Original | Liu Jiaolian
BTC ( Bitcoin ) took advantage of the situation to return to the 30-day moving average over the weekend and is now hovering at 69k. The window of opportunity to add positions below $70,000 is like the wasted years of a lifetime, one day less each day, in every tangled and twisted day, in the weak and hesitant waiting, like a surging river, flowing eastward and never returning.
Watching Chang'e 6 successfully carry out the first soil sampling on the far side of the moon, I can't help but recall that on August 15, 1971, President Nixon, the only president to complete six consecutive manned lunar landings during his term, unilaterally announced to the world that the window for exchanging dollars for gold would be closed.
The US dollar, which is no longer anchored to gold, has become a "virtual currency".
In the 1970s, people all over Europe began to refuse to accept US dollars, and even beggars wrote "No US dollars" on their hats. ("The History of Bitcoin" Chapter 10, Chapter 42)
At the same time, the first oil crisis occurred. In October 1973, the member countries of the Organization of Arab Petroleum Exporting Countries, led by Saudi Arabia, announced an oil embargo on countries that supported Israel during the Yom Kippur War. The embargo lasted for nearly a year and officially ended in March 1974. During the embargo, global oil prices rose by nearly 300%. The surge in crude oil prices caused an economic recession in developed countries in Europe and the United States.
It also happened that Kissinger became President Nixon’s Secretary of State in 1973, just two years after the end of the gold standard.
Kissinger demonstrated his superb diplomatic skills. First, he persuaded President Nixon to fully support Israel's military victory in the Yom Kippur War (the fourth Arab-Israeli War) in October 1973. The first oil crisis was a retaliation by the Arab world.
But Kissinger was not afraid. On the contrary, this was probably exactly what he wanted to see. In June 1974, Kissinger met with the Saudi king and successfully "persuaded" Saudi Arabia to reach an arms sales agreement and "oil-dollar-US debt" bundling agreement with the United States through the threat of force (the "Dhahran IV" invasion of Saudi Arabia plan).
Among them, regarding the "oil-dollar-U.S. debt" bundle, Saudi Arabia promised:
First, sell oil only in U.S. dollars.
Second, invest the dollar surplus in U.S. bonds.
The term “petrodollar” also appeared on the stage of world economic history in the same year as a compound word. In 1973, Egyptian-American economist Ibrahim Oweiss and former U.S. Secretary of Commerce Peter G. Peterson proposed the term.
Many people only know one side of the petrodollar. They only know that oil is tied to the dollar for pricing and sales, but they don't know that the more important thing is to return the dollars earned from selling oil to the United States to buy U.S. bonds and support U.S. bonds. This is a closed loop. Taking out the money earned and buying U.S. bonds is a key part of the closed loop.
Just like Made in China, which has been tied to the dollar-U.S. debt cycle for decades. Chinese people work overtime to produce socks and shirts, sell them to the United States to earn a few dollars, but dare not eat or spend them, and have to buy U.S. debt to return to the United States. Workers "lend" their wages to their bosses just to prevent the bosses who do not work from going bankrupt, so that they can stay unemployed and continue to work and work like slaves?
Don't think that there are few workers with such brains. Many people will be fooled by changing the packaging. The boss takes out equity and asks employees to subscribe. The boss develops a financial product and asks employees to invest. Haven't you seen all these tricks around you?
You thought the boss was going to rush to the market with the brothers to harvest leeks, and dream of getting rich by sharing the spoils. Little did you know that the boss was just thinking about harvesting leeks from you stupid brothers. In such a company, personnel and internal propaganda are very important. The stupid brothers must be brainwashed to make them fall into the trap. The more brainwashed, the stupider they are, and the less likely they are to be competitive and combative in the external market. How can a group of fools have combat effectiveness? It is precisely this boss who is keen on brainwashing his brothers into stupidity, who likes to shout about "wolf spirit" the most, complaining that these brothers look like idiots instead of sharp-eyed jackals. In fact, the boss knows very well that his system is to raise fools, how can it raise wolves?
Therefore, the United States is number one in the world in psychological warfare and cognitive warfare, number one in media control, number one in PRISM surveillance, and number one in Hollywood special effects.
The highest level of brainwashing is to make you desperately deny that you have been brainwashed. The highest level of controlling the media is to make the audience desperately defend it by saying that there is no manipulation or control. The highest level of movie special effects is that foreign believers and industry experts believe it and desperately attack those who dare to question it and call them ignorant.
If you control a person's thoughts, you control his wealth. If you control his wealth, you control his behavior. If you control his behavior, you control his body. If you control his body, you control everything about him.
Break free from the cage of thought and you will be free from control. Liberate your mind and you will liberate everything. To liberate your mind, you only need to start with a very simple and almost cost-free thing - questioning.
