Cash is the only KING

 Hi Readers.

Today I had a discussion with someone regarding money.

Obviously they have been on Youtube watching to all the want to be economists about the FED/Central banks pumping money into the economy and stock market inflating prices.

While this is what he believes this isn't entirely true.

I'm not about to start educating economics to everyone but we do need to clear up a myth which so many believe is true.

Economics is about supply and demand, no point having one if you don't have the other.

Central banks are the only ones who can produce cash money.(Notes and Coins)

Feeder banks which are the ones who are under the central banks have contractual obligations to supply cash to people who want cash.

Whether that is business or private cash must be made available by banks to the community.

Around the world where ever you are you look at your bank account, there is a set of numbers.

Regardless of those numbers there just that numbers. If you where to go to the bank and ask to empty your account in cash lets say $600,000 banks don't have that available.

Its your money you want it yet the bank can't pay you! reason being is as we said above they cant produce cash money.

All bank accounts with numbers in them are the banks money. They are what we call debt, banks right debt to create money, which has nothing to do with the central banks.Its the Feeder banks who decide on where the economy goes.Every dollar in the world in a bank account is debt, debt is a write on collateral, banks loan money out for collateral and whether you can accept this thats the truth.

Feeder banks will continue to write up debt as long as people can service it, and thats how the economy works, its when people start to default that banks begin to bank off on the loans they write up as people dont have the capacity to service.

Your purchases online or your purchases in department store, when you pull your card out to purchase is debt.What banks do is write account 1 as a credit and account 2 as a debit. you don't actually see the money being exchanged.

Debit is governed by collateral, lets say you purchased a house, now you wont be able to pay that in cash as the loan you take out get sent to the central bank for clearing.

Reason this occurs is that the checks and balances occur with the collateral the central banks allows.

Bank writes the collateral and loans money people never see to the receivers bank, this bank then writes up the credit to the seller and the central bank approves.

Taxes are paid and the central bank allows the transaction to go through.

It doesn't matter where you are in the world this is how the system we are in works.

The bank have campaign to convince people that you can catch COVID from cash money hasn't worked.

As the underworld has exposed how vulnerable banks are with there primitive card technology, with there systems being hacked.

The one bright spot is that Cash around the world is at a 25year high.More and more people are demanding cash in there wallets,the world is at levels of 1995. So the last 20 years of so called smart technology or tap n go has failed to convince the population.

Banks do have huge political muscle and have used it at will as governments/politicians around the world are looking after the owner personal interests.

In Australia law was passed where you can't make purchases of more than $10,000 in cash due to money laundering  laws. This is how desperate banks have become to control peoples habits. With cash no body knows who has its or where it goes or what its used for, and that's how life should be.

Its shouldn't be where the bank knows all your spending habits, how many coffees a week you drink or how many times you eat out, you might think you have privacy but you don't.

Banks amass this data and have a record of your spending habits so when you go for a loan they know exactly what you can service, then pass this data on to the tax authorities, to cross check it against your tax returns.

So whether you buy stocks, bonds gold or crypto coins it doesn't matter if the financial system does go down they are all worth jack shit.

The only thing you will have to survive is cash, everything else is more a case of how much is someone willing to pay for it.

Now in the REPO Market the is a massive oversupply of money.

This is where more and more people are paying of debt and there isn't collateral for the money so its being given back to the FED. Businesses are paying off debt, and the public has been taking up debt in the US to buy shares or speculate in the property market.This is why there is such a massive imbalance at the present time which is going to get worse. 

Some people I know have been getting paid 4 times there salary by the government and stayed home, so you can see how REPO market is so out of whack.Once the moratorium ends in September you can be your life landlords will be kicking people out of there properties who haven't made an effort to pay there rents.

Student loads will also come back so all these numbers we are seeing on consumer spending is an illusion. So much forward sales have be brought up that they will fall off a cliff. The stock market is going up on hope that things will work out but seen it all before 2008, 2000 yep and 1989.