Global Currency Reset Happening Now as Bitcoin Price Explodes

A major risk to the solvency of the banking industry is the notional amount of financial instruments such as interest rate swaps known as derivatives.

A recent report stated that US banks have over $200 trillion of derivatives exposure:

Financial Weapons Of Mass Destruction: The Top 25 U.S. Banks Have 222 Trillion Dollars Of Exposure To Derivatives - The Economic Collapse Blog, May 15th, 2017 

This shouldn't be anything new as Forbes covered global derivatives exposure over four years ago: 

Big Banks and Derivatives: Why Another Financial Crisis Is Inevitable - Forbes, January 8, 2013

the risk that is still staring us in the face: the lack of transparency in derivative trading that now totals in notional amount more than $700 trillion. That is more than ten times the size of the entire world economy. Yet incredibly, we have little information about it or its implications for the financial strength of any of the big banks.

Moreover the derivatives market is steadily growing. “The total notional value, or face value, of the global derivatives market when the housing bubble popped in 2007 stood at around $500 trillion... The Over-The-Counter derivatives market alone had grown to a notional value of at least $648 trillion as of the end of 2011… the market is likely worth closer to $707 trillion and perhaps more,” writes analyst Jenny Walsh in The Paper Boat.

"The market has grown so unfathomably vast, the global economy is at risk of massive damage should even a small percentage of contracts go sour.  Its size and potential influence are difficult just to comprehend, let alone assess.”

To understand the risk of derivatives to the global economy, one should understand the history of fiat currencies and how money is created by central banks. Mike Maloney has a great series that I recommend:
Mike Maloney's Hidden Secrets of Money

While there are real industries that make real products, one can nevertheless sense that global markets are rigged and current economic wealth is really an allusion created by the central banks.

Recently, there has been a parabolic price move in Bitcoin (along with several other cryptocurrencies) recently! As of this writing, Bitcoin is trading at over $2600!

China's instability is one of the main drivers of this spike.
Gundlach: "Bitcoin Up 100%, China Down 10%, Coincidence?" - Zerohedge, May 23, 2017

Bitcoin up 100% in under 2 months. Shanghai down almost 10% same timeframe, compared to most global stocks up. Probably not a coincidence!
— Jeffrey Gundlach (@TruthGundlach) May 23, 2017

Moody's downgrades China for first time since 1989 as it warns financial strength will erode as debt mounts - The Telegraph, May 24, 2017
China's Downgrade Could Lead to a Mountain of Debt - Bloomberg, May 24, 2017

Who's Behind The Spike In Bitcoin? - Forbes, May 24, 2017

..it looks like Chinese money is going into bitcoin, global stocks and bonds. But not gold. Remember, the story of the latter 2016 and early 2017 period, out of China, has been the Chinese government's efforts to restrict domestic capital from leaving China. It doesn't appear that they are winning.

In addition, there is increasing implementation of Bitcoin this month on a global scale. Here are some examples:
The Japanese are Using Bitcoin More than Expected - Bitcoin.com, May 8, 2017
Australia Will Recognize Bitcoin as Money and Protect Bitcoin Businesses, No Taxes - Cointelegraph, May 11, 2017
Bitcoin Coming To Russian E-Commerce Giant Ulmart Starting September 1 - Cointelegraph, May 11, 2017
India's Zebpay Has More Mobile Users Than All Korean Bitcoin Apps Combined - Cointelegraph, May 17, 2017
You Can Now Pay Bitcoin for Parking at 27 UK Airports - Cryptocoins News, May 19, 2017

Even Fidelity Investments is acknowledging the increased demand:
Fidelity to allow clients to see digital currencies on website - Reuters, May 23, 2017

I suggested in a prior post that Bitcoin would be the best alternative for the US to counter the economic alliance between China and Russia:
As China and Russia Move Toward a Gold Standard, US Must Join Them or Counter with Bitcoin - April 4, 2017

There are small hints that the Trump administration is pro-Bitcoin:

Bitcoin prices are soaring under Trump - CNNMoney, May 22, 2017

His budget director, former US House member Mick Mulvaney, had been dubbed the "Bitcoin Congressman" by some of the currency's backers.

And vice president Mike Pence's chief economist Mark Calabria has given speeches in support of bitcoin as well. Calabria was formerly the director of financial regulation studies at the libertarian-leaning Cato Institute before joining the administration.

Did Sean Spicer actually tweet a Bitcoin transaction? - Raw Story, May 3, 2017

But, there have been some like blogger Michael Krieger who think that President Trump is completely controlled by Wall Street:

Wall Street Completely Owns the Trump Administration - Liberty Blitzkrieg, March 17, 2017

Maybe he has a point. Just look at the number of Goldman Sachs alumni in his administration. Also, the manipulation of markets (stock, commodities, bond, etc.) continues unabated.

