By Jonathan Tilt
Gold. Liberator or Enslaver?
I’m a long-term libertarian both social and economic but it has always been the latter aspect that has most interested me. Like many libertarians I see unbacked fiat currencies as the enabler and facilitator of ever larger and increasingly unaccountable government. Government that can essentially expand the monetary supply at will get first use of the new “money” and then repeatedly recycle it through the taxation system. Consequently, I’ve always supported restricting an expanding money supply by backing the currency with a finite asset such as gold. An asset backed currency is the only effective means of forcing the state to live within its means. Once government is solely dependent on taxation for funding then the level of scrutiny by the electorate will increase dramatically. Better, more accountable and much smaller government will be the result.
Traditional dictatorships used the money creation process to fund physical enforcement, paying soldiers, policeman and informers to ensure subjugation of the populace. The wiliest of the dictators ensured they kept a supply of external currency, usually dollars, to enable them to maintain control as their domestic currency lost value and therefore power through debasement. The dollars would be used to pay the police and military once inflation resulted in civil unrest.
The so called western “liberal democracies” have adopted a much more subtle version of what is essentially the same modus operandi. Ever increasing government budget deficits funded by a banking system that continually expands the monetary base are used to entrap as much of the population as possible. Once you are dependent on the government for your income to service your ever-increasing personal debts then you will be very reluctant to speak against the statist narrative.
Government dependency is most obvious amongst those directly employed whether by central or local government. But it extends much further than that. If your income is benefits based or you work for a large corporation with substantial public sector contracts then you are just as much a state dependent as any civil servant.
So the ability to print money has thus far enabled the state in the UK, and elsewhere, to buy acquiescence and compliance from the bulk of the population. Within the English freedom movement, it was increasingly obvious to me how the majority of those who were prepared to speak out were self-employed. And that is precisely why small-scale businesses that support self-employment are the focus of many of the restrictions. Leading the Freedom Alliance party during the fake Covid pandemic I lost count of the number of times I had a conversation with sympathetic supporter which ran along the lines of-
“I agree with you. I’d love to support you and even be a candidate but if I speak out I’m scared I’ll lose my job/pension”.
The threat of pension or job loss isn’t even articulated by the state it’s just understood by the employee. That’s how the most effective bullies and gangsters operate.
But as with the more run of the mill and “in your face” dictatorships the “liberal” enslavement model prevailing in the UK and elsewhere has a fundamental flaw. The more currency you create the less it become worth as the population slowly and then quickly loses confidence in its ability to retain its value. And all money is nothing more than a confidence trick.
The monetary scam has been perpetuated over the past three or four decades by manipulating the inflation statistics and managing interest rates to near zero so that the debt burden could remain serviceable. As far as possible inflation was diverted into house and share prices to manufacture a feel-good factor. But the manipulation is now at end it’s death hastened by the obscene levels of currency creating during the Covid plandemic. Inflation is obvious and undeniable and interest rates have broken out of a 40-year downtrend to rise decisively from virtually zero to 3-4%. In short, the monetary scam is dying and with it the existing population control mechanisms.
So, what happens now?
My belief is that the existing powers know that they must move to a new control matrix as the existing one is at death’s door. Their desired solution is full on digital enslavement.
Money is a confidence trick and if the globalists wait too long to move towards a new monetary infrastructure the remaining confidence in dollars, pounds, euros and yen will evaporate. Needing something to act as a medium of exchange and a store of value the populace will move towards a new organic currency. Bitcoin is a clear threat to the globalists here and once that move to a new money gains momentum the globalists and the western banking system will have lost all control. They need to act before that happens and it is happening in real -albeit it fairly slow- time now.
There is a widespread belief, and fear, in the freedom movement that the globalists will simply decree that we must use all start using their shiny new Central Bank Digital Currencies. If CBDCs are simply a digital only carry forward of the existing failed and inflated currencies, then this won’t work- the essential ingredient of confidence will be absent. The statists really have one option CBDCs will need to be backed with a finite asset, almost certainly gold.
In backing their new currencies with gold, the globalists will inevitably have to accept a much smaller state infrastructure. So how will the new slimmed down state which be paying salaries and benefits to hardly anyone keep its populace under control?
The answer lies in digital control and enforcement. The work of millions of bureaucrats, securicrats and informers will be done by drones, cameras, tracking devices and digital money as the population is corralled into 15-minute zones.
So is gold our friend or foe? In reality that is down to us. The currencies are collapsing and that will continue regardless of what we or our enemies do now. What we need to continue to do is to take every opportunity to frustrate the implementation of the digital control matrix. We don’t need to stop it we just need to delay it long enough for the coming currency collapse to precede it. If we are successful- and I firmly believe we will be- then the gold backed national currencies will promote freedom and liberty for all.