July 2018 Insider’s Report
What is going on guys? Brandon Gentile here, Legacy Group Real estate team. We have your July 2018 Insider’s Report. This is our macro 30,000-foot view of what’s going on in the world, in the economy and the markets in real estate, in, you name it; politics, pop culture. I don’t care. It kind of goes everywhere and it’s kind of determined by you guys because I get a lot of questions on this stuff. It’s something I love researching and this is really my passion. If I could make money by just researching things and then getting information out, and insights, I would. I’m going to try not to take too long; this has the potential to go long, but what I actually decided to do is we’re going to go through the five different phases.
Basically, I have a Mike Maloney presentation who is one of my biggest mentors, currency historian, monetary historian, and going through basically what value is, how you determine value. Everyone thinks currency, the dollar is money and it’s not right. Gold and silver is money we’ve gone over this over and over and over. Currency is fiat. We have a Fiat currency that is not backed by anything. It’s just paper. You go burn it in the street doesn’t mean anything. It only means something because you and I believe it means something. That’s literally the only reason. If we all woke up tomorrow and said it’s not worth anything, well guess what? It’s not worth anything. So going through that, that’s going to be what I’m gonna walk through a little bit of each phase today. Over the next six months, basically between now and the end of the year, we’re going to go through each phase more in depth and we’re going to talk about it more and hopefully leading into an awesome 2019.
That way we can all be really well versed in what’s going on, and knowing what the hell is going on because there’s a lot of crazy stuff going on. I threw a couple of things in here that are kind of big topics right now that are going on. This has to do with politics, geopolitics, history, currency wars, BIG macro things. You’re not going to generally see the Kardashians up here. She’s not going to be up here with her new lipstick she is trying to sell, you know, things like that. Things that are truly important and that affect all of our lives, whether it’s little, big, just a little bit, however, it affects our lives in some way. It affects your life when you go to pay. We’re going to talk about a little bit when Russia and China, the BRICS countries, Brazil, Iran, all these other countries, as well as India.
The US Dollar Value
All these countries are going and trying to pass and usurp the petrodollar, the US dollar. They are trying to trade in other dollar and other currencies, you know, the Yuan, the Renminbi, the Chinese currency or the euro, things like that, and they aren’t using our dollar. Well, what happens when our money starts to become worthless because it lost 95 percent of the purchasing power of the last hundred years since the Federal Reserve was created in 1913. So what happens when it fully goes, becomes worthless. You know, what happens then? What happens when 50 percent of our currency, we don’t have super high inflation right now and we should because 50 percent of our currency is exported outside the United States. What happens in that, that all come home to roost. What happens, you know, these are things I want to talk about. These are things that need to be talked about. I want to put out into the public forum, that way we can talk about them and people can debate about these things.
This is what’s so important because these are the things that are coming. Absolutely coming down the road. They’ve been coming for a long, long time. These things, a lot of these things have come in the past. They’ve happened in the past, pretty much all of them. They’ve just been coming at different scales, you know, maybe it was a little smaller scale or maybe it’s a bigger scale. Maybe it was 80 years ago, maybe that was 40 years ago, whatever it may be. So we’re going to talk a lot of stuff. We’re talking about different time periods and different life cycles and the Kondratiev wave and all these different things that basically explains what’s going on and what we’re going to enter in, and the opportunity that lies because it’s not all bad.
What is wealth?
If you look at anyone, Warren Buffets of the world, if you look at Robert Kiyosaki, if you look at, Ray Dalio or Carl Icahn or at any of these huge investors are and these people at all, they made their biggest wealth. Mike Maloney, who just, in a video recently, I just saw him talking about the biggest wealth, the fastest wealth he’s ever made in his life was in the 2008 crash. And a lot of people ask, well how is that? Why, how, why is that? Well, it’s because they’re not focused on one asset class, like 99 percent of the population is. They’re not just focused on stocks and bonds and mutual funds, you know, paper assets. Basically the paper asset class, stocks, bonds, mutual funds, IRAs, 401k’s bonds. They’re not focused on that. They’re focused on other asset classes.
