Discussion: Alt Currency
Inflation Part 2
How to deploy God’s “Storehouse” strategy of banking which can utilize an alternative community currency to the US dollar as a hedge against Inflation. The alternative currency would still be convertible to and from USD using payment bridges.
Everyone then who hears these words of mine and does them will be like a wise man who built his house on the rock. And the rain fell, and the floods came, and the winds blew and beat on that house, but it did not fall, because it had been founded on the rock. And everyone who hears these words of mine and does not do them will be like a foolish man who built his house on the sand. And the rain fell, and the floods came, and the winds blew and beat against that house, and it fell, and great was the fall of it.
Matthew 7:24-27
Within a community, there lies an opportunity to encourage and stimulate the local economy, whereby the people of a given area agree to accept their own currency in lieu of US dollars. This does not remove the use of USD, but it runs in parallel to it.
W.E.B. DuBois born in Great Barrington
An example of this is BerkShares which was a local currency created in 2006 and is accepted by 400+ merchants in the Berkshire Region of Western Massachusetts. Here is a good article in the Boston Globe.
Here is a different example of a Westport CT local bank issued currency (these are the printing plates) from 1860. Because banks today are regulated by the Fed, they deal only in Federal Reserve Notes (USD). But that wasn’t always the case! And what if the Fed fails?
We continue to discuss why inflation is coming. Another good perspective on this is from Ray Dalio, who manages the largest hedge fund in the world Bridgewater Capital, also based in Westport CT. While I don’t agree with Ray’s approach to economy and investing, he is an astute observer. And here.
Finally, we have received another wake up call from the Fed itself when it announced at the beginning of the year that it would stop tracking ANY of the money supply. Yes, you heard that right, for years everyone tracked M1 and M2, which are our US measures of money. But the problem is when the Fed started printing money during the pandemic and the Fed government sent out stimulus checks and PPP loans, the money supply exploded. M1 took off like a rocket. This is also a sign of inflation. The fact that the Fed is not really explaining why it took this action, is also problematic.
This just in: 3 Americans – Buffet, Bezos and Musk are wealthier than the bottom 50% of all Americans. Mmmm.
There was not a needy person among them, for as many as were owners of lands or houses sold them and brought the proceeds of what was sold…
Acts 4:34
Cryptocurrencies as of April 29 were worth more than $2 trillion, according to CoinDesk, an information service, roughly equivalent to all U.S. dollars in circulation.
WSJ excerpt from “It’s Raining Money! What Happens When It Stops?“
newbreed.co 