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The Solution
The Problem First let me explain the problem. The prior posts in this thread explain why due to the recently developing gold & silver backwardation (hyperdeflation), which will eventually close the gold & silver window at Comex, rendering the national bonds & currencies worthless (hyperinflation), then only physical trading of gold & silver in your locale will become possible (disintegration). But this local trading will not help you. The world economy is interconnected. If goods can only be produced and traded locally, then life will become nearly impossible. We won't even be able to produce locally, because critical inputs to local production will be unavailable locally. For example, gasoline is not pumped out of the ground and refined in your locale. Extend that to food inputs, manufactured necessities, etc.. For example, most seeds now are genetically engineered, and won't produce plants with re-useable seeds. Some where in the chain of products you depend on, there is a non-local critical input. Unless you expect to be adopted by the Amish, the prospect of local gold & silver trading is bleak, especially when you factor in the speed at which the crisis will disintegrate leaving not enough time for society to adjust new financial systems for credit and trading. And the realization that anyone who tries to spend gold & silver locally in the desperation imposed on the masses by this envisioned crisis, will no longer be safe in their own home. Word will spread of who has some. If you can't spend it, what is the point of having it? The world not only faces this financial system disintegration crisis, but also an epic global demographic re-balancing crisis, some nations on the deflation (workforce reduction) side and others on the inflation (workforce expansion) side. Note, that there is 17 billion oz of silverware which would only come to market if silver were to rise into the hundreds of dollars per oz, or make that $1000s per oz once the dollar devalues (hyperinflates). And much of that is heirlooms that won't come to market until the owners can not otherwise survive. Even at $1,000 per silver oz with all 17 billion oz trading as currency, that would still mean the 2007 global GDP of $65,000 billion would need to shrink by 75% and Velocity of Money decrease to 1. But if metals go into hiding, we could see Velocity of Money fall to epic lows, maybe even 0.1 as it perhaps was in Dark Ages, so then we would need $10,000 per oz silver to limit the GDP shrinkage to 75%. Of course the key people pulling the strings of the world financial system (aka "powers-that-be") know all of this. Their plan is so obvious now. Once all of the key useful assets (e.g. gold in the vaults, banking branches) have been transferred to a few largest banks, then the dollar & bond bubble can be allowed to crash, sending gold & silver to the moon, but making trading of gold & silver dangerously unhelpful. The world economy will implode, there will be mayhem. Out of this mayhem, eventually the key assets will be used to offer the world a new "gold credits" trading (financial) system. The plan for for world domination via a world currency will be nearly complete. This "gold credits" system will be infinitely more liquid than physical gold & silver barter, humans viscerally move to the most liquid form of money, and thus such a "gold credits" system will soak up all the remaining physical gold & silver, as people will ne ed to join the trading system in order to survive. The Solution I am publishing this, because if only one person is working on the technical solution, then the solution could be stopped or lost by discrediting, attacking, or death of that one person. I do not need anonymity, because there are many smart people who can implement this technical solution, but only if they are aware of this article (most technical people have no clue this solution is needed). Only the trusted parties that use the solution will need the option for anonymity. No solution can survive if it relies on trust of a KNOWN entity (e.g. GoldMoney.com), as the "powers-that-be" can attack the known entity. So any solution will need to offer optional anonymity, so that users of the solution can continue operating and building trust, without being persecuted. If entity providing the gold & silver is publicly known, then that entity may not be able to escape persecution. The solution is to build a system that provides "gold & silver credits" before the "powers-that-be" does, when it is most needed (i.e. starting 2009 or 2010?). And provide the credits in a competitive free market that allows anyone to offer the credits, and to provide technology for these trusted entities to be both anonymous, yet still build trust by proving they can deliver the physical gold & silver when the credits are redeemed. Imagine a system where everyone can buy, sell, and trade unforgeable, anonymous, trustable digital gold & silver certificates ("credits"). If feasible, this is Achilles' heel of the "powers-that-be" plan. This would enable the world trade to grow seamlessly while the national currencies become worthless. There are many details that need to be explained, as the digital certificates must be known to be backed by real metal, else the system will fail, just as every fiat system has. So I must explain how such trust can be proved, while still maintaining the anonymity necessary to avoid persecution. The keys to algorithmically insuring that digital certificates do not become debased, is for there to be a competition for offering such certificates which can not be persecuted, for redemption to be spontaneous and immediate, and for the trust reporting model to be open and unforgeable. I will get a bit technical now on the bottom-up inner details of such a solution, and this might not seem relevant if you are coming at this from a top-down thinking, where you are trying to visualize how this will work in terms of using it on a daily basis. We first need to explain the key inner technical details that can enable the anonymity, free market participation, proveable trust and unforgeability. There are two key technical concepts that need to be employed in this solution system.
It is impossible for me to explain in the space limitation of this essay, how those above technical concepts can be used in every aspect of a full working solution trading system. Astute technically capable readers (programmers, mathematicians, and monetary theorists, especially those with all 3 talents) will be able to deduce the integration and system design. Let me now explain a few key top-down concepts for such a solution system. Note that the following concepts would not be presented to the user in such a technical fashion, rather they would be simple forms with submit buttons. And realize that free market search for offered trades (like eBay or GoldWeTrust.com) user interface could be put on top of this, so that people just point and click on what they want. And ultimately these trades could be not only trading fiat for metal, or metal-for-metal, but also metal for real goods. Thus completely replacing the current financial system, while also eliminating the inc ome tax, copyrights, patents, government bloat, and all other forms of statism. This solution could accomplish algorithmically what the US Constitution was intended to do contractually.
It is too late for the "powers-that-be" to take down the internet. The internet is a key component of any fathomable plan for world domination: http://grep.law.harvard.edu/articles/03/06/06/1441247.shtml "...I think the biggest threat to privacy is Moore's law. The human population does not double every eighteen months but the ability to keep track of us does. This may be a prescription for an omniscient government..." Copyright © 2008 Shelby Moore, III (1) See http://ShadowStats.com. It is a self-evident fact that changing the weightings for the basket of goods in CPI changed the result percent. It is an "Enron-like" accounting gimick. From mid-1980s to early 2000s, some things (e.g. gas, Asian manufactured goods) were declining or fairly flat in price, while others things (e.g. healthcare, housing, education) were rising at 10+%. By re-weighting and using other statistical tricks (e.g. hedonics), the official CPI was reported several percent lower than the actual basket of goods that matter most to people. For example, if 80% of one's economic net worth is tied into the price of their house, and housing prices were rising nearly 10%, then the individual sees the CPI at 3% (and thus interest rate at 5% cost) lower than his gain. Disclaimer: The above are my personal opinions. I seek safe harbor. I am not a professional advisor. I am not responsible for anything anyone does after reading this. Seek your own counsel on all matters. contact information Shelby Moore, III Davao City, Mindanao, Philippines | Email | Website |
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The following proposed solution if implemented, would be immediately available to everyone in the world. It would be embodied initially in program accessible on the internet, then spread out into well known financial interfaces (e.g. credit card forms, ATM machines, etc). This will not be hindered by physical delivery barriers to the degree that my GoldWeTrust.com and other physical dealers are.
