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Post by kenmb on Feb 19, 2021 9:57:35 GMT -6
Yes, when an entire year of mine production trades in one day, then one can beleive more paper than physical exists.
Which raises the ultimate question: how does this system even remotely attempt to link supply with demand. If you can keep buying paper because there is no means to say the supply doesn't exist, then how can this be a form of free markets.
And if the above is a logical statement, how can you say that the price set by paper is valid. If there is no link to supply and demand, then how can one say: well, at least the price reflects reality.
And so, if we consider that statement also, what if I suggested that the paper price is just a number made up and presented as the price?
In essence, wouldn't that be correct? We can get into some of the mechanisms for this but ultimately isn't that the reality? A price is determined at where a commodity is to trade at and then the "news" and contracts as well as changes in margin requirements are made all to make a price a reality. This thought is why I consider bitcoin is a tool to draw interest from metals, much like this is what SILV and PSLV do. PSLV claims to hold physical where as SILV does also but how much is true needs to be seen. If all the funds in these exchange traded funds were actually buying physical metal and going home, the system would have imploded a long time ago. So they can rightfully be perceived as another example of more paper existing than physical. Again, PSLV seems more legitimate in its claims but unless you hold it, you don't own it, still is in play.
Last night the price of silver was taken down to $26.40. "Someone" sold a bunch of "silver"eexactly at a period when all main markets were closed, so with very thin trading volume, that one transaction dropped the price about $0.85/oz. It got bought up pretty quick, but consider what it all means.
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nvw
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Post by nvw on Feb 19, 2021 10:21:59 GMT -6
I was watching the metals rally, I almost hit buy, why would I do that when the price was low?
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Bitcoins
Feb 19, 2021 10:53:02 GMT -6
via mobile
Post by shmiffy on Feb 19, 2021 10:53:02 GMT -6
Yes, when an entire year of mine production trades in one day, then one can beleive more paper than physical exists. Which raises the ultimate question: how does this system even remotely attempt to link supply with demand. If you can keep buying paper because there is no means to say the supply doesn't exist, then how can this be a form of free markets. And if the above is a logical statement, how can you say that the price set by paper is valid. If there is no link to supply and demand, then how can one say: well, at least the price reflects reality. And so, if we consider that statement also, what if I suggested that the paper price is just a number made up and presented as the price? In essence, wouldn't that be correct? We can get into some of the mechanisms for this but ultimately isn't that the reality? A price is determined at where a commodity is to trade at and then the "news" and contracts as well as changes in margin requirements are made all to make a price a reality. This thought is why I consider bitcoin is a tool to draw interest from metals, much like this is what SILV and PSLV do. PSLV claims to hold physical where as SILV does also but how much is true needs to be seen. If all the funds in these exchange traded funds were actually buying physical metal and going home, the system would have imploded a long time ago. So they can rightfully be perceived as another example of more paper existing than physical. Again, PSLV seems more legitimate in its claims but unless you hold it, you don't own it, still is in play. Last night the price of silver was taken down to $26.40. "Someone" sold a bunch of "silver"eexactly at a period when all main markets were closed, so with very thin trading volume, that one transaction dropped the price about $0.85/oz. It got bought up pretty quick, but consider what it all means. That’s another head scratcher. Somebody sold when the markets closed and it still moves the price |
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Post by kenmb on Feb 19, 2021 11:23:30 GMT -6
The more you look at everything, the more it is all a head scratcher. We don't look because we follow the basic idea that "if it is wrong, it would have been changed long ago". Because we operate on free market, capitalist based system. That is what we are told and so we beleive it. It's only when you actually start scratching your head that it is seen differently. And it all looks very different then.
The insane world trade says buy bitcoin. Something that is imaginary, has no use, and has infinite alternatives.
The sane world says buy something tangible, that is in short supply, and has use therefore no alternatives.
The insane world continues to be the one to put your wealth into. Are people that easily led and controlled? The answer would be yes.
