Credit deflation and the reflation cycle to come (part 3)

[JMD]

3 hours ago, jamtomorrow said:

Makes me wonder:

1/ how they'll go about finding anyone decent to work on it (per recent discussions on this thread about the quality of public sector technocrats in other fields). Like, if you're already in blockchain and you're any good, why on earth would you want to go and work for the enemy?

2/ how they'll accelerate their team of second-raters when we move from gradually to suddenly. Because things are going to get very difficult indeed for central banks 2023 or thereabouts (we discussed exponentials recently, so mind the log scale) -

So much commentary on crypto is around the bubbly prices, but the real story is the relentless adoption.

Good questions I think in terms of where will the skilled tech people be found to create the CDBC's?                                     I think In the US the government will co opt Facebook and Libre-2 will be born, or maybe it will be Google. Anyway I think those tech companies will jump at the chance of becoming monolithic utilities, able to indulge all the corporate fantasies of their founder/owners. Plus no longer will they have the risk of being brocken up due to any pesky monopoly rules, because they will essentially become an arm of the state, and where government is concerned, the bigger you are, the better.                                                                                                                                                                                         Back here in old blighty, our Track and Trace fiasco shows state can't do big tech. And private IT companies have a long history of screwing up large NHS and Post Office projects for the government. So I'm unsure how a cdbc is implemented here in UK. Although I am sure such cbdc's are coming, but perhaps all the control features will be introduced slowly over several years. Actually, I think this gives some hope that, say part way through its implementation, the whole shebang may just fall apart - as it becomes more/too complex and unwieldy. Actually I am eagerly waiting/hoping for the Chinese cbdc to do just that in the near future, as that could be the catalyst here in the West for a mass public rejection of state control... Anyway just my personal macro meanderings, though perhaps I have a phycological 'need' to frame the future in this way, else I'd go mad with total despair!!

[Hancock]

13 minutes ago, kibuc said:

They've only just secured a $25mil credit facility, yet were still so desparate for cash they placed for another $20mil at 32% discount. Even though it seems almost impossible at this point, I suspect their problems at Tucano are bigger than they've reported so far.

They are currently producing gold at the cost of $2500/oz and are hoping to get it down to $2000/oz down the road. That's a Tesla-worthy business model so who knows, maybe the share price chart will also become Tesla-esque.

OK so they're seeking money for the directors slush fund, before going out of business

[JMD]

5 hours ago, Harley said:

Roadmap date?

https://cryptobriefing.com/bank-of-england-says-cbdc-could-launch-by-2030/?utm_source=main_feed&utm_medium=rss

A 'consultation' is begun, for transparency purposes of course?! ...But what's the betting that after a BK, economic crash, etc, or similar crises event, the cdbc introduction is sped up in order to satisfy 'emergency conditions'?

[geordie_lurch]

2 minutes ago, JMD said:

A 'consultation' is begun, for transparency purposes of course?! ...But what's the betting that after a BK, economic crash, etc, or similar crises event, the cdbc introduction is sped up in order to satisfy 'emergency conditions'?

Yep I'm pretty sure the next real bailouts or a possible 'debt jubilee' will be contingent on the plebs moving over to the CBDC Digital £

[Axeman123]

5 minutes ago, JMD said:

A 'consultation' is begun, for transparency purposes of course?! ...But what's the betting that after a BK, economic crash, etc, or similar crises event, the cdbc introduction is sped up in order to satisfy 'emergency conditions'?

Arguably you couldn't get it off the ground except in an emergency. If Visa and Mastercard networks went down for a few days, who would refuse a working CBDC app with credit?

[geordie_lurch]

8 minutes ago, Axeman123 said:

Arguably you couldn't get it off the ground except in an emergency. If Visa and Mastercard networks went down for a few days, who would refuse a working CBDC app with credit?

Yep the gradual increase in contactless payment limits up to their current £100 and the push for businesses and people to stop using 'Covid covered' cash is all slowly sowing the seeds for cash to become redundant and who would that benefit the most

[JMD]

4 hours ago, Cattle Prod said:

If you have an independent source of income, you are free, and the state has to work for you. If your source of income comes from the state, you work for the state; whether you know it or not, you are a slave. So of course they want more slaves, and less clients.

