FTX AND THE DOLLAR TRAP
For the past few years, Catherine Austin Fitts has been warning people about what she calls the "dollar trap," which basically amounts to a one-two punch. Punch one: extend easy credit or outright give away billions of dollars. In other words, get entire regions or countries "hooked on" or addicted to dollars. Punch two: then, pull the plug, and suction out all those dollars, leaving the region or country in a bind, where it must conduct transactions in dollars, and does not have any.
She and I (and others) have also been warning about something else, namely, the typical modus operandi of Mr. Globaloney to "stack function" in an operation or scam, or as I call it, to carry out "multiple objective" operations, where several goals are met and fulfilled all in one fell swoop.
With those background thoughts in mind, consider this article about the recent FTX crypto-scandal and its collapse, shared by K.H.:
Beyond the entirely apropos picture of Randolph and Mortimer Duke (Ralph Bellamy and Don Amice) from the hit movie Trading Places, and beyond the author's scathing words about the whole concept of crypto-"currency" (and one assumes, by extension, the idea of "digital cash"), sentiments with which, incidentally, I am in wholehearted agreement, the author has outlined a rather intriguing scenario behind FTX, one which intriguingly plays quite well into Ms. Fitts' "Dollar trap" scenario and into our idea of "multiple objective operations," or what she calls "stacked functions."
This is where FTX comes in:
What if FTX did not find itself in this situation by unfortunate circumstance?
What if it was built for this?
What if FTX was created to eat Ponzi schemes in the wild and deplete them of any actual cash they had? Because the whole project was actually architected by those who don’t really believe in crypto?
It just had to survive long enough to eat all of the major Ponzis in the space. Extracting all the cash and paving the way for regulatory pushback.
It would go something like this:
- Create a crypto exchange
- Become a market maker and mover
- Pretend to be US compliant by having a placeholder US presence (FTX.us)
- Maybe make a stablecoin (was in progress)
- Definitely make a market traded token (FTT)
- Liquify the token with dollars (USDT)
- Target Ponzicoin projects with proven real world cash reserves
- Advance them liquidity via FTT
- Securitize the loans with their cash
- Extend their runways, allowing them to keep aggregating cash
- Wait for their collapse
- Take their cash, book a loss
Do this until you have wiped out all the major players and have set the stage for a changing of the guard.
This money eating machine was always destined to fail. But so was the market it played in. Perhaps the creators of FTX decided to roll up all the Ponzis in a giant mega-Ponzi and extract all the cash for as long as possible.
So far so good: as what ifs and high octane speculations go, it's as good as any: but it has only one goal or objective, namely, drain the crypto-world of its "liquidity". By this time, however, you're probably familiar with all those stories that have begun to circulate about how much of FTX's dollars came from "investments" in the Ukraine, and was then funneled back to the United States where it was exchanged for real dollars, which real dollars ended up being funneled to Democratic candidates in the recent (and in my opinion highly questionable) mid-term election. And lest we forget, the effort was entirely "bi-partisan", because some of that very same money apparently ended up in Senate Minority leader Mitch McConnell's (R Kentucky) warchest and went to support "non-MAGA" candidates.
So now look what we have:
- Billions of tax-payer dollars are given to the Ukraine;
- Those dollars are converted into crypto by and for FTX, whose founder is also calling for regulation;
- the crypto is converted back to dollars in the USA, thus locking the Ukraine into a dollar trap which sucks the dollars out of Europe too,
- thus laundering the money by giving it to the two political parties to support their candidates, neatly embroiling both in clearly questionable practice, and thus making it unlikely any real change in "the system" will be accomplished; all the while
- the new Republican-controlled US House of Misrepresentatives calls for an investigation of the Bai Den Jo regime, making it even less likely anything will be accomplished.
Consequently, look at the multiple goals of the op, as speculated upon in this blog:
- Crypto-currencies and the whole idea of a "cashless" economy are given a real (and quite deserved) bloody nose;
- The Ukraine is put into a dollar trap which is likely to suck even more dollars out of Europe at a time of European economic and financial weakness, thus binding it more securely to the American empire;
- The money given to the Ukraine is actually laundered back to the USA in the form of the crypto, which is recoverted into dollars, and "donated" by Bankman-Fraud (our nickname for FTX's founder) to the two political parties to
- stop the candidates of Orange Man Bad and fund yet another questionable election;
- and to involve both parties in further financial malfeasance making any real prosecution of the real perpetrators and government criminals unlikely.
Now, if that reading of things is anywhere close to the truth - and I suspect it is, unfortunately - then I strongly suspect that we've yet begun to see the amount of spin and nonsense that this story is going to generate... and, by the way, did we mention the Federal Reserve is rolling out a trial of its central bank digital currency? That happened just shortly after the FTX scandal broke...
What does all of this add up to? Well, consider this: if FTX can go bankrupt so quickly, and in such a way that even a former Enron investigator is mystified as to the extent and nature of the fraud, if it can go bankrupt when its founder, Bankman-Fraud, is one of the very same crypto-"currency" advocates calling for "regulation" of cryptos, if it can go bankrupt, and engage in off-the-charts and clearly political money-laundering, then why on earth would you trust any central bank "digital 'currency'"?
See you on the flip side...
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