When those asset classes are up, what’s down, you know, gold and silver are down, commodities are down generally. So, a lot of times they’re in asset classes like that. That might be in business. They might have a real estate portfolio, apartment complexes. Then what happens when people lose their homes? They need to go rent. So the rents go up and people fill their apartments. What happens when the stock market crashes or real estate crash as well. Then gold, silver shoot up, you know, things like that. So again, stuff that needs to be talked about, we want to get into more and more. I don’t want to get too sidetracked. Like I said, we’re going to talk about what. I briefly touched on some of that today, but we’re going to get more and more into over the next six months talking about each thing. So what is wealth, right? Wealth versus value, you know, that’s really the first. The other one we’ve got. Everything bubble. That’s a fun one. Then we’ve got the death of dollar standard, we’ve got crypto, then we’ve got precious metals.
So anyway, that’s when it’s going to be a really quick synopsis of all this today. This is going to be basically August, September, October, November, and then December, and we’re gonna go through all of these in more in-depth and talk about what’s coming and what to do next; what kind of wrap here with; what to do next. Precious metals, and again, this could be the market. If this was inverse stocks and real estate would be amazing, right? Precious metals just happened to be one of the big answers right now because of the market cycle we find ourselves in. So anyway, let’s go through this really quick. Trump and Putin, so what do you think about that? What is everyone’s thoughts, on Trump and Putin, what he did or did not do?
Trump and Putin Election Controversy
It’s pretty interesting to see what was happening. I find it ironic that during the 2012 debates, Mitt Romney said that Russia was our biggest political or geopolitical enemy and Barack Obama, the President at the time and many people laughed at him. They said 1980’s called and want their foreign policy back if I recall, was the words out of the President’s mouth. It’s funny because ever since then, Russia has been literally our biggest enemy since then. They invaded Crimea. They’ve been annexing territories. They’ve been sabotaging our elections, all these different things. All of our intelligence agencies have said they’ve tried meddling. They had done some incredibly insane things. Just what came up the other day actually, and one of the testimonies that Congress was, I think, was representative Louie Gohmert who was talking about how they got some of the information, the Guccifer, whatever they set up, the Russian spies, the 12 people that got indicted. They found there were 12 Russians were basically set up this network using bitcoin to buy a VPN, which is a “dark web” server to lease a Malaysian server basically to set up Guccifer, which is helping and meddling in the election and whatever the heck they’re doing, all these different things.
The fact that that happened is mind-boggling because of number one, Bitcoin was supposed to be untrackable, right? Like many, so many. The crypto bugs and Bitcoin bugs said that it was something where it was a secure network where you couldn’t track things. Then here we have the NSA, our security intelligence agencies could track and find this process where the Russians literally did six steps in order to not be tracked. We tracked it and we’re like, oh yeah, it’s right here, and that was not in the news anywhere and that shouldn’t be shaking the world to the core. If people are doing stuff on the “dark web” or through Bitcoin thinking they’re getting away with things, you’d better be shaking in your boots because that is unbelievable. It’s funny because we have the government who can find Russians doing shady things and track them all through these untrackable places.
Yet we can’t find emails on a server, we can’t find this and that here with people that are doing things against our own country, in our own country. Elected officials are doing things on unclassified servers and setting up their own servers. Yet we can’t find the emails, no we can’t. So it’s just unbelievable. It’s the government talking on both sides of their mouth as usual. Typical government, this is why we have the Constitution. This is why we left Britain in the 1700’s because of things like that. Governments always lead to corruption, always, always, always, always. Government produces corruption because it’s power and humans want power and there’s nothing. The government doesn’t produce anything, if you ever have seen this meme of a Puerto Rican, people always are saying to the government workers. “Hey, we’re paying our taxes at the, it’s an outlet strip plugged into itself, but you pay your own taxes, you’re getting the money back out so, you’re actually just paying yourself.”
