The economy has never experienced a sustained reduction in the monetary base of the magnitude currently underway. The path of QT and higher rates, that the Fed is currently on, will counter-intuitively increase inflation while reducing economic growth.
A trend-focused trader reflecting on market strategies and personal performance enhancement.
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Monday, 28 May 2018
'Ever see a dog chase his tail?'
Contrary to common logic and
consensus expectations, Fed rate hikes and balance sheet
reduction will only exaggerate budding inflation concerns.
The economy has never experienced a sustained reduction in the monetary base of the magnitude currently underway. The path of QT and higher rates, that the Fed is currently on, will counter-intuitively increase inflation while reducing economic growth.
The economy has never experienced a sustained reduction in the monetary base of the magnitude currently underway. The path of QT and higher rates, that the Fed is currently on, will counter-intuitively increase inflation while reducing economic growth.
Sunday, 13 May 2018
Separation of $ and State
'Unsurprisingly, global debt still
would tower over the value of the cryptospace as it currently stands at $233
trillion, and continues to grow. Indeed, bitcoin should nicely accomplish the
separation of money and state much as we have had separation of church and
state. This will help put an end to central bank money printing which remains
the biggest legalized Ponzi scheme ever. Meanwhile, as the renowned Naval
Ravikant has said, "Bitcoin is freeing humanity from corrupt
governments, all the while disguised as a Ponzi scheme."
In the meantime, how do governments unwind the QE-generated debt without undoing the QE-bull market which began in 2009? According to Bridgewater's founder Ray Dalio, a major devaluation of fiat currencies is coming within the next few years as quantitative easing has failed to jump start the global economy even after nearly a decade of money printing. The cryptospace is likely to be the primary beneficiary of such a devaluation. Centralized systems which include centralized governments and corporations will pay the ultimate price since decentralized, open source, trustless, p2p, censorship resistant, private, secure protocols will always win over centralized, closed source, third party, insecure platforms'.
In the meantime, how do governments unwind the QE-generated debt without undoing the QE-bull market which began in 2009? According to Bridgewater's founder Ray Dalio, a major devaluation of fiat currencies is coming within the next few years as quantitative easing has failed to jump start the global economy even after nearly a decade of money printing. The cryptospace is likely to be the primary beneficiary of such a devaluation. Centralized systems which include centralized governments and corporations will pay the ultimate price since decentralized, open source, trustless, p2p, censorship resistant, private, secure protocols will always win over centralized, closed source, third party, insecure platforms'.
Wednesday, 9 May 2018
Tuesday, 8 May 2018
I'd like to know how many of you think that the world sits at a major tipping point economically, financially, socially, and politically?
'The brilliance
behind blockchain is that governments in their current form are rendered
obsolete as the technology eliminates the need for trusted third parties
(TTPs). Ed Seykota writes that governments have always controlled by
initially reducing then quashing productivity and freedom, and details his
point nicely in his book "Govopoly in the 39th Day". 39th day is the analogy
to duckweed in pond ecosystems. Duckweed doubles each day so goes unnoticed
the first 25 or so days. But by the time it is noticed, it is too late to
reverse its course. On the 40th day, duckweed strangles all life in the pond.
Seykota equates the current systems of government to being one day away from
the 40th day given the beyond onerous levels of regulation, taxation, and
unjust rights-crippling laws not just in third world countries but also in
first world nations. The world sits at a major tipping point economically,
financially, socially, and politically.'
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