“Money is gold, and nothing else.” – J.P. Morgan
For a succinct primer on why gold naturally serves as money, read Alan Greenspan’s Gold and Economic Freedom, wherein he explains that as a luxury good of limited supply and limitless demand, gold naturally serves as money, and it is antagonistic to the welfare Statist, because it prevents the unhampered growth of government through inflation: “Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process.”
Money fundamentally serves as a medium of exchange, a unit of account, and a store of value, solving the double coincidence of wants by facilitating trade in the market economy.
Money stores value over time.
Contemporarily, “money” has been replace with bank credit, which is non-interest bearing, unsecured debt, created when banks make loans, and it is the act of borrowing that brings money into existence.
This sleight of hand, of replacing sound money with bank credit is the basis of social and economic degeneracy, including the subversion of logic, math, and language, such as the intentionally impossible and unproductive debate about whether a man is a woman. Progress is impaired by this subversion – zeros are not ones.
People are born poor, and they must produce in order to survive. Because people depend on money, they are subservient to the exchange medium, and by extension, the individuals who control bank credit.
Commercial bank credit as money is the fifth tenet of Communism (centralization of credit in the hands of the state, by means of a national bank with State capital and an exclusive monopoly). This Communistic monetary monopoly affords the government with the means to finance its unhampered growth through wealth expropriation. Empirically, all fiat currencies eventually return to their intrinsic values – zero. Thus, bank credit is a degenerative medium of exchange.
Degenerative money produces a degenerate people.
The sleight of hand of imposing bank credit for real money transforms the medium of exchange into an instrument of anti-capitalism. Bank credit as an exchange media is the means for the limitless expropriation of value from those who produce to those who predate. To the banks goes the interest – to the public goes the servitude. This system degrades men into slaves, by requiring them to first agree with any and all ideas, in order to survive, including those ideas that are intentionally subversive.
The banking system enables the minds of the populace to be hacked, by requiring people to accept invalid ideas in order to remain market participants. Theoretically, in a democracy, an individual has the right to redress through free speech, but contemporarily, we witness that commercial banks have debanked individuals who disagree with the American Communist State.
By mandating permission to perform transactions, the banking system dictates the flow of capital – they determine who may trade what with whom, and in doing so, the free market ceases to exist.
Given that production, or the delivery of value to the market economy, is vital for human survival, the practice of debanking individuals, relegates men to scarcity, which extrapolated is death. This is not theoretical – individuals in America are debanked for their political positions and speech, despite their rights to free speech as afforded by the Constitution of the United States of America.
Distributed ledger technology (DLT) provides the means to engineer superior alternatives to this economic system of slavery. Asset-based currencies are one promising alternative.
And, since money represents stored energy, it follows that the most effective backing for such a currency is the means of energy production itself. If energy production is the basis for nations to maintain their independence and sovereignty, then we assume energy production is also the basis to maintain individual sovereignty and freedom.
Asset monetization, instead of debt monetization, provides a window to a new vista of prosperity where money is productive, not degenerative, over time.