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Post by Oatking on Feb 20, 2021 9:07:27 GMT -6
Could one say the term creating something of value from an alternate source of value as money laundering. Is Bit coin or paper silver just that but hidden as a legit currency. The insane world can be fooled!
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Post by kenmb on Feb 21, 2021 17:14:41 GMT -6
I am waiting for someone to figure out that another version of Bitcoin is in demand. Call it ByteBar or something, but skip the mining part, that uses too much electricity so makes it less desirable. Just limit the amount of bars to 25% less than units of btc and put it on the market. And if the demand is there, create a few more variants. It will help if you can trade futures of ByteBar too. It could have a platinum colored symbol and maybe a dragon, instead of that lame symbol btc uses. Should be a hot crypto. Just need the media push. Until then, rare earth metals mining/production might get you 100% return or better with all this talk of green energy and electric cars and such. China may not do so well in the near future so with most rare earth metals coming form there, then an opportunity might exist for North American alternatives.
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Post by kenmb on Feb 24, 2021 14:05:12 GMT -6
End game approaches, all tied in with the purely coincidental rise and public attention of Bitcoin. markets.businessinsider.com/currencies/news/fed-digital-dollar-jerome-powell-congress-issue-crypto-bitcoin-2021-2-1030114663"This is something we're investing time and labor in, across the Federal Reserve system," Powell said.
The move would come amid a surge in popularity for cryptocurrencies like bitcoin and ethereum. Bitcoin briefly reached $1 trillion in market value last week and traded above $58,000 over the weekend.
The Fed is studying cryptocurrencies as a technology they may be able to use for themselves. Yup. If it wasn't for bitcoin, and it's public attention, the banking cabal would not have stumbled across this new tool.
Next bit of BS to roll down the leg of the Central Bankers will be something about hyperinflation driving up food and other necessities and the bankers will have to intervene there again and the digital currency will be the only tool to do it. Otherwise people will suffer. At least, that is my suspicion.
I was going to mention this is the grain price thread - low crop prices, food prices is less concerning to me than high prices. No one intervenes when food is too cheap. But if food costs escalate, then you have boat loads of entities all identifying ways they need to intervene. All of which will be directed at the farm level, and totally ignore the various levels above where that 10 cents of wheat in a loaf of bread becomes a $3 item.
We don't really need a digital dollar. It is essentially digital all ready. But truly digital will allow the bankers to "solve" of number of other problems. Problems they made themselves. Knowingly.
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Post by Oatking on Feb 24, 2021 16:26:13 GMT -6
Winnipeg Police s sting operation seized bitcoins in a illegal drug raid. Bitcoins will become popular to hide money.
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Post by kenmb on Feb 24, 2021 19:57:56 GMT -6
Bitcoin popular for a lot of things not approved by good people. Yet it is traceable because it's electronic. Perhaps Winnipeg police had access to the tools to do the tracing.
Two interesting developments today, Federal Reserve electronic system went down for a few hours. Gamestop did a vertical last couple hours of trading.
Some are indicating these are not random occurrences. Have to watch the next few days and see which way the wind is blowing. I wonder how many hedge funds are taking it in the shorts for being short on grain prices. Surely a lot of big money was betting soys, corn, canola would not hit these prices levels. Can't think of any farmer expecting these prices in February so how are we to believe the smart money knew.