Yes, and today that slave scenario you describe operates all the way up the 'chain' to those galley slaves, formerly known as back benchers!! All feaveroshly whipped to row faster and faster in the direction of more and bigger government...           (But who is Spartacus?)

[HousePriceMania]

18 minutes ago, geordie_lurch said:

Yep the gradual increase in contactless payment limits up to their current £100 and the push for businesses and people to stop using 'Covid covered' cash is all slowly sowing the seeds for cash to become redundant and who would that benefit the most

I remember my father bringing home his wage packet of cash.  My parents spent the cash and put the rest in a cookie jar.

The banks never saw a penny of it.

They had a council house, paid rent to society for the privilege of shelter, the banks never saw a penny of it.

Then came thatcher.

Now the bankers have everyone's money and people on the hook for small fortunes.

This is not by accident.

There was a reason the bankers were regulated and I hope that God is real, for then thatcher will rot in hell for all eternity for letting them off the leash

[Sugarlips]

Probably nothing again but..

 

[JMD]

19 minutes ago, Axeman123 said:

Arguably you couldn't get it off the ground except in an emergency. If Visa and Mastercard networks went down for a few days, who would refuse a working CBDC app with credit?

Indeed, my point being that the 'consultation period' gives tptb 'plausable deniability' that nothing nefarious was being planned... Just events dear boy, events!?

[HousePriceMania]

5 minutes ago, Sugarlips said:

Probably nothing again but..

 

it's a shame I dont have loads of silver coins in my wife's pants drawer....no wait that's where I keep the gold, the silvers in the kids room.

[HousePriceMania]

I would once again like to thank everyone here for helping prepare for the worse/best case scenario we see unfolding before our very eyes.

[DurhamBorn]

1 hour ago, HousePriceMania said:

Somethings not right in the world, my holding of the Scottish stock:

MACBETH ORD GBP0.061728395 MACB +21.28%

 

 

[Hancock]

26 minutes ago, HousePriceMania said:

it's a shame I dont have loads of silver coins in my wife's pants drawer....no wait that's where I keep the gold, the silvers in the kids room.

Take it you keep your wife's kegs in your drawer then ... which comes in handy sometimes!

 BK material as it'll force an earlier interest rate rise -

 

 

 

[HousePriceMania]

I read something the other day regarding Germany collapse, people started selling assets because they thought they were rich and didnt want to miss out on selling at the peak.

Needless to say when they sold up their £1000 soon became £10000000000 

I think it's a buy and hold on everything now till this shit storm is finally over.

 

 

[HousePriceMania]

1 minute ago, Hancock said:

Take it you just keep your wife's kegs in your drawer then ... which comes in handy sometimes!

 BK material as it'll force an earlier interest rate rise -

 

 

 

It should do....but will it.

This is great depression collapse stuff here, if they raise there's a lot of people screwed.  If the dont raise there are even more people screwed.

They should have dont it post 2008 after preparing the ground for what would likely happen.

Now the train is off the tracks and careering towards the school playground just as the playtime bell is ringing.

[JMD]

3 hours ago, Hancock said:

Why does the BoE need another currency are they trying to tell us the one they are meant to be looking after is not very good.

And if that ones not very good why would their next one be any better.

When they release it do all the members of the ruling party get a load for free, and then us plebs get to bid it up thus making them rich.

All these currencies what can ultimately be increased with the click of a button seems shitter than the current system, and only good for the people who get in early. The latter being like the UK housing market.

Just rhetorical questions, no need to answer!

 

I understand you weren't expecting answers... but i've heard that the new school syllabus will soon be teaching that 'Digital is more Environmental', plus I thought that our paper notes were now full of cocaine and Covid (...C Whitty enters the chat, science is settled et al!!)... Anyway just saying looks to me that the argument against that 'old colonial legacy' paper money is now pretty overwhelming!?!?! 

