Macro
The last 40 years have been us trying to convert the world to liberalism(our new incumbent system), to attempt to ensure global peace. The reverse of this will now begin to occur, and many will be very surprised, (especially China and Mid-east) at just how ruthless the west will be in regards to the countries aligned against the America/western sys... See more
Dan • Tech Dollar 2: The War of the Worlds and Fate of the Dollar
In TechDollar 1, I explained that the world was bi-frucating into two systems. The countries that were producing real physical goods, and the tech and financial infrastructure of the world. That this underlying system was going to cause friction as the financial structure is currently set up to absorb real wealth from the productive countries and t... See more
Dan • Tech Dollar 2: The War of the Worlds and Fate of the Dollar
As long as this exists, and the tech infrastructure is priced and sold in USD, the USD remains supreme worldwide. This is what is actually still underpinning western global dominance and enabling American power. Not any other reason most people espouse.
Dan • Tech Dollar 2: The War of the Worlds and Fate of the Dollar
Reserve currency status commands many benefits to the holder, which is why it is the ultimate prize of the international system, and the most exalted status within it. In modern times, it allows the issuer of the reserve currency to extract tribute from those subservient without having to use overt force.
Dan • Tech Dollar 2: The War of the Worlds and Fate of the Dollar
Even though they will be devaluing the value of cash via money printing, during this process, it will be worth holding, in order to acquire assets, particularly illiquid ones that produce real goods and real cash flows.
Dan • Tech Dollar 2: The War of the Worlds and Fate of the Dollar
Gold historically was the underlying monetary system until recently. Modern tech is by far, more important than gold now, and isn’t essential currently for a reserve system, as tech is much more important to underpin an economic system. Institutions and govts will take tech over gold now .
Dan • Tech Dollar 2: The War of the Worlds and Fate of the Dollar
Reserve currencies since we have understood them have been intertwined with the geopolitics as much as the economics of the system that sustains it. Which is why the incumbent generally converts that economic power to military dominance. When faced with a challenger, the up and coming competitor must unseat and surpass both the economic and militar... See more
Dan • Tech Dollar 2: The War of the Worlds and Fate of the Dollar
With the rise of the amount of money that these tech giants are making, and the international nature that they are now able to operate at, the one risk that i’ve only seen myself talk about is the rise of corporate sovereignty.
This hasn’t really been a major issue really since the East India trading company. However with how big and how much power... See more
This hasn’t really been a major issue really since the East India trading company. However with how big and how much power... See more
Dan • Tech Dollar 2: The War of the Worlds and Fate of the Dollar
So as long as the govt is running deficits that it has to monetize in order to pay for, inflation will continue at much higher rates.