Mathanzua
JF-Expert Member
- Jan 4, 2017
- 15,842
- 20,687
Vladimir Putin didn’t just invade the Ukraine on 24/02/2022, he officially ended the petrodollar system.
How? Remember, Russians don’t do anything without a plan. They & China have been prepping for this moment for years & are now ready.
Russia has stated NATO expansion
into Ukraine was a red line. They knew their invasion of Ukraine would be inevitable and would have strategized that the US/West’s response would be SWIFT $ system exclusions/sanctions.
Reasonable therefore to expect that Russia’s next step would have been to shut off oil/gas pipelines to Europe, as Russia has built up huge Yuan, gold & commodity reserves!
This will cause massive price and supply disruptions (war level), to the western markets & monetary system.
For years Russia & China have looked for ways to re-monetize gold & exit abuses of SWIFT system as a geo-political tool against them, but the question has been how to do it, how to exit, without the West declaring it an act of aggression or war.
The Ukraine invasion has just accomplished that end for them,
and the West is doing it themselves.
Now declared SWIFT system outcasts by western governments.Russia will then declare that Europe or anyone who wants Russian oil (as 3rd largest global producer) or Russian/Ukrainian wheat (1/4 of worlds production),must pay in gold, or use the Ruble-Yuan Gold backed payment system.
Russias' leverage as an oil producer (who cuts off supply) will cause almost immediate price shocks to the western world. A good part of the population could immediately be unable to heat their homes.
Almost equal to the oil shock they’d cause, is their ability to cause food shortages and price hikes through the disruption of wheat production.
Unmentioned in all this scenario is China. China has been silent & not condemned Russia.That means silent approval & cooperation.
China will act to soak up Russian production of oil and wheat to soften the blow to their “strategic partner”. This will again be through the Yuan-Ruble facility and at some point overtly stated gold backing of that system by Russia and China.
The West will of course declare those last two bullets as acts of global aggression and direct threats to the “world monetary system.”At this point there will be a clear fracture of the world’s monetary system into two competing East/West structures.This will signal the end officially of the 50 year global petrodollar system
If the above analysis is indeed correct, then the threat to the USD is no different from the time of Charles De Gaulle or Gaddafi, but on a far larger scale. The fact remains that they can't remove Putin as easy as they did with previous leaders who challenged their fraudulent petrodollar monetary system.
What are the consequences of US & EU kicking Russia off SWIFT System?Will it hurt the Russian Economy? Some Economists want you to believe that this is true.But, Removing Russia from SWIFT could be exactly what Russia, China desire.
Why? Read on.
SPFS (‘System for Transfer of Financial Messages') is a Russian equivalent of the SWIFT financial transfer system, developed by the Central Bank of Russia. The system has been in development since 2014, after US Govt threatened to disconnect Russia from the SWIFT system.There are plans to integrate the SPFS network with the China-based CIPS (Cross-Border Inter-Bank Payments System). If either of those then interconnect,can you imagine the effect?
If Russia is removed from SWIFT, the blow to the US economy, and especially that of EU would be enormous. The vast majority of SWIFT transactions are settled in US dollars, which helps solidify the US currency status as the global reserve currency.This gives the US tremendous influence over the world economy,and that is where lts' real power lies.
If Russia,China and India come up with an alternate system to compete against SWIFT that will be a competing currency transactional system and it’ll further weaken the US dollar.Not to mention Russia is the second largest exporter of energy and China is the largest manufacture exporter with India fast catching up.
They could start their own economy & adopt existing partners such as African countries (largest precious mineral producer) and Saudi Arabia (third largest energy producer) putting Europe and United States economy on back foot extensively.By Removing Russia (one of the biggest oil producers) from Swift, the USD will be DESTROYED as global currency as oil,the most traded commodity in the world, is paid in USD.
If forced to leave SWIFT, Russia will expand SPFS internationally, and nations that intend to keep importing Russian oil & natural gas will have to join Russia’s new banking transaction system.And you know that Russian Gas is cheapest which no-one can afford Not to have.
If Russia breaks from SWIFT, watch for China & India to announce same. We are actually watching the destruction of the USD taking place before our very eyes.
In this case,other countries will be more than happy to assist with this New System, which gives them a chance to improve their currency.Start looking for words like“Eurasian Union” to start appearing in articles very soon. We are getting closer to a new digital economic system and global digital currency soon. What is horrific is that developed countries [US etc] will drop from having 80% of World's income to 35%.Ordinary Americans calling for Russia to be ejected from SWIFT, do not realize that US uses the dollar to borrow at discounted rates. That debt is now $30Trillion as of today, so if the dollars’ influence is reduced, US transactions would be much more expensive and
the US economy will be on the verge of destruction.While costs for businesses would pass on to US consumers, Americans would have to then pay more for everything. Are they ready for that? Are US politicians & companies ready for that as well?I do not know.
