Will A Gold Backed Trade Settlement Note Be Announced in 2019, 2020 or Later?
Will A Gold Backed Trade Settlement Note Be Announced in 2019, 2020 or Later? by Rory for The Daily Coin
2 + 2 still equals 4 regardless of what Common Core tries to teach us.
We have been following Russia’s gold acquisitions for the past several years for the specific purpose to show how their economy is changing. The economic sanctions, first imposed during the Obama Presidency, have failed miserably. Russia welcomes sanctions as the nation simply begins building out whatever they can no longer source from beyond their border.
Recently the head of the Central Bank of Russia announced that, not only does Russia hold close to zero U.S. Treasuries (instrument of debt), they have a “savings account” worth more than half-a-trillion (equivalent) U.S. dollars! Oh yeah, and Russia has added gold to their balance sheet every month for the past 6 years. Their acquisitions are down a little this year but still on course to add another 200 tons of physical gold by years end. No other nation on earth has acquired more gold than Russia over the past 6 years.
In May, the regulator held some 2,183 tons of the precious metal.
In the first 5 months of this year, Russia added 78 tons of gold to its coffers, increasing the precious metal’s share in its international reserves by 3.7 percent. Last year, the CBR bought some 274 tons of gold.
“I think what Russia is doing, or other central banks are recognizing, is that they need to increase their gold reserves because of the impending dollar crisis,” CEO of Euro Pacific Capital Peter Schiff told RT in May.
On Thursday, spot gold prices surged to levels not seen in more than 5 years, trading 2.85 percent higher at around $1,386.16 per ounce. Meanwhile, gold futures also posted strong gains, soaring more than 2.9 percent to $1,387.85 per ounce. Source
I was asking what Russia, and China, had planned for all the gold have been acquiring. I no longer need to ask as it has become very clear the gold is going to be used to back some type of cryptocurrency. It appears, from all indications, it will be a gold trade note used to settle international trade with other nations. I believe, and this pure speculation, that China and Russia have been working out the “bugs” of conducting trade settlement using gold for just over three years. Russia and China have had a flow of gold moving between the two nations since early 2016. As we reported at the time – Louis Cammarosano: Russia to Supply China with 80 – 100 TONS of Gold Annually (Video/Podcast)
Wether China is going to making jewelry, trinkets or has other ideas we can confirm Russia will be supplying China with a lot of gold in the coming months and years – from Reuters
VTB Bank, Russia’s second-largest lender, said on Tuesday:
* VTB plans to supply 15-20 tonnes of gold to China in the next 12 months;
* VTB plans to continue increasing gold supplies to China, the exact volume of supply is subject to demand in the region;
* In April, VTB said it aimed to supply between 80 and 100 tonnes (2.57-3.22 million troy ounces) of gold to China per year;
* In the second quarter of 2016, VTB dispatched its first batch of gold to China, becoming the first Russian bank to start direct supplies of physical gold to the world’s largest buyer and consumer of the precious metal.
Was the flow of gold going back into Russia? I could never understand why Russia would send 100 tons of gold to China when China mines upwards 400+ tons annually while Russia only mines approximately 250 tons annually! Was the information that was originally reported only half the story? Remember, President Putin was also meeting with the developer of Ethereum cryptocurrency to understand how Russia could introduce this new fintech into the Russian economy. While the meeting to discuss Ethereum was a full year after the gold agreement between Russia and China was in place, let’s not forget the announcement of the gold agreement didn’t hit the wire until several months AFTER it had been enacted. My point is – the timing of all these monetary changes are all lining up to point to one thing – gold backed cryptocurrency for international trade settlement has more than likely been in the testing stage since 2017 / early 2018. I would be shocked to find out otherwise.