Russia Tells The Truth About The Decaying Dollar

[The following post is by TDV editor-in-chief, Jeff Berwick.]

In 2006, Russia tried to ban the words “euros” and “dollars” from the media and official speech.

Now, one lawmaker wishes to ban the use of dollars in Russia at all. 

With the global economic system in slow motion — yet ever quickening — collapse, the nation-states of the world have been positioned antagonastically unlike in most of the post-Soviet period (hint: expect another war or two to keep the shame of the US economy going and to divert the masses from how much poorer they really are. If you are of draft age, then get your second passport now; it may save your life.). Currently, global tensions most clearly show themselves as a currency war of worthless fiat versus worthless fiat.

The most recent salvo in the currency war took place in Moscow against the US, where a Russian lawmaker submitted a bill to Russia’s parliament Wednesday that would ban the use or possession of the US dollar in Russia.

The lawmaker, Mikhail Degtyarev, said the dollar was like a Ponzi scheme. He warned that the Russian government would have to bail out Russians holding onto dollars in the event of dollar collapse.

“If the U.S. national debt continues to grow, the collapse of the dollar system will take place in 2017,” said Mr. Degtyarev of the Liberal Democrat Party. You have to wonder if he’s been reading TDV. That jibes with my prediction that the dollar would collapse in five to ten years, perhaps sooner. 

“The countries that will suffer the most will be those that have failed to wean themselves off their dependence on the dollar in time. In light of this, the fact that confidence in the dollar is growing among Russian citizens is extremely dangerous.”

The bill harkens back to a Soviet-era ban on dollar use. The new version prohibits Russians from holding dollars in the country’s banks, and banks would be prohibited from transacting in the dollar.

Russians could still buy and sell dollars while abroad and hold dollar accounts in foreign banks.

The law would not apply to Russia’s Central Bank nor the Russian government.

So, the bill is just a form of tyranny, but tyranny with dual purpose: keeping the Russian slaves under the thumb of the monolithic russian state and antagonizing foes. It’s really just the US model in reverse.

Ah, the whole of the northern hemisphere is one big fasco-communist mess.

“The right to the free exchange of currencies is a fundamental element of capitalism,” said Moscow-based economics analyst Igor Suzdaltsev. “It allows citizens to leave the country when a dictatorship is imposed by selling their property and exchanging their assets for the necessary currency.”

It seems likely this bill won’t get very far in parliament. The move, more than anything, seems to be political theatre, and a definite headline grabber. It certainly underscores that nobody who is paying any attention and not brainwashed believes the dollar is worth a lick. But, if Russians wished to ban the dollar, then they’d have to ban the euro, too, with that currency’s trillions in debts.

While it’s tyrannical to ban the use of a currency, it’s also a major milestone in The End Of The Monetary System As We Know It. Russia is looking to deal with China and other countries directly in their own currencies instead of using dollars as some sort of international standard. Even if it is partly political theatre, partly to artificially raise demand for the ruble and entirely unlikely to happen at this point, it means things are going south for the dollar when politicians of other major gangs (governments) call the dollar out for the dying, overprinted currency of a hopelessly indebted nation-state that it really is. 

TDV has inside information on another major economic power which is going to eschew the dollar. We will be discussing it in our subscription newsletter, along with how our subscribers can prepare themselves to profit from the information, of course. If you are not already a subscriber, you can find out more about becoming one just by clicking here.