[Hancock]

1 minute ago, HousePriceMania said:

It should do....but will it.

This is great depression collapse stuff here, if they raise there's a lot of people screwed.  If the dont raise there are even more people screwed.

They should have dont it post 2008 after preparing the ground for what would likely happen.

Now the train is off the tracks and careering towards the school playground just as the playtime bell is ringing.

From all the commentators who've called for a BK, they've all said that the FED will ignore inflation claiming its temporary, then they realise its not ... and raise far quicker than they predicted.

Surely the people on here hoping or making calls for a BK should be happy with such news.

If this was a drop in inflation then that would be bad for those of us needing/hoping/wanting a BK.

[ThoughtCriminal]

22 minutes ago, HousePriceMania said:

I would once again like to thank everyone here for helping prepare for the worse/best case scenario we see unfolding before our very eyes.

Hear hear. 

 

Without getting all "Yas are me best fucking pals and i love you all!", I appreciate this place so much just because its the only place i can go where people arent consumer zombies trapped in the matrix. 

 

Everyone i know is a normie with zero fucking clue whats happening and whats potentially coming down the road.

 

Those two scenes in Margin Call and The Big Short where they're reflecting on whats coming and how barely anyone realises, that hits home now. 

 

Sometimes its enough to know youre not mad and there are others who also get it. 

 

Anyway, thats enough of that before i start hugging you all and piss myself. 

[CVG]

2 hours ago, HousePriceMania said:

Im going to buy some barrick and Yamana gold shares today, any other suggestions, this insanity is going to get worse so want some as a hedge

Exchange rate fees give me ulcers so just spray and pray with a balance of GDX and GDXJ. Not advice obviously.

[Noallegiance]

[Axeman123]

4 minutes ago, HousePriceMania said:

It should do....but will it.

This is great depression collapse stuff here, if they raise there's a lot of people screwed.  If the dont raise there are even more people screwed.

They should have dont it post 2008 after preparing the ground for what would likely happen.

Now the train is off the tracks and careering towards the school playground just as the playtime bell is ringing.

Do you think they will ever do a "Chernobyl" style dramatisation?

"CPI 6.2%, not great not terrible"

"western economies do not blow up!"

etc

[DurhamBorn]

Should add my interest rate target on the 10 year is 8.2% ,an outlier at double figures.

Rates should be 4% here in the UK now.They arent stealing cash savings,hardly anyone has any,they are stealing peoples labour by transferring it to the state.Direct transfers,and its getting to bad that anyone not on the state teat is stuffed.When they increased Universal Credit for people on £50k with kids its a direct transfer from someone single working full time on £20k pa.

Next step is lowering consumption from the plebs because they will point the economy at investing in "green" instead.

Its a full on war between the government and anyone not on bennies or state wages/pensions.Distribution cycle.

[JimmyTheBruce]

1 hour ago, kibuc said:

They've only just secured a $25mil credit facility, yet were still so desparate for cash they placed for another $20mil at 32% discount. Even though it seems almost impossible at this point, I suspect their problems at Tucano are bigger than they've reported so far.

They are currently producing gold at the cost of $2500/oz and are hoping to get it down to $2000/oz down the road. That's a Tesla-worthy business model so who knows, maybe the share price chart will also become Tesla-esque.

How are they even allowed to do something so detrimental to the price without consulting shareholders, and/or offering them the option to buy at the discounted price?

[Hancock]

10 minutes ago, DurhamBorn said:

Should add my interest rate target on the 10 year is 8.2% ,an outlier at double figures.

Rates should be 4% here in the UK now.They arent stealing cash savings,hardly anyone has any,they are stealing peoples labour by transferring it to the state.Direct transfers,and its getting to bad that anyone not on the state teat is stuffed.When they increased Universal Credit for people on £50k with kids its a direct transfer from someone single working full time on £20k pa.

Next step is lowering consumption from the plebs because they will point the economy at investing in "green" instead.

Its a full on war between the government and anyone not on bennies or state wages/pensions.Distribution cycle.

 

I seem unable to copy tweets, but this bloke seems to be onto something -