Do you still think that President Putin acted in haste with Ukraine Offensive?Everything is very well calculated & pre-planned.
How? Remember, Russians don’t do anything without a plan. They & China have been prepping for this moment for years & are now ready.
Russia has stated NATO expansion
into Ukraine was a red line. They knew their invasion of Ukraine would be inevitable and would have strategized that the US/West’s response would be SWIFT $ system exclusions/sanctions.
Reasonable therefore to expect that Russia’s next step would have been to shut off oil/gas pipelines to Europe, as Russia has built up huge Yuan, gold & commodity reserves!
This will cause massive price and supply disruptions (war level), to the western markets & monetary system.
For years Russia & China have looked for ways to re-monetize gold & exit abuses of SWIFT system as a geo-political tool against them, but the question has been how to do it, how to exit, without the West declaring it an act of aggression or war.
The Ukraine invasion has just accomplished that end for them,
and the West is doing it themselves.
Now declared SWIFT system outcasts by western governments.Russia will then declare that Europe or anyone who wants Russian oil (as 3rd largest global producer) or Russian/Ukrainian wheat (1/4 of worlds production),must pay in gold, or use the Ruble-Yuan Gold backed payment system.
Russias' leverage as an oil producer (who cuts off supply) will cause almost immediate price shocks to the western world. A good part of the population could immediately be unable to heat their homes.
Almost equal to the oil shock they’d cause, is their ability to cause food shortages and price hikes through the disruption of wheat production.
Unmentioned in all this scenario is China. China has been silent & not condemned Russia.That means silent approval & cooperation.
China will act to soak up Russian production of oil and wheat to soften the blow to their “strategic partner”. This will again be through the Yuan-Ruble facility and at some point overtly stated gold backing of that system by Russia and China.
The West will of course declare those last two bullets as acts of global aggression and direct threats to the “world monetary system.”At this point there will be a clear fracture of the world’s monetary system into two competing East/West structures.This will signal the end officially of the 50 year global petrodollar system
If the above analysis is indeed correct, then the threat to the USD is no different from the time of Charles De Gaulle or Gaddafi, but on a far larger scale. The fact remains that they can't remove Putin as easy as they did with previous leaders who challenged their fraudulent petrodollar monetary system.
What are the consequences of US & EU kicking Russia off SWIFT System?Will it hurt the Russian Economy? Some Economists want you to believe that this is true.But, Removing Russia from SWIFT could be exactly what Russia, China desire.
Why? Read on.
SPFS (‘System for Transfer of Financial Messages') is a Russian equivalent of the SWIFT financial transfer system, developed by the Central Bank of Russia. The system has been in development since 2014, after US Govt threatened to disconnect Russia from the SWIFT system.There are plans to integrate the SPFS network with the China-based CIPS (Cross-Border Inter-Bank Payments System). If either of those then interconnect,can you imagine the effect?
If Russia is removed from SWIFT, the blow to the US economy, and especially that of EU would be enormous. The vast majority of SWIFT transactions are settled in US dollars, which helps solidify the US currency status as the global reserve currency.This gives the US tremendous influence over the world economy,and that is where lts' real power lies.
If Russia,China and India come up with an alternate system to compete against SWIFT that will be a competing currency transactional system and it’ll further weaken the US dollar.Not to mention Russia is the second largest exporter of energy and China is the largest manufacture exporter with India fast catching up.
They could start their own economy & adopt existing partners such as African countries (largest precious mineral producer) and Saudi Arabia (third largest energy producer) putting Europe and United States economy on back foot extensively.By Removing Russia (one of the biggest oil producers) from Swift, the USD will be DESTROYED as global currency as oil,the most traded commodity in the world, is paid in USD.
If forced to leave SWIFT, Russia will expand SPFS internationally, and nations that intend to keep importing Russian oil & natural gas will have to join Russia’s new banking transaction system.And you know that Russian Gas is cheapest which no-one can afford Not to have.
If Russia breaks from SWIFT, watch for China & India to announce same. We are actually watching the destruction of the USD taking place before our very eyes.
In this case,other countries will be more than happy to assist with this New System, which gives them a chance to improve their currency.Start looking for words like“Eurasian Union” to start appearing in articles very soon. We are getting closer to a new digital economic system and global digital currency soon. What is horrific is that developed countries [US etc] will drop from having 80% of World's income to 35%.Ordinary Americans calling for Russia to be ejected from SWIFT, do not realize that US uses the dollar to borrow at discounted rates. That debt is now $30Trillion as of today, so if the dollars’ influence is reduced, US transactions would be much more expensive and
the US economy will be on the verge of destruction.While costs for businesses would pass on to US consumers, Americans would have to then pay more for everything. Are they ready for that? Are US politicians & companies ready for that as well?I do not know.
Do you still think that President Putin acted in haste with Ukraine Offensive?Everything is very well calculated & pre-planned.
READ MORE: US urges India to think twice before buying Russian oil