"It has always been like this, is that right?"
When one person starts to think about this question, the cage of thought has already begun to loosen. When everyone dares to think about this question, the shackles of thought may be broken.
If Saudi Arabia spends all the dollars it earns from selling oil, it will invest in China and buy China's advanced weapons and aerospace technology. China will not buy U.S. debt with the dollars it gets, but will "lend" them to third world countries that owe the United States high-interest loans, so that they can quickly pay back the high-interest loans and not be blown up by the high-interest dollar cycle, and then go bankrupt and be harvested. On the left, it agrees with Saudi Arabia to buy oil in RMB in the future, and on the right, it agrees with third world countries to repay in RMB. On the left, Saudi Arabia can continue to invest in China and go shopping with the RMB it earns from selling oil, and on the right, third world countries can do business with China and earn RMB to repay the loans. The dollar is out.
Why is the harvest effect of this round of interest rate hikes by the Federal Reserve so unsatisfactory? In fact, the longer the Federal Reserve maintains high interest rates, the more dollars will flow back to the United States, which will accelerate its exit, leaving a huge vacuum and an excellent opportunity for substitutes to fill the vacuum. In the article "This Time the Dollar Ebb is Different: Historical Opportunities for Three Replacements" published on April 24, 2023 last year, this logic has been explained to some extent. Friends who have not read it or have forgotten it may wish to click on the title to review it.
Don't think that anyone dares to covet the opportunity to grab a position during the dollar contraction period. The deterrent power of the US military is not vegetarian. There are many smart people, but there are few people who can convince the US military with the truth.
99% of people cannot see through it. Among the 1%, 0.99% see through it, but do not grasp the truth and cannot convince others. Only the last 0.01% not only see through it, but also grasp the truth. They are the ones who finally convince the Federal Reserve.
A believer in the dollar must first be a nationalist, and an American nationalist. Even if his passport does not show American nationality, his spirit must have already converted to the United States. The reason is simple. As a country, the United States controls the right to print dollars. If destruction and sanctions can help defend the right to print money, then it will certainly not hesitate to do so.
If any single sovereign is deprived of the right to print money, and there is such a super-sovereign currency, such as Bitcoin, then its owner will never choose any practice that is harmful to the productivity of any country. Confiscation, blockade, sanctions, war, and other actions that are detrimental to the development of productivity will be resisted. Any destruction of productivity will undermine the value of the currency. Pacifism, pluralistic politics, and free trade will be the best options.
The absurd theory that war destroys production capacity and can drive economic growth will be rejected. Wealth will never be created through destruction. The stronger the production capacity, the more and better things are produced, and people have more good things to consume and use. Isn't this a great thing that is beneficial to the happiness of the people? The problem is not that there are too many products, but that there is too little money. Why is there less money? Because the Federal Reserve is pumping water and draining the pond to catch fish. Why does it drain the pond to catch fish? Because it does not produce itself, it wants to complete the redistribution of wealth through the redistribution of currency.
To this end, it does not hesitate to destroy the wealth of others.
Any money and currency are just abstract concepts and numbers, and are not wealth in themselves. Products, the machines that produce them, factories, workers, and the land that owns them are the real wealth.
An owner of a super-sovereign currency, a Bitcoiner, will eventually realize that what they want to protect are those countries that create real wealth, not those countries that would rather destroy other people's wealth as a means to redistribute other people's wealth. This is the true unity of knowledge and action, and one's own cognition is worthy of the Bitcoin assets in one's hands.
Anyone who no longer believes in the US dollar, abandons the US dollar and buys Bitcoin, even if he is an American, at that moment, is no longer an American nationalist, but becomes an internationalist.
Recently, we have observed a perfect example: Trump. In preparation for the upcoming election in November this year, he completely changed his mindset 180 degrees, from a staunch defender of the US dollar to an active supporter of cryptocurrency, a supporter of Bitcoin, at least verbally.
Let's wait and see. If he really changes his mind and stance as he says, and really becomes a Bitcoiner, then we can continue to observe whether he will evolve from an American-centric nationalist to an internationalist in terms of political advocacy. Not the kind of globalism that dominates the world, like the Democratic Party, but the kind of internationalism that is like the International.
If we see several examples of this kind of internationalist transformation in the near future, it will be a great victory for Bitcoin. Satoshi Nakamoto’s ideas are shining brightly around the world.
(Official account: Liu Jiaolian. Knowledge Planet: reply “Planet” to the official account)
(Disclaimer: The content of this article does not constitute any investment advice. Cryptocurrency is an extremely high-risk product and there is a risk of it returning to zero at any time. Please participate with caution and be responsible for your own actions.)
