King Dollar Is Losing to King Midas

Stimulating though it is, working at Paradigm Press sometimes feels like you’re part of a band of Cassandras railing against the end of times. Not the end of the world, just the end of the current world. The way things are. Business as usual, so to speak.

However, business is becoming unusual at breakneck speed, although John Q. Public and his wife, Jane, are doing their best to ignore it. That’s why, despite our best efforts, John and Jane always get stuck holding the bag.

Town criers like me and my most excellent colleagues huddle together, backs to each other, metaphorical swords out, fending off as many of the “Nah, it’ll be fine” naysayers as we can. With this in mind, it’s especially comforting to hear those outside our beloved tent say the same things we are.

That’s why I was so excited to listen to Mario Innecco and Andy Schedtman chew the fat on YouTube over things like BRICS, MBridge, the Shanghai Gold Exchange, and the changing nature of the global financial system. After you’ve finished this brief primer, click the link to watch the video. It’s fascinating.

While the mainstream financial media was still high-fiving Apple’s latest “innovation” (spoiler: a slightly different rectangle will be unveiled on September 9th), they were talking about something that actually matters: the slow, deliberate, and terrifying dismantling of the U.S. dollar’s global throne.

And in case you haven’t noticed, the BRICS aren’t just talking. They’re building an entirely new system, brick by brick (pun intended), where the dollar isn’t invited. My erstwhile friend and colleague, Jim Rickards, was perhaps the first person to bring this dreadful news to the people. Now we can confidently say his efforts were not in vain.

Let’s get to some of the essential points Mario and Andy covered.

Like an MBridge Over Troubled Water

The U.S., Europe, and the U.K. are watching from the sidelines as BRICS nations roll out their own payment networks. Forget SWIFT. Think MBridge. Think bilateral trade deals in local currencies. And most importantly, think settlements in gold.

This isn’t some obscure pilot project. It’s a sprawling architecture designed to let 80% of the world’s population trade freely without ever touching dollars, euros, or pounds.

That translates into King Dollar losing its natural bid. As most commodities are priced in dollars (for now, anyway), countries must buy dollars to buy, say, oil. That will be eliminated under this new system. And that means the dollar’s value could free-fall quickly.

A falling dollar may be what The Donald wants. But not a dollar that uncontrollably gets sucked into an abyss.

The Shanghai Switcheroo

China just pulled a neat trick: direct convertibility of the yuan into gold via the Shanghai Metals Exchange. Translation: You can settle trade in yuan and swap it instantly for physical gold.

Even more telling, new gold vaults are popping up in Hong Kong, Saudi Arabia, and beyond. This is by design. They’re ensuring that gold settlement isn’t confined to London or New York, but is spread across friendly jurisdictions.

While Washington’s busy sanctioning everyone and their grandmother, the rest of the world is quietly building a system that doesn’t care about Uncle Sam’s tantrums.

When gold’s pricing goes genuinely global, it’ll be damn-near impossible for Mr Slammy to come in on a Sunday and crush its price. That means the West’s bullion banks lose their power.

Yesteryear’s Reserve Asset

The entire game for the dollar has always been simple: recycle trade surpluses into U.S. Treasury securities. That demand made the dollar the reserve currency.

But here’s the kicker: Treasuries aren’t sexy anymore. They yield little, they’re weaponized, and—oh yes—gold has smoked them over the last quarter-century. Gold doubled Treasuries’ performance with zero counterparty risk.

If you were a central banker in Asia or the Middle East, what would you rather hold: a promise from Scott Bessant, competent though he is, or a shiny bar that can’t default?

America’s Hail Mary: $24,000 Gold?

Mario and Schectman float a wild but plausible scenario: the U.S. could revalue gold to $10,000… even $24,000 an ounce. Remember, Jim once floated the idea, years ago, that the U.S. could revalue gold to north of $26,000.

Why? To re-backstop Treasuries with hard collateral, to “soft default” the dollar via controlled devaluation, and to kickstart American manufacturing with a cheaper currency.

It’s economic shock therapy—one that would torch savers, ignite inflation, and force Washington to roll out Universal Basic Income just to keep the pitchforks at bay.

Would it work? Maybe. Would it destroy trust in the dollar? Yes. Yes, it would.

Follow the Smart Money

While CNBC touts the “AI rally,” insiders are selling stocks and buying gold by the yachtful. U.S. gold imports have exploded. Executives are cashing out of equities while the public is piling in at the top.

That’s not “random.” That’s preparation.

As Schectman puts it, “Those closest to the information are moving into precious metals and out of dollar assets.” The herd in which John and Jane Public reside will be the last to know—again.

And that’s not even mentioning the central banks that started this gold rally a few years ago.

Silver: The Forgotten Nuke

And let’s not forget silver. If gold is the new monetary settlement, silver is the most undervalued insurance policy on earth.

BRICS nations are stockpiling. Physical deliveries on global exchanges are spiking. Industrial demand is relentless. Meanwhile, the price still lingers as if it were 2010.

Silver isn’t just a commodity. It’s monetary napalm waiting to catch fire.

We’re above $40 as I write this. Surely $50 can’t be too far away.

Wrap Up

Here’s the truth: the BRICS aren’t bluffing. They’re building an alternative monetary order, and gold is its backbone.

The dollar’s monopoly is crumbling. Treasuries have lost their magic, as well as a ton of their value. And Washington’s only real counter is to nuke the dollar’s value and start over with a higher gold peg.

You can either dismiss this as tinfoil-hat talk… or recognize it for what it is: the biggest tectonic shift in global finance since 1944.

Insiders already know. BRICS already know. And now you know, too.

I hope you’re long gold, silver, and gold and silver miners. You’ll need to be.