Tuesday, November 1, 2016
The Federal Reserve Bank is frankly the biggest scam in the history of the world
and by default probably the most crooked institution that has ever existed next
to the Church of Scientology. First it is entirely privately owned although it
wants the world to see it as or on equal footing to a governmental
agency/institution and it has the right to print and issue money just like
Kings did some 300 plus years ago. But
the worse thing about it outside of its money making Ponzi schemes in my
opinion is that it exist as a money monopoly given it alone has the power over
all the money and credit of the people in the United States and frequently
beyond. Since its inception (which I hope to discuss in a bit more detail in a
few paragraphs to come) what is clear is that the U.S. government had no debt
when the Federal Reserve Act was passed in 1913. What may be more astonishing
is that it is as I noted previously, a private entity with stock which is not traded openly and no one except the elite of the elite can own only through inheritance singularly.
Through
the actions of the Federal Reserve Bank and U.S. treasury, it is no wonder they
have the majority of U.S. citizens using the words “currency” and “money”
interchangeably when they are not the same thing. First, money is a store of value and has the
ability to maintain its value in the form of purchasing power for a very, very
long period of time. Money is durable
(meaning it never changes over time and it is fungible (meaning it is the same
no matter where you are also interchangeable). Money traditionally has been
some commodity such as gold, silver or land. Money is created, not printed.
On
the other hand currency is simply paper. It is paper money used a tool for
trading your time and labor and although it too is fungible and a medium of
exchange, currency has no intrinsic value.
It is just an official monetary instrument used in commerce. Currency
must be “legal tender,” which means the government will accept it in payment
for taxes. Currency is NOT money, but merely represents money. And it is
printed on paper or minted from metal.
What
we spend is currency (base money). It is put into circulation by the Federal
Reserve, with the assistance of our banking system via buying and selling of
securities (mostly bonds). As the money Gods, the Federal Reserve can control
the amount of loot in the U.S. economy and at the same time; give loans on
money that don’t exist just by adding a few zeros to the books and boom –
profit making Ponzi. It's called base money because it is the money deposited
by the customer, by which money generated through fractional reserve banking is
created from.
The
main problem with currency is that the Federal Reserve can print more and more
of it whenever they want. Each time they do, it just results in more currency
flooded into circulation. Each time the want or need to do this, the more
currency added into global circulation, the less value said currency has
because the more of it there is the less valuable it becomes. And each time
this happens, whether through selling IOUs in the form of Bonds to banks or
quantitative easing, the Federal Reserve is unremittingly taking loot out of
your pocket directly to the government and their pockets (banks).
Why
is this you may ask, well since the Federal Reserve Act was signed by President
Wilson on December 23, 1913, today, what we call money and or consider our base
currency is really just a receipt – an IOU on a government created and traded
bond. How can this be? Well to begin
with, when you deposit your loot in a bank, you are not putting it in an
account of your own for safe keeping. Instead you are loaning the bank your
currency which means they can do whatever they want with it once you do. If the banks want to take your money and gamble
with it on the stock, ETF or commodity markets, they can, or if they desire
(which is more often the case), they will likely loan it out. And not just loan
it out, but loan it out with interest, which is a profit for them through what
they call fractional reserve lending.
Through
this mechanism, banks are allowed to lend what they don’t own and even what
they don’t even possess ten to twenty times over. In simple terms,
Fractional reserve lending is the process whereby banks make up currency by
adding zeros to computers and lend that created money that doesn’t even exist
to make a profit. Fractional reserve banking is the ultimate hustle and exists
to drain the common laborer of all their work without paying them for it. See,
when a bank accepts your deposit, they give out loans, the loans become another
deposit, which becomes another loan, and this cycle repeats itself in
perpetuity. And when banks do this, they don’t ask us if they can or tell us
that are going to do this. Look at it this way, if was a bank, and was required
to keep only $1 of the $10 you deposited with me, and loaned the other $9 out,
and charged X interest on the loan, but only have only how ca make a profit of plus $10 when there is only
10$ that exist to start with? This is in essence “fractional-reserve” banking
(for every $1 the Federal Reserve bank prints the banking system created an
additional $9 out of nowhere which equals fraud.
Gone
are the days of a family being able to live off of a single pay check. In the
past our paper money was just a claim check.
It was just a paper representation of real money that you could take to
a bank and claim for gold or silver (gold and silver being real money of
intrinsic value. The way, in which the
U.S. Treasury and Federal Reserve banks operate in concert, the reality is that
what they call currency today isn’t even paper money, but rather a claim check.
To understand this you have to understand the way banks turn deposits into
loans and understand how Federal Reserve Bank policies affect the supply of
money in general. This entire scheme is called fractional reserve lending
and/or banking.
The
Federal Reserve Bank is the main culprit of income inequality. Constantly the prices we pay for stuff is
soaked up by the Federal Reserve like a sponge because our currency supply is
forever growing and expanding. Thus the more currency the more prices will keep
on going up which leads to inflation (all because the treasury and Banks swap
IOUs in the form of bonds on behalf of the Federal Reserve Bank). And even
worse is that this circle continues because the money they get from us in the
form of taxes is used to pay interest on IOUs carried by bonds; meaning there
is always more DEBT in our system than currency in circulation to pay the debt.
We
need to wake up and understand the difference between currency and money and
play real close attention to the practices of the Federal Reserve Bank, for
they don’t serve nor care about us, we the people.
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