Others, like Brandon Smith, are adamant in spreading a completely bogus theory that President Trump has been selected by the central bankers to be a scapegoat for future economic calamity:

The Trump Collapse Scapegoat Narrative Has Now Been Launched - Alt-Market, May 24, 2017

Trump’s presidency would be the perfect vehicle for central banks and international financiers to divert blame for the economic crisis that would inevitably explode once the Fed moved firmly into interest rate hikes

No one with even a primitive understanding of economics can possibly blame President Trump for some future economic collapse. In that case, blame will be placed squarely on the FED. I easily refute Mr. Smith's assertion in my prior post:

Donald Trump Will End The FED And Move US Toward The Gold Standard - January 2, 2017

So, what is the solution? One approach, suggested by Dr. Ron Paul (back in 2011) would be to declare bankruptcy and return to a gold standard. The market manipulation could end with a new system in place.

Ron Paul: U.S. should declare 'bankruptcy' - CNN Money, June 28, 2011

That would be an incredibly dangerous approach in my opinion. Imagine the 10-year bond moving up 300 basis points (i.e. from 3% to 6%) over a short period of time. With banks completely leveraged and holding trillions in derivatives, they would become effectively insolvent. The whole economy would then implode.

I think a better approach, which is maybe what the Trump administration has settled on, is to try to stave off bankruptcy (via Plunge Protection Team) until an alternate system (like Bitcoin) is in place. Ultimately, Bitcoin is an enemy to all central banks including the FED. As individuals opt to use cryptocurrencies (i.e. wire transfers, payments) and move away from using fiat currencies, the central banks lose their control over people. The central bank will effectively be irrelevant. This alternate system which is being implemented right now is part of the global currency reset that has been discussed for years.

The president of the Federal Reserve of Minneapolis, Neel Kashkari, made some interesting comments about Bitcoin a few weeks ago:

Fed's Kashkari Says Blockchain 'Has More Potential' Than Bitcoin - Coindesk, May 9, 2017

"This is a topic a lot of people across the Fed are paying attention to and watching how it evolves."

"The problem I have [with bitcoin] is while it says, by design, you're limiting the number of bitcoins that can be created, it doesn’t stop me from creating NeelCoin or somebody from creating Bobcoin or Marycoin or Susiecoin."

Perhaps Mr. Kashkari didn't realize he was actually making an endorsement for Bitcoin with his statements. Central bankers shouldn't be the only ones allowed to create money.

In fact, anyone can should be able to create their own cryptocurrency. While over two years old, you can get essential instructions from these articles:

How To Create Your Own Cryptocurrency - Fast Company, January 29, 2014
How Anyone Can Make Their Own Digital Currency - Cryptorials, June 12, 2015

(Wow, maybe this can convince some unfortunate, misguided individuals that the Jews really don't run the world and control all the banks.)

Back in 1980, as the price of gold and silver exploded higher, the FED raised interest rates several times. They also stopped the Hunt brothers from cornering the silver market. Today, a similar interest rate increase is not possible as the national debt (as % of GDP) is much higher than it was back then.

Although the precious metals markets are rigged, as evidenced by the recent Deutsche Bank settlement,
Deutsche Bank Settles Silver, Gold Price-Manipulation Suits - Bloomberg,  April 13, 2016

Wall Street has limited resources for manipulating cryptocurrencies. There are no ETFs (Exchange Traded Funds) approved by the SEC that directly track cryptocurrencies like Bitcoin. So, there is limited potential of selling short Bitcoins. There could be future raids on one of the exchanges (i.e. Mt. Gox) but this will only be temporary setback and not stop the momentum of cryptocurrencies.

We can only hope that the transition is smooth. I wouldn't count on it.

Trump U-turn - Defies the Deep State, Engages in Epic Battle to Drain the Swamp and Avoid Nixon's Fate

President Trump must accomplish three things (with reasons included) to be a successful president:
1. Prevent a world war: Billions would die so no rational person wants that
2. End the FED: Outlined in earlier post: Donald Trump Will End The FED And Move US Toward The Gold Standard – January 2, 2017
3. Fight corruption in government and 'drain the swamp': Outlined in earlier post: President Trump Will Drain The Swamp (or die trying) – February 13, 2017

I believe he will be successful on all fronts. Note: This is all dependent on the American people (not the useless mainstream media) to apply continuous pressure on his administration to achieve these results.