That’s why we are set up the way we are set up to your limit the size of government. When the government gets bigger and bigger and bigger and there’s more and more of those jobs. You’re not producing something, it’s a servant-based position. Number one, when you’re an elected official, but then this on top of that, you aren’t providing that good or service that’s needed as in the government. That’s not the government’s role or responsibility. It’s not that person’s fault, it’s not their fault, it’s just not the role of the government. The government’s job isn’t to do that, none other than the military, so you know, they handle transactions and money, currency and they take care of transportation and roads, and they take care of the borders.
Just the other day I just saw a thing that California, there’s a school district, they want people that are not citizens. They want them to vote in their PTA meetings or board meetings or whatever it is. I mean that talked about opening a can of worms. That literally means if you set that precedent, that means anyone anywhere in the world can just come over and be like, “I’m voting in your election and I have nothing to do with you at all. I don’t live here. I don’t do anything, but I’m going to vote and tell you how you’re going to live your life.” That is scary as hell when you opened that can of worms. I mean, watch out!
Opportunities on Cryptocurrency
Crypto, down and up, crypto. That is a, again, we’re going to talk about this as we go crypto and blockchain, Hashgraph, unbelievable opportunity. We have to become an even freer people than we already are in help allow the world. Fortunately here in America, we have a lot of freedoms already and they’re dwindling for sure, but we still have a lot of freedoms. Well, guess what, a lot of doesn’t have a lot of freedoms. Well, guess what? Crypto would be amazing. Amazing if we could get crypto, you know, across the world and to free people and to get government out of that, that’d be incredible. But we’re in the fight of our lives, and again, I’ll put an AI down here, AI and VR because that’s obviously something that’s always. The biggest hedge funds in the world, there, everyone’s trying to get there in a mad scramble right now trying to create their own cryptos, trying to create their own ETFs, but they’re trying to create their own funds in their own crypto so they can get on the game and they want to regulate that. If they regulate this and we let them regulate that, then the game’s over, the game’s over, we’re screwed because then if the government doesn’t like you for some reason, the government might not like this talk. I mean, I don’t really care if they don’t like it. That’s just life. People need to speak the truth. But if the government doesn’t like it, no matter where you live; in Cuba, America, you live in Malaysia, it doesn’t matter. If they don’t like you and you’ve let them regulate this they can shut you down. One button, boom, you’re gone. You’re off the grid, you’re gone. You can’t pay for anything. You can’t do anything, shut you right off. That is a fight we’re entering right now. Again, no one’s talking about it.
3-D Printed Guns
This is something I’m just going off in the last few weeks. Nobody’s talking about this at all. This is incredible. There’s a court case that would just was won by, I forget the gentleman’s name now. He’s like a 30-year-old guy and he created the first 3-D printed gun made the first lower and won the court case saying that you can’t (he put the 3-D prints up on his website for anyone to download) and the courts said, “Yeah, you can’t tell someone what they can’t put up on their site. You can do what you want to do.” That’s free speech, which it is. And it bled into the second amendment obviously. So it was a first amendment argument and a second amendment argument, and he won. Rightfully so. Well, guess what? Now that this, this is the case, you’re never any nor could you ever have ever in history, which you’re going to see here in a second ever get rid of guns. People want to say, we need to get rid of guns. We need to get rid of guns. You don’t get rid of guns. That’s like saying, you know what? We need to get rid of every, every piece of sand on the rest of the face of the earth. We need to get rid of every speck of sand across the earth. Let’s do that. Well, great. You have planned for that. You let me know how you. You’re never gonna do that and now this is guaranteed it because now you can 3-D print guns.
So, no one, media, no one’s talking about this. I mean that huge, done, done. You can print guns, you can send them. Anyone can print a gun. The machine cost $1,600, so you got to get the liquid metal and that’s it. You have guns anywhere, anywhere in the world, anytime. Largely here, probably in America. Which again, a reason why we have the Second Amendment because people aren’t going to come to attack us and the mainland we have right here, segueing into this 400 million guns in this country just came out recently. 400 million guns. Think about how much, how many guns? I have an article actually talking about this and I forgot I don’t have all the exact data, but the next biggest country is India with 70 million guns. The next biggest country is India, 70 million. So think about and then the percentage of guns in the world. All of the militaries, we have more guns in our civilian population than the rest of the world combined, military and civilians. Everything. Let me think about that like we have. It’s incredible. We have more than the military. The American military only has like a couple million in the US military. Law enforcement has like a million, something like that. I don’t have the exact numbers, but you get the point. We, the people, dwarf everyone else and that’s why we’re so powerful. That’s why the Second Amendment is the Second Amendment. You have the First Amendment. It could be argued that a Second Amendment, that should be the first. If you don’t have the second, you don’t have any of the rest.
