By Graham Summers, MBA
The most important asset in the world is the $USD.
The $USD is the world’s reserve currency. It is involved in 95% of all currency transactions worldwide.
In addition, it is used in 85% of all world trade. As the New York Fed notes, $USD is used in half of all cross-border lending/international debt. It also comprises 60% of the world’s foreign exchange reserves.
Simply put, MOST of the world’s debt is denominated in US dollars.
When you borrow in US dollars, it is effectively short the $USD This is especially true if your home currency is NOT the $USD. Imagine the impact on paying back $100 million in debt if your currency drops 30% against the USD.
As a result, the world is on the brink of a major currency crisis. The $USD continues to rise…
… which is resulting in major coins trading like microcap stocks.
The British pound is imploding, falling to a 30-year low. The chart below is of the currency of the FIFTH largest economy in the world… not a tech startup!
The same thing is happening in Japan… the third largest economy in the world.
This will trigger a major currency crisis soon.
I’m talking about a crisis that 2008 was just the warm-up for…the crisis that ALL countries are bursting into.
This will trigger a major currency crisis soon.
I’m talking about a crisis that 2008 was just the warm-up for…the crisis that ALL countries are bursting into.
