These 3 Assets Are Your Protection Against a Corrupt Fed
On August 15, 1971, President Richard M. Nixon “temporarily” ended U.S. dollar convertibility to gold. No one ever returned the U.S. dollar to the gold standard.
I’ve always wondered… did they just forget? When — and why — did temporary become permanent?
The end result was, after Nixon took the dollar off the gold standard, monetary corruption, like a drug, spread worldwide. And as rich dad warned, “Corrupt money creates corrupt people.”
One of the many reasons our world is corrupt is because our money is corrupt. Without real ﬁnancial education in our schools, people cannot see what Dr. R. Buckminster Fuller called a cash heist, they cannot see how their money and their lives are stolen via the money they work for.
As rich dad said, “You cannot catch ﬁsh in clean water. You can only catch ﬁsh in muddy water.”
The gap between the rich and everyone else is growing because, without real ﬁnancial education, the ﬁsh — the people — are swimming in muddy water. This is why and how the academic elites who run our legal system, banks, and Wall Street are catching a lot of ﬁsh.
Gold and silver — and now Bitcoin — are insurance against the greed, corruption, ignorance, and incompetence of elites who have become despots. I always say knowledge is the new money. Knowledge does not go away, it stays with you and it evolves with you. No one can take it from you.
I start with that because we’re seeing it right now. Your money is being taken from you. As the Federal Reserve keeps printing money, money becomes devalued.
Is your paycheck going up to match the disappearing value? Probably not, your money is being stolen.
Banks are not giving any real interest rates. Taxes are getting higher and will continue to do so.
Your money is vanishing but your knowledge is not.
So here’s how to put your knowledge to work to protect your wealth from being stolen…
Why I Buy Real Gold and Silver
The price of gold and silver will go up and down — because the value of our fake money is going up and down.
Before 1971, gold and silver prices were relatively stable. Today, when gold or silver prices go down, I buy more. I want God’s money.
When a person invests in a stock or real estate, they expect a return on investment. They expect a return because they are taking a risk. When a person saves money in a bank, they expect a rate of interest, because saving money in banks is extremely risky, especially when elites are printing money.
Take a look at the following chart:
When I purchase a gold or silver coin, I do not expect an ROI because I am not taking a risk. Gold and silver are God’s money. Always remember, the price of gold or silver will go up or down because the value of our fake money is going up or down.
When I purchase real gold or silver, I purchase them forever. I never plan on selling. Just as Warren Buﬀett holds stocks forever, I purchase gold and silver forever.
I know some of you are saying, “But I want to spend money.” Or, “I need money.” That is why most people are not rich. They need fake money to survive and they love spending fake money.
I love spending fake money too. I love nice cars, clothes, homes, and food.
But after Vietnam, even when I had no money or job, I never sold my real gold and silver.
Why I Buy Cryptocurrency
One giant advantage of cryptocurrencies and blockchain technologies is trust and security outside the banking system. As cryptocurrencies evolve, the power of the banking system will lose its grip on the ﬁnancial freedom of the world.
What’s exciting is I’m discovering I’m not the only person who recommends you invest in Bitcoin. Paul Tudor Jones is a billionaire hedge fund manager. He’s pretty much the “top dog” in the game. He recently declared the cryptocurrency as the best hedge against inflation and compares investing in Bitcoin now to investing in early tech stocks, like Apple and Google.
Jones said, “I think we are in the first inning of Bitcoin and it’s got a long way to go.”
So it’s not just me. Cryptocurrencies appear to have just gained incredible acceptance in our society. Paul Tudor Jones and I both see cryptocurrencies as a hedge against the cancerous dollar.
We Need More Financial Education
Financial education that increases your financial intelligence is crucial. If you can see the other side of the coin you will be better prepared to make intelligent choices about money. You can be among the financially educated who will thrive while the masses struggle to survive.
By reading my letters, you are learning about money, learning about the power of debt, and the power of taxes. So many people use debt out of ignorance, and in doing so unintentionally enslave themselves, their families, and their country to debt and taxes.
While I want to be wrong and I hope for the best, I doubt our political leaders, Republican or Democrat, can solve the problems we face.
The problem is simply too massive for one country, much less one political party to solve.
Besides, I suspect some people are quite happy with the problem. And, perhaps, quite happy with the fact that there’s little if any financial education in our schools. Intentional or unintentional, it is the lack of financial education that has pushed billions of people to the edge, living lives filled with fear and worry, and uncertainty.
Editor, Rich Dad Poor Dad Daily