There’s a reason why every dictatorship comes into existence and starts taking away guns. It’s the people’s self-defense they’re taking away. What are you going to do? Are we going to go yell at somebody? The government, you know they’re trying to take over your house or trying to take something from you. What are you gonna do you pointed a gun at them and we give them a stop or you’re gonna yell at him. Well, we’re lucky here because we get the opportunity to protect ourselves from the government. Now many people get a chance to do that. We have the chance to do that and protect our freedoms and liberties. It was, like I said earlier, right? Governments are corrupt. Inherently. It’s just life. It’s a fact of life. We have to accept that and deal with that and then operate appropriately going forward. So, we have these things because we need to protect ourselves, not only just ourselves, with criminals and burglars or wherever. We need to protect ourselves from governments. We need to protect ourselves from other governments and because they’re just fun to shoot and it’s awesome to have food and get clean, clean, and good food.
I mean there are many reasons, but again, this just came out. Washington Free Beacon just came out this article, I think it was a small arms survey just did this recently and talking about the guns that are in this country. But think about that. Think of how little things are happening. You know, like the number of guns we have, the media and people tell us that we should have, with that amount of guns we should, there should be 10 million people die every day from gun violence. But that’s not the case because people are inherently good. It’s only the bad, evil people and people that have mental instability that are the ones doing bad things. You know, if that was the case, most people are good. Right? So if that was the case, like most people say we should have way more violence, but we don’t because we are good people because we’re a free people and we’re a good people that’s why.
Artificial Intelligence and Virtual Reality
Of course, we had talked about this all the time. This is just getting old. But this is coming again. A talk no one’s having and I get it. These are tough talks to have and I, I love debating these things with people and talking about these things with people because these are all topics that we need to have. This is coming, this is already here and, I don’t know, this is here guys, this is coming, this is already coming here. We gotta set some boundaries, set some ground rules here. Like what in life, this is where it gets really important, to start talking and having these conversations. This is tough, tough conversations. Like these aren’t easy conversations. These are tough conversations. We’ve got to start having them. We have to start having them.
Wealth vs Value
I did a video the other day about valuation channels and getting yourself out of a valuation channel and that’s what most people do in their life. They’re stuck in one asset class and they’re constantly just bouncing from peak to crash, peak to crash. It’s a cycle. It’s the rat race basically, for lack of a better phrase, it everyone kind of knows the rat race. Well, that’s basically what it is. You know, I’ve gotten many, many arguments with people, you know, well, just stay in stock their whole life and then we’ll go up on average. It’s just not the case, you know like it’s unfortunate. I wish I could have a virtual board record, just pop up all the chart for you guys and, like I said, we’re going to get into more in-depth with each one as we go because I was trying to think of a way to give you guys even more value. So just talking about is I want to show you guys some stuff. But, by utilizing the way the market is going and trending, in writing that up and then jumping off beforehand, not afterwards it was crashing, but before and cutting your losses and getting out, taking them that those “losses” or those winnings and putting them into the trough, put him into the bottom somewhere, the undervalued asset class. That is going to enable you to really increase your wealth because when you then sell off the market is really high right now. Real estate’s really high.
If you jump onto those things and then go into gold and silver, are you going into oil? You go into some undervalued asset classes and then you ride that up. I’ll think about that gain. Think about that power that you have when you are jumping. Think about what you sell out now and you buy down low how much you can purchase and then you ride that up. That increase is incredible, and then once that was that one gold, silver oil, commodities go up. Then you jump out of those when the market’s inverse again and jumped back down. You jump into real estate, you jumped into stocks when those have bottomed, and then you keep riding that and then you’re basically catching “up waves” every single time. So whenever people are rushing from something, that’s when you generally want to be buying. You know, like Warren Buffet always says, “When people are scared, you should be greedy. When people are greedy, you should be scared.”
