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I have an acquaintance who started a blog to track the possible global currency reset. He combs the internet for clues and articles about what may be coming.
This virtual currency, Klickex, claims to overcome the disadvantages of Bitcoin with an asset backed currencies that trades like SDRs. They are backed by some big players, including the IMF and UN. This already has had a successful trial in southeast asia.
and here is a link to their website
Dallas would best fit my schedule.
Gold was historically the currency that was independent of government control, as it was widely accepted in any form and could be remelted and put in whatever form the holder wanted. Whether we eventually return to gold or a virtual currency is yet to be seen, but governments like control, and they will fight in the currency markets to maintain control of money for as long as they are viable themselves.
Thank you for your candid appraisal. I think the libertarian world is licking their chops for a currency independent of government control. Joel Bowman, Jeffrey Tucker, and maybe even Bill himself seem to have a soft spot for it. But security and competing virtual currencies are its main disaadvantages, causing it to be potential very volatile.
It probably doesn’t help that the Treasury’s Exchange Stabilization Fund has the ability to manipulate currency exchange rates.
For now, fiat currencies controlled by governments are still in control. But one day, the confidence in central banks and fiat currencies will erode and national governments will become obsolete with globalization and technological progress. That will likely not happen in our lifetimes, and our children and grandchildren may have to live through a couple more empires’ currencies before a true currency independent of government control is widespread.
I have a 50% mixture of both. Needless to say, they have suffered terribly this year. Hope they have hit bottom and rebound as soon as we realize the “Fed taper” won’t solve any economic issues.
Besides the skills Ive developed over my lifetime, time and freedom are the most important assets I have, and each are becoming in shorter supply each day. We cant create more time, but we can create more freedom. Perhaps a worldwide depression would cast worldwide doubt on all governments and central banks ability to manage the world, leading to an interconnected humanity through commerce, absent of central planning.
Maybe its time to short governments and central banks, and go long on those companies pushing free trade, skills, and the internet. Just need to figure out which ones will be the stars.
Thanks for this contradictory opinion. Bill himself has said many times that the market makes its own rules, and is often times unpredictable. Stable economies and governments are necessary for real estate to be safe investments, as you said. That is why I’m diversifying across every asset class, so I don’t have to take the big loss.
There is no safe place to invest. I’ll agree that times are changing also. Materialism is becoming less important to more free time and socialization across the world. Perhaps that will be a good thing, and someday humanity will no longer need governments or central banks.
I follow Simon Black’s column, Sovereignman.com. He lives in Chile, owns farmland there, and highly recommends it.
Do you harvest, bale, and sell the pine straw as mulch? Apparently, it is becoming a very popular landscape mulch, and some experts claim the revenue can match the timber revenue. Estimates of 50-200 bales per acre every other year for 8yo+ farms, and selling for about $15-20/bale. Seems there are some farmers figuring out ways to make exyra revenue instead of it rotting on the ground.
CBC News published this informative and interactive demo to show how wealthy store their riches in other countries to avoid taxes. Some of these schemes they list get very intricate, including elaborate trusts, LLCs, phony lawsuits, RIP insurance policies, currency swaps, etc. Interesting, but with FATCA requirements, most of these may no longer apply to US citizens.
Texas is looking at establishing its own sovereign gold depository similar to Ft Knox, but independent of US govt to avoid any risk of confiscation. I’m sure this has something to do with the U of Texas recent purchase of $1 billion + of gold bullion that they want to make sure is safe and accounted for. They plan to allow pension funds and private investors to store their bullion there as well.
Good thoughts on paying for good report cards. We have been doing it for several years and the kids think of it as a bonus instead of a motivator. We acknowledge all if their accomplishments verbally.
I am also an identical twin. Unfortunately, my parents dressed us alike until we were old enough to refuse it any longer. We were often thought of as the “twins”, even by non-immediate members of the family. That really didnt change until we left college and took separate career paths.
My wife and I started 529 plans for our two children the day they were born, and contributed $100/mo to each account. Three years ago, we converted half of the savings to a prepaid tuition when the plan opened back up in Texas, leaving the other half for room and board. If they are lucky to get a scholarship, those savings are completely refundable.
In addition, I started a savings account for each child when they were old enough to understand. The savings account is simply an account I have made in Quicken that documents their contributions, yearly interest, etc. We call it the Bank of Dad. As you have done, the savings account cannot be withdrawn from until they are 18 years old, at which time I will actually have to disperse cash or write them a check from the Bank of Dad whenever they want to use some of the savings. They each understand that the savings is theirs, just under my control until they are 18. To encourage savings instead of consumption, I added a kicker. For every dollar they deposit into the Bank of Dad, I match it one for one. So when they kids get a cash gift for their birthday or allowance for their chores, for example, they can choose how much they want to keep and spend immediately vs how much they want to delay gratification and deposit into the Bank of Dad. I also make an annual contribution for earned interest in each account. In addition, I also allow them to use the account to purchase precious metals from the “family vault” (ie documented transactions at the spot price at the time of purchase). This was to teach them the value of “real money” vs paper money. With my guidance, they have each purchased some “gold” from the “family vault” several years ago. Needless to say, they were shocked when they compared the earnings from interest on cash balances vs “capital gains” from precious metals balances. When they turn 18, I will have to make good on any cash withdrawals or physical precious metals they want actual possession of. So far, the plan has worked well. We will see how it does when they turn 18.
In addition, when the kids were entered middle school, we implemented a “pay for performance” plan. We pay them $10 for each A on their report card, and subtract $10 for anything else. We also pay weekly allowance for specific chores assigned to each (trash, dishes, feeding the pets, cleaning their rooms, laundry, etc). However, it is zero tolerance for their chores, trying to simulate an environment for employment later on. If they miss any chore that week, they get zero allowance for that week. It has helped tremendously to teach them dependability. We also pay extra for special academic awards and for specific athletic and musical performances.
It may not be conventional, but our kids have excelled in many areas, and hopefully have learned something about saving, real money, dependability, work ethic, and continual effort to excel.