouse receipt– entitling the holder to redeem the receipt for the said amount of gold as defined in the receipt. As the industry blossomed it became apparent that the holders of receipts very rarely requested the physical gold; they only transferred the receipts. Thus the warehouses evolved into lenders realizing that a call for 100 percent of the gold at any one time was not a probability.

The 18th through the 21st century became the glory days of gold. Banks became behemoths lending more gold than they had in inventory. When a run on a bank occurred, which it ultimately did, culminating in bankruptcy and ruin. As the United States entered the 20th century as the world’s big money player the world treated the dollar as if it was good as gold.

This was true up until 1971.  Not dismissing the illegal taking of individuals gold by FDR back in 1933 (see executive order 6102).  The world was on the path of becoming a dynamic and risky adventure from 1971 on; the dollar was no longer convertible to gold, the dream of El Dorado became a reality by inventing paper gold on a scale never seen before. The physical gold window had closed, the dollar pyramid scheme began.  Hence the printing of paper money on a scale never seen before. Economies were on financial cocaine, a euphoria that is still manifested by governments gone wild. More printing enabled the exalted to exert control of economies, countries and world politics. But good times don’t last forever.

Entering the 21st century has proved that the dollar panacea has a long reach, but things can changes in a quant moment. Across the globe one country after another has defaulted; Greece and Argentina head the list. Is it possible that the United States is next?  A probability that cannot be counted out. What brings us to that conclusion is the loss of faith in the United States. We are no longer control world events – Obama saw to it.

Future obligations are the tail wagging the dog and that is about to become the albatross under our neck for the next two decades. Obligations are coming due. And the question remains, who will be responsible to pay them. for sure you can’t count on today’s youth to hand over their hard earned cash.  17 Trillion and counting (now 20 trillion) is a gargantuan number, that is just debt, counting social security, medicate obligations and interest on the debt we are looking at a google type number closer to 100 trillion. $100,000,000,0000,0000.

Another relevant question to ask a politician of the goldbrick variety is:  Will we ever be able to pay back the money we owe?   Don’t expect a straight answer.  The next question is, Will gold provide a solution to political largess? IT ALWAYS HAS