So taking that principle, it’s just another way to say “buy low, sell high,” but it kind of hits the nail home a little bit more. So that is what we’re going to talk about in number one there, and valuation channels and you know, again, taking the asset classes and, dividing against each other equally and value that is one way to really look at asset classes and to see what’s, what and see its value or overvalued, undervalued. For instance, just for a simple, a lot of them, they’re just simple ratios. You know, you can do the DOW divided by gold, DOW divided by silver and you’re gonna get a number and then that’s a ratio and then you can start plotting them.
Determining Value
You can look these things up and you’re going to start seeing the different numbers and what’s overvalued, what’s undervalued. That’s how you determine value. You determine value against other things of value. So like I said, the dollar doesn’t have true value, it’s just paper. It’s just paper and printer that printed, that’s it. But if you have a barrel of oil, an ounce of gold, a median-priced home, and you take these things and you divide them, you create a ratio, in essence, the number we can start charting it, you’re taking the value of those two things and you are comparing them. So like for instance, gold and silver, undervalued gold and silver, the ratio, if you divide gold by silver, an ounce the silver, one ounce of gold by one ounce of silver. It’s like 78 right now, is the number you get.
It’s been about 80 for the last few months. That means silver is super overvalued, you can get 80 pieces of silver for every ounce of gold. Well generally like the natural just by how much gold and silver is available in the world. It’s like, one to 12, or one to 15. So we’re 80 right now. Think about that. It’s incredible. You know, like I said, naturally it’s about one ounce of gold for every 12 ounces or 15, maybe 20 ounces of silver. We’re at 80 ounces of silver. I mean, that’s incredible. So that just shows you how undervalued silver is right now. So, eventually what is probably going to happen is that you’re going to have people jumping into gold and things crash that’s going to really shoot up and then as soon as gold gets too overvalued, because it’s already high at $12-1,300, it’s already high.
When that gets too high for the market, the market’s going to jump out into silver and silver is going to shoot to the moon. That’s my prediction. That’s what I think is going to happen. I just, you know, seeing, you know, this studying psychology of money and currency and what’s gone on in the past. I think that’s what’s most likely to happen. But again, it’s doing your own homework, right? It’s verifying, trust but verify, right? I’m going, every one of these also, I’m going to put some videos. I’m going to tag some videos and some different stuff. Like I said, a lot of this is Mike Maloney. I studied Michael Maloney a ton when it comes to currency history. Jim Rogers, Richard Duncan, David Morgan, Jim Rickards, there’s just a lot of amazing people to study when it comes to this and it’s just very important to kind of get those people right because if you’re just watching the wrong thing, you’re going to miss it. So I’m going to put some links in, like I said, for each thing, and especially every month that we go, I’m gonna try to put some links in here now for the different things I’m talking about in the different months here that we even start kind of seeing some prep work before we go here.
The Everything Bubble
This is a big one. So, Mike was doing this along, I’m trying to think of six, eight months ago, but like he said, we’re in the eye of the hurricane right now. We’re really in the eye of the hurricane. Margin debt divided by the GDP, the highest it’s ever been in history. The Warren Buffett indicator, that’s another good one. Again, super high. I think it might be his third time, the third time it’s been over either over a 100%…it’s at 140% right now. So basically it’s a stock market capitalization divided by the GDP. When the stock market is bigger than the GDP of our country, that’s not good. You know, it’s very bloated and it right now it’s at 140%. 1.4 is the ratio. It’s, basically at one. If it’s under that, then you know, hey, GDP is more valuable than overvalued compared to stocks, which it should be. In this case, it’s over a hundred. Its the third time this century that we have been over a 100 percent of GDP, so the stock market, that’s incredible. I mean, that’s scary. Again, that’s Warren Buffett’s indicator that he had. Mike Maloney actually has one of his own stock market for fragility index, which is, it’s like the margin debt GDP divided by the Buffett indicator or something like that. Like you can’t let it show that you would have to see it on the computer, but again, I’m going to put links in here. That way you guys can see these things and see everything on your own. I really wish I could. I could put charts and graphs up here for you. Pensions are bankrupt. I mean we’re talking about everything guys.