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Post by kenmb on Feb 26, 2021 7:24:45 GMT -6
Everything thing on sale this morning. Silver, gold, platinum and bitcoin. Bitcoin down +20% from highs a week or two ago, metals not so much. Kind of a no brainer, $50k for a unit of something that only exists as software and has no use makes it common sense really. Yesterday afternoon bonds and treasuries were getting a little hairy. Remember the common line of all us experts and farmers who say land can only go up in value because interest rates must stay low. How sure are you of the basic premise about interest rates must stay low. Suppose our monetary system masters "loose control" of interest rates. How do you place your bets then? We are indeed living under a regime of financial repression. Interest rates at less than 1% make it kind of hard to deny that. The question then is, how sure are you this will remain the case. I can't say. I will do what I can to cover all the bases but I am not going to bet on insanity. I would rather loose betting on sanity than win on being proved that insanity reigns. I figure there is some good info embedded in this article. A few things I note: 1) sdr's are created out of thin air and basically trade like a country's gold reserve would have done. 2) Congress has no say in acquiring sdr's, it is the Fed/Treasury that does this. Remember the premise of a democracy where the peoples representatives are supposed to have full say in operation of the country. Where does it say that anything monetary related does not apply. 3) the twitter feed embedded in the article is interesting so I copied the link here 4) the chart of platinum vs sdr's is very interesting. If you look, you will see Interesting times. Especially if you "know" what reality is and what to expect a year or two out. Because things "have" to he a certain way. Truth can be far more stranger than fiction. www.zerohedge.com/news/2021-02-25/us-treasury-calls-imf-sdrs/photo/4 |
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Post by SWMan on Feb 26, 2021 11:43:31 GMT -6
It really is amazing how the global "elites" can basically create money out of thin air which, in essence, centralizes wealth towards themselves and at the same time causes massive inflation that destroys the wealth of the lower and middle classes. These people are un-elected and almost unknown to the average person...
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Post by Albertabuck on Feb 27, 2021 11:23:52 GMT -6
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Post by kenmb on Feb 27, 2021 18:18:46 GMT -6
It's not much different then counterfeiting SWMan. If I print money then I am a criminal. If a private organization does it, and uses enforcement (let's say the military) to enforce what it prints, then it is considered ok.
It's one of the principles I think about when talk of precious metals comes up and whether the world could ever return to a gold standard or something similar. Ultimately, the way to think about it is not so much whether precious metals would work, but to understand what exists now is a criminal enterprise. How we fix it can be debated.
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nvw
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Post by nvw on Feb 27, 2021 18:32:30 GMT -6
Makes me think of John Lithgow in the movie Cliffhanger, where he says: "kill a few people and you're a murderer" "kill a few million and you're a conqueror" That always cracked me up.
Printing counterfeit money or Gov. doing the same makes no difference. it's all just the same paper if nothing backs it.
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Post by kenmb on Feb 28, 2021 8:54:46 GMT -6
The system now allows for corruption. George Gammon covers it well in one of those videos put up here a month ago on how the alternative banking methods can work. Central banking could be used to control the creation of currency and keep a lid on things. But that is based on the assumption the people in control were operating in the best interest of all effected. I would say that is not the case.
The one thing precious metals does is take a way a good part of the possibility that bad people could rig the game in their favor. It is why I say I won't go so far as to say metals are 100% the answer, there may be other answers because I can see our present system working if we had 100% moral and ethical people in charge.
Personally, I think the idea of crypto backed by precious metals has merit. Fiat currency would remain, nothing wrong with that as long as you have something tangible in play to make sure fiat is kept in check. But since a crypto in and of itself is in infinite supply (there is +5000 of them already), you can't have a system that is simply crypto so as bitcoin as a "store of value". It has to be linked to something that can't be corrupted. If they can turn lead into gold, then that ends the value of gold. So who really knows. Oil/energy can be another thing to back a currency. Ultimately everything operates on energy and is created from using it. Unless free energy becomes reality.
As a side note, and following through with my thought processes in the Trump thread, was looking through silvergoldbull.ca listing of silver and gold and there really isn't a lot there. 2 1/2 pages of gold options and 6 pages of silver. Silver used to take 30 pages, gold probably 10 pages. Looked at the Royal Canadian MInt site and there isn't much there either. Their stuff is always over priced because of limited mintage, but the bulk is sold out regardless. A guy could say that covid shut down has restricted supply but the idea of limited mintage negates that argument. If you offer 7000 pieces and they all sell out, it doesn't matter if you mint them in one day or 365 days, it's how quick they sell is what matters.
Starting to think silver may be running in tight supply, but perhaps gold is something to look at and understand there might be a tighter supply there. And then that leads to the metal known as platinum. Because if gold and silver are in limited supply, where does that put platinum which is cheaper than gold right now.
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