Over the past month, President Trump embarked on a shift in strategy where he effectively joined the deep state to consolidate support and deal with the North Korean issue.
I covered this shift here:
President Trump Joins the Deep State and Ron Paul Leads the Fight Against It - April 30, 2017

So, after realizing the absolute hopelessness of compromise with the deep state, President Trump has appeared to make an effective u-turn to restart the fight against it. Note: The deep state does not want good relations with Russia.

First, he fires FBI Directory James Comey. Then, in a clear act of defiance towards the deep state, he meets with the Russian Foreign Minister. I guess the president really does not care who calls him a Russian agent.
Trump meets Russian Foreign Minister Lavrov amid Comey firestorm - Fox News, May 10, 2017

I really like Dr. Ron Paul's idea - hopefully one step at a time:
Comey Fired...Now Fire The FBI! - Ron Paul Institute for Peace and Prosperity, May 10, 2017

Any time the mainstream media disapproves of the president's actions, he must be doing something right - think of it as an inverse relationship.

He is in good company as some would have called President Lincoln a Russian agent!!
Abraham Lincoln Civil War Caricature - "Extremes Meet", October 24, 1863

Shortly thereafter, President Trump met with Henry Kissinger - highly connected member of the deep state:
Donald Trump Holds Surprise Meeting with Henry Kissinger on Syria - Breitbart, May 10, 2017

Was there a deal cut or did he give Kissinger an order? We'll find out soon.

In case you are in the dark about this deep state...here is a brief definition.
What Is the 'Deep State'—And Why Is It After Trump? - Atlternet, February 16, 2017

The Deep State is shorthand for the nexus of secretive intelligence agencies whose leaders and policies are not much affected by changes in the White House or the Congress. While definitions vary, the Deep State includes the CIA, NSA, Defense Intelligence Agency, and components of the State Department, Justice Department, Department of Homeland Security, and the armed forces.

In addition, the deep state includes former government officials (like Kissinger) who still exercise influence in policy.

Laughably, some publications refuse to accept the existence of the deep state:
There Is No Deep State - The New Yorker, March 20, 2017

But I just posted how numerous discredited mainstream media outlets have come around to acknowledge its existence (see comments section as well):
MSM Acknowledges Existence of Deep State - February 3, 2017

This article makes an interesting comparison between President Trump and President Kennedy:
Trump, JFK, and the Deep State - The Unz Review, March 14, 2017

Even better, Patrick Buchanan has an informative comparison of President Trump and President Nixon that adds perspective:
Nixon and Trump, Then and Now - Townhall, May 9, 2017
Mr. Buchanan ends his article:

The same deep state enemies await a similar opening to do to Trump what they did to Nixon. Rely upon it.

So, is Mr. Buchanan implying that Watergate was a deep state conspiracy? I don't know, but Russ Baker has a good analysis on the matter. (Why are the Bushes always involved in these things???)

Watergate and the Future: News for 2009 - Raw Story, December 22, 2008

Here is some proof of the Nixon - Bush connection:

Nixon Nearly Picked Bush as VP - US News & World Report, August 10, 2011

For insight into the infamous recordings made during President Nixon's term:

Nixon, Watergate, and the JFK assassination - Baltimore Post-Examiner, July 2, 2012

At one point, Nixon says, “When you get these people, when you get these people in, say, ‘Look, the problem is that this will open the whole Bay of Pigs thing  …”

At another point in the same conversation, Nixon says, “this is a Hunt, you will – that will uncover a lot of things. You open that scab and there’s a hell of a lot of things that we just feel that it would be very detrimental to have this going further.”

Hunt was E. Howard Hunt, a longtime CIA operative and one of the Watergate burglars.

In his memoir, Haldeman wrote that he believed “Bay of Pigs” was Nixon’s coded way of referring to the JFK assassination.

Bay of Pigs – the botched invasion by CIA-trained Cuban exiles – occurred on April 17, 1961, during JFK’s first few months in office. It was a plan JFK had inherited from the Eisenhower administration.

President Nixon faced impeachment and was completely isolated at the time he resigned from office. He never revealed what he really knew to the public. The situation today is completely different. As a political outsider, President Trump has no need to protect anyone in the deep state. Any move to impeach or remove the president from office via the 25th amendment would further expose the deep state and enhance the president's stature.

Since even Politico knows that the discredited CIA lied about the JFK assassination:
Yes, the CIA Director Was Part of the JFK Assassination Cover-Up - Politico, October 6, 2015

President Trump can start the process by first releasing the files:

Will Trump Release the Missing JFK Files? - Politico, April 27, 2017

And later, just distribute my prior post:

Was 9/11 An Inside Job? - August 29, 2016

Expect chaotic times ahead.