We don’t know how much gold silver that our government has. How much is in Fort Knox? There’s no audit. No one will audit, The Federal Federal Reserve is an absolute mess. Pensions are bankrupt. You know, CALPERS is the biggest federal pension in the country, California’s public employee pension, they’re bankrupt. These pension funds all over the country are getting less than a percent in most. Don’t bank on a six to seven percent return every year. I mean that’s why you got people all over taking their buyout. It was like this isn’t going to be here in 10 years, 20 years, 15 years, 13 years. So I mean, the pensions, they’re going bankrupt left and right. We already saw it here in Detroit, where a lot of us here are, I mean we saw it in Detroit. What happened, you know, when you had pensions going crazy and corruption again, government corruption. I mean, how many scandals are going on? How many scandals went on with the Obama Administration? How many scandals that are going on right now and being investigated. I mean it’s just government has a life. We, for some reason, don’t know that because unfortunately we’re not taught that in school anymore. So we don’t understand the life cycles of governments in how governments truly operate.
Social security again said to be up, Medicare, Medicaid, all these said to be up in the next decade or two and bankrupt and insolvent. I mean it’s truly remarkable. And these, we talk about what is coming, the biggest crash in history coming. We really just again, I really wish I could show you these charts. There’s so many. There were so many charts. I mean it’s just, it’s completely indisputable. You know, again, people, I’m trying to think of a way to even talk about it more. People want to try to argue and I, I can’t even argue it because I’m not smart enough to have every single little thing in my head and be able to retort things.
That’s why I need charts. I need graphs. I need to watch things four times and think about it before it really sinks into my head. But the biggest crash coming in history, like I said, it’s really just we haven’t, we printed so much money basically after the crash in 2008. Greenspan printed a ton in the stock market crash and in the 2000-2001 and then Bernanke printed so much in ’08 and the years after that. And we’re still printing money. We just propped it back up. We didn’t let ourselves revalue and come down and resolve itself and then build naturally, it’s like a forest fire, right? But we didn’t let ourselves burn and reset and be fine. Now we know we went down and we do it the dead cat bounce and now we just went back up. We didn’t allow ourselves to go down and reset and now we’re going to pay for it.
What’s coming up?
Like we said earlier, stocks and real estate are going to crash first. Then the bond and currency crisis. The baby boomers are out of time. I mean, unfortunately, again, there’s still time guys. This sounds really bad but, one, we’re all in this together and two, there’s still time. There’s still time to do things and we’re going to get to that. We’re going to talk about that as we go, but there’s still time to take care of what’s needed. Baby boomers, like I said, are out of time, just because of the age. Most baby boomers are, you can’t go back to work, right? You can’t go back to work if something happens again. This is what’s scary. They’re going to leave the market and not come back. We just had the market crash happen. It’s still somewhat fresh in our mind. Not fresh enough, but it’s still somewhat fresh in our mind and people are going to take their money, especially baby boomers and they are going to run and they’re going to hide on their mattress and they’re not entering the market again. They are going to save it and put it under their mattress literally and just hoping to ride out the rest of their years. It says Japan, like stagflation, is going to happen, but you know, again, if we are printing money here, he says here in a second, are you prepared for that? So that’s what’s coming. Are you prepared for frozen markets? Bank holidays? Banks closing- “done, oops sorry, closed indefinitely, can’t get my money out.” Bail outs? So what we had in 2008 bailing out, you know, organizations are bailing out company’s too big to fail. Bailing those people out. Taxpayer money, all of us footing the bill. Bail-ins? So are we ready for that? Bail-ins we saw it in Cyprus they already kind of set the stage and prepared and practice with Cyprus. I think maybe 2011, maybe 2012, They just came in and just skimmed the top of everyone’s bank accounts. They scoop their arm inside your bank account. Anything over 100 grand or whatever they decided to be at the time and anything over 100 grand, they just scoop it out, which ironically, even if you took all the people’s wealth, even if you took all the wealth in this country, everyone, you took Bill Gates, everyone, Warren Buffett, you took all their money, every single left dollar, all of us you’d pay for the federal budget for one year.
Everyone, every athlete, every movie star, every person, everyone, you and me, every single person you took, every single last dollar they had, you would pay for the federal budget for one year, maybe just over a year, but you pay for it for it’s almost exactly a year in essence,. You need to you add some other stuff into it as well actually, and then you pay for the federal budget for one year. Then what happens? Now we’ve got the next year you need to pay for and no one has money. No one has any know businesses money to invest. No one has any money to do anything, so we’re completely dead broke. Every person in the country and we need to now pay for year two and 3 and 5 and 20 and 100. What do you do? So that is the common myth that all of a sudden you just, nope, “just tax the rich.” You can’t pay for things by taxing the rich, literally impossible. As, Ronald Reagan said, President Reagan, “no nation can tax its way into prosperity.” It’s literally impossible, it’s not mathematically possible.
Overreaction of central banks, governments and financial sector basically leading to print, print and more printing. And that’s where the end here. They leave the market and don’t come back (baby boomers) but what happens when the dollars come home to roost that we’ve exported overseas and then our governments are printing money. We don’t even need the government to print money. We don’t even need the government to print money because if the money from overseas comes back (the other 50 percent of the money out their currency out there comes back) we’ll have rabid, rabid inflation. It’ll be crazy. So that is the bit, we’re buying goods. We’re buying goods from China, so all of our dollars go overseas. Half of them, they go overseas, overseas. We buy goods from other countries, goods from other countries. Our dollars go over there, they sit over there and then we get the goods here.
What happens when they, when people are starting to realize that governments already starting to realize that, like I said earlier, they’re trying to get around the petrodollar, our dollar. If they get out of that and then our dollars start flowing back, they come and say, you know what, we’re buying goods from you guys, or where our dollars get a repatriated and come back here. Boy, look out. The government doesn’t need to print. There we go. We’ve got inflation like crazy just because.
Death of the Dollar Standard
So that leads into part three, which is the death of the dollar standard, which would be that. That would be the death of the dollar standard. We’re currently on the the dollar standard. We have no more gold standard. Nixon took us off in 1971. He basically had to, but again doesn’t make it the right choice necessarily.
But people are repatriating their gold and we didn’t have enough gold, so they took the world off the gold standard and now everything’s linked to the dollar. The dollar is backed by nothing. So, I’m sorry if I’m speaking a different language. We’ve talked about this for a number of years and it’s like I said, we’ll put links to all these things. You can see documentaries, 30-minute documentary basically, Mike Maloney has eight of them. They’re unbelievable. I mean if you want a crash course on everything I’m talking about, you spend a couple, four hours basically watching these documentaries, you’ll have an unbelievable grasp as to what’s going on and you’ll be shell shocked.
So let’s rock through the end here. That’s death of the dollar standard. So we have, countries repatriating their gold like I just said, countries trying to trade in the Yuan and the Euro and again mentioned all the nails in the coffin for the dollar, we have exported over all our inflation. Like I said, that’s going to come back to roost. We have a new reserve currency system every 30 or 40 years on average. That’s something, again, every 30, 40 years of 1944, we have the Bretton Woods system. 1971 we had the gold standard. 1971 we took everyone off the gold standard. Now run on the dollar standard. It’s coming again guys. We are at like year 44 right now. So it’s just, every, every market cycle goes 8-10 years. We’re at year 9 or 10 from the last crash. It’s coming, every life cycle for currency, every currency reserves system is about 30 or 40 years and we are at like year 44. Or what is it? 47? 1971-2018, so 47 years.
The Risks
Trade wars, currency wars, World War E, which is, fighting with numbers, right? It’s already happening. Russia were already doing that. It’s happening like crazy. World War III, literally. And then AI and VR, what is coming?
What are coming outcomes of that? The markets will change governments will change, society will change, the US will change, and capitalism to collectivism, you know. Like I said, there are scary things ahead and there are good things ahead and it’s up to us. Us knowing these things, it’s going to help us and really be able to take the reins with this opportunity we have that is going to be laid at our feet. So, if you are under, probably 50 years old you are, you’re going to have that opportunity to effect change on what’s going on. So probably if you’re under 60, maybe even 70 because it’s coming sooner than later so we have to be prepared.
Cryptocurrency
So crypto, we’re going to talk about that and just the future of blockchain. What’s going on? And like I said, we’re in the fight of our life right now. Is it going? It’s been going down but it’s gone down a lot since the hyper-mania, but it’s got a huge future. And what life’s going to be like going forward, it just does. So we need to be in the fight now and making sure governments can’t regulate and get their paws on it because then, it truly could enslave everyone, then they can just shut you off – just like that. You’re gone! So we have to be very cognizant of that.
Precious metals
The biggest hedge funds are purchasing them. The biggest countries are trying to get there’s. Russia outlawed them and then created their own crypto. Russia and China have been purchasing um, tons of, uh, oh there. Sorry. That was crypto. The biggest money, the biggest funds had been trying to purchase or trying to make their own Cryptos. But the biggest ones are purchasing cryptos like crazy. The biggest countries, Russia and China and purchasing metals, precious metals, gold, and silver for the last 10 years since the crash. They’ve been accumulating, accumulating, accumulating. We have no idea how much we have here in America. But we do know Russia and China has been buying a ton. And as we all know, “he who has the gold makes the rules,” right? We’ve all heard that. That’s exactly what goes on.
After World War II, what was going on, and we had the gold, we made the rules, we literally made the rules and we’re on our own currency reserve system and the whole world is because we had the gold. It’s a simple concept and it seems so elementary and it seems weird and obvious. I don’t know, it’s just very weird and it’s simplistic, but it’s true. It’s just, there’s a reason, where there’s smoke, there’s fire, right?
Again, silver, the most undervalued asset, it’s in everything. It’s in almost everything. All the technology, in your glass, mirrors, everything. It’s in everything. That’s why it’s so important. And that’s why I think eventually it will shoot to the moon because gold is only a couple things; it’s really only in jewelry, art, and money.
In the end, what to do, you know, this really kind of where we end with this, this is one of the safe havens, getting into rental real estate. This is why, we do this, we do precious metals. We talk about this stuff a lot and I’m a huge advocate of it, and do it myself that way we are protected. I feel it’s my duty and obligation to protect myself and my family and those around me, our clients, and advise people around us because it’s providing that value, providing people with something that they can grasp on to and hold on to.
It’s really all our job is, as I feel anyone, any citizen, but especially as a business owner, we have a duty and obligation to serve our people, and everyone around us at the highest level. I look forward to doing this. There’s a lot of amazing stuff ahead.
Like I said, every person in the world that’s done huge things you see on the Forbes 400 or whatever it may be; they built themselves in huge crashes, almost all of them. So many of them, I can name, like I said, I named five right off the top of my head quickly earlier. They built, when there are crisis and people are running out of that burning building there, they are firemen running into the burning building. So there’s a lot of huge things coming ahead that we need to get into the talk and get into the fight about getting into the debate about, about AI and VR. How are we going to treat this? You know, how are we going to treat that as a society? Cryptos, are we going to let governments enslave us or are we going to take control of that and say, no, we’re free people and we can decide what’s best for ourselves?
I appreciate you guys and this July Insider’s Report. I know this is intense. I’m sorry, I’m not sorry that this is intense, but this is what’s coming and it needs to be talked about. So, I appreciate your time, attention, and energy because it’s the most important thing we have is that time. So, I appreciate you spending it here. Humbled and honored and I look forward to doing this for you over the next half a year and putting out these modules in essence, even as Mike calls them. So, I look forward to it and I thank you guys again and we’ll see you soon!